A flexible personal loan is a special type of personal loan wherein you are given a pre-approved limit by the lender from which you can withdraw money as and when you need it. The limit amount is set initially by the lender based on your credit profile. This loan product was devised to meet an immediate need for money in an emergency.
Read on to know the features, benefits, interest rates, documents required and when is the right time to opt for a Flexi personal loan.
Flexible loan or Flexi loan has several advantages over personal or any other type of loan which are discussed here:
Funds Available at All Times
Flexible loans will help you sail through any financial emergency requiring immediate cash outflow. Once the Flexi loan limit is approved, you can withdraw money anytime you want and in as many tranches as you wish.
In these loans, you have the freedom to prepay the amount you borrowed when you have additional money available. The standard repayment is also easy as you will borrow only that amount which you need and can quickly repay. You can use the Flexi loan calculator to compute the interest cost on your loan.
Moderate Interest Rate
Flexi loan interest rate is not on the higher side, and it also helps the borrower reduce interest payout. The interest rate is applicable only on the amount withdrawn and not the entire limit sanctioned by your lender.
Multiple Withdrawal Opportunity
It’s not like a usual loan wherein you are given the total loan amount in one go. In flexible loans, the borrower can make another withdrawal after he has borrowed the previous loan amount.
|MoneyTap||Starting from 1.08% p.m.|
|KreditBee||Starting from 1.02% p.m.|
|Bajaj Finserv||13% onwards|
Follow these steps to apply for a flexible personal loan from the desired lender:
This section will highlight key differences that differentiate Flexi loans from other types of loans offered by banks:
Navi’s personal loans are for both salaried people, self-employed businessmen and small businesses. The age should be between 25-55 years for salaried professionals. The individual must be an Indian resident with a bank account in a recognised bank and an income above Rs. 30,000. Also, they must be employed in a Private Limited company, Public Sector company or MNC. The documents needed at the time of loan application are:
If you’re self-employed, your business must be more than 3 years old when applying for a flexible personal loan. The age criteria remain the same: from 25 to 55 years, and they must be an Indian citizen. You must have also filed income tax returns (ITR) for at least the year gone by. The documents needed for this category of borrowers are:
Flexible personal loans are helpful during an emergency financial crisis. To be eligible, you must maintain a good credit score. Keep your documents handy to speed up the process. Make sure to check and compare the interest rates of various lenders. For easy and fast personal loans, you can download the Navi app on Android or iOS and get an instant loan.
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