While you try to create a financial corpus for your personal expenses, sometimes, the corpus might fall short. When it does, you need additional funds to meet your expenses whether they are for your marriage, for taking a vacation, for meeting medical emergencies or for any business need. A very popular source of such additional funds is a personal loan. Let us have a look at the loan and its various aspects in detail –
What is a personal loan?
A personal loan is a loan which allows you funds for your personal and business needs. A personal loan is an unsecured loan which you can avail without mortgaging any assets. You can avail a personal loan for different financial needs and the loan is sanctioned at the earliest without complex formalities.
Types of personal loans
Personal loans offer you funds for different types of financial needs that you might have. Based on these needs there are different types of loans available in the market. Some of the most common types of personal loans include the following –
1. Wedding loan
If you or your family member is getting married and you want funds for meeting the expenses of the wedding, a wedding loan can come to your rescue. The loan is allowed for meeting the different expenses which you might face in planning a wedding.
2. Travel loan
A travel loan is offered for travel-related expenses. If you want to go on a holiday or a trip and you need funds for the same, you can avail travel or a holiday personal loan.
3. Debt consolidation loan
A debt consolidation loan helps you aggregate all your existing debts into one. If you have multiple debts you can avail of a debt consolidation loan and pay off all the debts. Then, you would have to service only the loan that you have availed and pay a single EMI rather than multiple ones. A debt consolidation loan is very effective in consolidating your credit card debt. If you have outstanding debt against multiple credit cards, you can pay off the aggregate debt through a debt consolidation personal loan. This would help in lowering the interest cost and make the loan easily manageable.
4. Medical loan
A medical loan can be availed when you or your family faces a medical emergency and you need funds to pay for the expensive medical costs.
5. Top-up loans
Top-up loans are additional personal loans which are allowed to existing borrowers. So, if you have availed of a personal loan and you need additional funds, you can avail a top-up personal loan.
6. Home renovation loan
A home renovation loan allows you to renovate, refurbish or redecorate your house.
Essentially, personal loans can be taken for any financial need that you have as the lender does not check the usage of the loan. So, if you need instant funds for any financial need, you can resort to personal loans.
How to apply for a personal loan through Navi App?
You can apply for a personal loan through the Navi App just by following the steps below:
- Click here to download the Navi Application from the Play Store
- Once you have the application, you need to click on “Apply” tab
- Then you need to fill in basic details to process your loan application like:Full Name
- Marital Status
- Pincode of residence
- Then you need to fill in employment and income details:
- And finally enter your PAN number
- Then your loan is instantly processed where your Credit Score and other details would be checked at the backend
- And your loan would be processed within a matter of 10 mins
Eligibility criteria to avail a personal loan
If you are looking to avail of a personal loan, you would have to fulfil some eligibility parameters. The parameters are fixed by the lenders and the most common ones include the following –
You should be between 18 and 65 years of age to avail the loan. The minimum age can also be increased to 21, 23 or 25 years in some cases
The 2 wheeler loan rate depends on your eligibility parameter and the lenders pricing policies
Your credit score should be at least 650 to apply for the loan. If your score is below 650, the loan application might get rejected
You should either be salaried or self-employed
There is a minimum income which you should earn every month to qualify for the loan. The level varies across lenders
So, before you apply for a personal loan, check the lender’s eligibility requirements and ensure you meet such requirements so that your loan application is not rejected.
Documents required for applying for personal loans
To apply for a personal loan you would have to submit a set of documents to the lender. These documents are used for verification purposes by the lender and also to check whether or not you meet the eligibility criteria. There could be a huge list of documents, but Navi has made the process extremely simple by reducing the documents to only the basics.
The list of documents needed to avail of a personal loan Navi is actually very simple and it includes:
- PAN Card and
- Aadhar Card and
- A selfie
To process your loan application within minutes of applying for the same.
Features and benefits of personal loans
Here are some of the salient features of personal loans and also the benefits which the loans offer –
- Personal loans are collateral-free loans which do not require you to pledge or mortgage an asset to avail the loan. The loan does not even require any third party guarantee
- You are allowed flexible repayment tenures to pay off the loan. The tenure usually ranges from 12 months to 60 months
- Besides personal financial needs, you can also avail personal loans for your business needs
- Minimal documentation is needed for availing personal loan finance. The loan application is quickly processed by the lender and you can avail funds within the shortest period of time. In fact, if you are looking for instant funds, personal loans are the best solution
- The interest rate of the loan is not very high and can be afforded
- There are personal loan EMI calculators which help you calculate the EMI payable for the loan depending on the loan amount, applicable interest rate and the repayment tenure
- You can prepay the loan before the stipulated tenure, either partially or fully. This prepayment, usually, incurs a prepayment charge
Why choose Navi Personal Loan?
While there are different lenders for a personal loan, Navi offers you the easiest way to avail the loan. With Navi personal loans you can get instant funding for any need that you have. You can get easy personal loans for up to Rs.5 lakhs through Navi app. The loan is sanctioned within 10 minutes and all you need to get the loan is your PAN Card, Aadhaar card and a selfie. The interest rate is also reasonable so that you can get cheap personal loans right from your Smartphone. So, if you are looking for an easy and quick source of funding, pick Navi personal loans and get funds starting from Rs.10, 000 to up to Rs.5 lakhs with some simple taps of your mobile screen.
Frequently Asked QuestionsCan my personal loan application get rejected?
Usually, personal loans are the easiest loans that you can avail. However, if you do not meet the eligibility parameters of the lender your personal loan application might get rejected. With Navi, you can check eligibility instantly – Install the app, enter basic details (no documents required) and know your eligibility instantly! – Check nowI want to redecorate my house. Can I get a personal loan?
Personal loan is a multi-purpose loan and if you want to redecorate your house, you can easily get the loan.I have just joined a new job. Can I get a personal loan?
Yes, you can get a personal loan even if you have just joined a new job. You just need to meet the eligibility parameters of the lender and the loan would be sanctioned.What is the interest rate on personal loans?
The interest rate is not fixed. It varies across lenders. You, therefore, would need to check with the lender the exact interest rate charged on the loan. Navi uses a technology-driven method to assess your interest rate. Install the app, enter basic details (no documents required) and know your interest rate instantly! – Check nowCan I prepay the loan?
Prepayment of the loan depends on the lender’s practices. If the lender allows prepayment you can prepay the loan. However, remember that if you prepay the loan, there might be a prepayment charge levied by the lender. However, Navi offers your flexibility to pre-pay loans at zero charges.