Personal Loan

personal loan

What is Personal Loan

Personal loan is a medium-term unsecured loan given to a person. It is commonly used for personal use to meet financial needs such as debt consolidation, wedding expenses, unexpected medical costs. Flexibility of use, minimal documentation and quick processing make personal loans a preferred financing option. Unlike other loans, it usually has a repayment of less than 1–5 years. The APR (annual percentage rate) of a personal loan can vary from 11.29% to 35% depending on the profile and lender of the individual applicant. For example, if you take a loan of Rs. Your EMI of Rs 4.5 lakhs at the rate of 15.5% with 3 years repayment. Is 15,710. The total amount payable at the end of 3 years is Rs. 5,65,553. Therefore, you are paying the total interest amount of Rs 115,553. However, it covers other applicable charges which can be determined as follows: Loan Processing Fee @ 2% = Rs. 9000 Discount Fee = Rs. 500 amortization schedule fee = Rs. In case of changing 200 payment modes or swapping your post dated checks, additional charges are applicable. In addition, depending on the lender bank, prepayment options may or may not be available and the applicable fees may vary accordingly.

There are hundreds of bankers including small and big banks and financial institutions in India, who provide personal loans. With, you can easily apply loan by comparing loan as per your choice and calculating the EMI of the loan.