Financial distress often comes in our way, when we least expect it. Thus, even though we cannot foreshadow such an event in advance; however, what we can do is take adequate measures to ensure that we take care of it. But the increasing costs of living barely leave people with any sort of savings in their kitty; hence, at such times, they are often left with no option but to borrow from other people.
However, now they can avoid the humiliation of borrowing cash from friends and family by opting for a personal loan in India. Personal loans are unsecured in nature; hence, can be used by you to relieve any of your financial exigencies. But the only problem is that high-interest rates tag-along with the personal loan. Thus, we have compiled a list of few tips that will help you obtain personal loans at lowest personal loan percentage in India, and they are here as follows:
- Job stability: As personal loans are unsecured in nature; thus, you don’t have to submit any sort of collateral to acquire them. Hence, your income source and job stability are the core factors that the personal loan providers Therefore, ensure that you have been working at your current employer for at least 2 years before you choose to apply for a personal form of a loan.
- The reputation of your organization: The financial institutions also check your company’s reputation before sanctioning your loan amount. The reason being, your company’s reputation helps them to gauge your future growth with the organization. Hence, ensure that you work with a firm that has a strong foothold in the market; this will not only increase your chances but will also help you reduce your personal loan percentage.
- Credit score: The new-age banks and NBFCs (non-banking financial companies) check your credit score and history to gauge your repayment capability. This helps the financial institutions to ensure that you will repay the loan amount without any defaults. Further, a good credit score will not only help you with quick sanctioning but will also let you renegotiate on the interest rates. Hence, remember to repay all of your debt on time to ensure that you obtain a personal loan with lower interest rates.
- Online comparison: There are a number of personal loan providers that give out unsecured loans in the market; further, a lot of them have started offering online financial assistance. Therefore, you can easily make use of the online means to compare and obtain a personal loan with the lowest form of interest rates- for that, you can make use of the aggregator websites.
- Inform the financial institution in advance: This is for the applicants that have red-flags on their credit report. A red-flag or loan default severely damages your credit score and reduces your chances of loan approval. However, if you have one, ensure that you inform your financial institution in advance and obtain a loan at a lower interest rate.
Hope this article helps you to find the best personal loan providers at the lowest possible interest rates.