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What you should know about Scams in Instant loan Apps?

Credits: witn

Recently RBI issued notice to some digital lending platforms for harassing borrowers for small loans that they availed through them which includes blackmailing by using their personal information that lenders collected while processing their loans and charging hidden cost which was not disclosed earlier.

Usually, these apps promise to provide instant funds without much due diligence and in hassle-free experience and individuals /businessmen fall prey to such offers owing to fact that the Covid-19 pandemic has disrupted their businesses and most of them are in deep financial stress thus making them most vulnerable to these Scams which are floating around. In today article we’ll be talking about the Recent RBI action on these fishy loan apps and how you can protect yourself from these lenses whose sole objective is to defraud customers

What is going around?

Before discussing what exactly is happening nowadays we’ll understand how exactly an Instant loan app works.

Let’s say Mr. Rahul is in desperate need of Funds and due to a bad CIBIL score, no bank/Nbfc is ready to give him a loan considering this. So Rahul applies to a personal loan app that promises to give funds within 10 minutes by collecting very basic data like personal information, KYC documents like Aadhaar card, pan card and ask him to click a selfie for verification alongside they’ll take access of his gallery, contacts and certain apps. Now after giving all documents and giving access the app processes the loan and Rahul receives the funds and he’s a happy lad now. But unaware of high-interest charges, an additional cost that will be levied upon him, and mental stress that he’ll put through.

What the issue then?

Assuming he repaid the full loan that too with interest things are good but problems start when Rahul defaults on his repayment and harassment starts from here onwards. The lenders start sending fake and morphed notices to the borrowers and blackmail them. In some cases, WhatsApp groups were created along with contacts of the borrower and they started abusive behaviour, labelling them as “fraudsters”.

 The lenders make sure that the defaulter is pressurized and stressed at that level where he has no option but to pay the whole loan amount along with the interest rate determined by them. Since most of these digital lenders are working outside the regulator’s ambit thus Rahul cannot seek any legal help thus resorting him the only option to repay the amount. We’ve seen cases where the borrowers have committed suicide due to constant blackmailing and threat. Most of these entities have an only online presence are mostly operated from China, Indonesia, and Singapore.

How you can protect yourself from these cybercriminals and fake loan apps?

I’m pretty much sure that now you’ll are aware of how these apps are defrauding customers and what is their modus operandi. So to make sure you do not fall prey to these apps I’ve jotted down few points

  1. Never avail loan from any app which does not scrutiny your financial background and credit history

In this entire business model, the entire risk is borne by lenders since he’s giving funds from his own end so in cases where lenders aren’t concerned about your credit score and financial status is a red flag and you should immediately report this app.

  • Where interest charges are not disclosed

In cases where the app does not disclose the full cost and interest charges levied on your loan amount then you should Never opt for such a facility since you can be charged with a floating rate of interest and you probably can’t do anything later on.

  • When the App sources cannot be determined and are operating outside Indian Jurisdiction

Imagine getting a facility from a business that cannot be sued and has no physical presence in your country. This deprives you of any rights if you want to go for a legal route in case you want to file a case against them.

  • Online Reviews

While buying anything online we start reading online reviews for it one month prior to the ordering date since we’ve to pay our hard-earned money for purchasing it on the other hand if we talk about loan app we are very careless and opt for anything that we come across since we’re getting money but we forgot that this has to be repaid that too with interest. So make sure whenever you start applying through loan apps for personal loans you are well aware of it.

Conclusion

With loans available faster than Maggi one should be very careful and proactive while taking personal loans from online apps and incase you’re defrauded by such cyber criminals you should report them to your nearest cyber cell.

But when you can’t postpone your plans and the emergency cannot be skipped so don’t worry MoneyLoji got your back. It is 100% verified and is trusted by more than 500K users. It is approved by RBI guidelines and operates keeping in mind the privacy of its users confidential. It not only give access you to funds but also helps you in maintaining good credit score so you don’t have any issues in future for availing credit. So apply for personal loan at MoneyLoji Now!

Personal Loans

Loan products for Gig-workers in India

Source: Personnel Today

Post the digital revolution in India back in 2016 the Indian economy witnessed several unicorn digital startups flooding the market of over 1.3 billion people. Every business whether Ed-tech, personal Lending, transportation, food delivery has seen startups taking unprecedented growth and thus providing good traction to India’s gig Economy.

The platform economy has particularly attracted a high number of unskilled and less-educated workers as it provides them with a good source of earning their livelihoods or maybe provide them ease in accessing part-time services to fulfil essential needs by doing tasks that don’t require much qualification. Riding on two-wheelers delivering your favorite cuisines without any delay or working tirelessly to make sure you get the delivery of latest smartphone that you ordered from E-commerce platform these young people make sure wheels of growth are never off track but are gig workers saving enough so that during the times like these they are managing two meals a day or if not are they able to take a loan from Banks without any delay as banks might be not ready to lend to them very easily owing to the fact that the income in freelancing is inconsistent.

In today’s article, we’ll be talking about gig workers and how they can apply for a personal loan. So let’s begin

Who are the Gig-workers?

Source Medium

In India, there are about 3 million gig workers — temporary workers including independent contractors, online platform workers, contract firm workers, and on-call workers. With rising unemployment in the Organized sector, it’s good to see that more than 56% of new jobs are created by the gig ecosystem.

As per the latest survey conducted by economic times over 40% of the respondents have only studied till 10th grade and did not attend college which largely makes them unemployable for a white-collar job. The work is job-specific and they are expected to perform a fixed task and they’re paid accordingly, workers have the flexibility to work for more than one contractor and choose the hours of work.

The survey reveals that a good majority of 40% earn above Rs 10,000 and 35% of respondents earn close to Rs 10,000 per week to earn their living. Post pandemic more than a third of gig workers were making about Rs 173.5 per day or less which quite less compared to the task they perform on daily basis.

From where do Gig workers borrow?

As I earlier mentioned most Financial institutions are not willing to lend to gig workers due to various reasons like inconsistent income, low CIBIL score, and a lot more. As per the survey, about 40% of customers have a CIBIL Score between 300 and 400, and among them, nearly 20% are not aware of what a CIBIL score is.

An article by Economic times reveals that “Thirty per cent of respondents have taken a loan before and 30% had not taken a loan, almost 20% relied on friends and family for credit and close to 8% have used money lenders in the past. Survey highlights 10% respondents asked their current employer for a loan”

While most of the borrowers do not have earlier access to credit and good credit-worthiness the role of new Emerging digital lending platforms comes into play which usually involves small ticket size loans ranging from ₹10000-₹200000. The new-age lenders usually operate in the unsecured lending space, where lenders give loans to borrowers without any security. These models, which use statistical data and ML-based technology are based on various parameters like past credit history, recent Emi, and credit defaults which helps in increasing the accuracy in predicting the future behaviour of the borrowers.

But the harsh reality less than 10% of the total workforce is updated in regards to the existence of these platforms and are mostly dependent on informal and unorganized sources of Financing. Since commercial banks and NBFCs do not lend as they are not recognized as full-time and formal employees also do not have fixed salaries they get in real trouble in times of emergency.

To Make availing credit a hassle-free and smooth experience MoneyLoji provides the platform from where they can borrow funds for a short period of time and that too with the lowest interest charges in the whole market. The workers need to download the android application and fill in the basic details like name, Address proof, current employment status, amount of funds required, duration them and within 5 minutes the funds get transferred to workers’ bank Account. The app is directly linked to UPI as well as to their bank account so that payments and transfers are seamless.

Not only does MoneyLoji make it possible for gig workers to access fund easily without the need for documentation like bank account details CIBIL score but they also do so at rates lower than market alternatives and offers assistance in maintaining good credit score.

Conclusion India’s e-commerce market is expected to grow to $200 billion by 2026 and gig workers play an important role in sustaining the growth. More than 70% of them have shown interest in Personal loans and to make sure the life of workers which makes our life convenient  MoneyLoji has made the process of availing credit affordable and accessible.

Personal Loans

Emergency need of Funds? MoneyLoji to rescue

“Nothing helps you sleep better at night than knowing you have source of availing money in times of Emergency”

The entire world economy has been reeling under the clouds of uncertainty created by the Covid-19 Pandemic and this has given us a great lesson that in life one should always be prepared for uncertainties. Entire businesses and corporate houses were ordered to close their operations leaving a mass crowd of employees unemployed. Several workers lost their jobs and faced salary cuts /unpaid leaves and what not but one cannot postpone his financial obligations like children school/ college fees, home/auto loans and apart from this in a country like India with most of the population is under huge Cash crunch the situation is quite critical. In order for you and your business to tide over the uncertainties, a personal loan can act as a boon, and imagine getting it within 5 minutes that too with fewer formalities, less documentation, and a completely digital process. In today’s article we’ll be talking about the instant loan app MoneyLoji and how can you use this magic wand to bring your financial distress back on track.

How can you use  MoneyLoji for availing instant loan?

Before I introduce you to MoneyLoji let’s understand what is happening nowadays. With hundreds of instant loan apps that are floating in the Market many novice professionals get trapped in some fishy and fake apps that offer loans at cheap Interest rates but at the time of repayment in most cases its seen that they end by paying exorbitant interest and frankly speaking, they can’t do anything about it since most of us don’t read terms and conditions and end up trusting the institutions which are made to pursue fraudulent objectives.

To bridge the gap between these issues and bring simplicity alongside transparency in whole instant credit facilities MoneyLoji has taken initiative to serve the financial needs of every person who is in emergency need of Funds. Imagine getting funds in your account within 5 minutes and flat processing fees and every time you avail any credit facilities you get exclusive deals, offers, and discounts. Now you must be wondering this might be some joke or gimmick but  “when time is money We got you covered”

Benefits of Using MoneyLoji  

  • You get instant access to credit no matter how small your loan needs. Get an instant loan from 10,000 onwards
  •  It’s a complete digital process that hardly takes less than 5 minutes. Starting from applying to approval of loan.
  •  In order to avail personal loan facility Most of the lenders want CIBIL score of more than 650 but do not worry most of the borrowers feel the same way and you know we care for your needs so we’ve adopted the latest AI-Enabled technology that processes your eligibility taking in Consideration of each and every factor so that only less CIBIL score does not become a hindrance in availing loans.

What is the entire process of personal loan Application?

So in this part of the article, we’ll be understanding the whole application process but before that make sure you’ve downloaded the MoneyLoji app from Google Play Store or Apple Store (Coming soon)

  •  After you’ve downloaded MoneyLoji app Register yourself through mobile number and OTP
  • Fill in your basic details (Name, Father’s Name, Date of Birth, Pin Code, Email, and Marital Status).
  • Provide us your current residential address, employment details, and office address (required for personal loans).
  • Click on Personal Loan and select the address you are applying from.
  • Take and upload your selfie. You cannot upload photos from your phone. (Make sure your face is clearly visible)
  • Upload a photo of the PAN Card. You can either take a photo or upload it from the gallery photo in case you don’t have it around.
  • After this On screen, you are shown a list of lenders available on our platform. Choose the tenure and loan amount you wish to take a loan for. You can also check pre-payment charges, processing fees levied by various lenders.
  • Upload your KYC documents. Here you can choose to upload Aadhaar only, or 2 out of 3 documents (Voter ID, Driver’s License, or Passport) in case you do not have an Aadhaar card.
  • Upload your financial documents (Bank statement with account number & IFSC code visible) and Appointment Letter or Salary Slips.
  • Wait for the system to process your eligibility.
  • Upon success, select the amount and tenure you are eligible for and authorize the transaction.
  • Get the amount credited to your bank account instantly.

So this was a basic guide of how you can avail of the personal loan facility by MoneyLoji. Now I’m pretty much sure that you have a complete understanding of the whole procedure and Incase you have any doubts regarding the offers, discounts or maybe product you can connect with us at details mentioned on our official website

By clicking here We welcome you to the MoneyLoji family.

Personal Finance, Personal Loans

Everything you need to know about CIBIL Score

“ your credit score and credit report are two most vital aspect of your financial health”

Ever wondered after generously paying all the credit card bills, the last loan you took for buying the latest smartphone or your personal home loan, what are you getting in return?

Well, it’s a three-digit magic number that eventually helps you to get more credit in the future and enables the financial institutions in determining your creditworthiness and your ability to repay the loan. It’s called the “Cibil” score. Do you know that nearly 79% of loan applications are sanctioned only if the borrower has a CIBIL score of 750 or more, thus it becomes an important area of our discussion? In today’s article we’ll be talking about what exactly is a CIBIL score and why it is important for you to maintain a good credit score.

What is a CIBIL score ?

As discussed earlier a Cibil score is nothing but a three digit Number which ranges between 300- 900. It comprises of customer credit profile, credit utilisation, past unsecured /secured loans history and all such information that enables banks to inspect the credit worthiness of borrowers. Simply put in it’s a score which affects your future access to credit If you have a credit score more than 650 it is considered good on other hand a credit score in the range of 300-550 is considered as bad. Credit score that falls in this range means you will need to take serious measures to improve it. Having a bad credit score will not make you eligible to avail a loan or  even get a credit card.

History of CIBIL

CIBIL stands for “Credit information bureau of India” it was incorporated in 2000 under the guidance of Reserve Bank of India Siddique Committee. It is oldest credit information company India. Cibil collects and records the repayment of loans and credit cards by both individuals and companies. So next time you avail any credit facility from any bank, NBFC, credit card companies Cibil got you covered.

How is CIBIL score calculated?

Your credit score is influenced by your past credit repayments which comprises  35% of your credit score followed by your credit balance and  utilisation ratio which contributes 30% of whole score. Your new credit request and mix contributes nearly 10% Each and the rest 15% is length of your credit history. To make you understand things in better manner is  attaching below an image depicting the same ;

Difference between Credit score and credit report

Now I’m pretty much sure that you know what Cibil score is and how it is calculated. We have another term in the basket it’s called “Cibil report”. These two things go hand in hand where Cibil score is calculated by different credit companies using multiple parameters and is a numerical term whereas credit reports are documents that have detailed information about their credit history. Your Cibil score is calculated taking in CIR or credit information report. Credit report is generated by credit bureau and contains all your basic information like  PAN number, name, address, gender etc. and all your credit information like types of loans availed in the past, ongoing loans and their subsequent repayment timeline, loan/credit card defaults and loan settlement details.

Benefits of good Cibil score

Access to future credit

It is one of the first things that lenders look into when evaluating loan applications. Your ability to pay determines whether you’ll be eligible for credit or not. Generally credit score of 650 plus assures that you get personal or home loans without any difficulties.

Low interest rates

If you have a good Cibil score if let’s say 750 and more you can negotiate with the lender regarding less interest rate charged on loan since the score itself  ensures that you have a sound financial background and your possibility of defaulting on loan is less.

Chances of getting high Amount loan is substantially increased

Generally offering high amount of loans is risky for lenders so they make sure that they lend to the right people. High Cibil score enables you to get high ticket loans like home loans easily.

Your chances of getting long tenure loan increases

With a high CIBIL score you can get approval on longer tenures on your loans which in turn will makes your EMIs smaller. It can help you manage your monthly finances alongside your home and auto loans.

How to improve your cibil score?

Be punctual and make all your payments on time

In order to maintain good Credit score ensure that you do not have any outstanding bills and dues and if any ensure that you pay them instantly. Make use of  Auto debit facility provided by banks and institutions so that next time don’t miss any deadlines.

Use Credit wisely

There’s a beautiful quote “credit is a necessity for survival and balanced credit promotes growth” on the other hand excessive credit can prove to be disastrous for your financial health.

Balanced Mix of loans

Secured loans such as home and  loans, which are taken for creating additional assets, have a positive impact on your CIBIL score. On the other hand, un-secured loans such as car and personal loans may adversely impact your CIBIL score.

Evaluation and Monitoring of Credit report

Make sure you constantly check your credit reports on a monthly basis. Sometimes CIBIL may make mistakes when it comes to updating your records, incorporating incorrect information against your report, and delay in recording updates. Constant monitoring ensures that you rectify the errors without any delay.

Conclusion

If you want to get a high ticket loan that too at bearable interest charges maintaining a good credit score will definitely help you in getting that. Also, it ensures that in times of emergency you actually don’t have to struggle a lot since a good Cibil score means quick and easy approval of loans.

Personal Loans

How to get a Personal Loan?

‘‘A small loan makes a debt. A great one an Enemy’’ 

Whether to buy the latest gadget from the Apple store or planning a holiday tour to the Bahamas one needs to plan in advance and start saving few bucks before D-day and most of the time we usually face the problem of paucity of funds. Thereafter one starts researching various sources from which funds can be procured. In today’s article, we’ll be discussing one of the easiest and flexible ways of getting the credit that is “Personal loans” 

So before diving into the topic of how to get a personal loan one need to understand what exactly is a personal loan; 

In simpler terms, it can be described as one of the flexible sources of taking credit where usually no collateral and security is required. One gets quick access to funds and can manage his/her own financial plans in a better manner. Whether you want to buy the latest Xbox games or plan the interior decoration of your home you can take a personal loan and repay them with flexible repayment options. 

Worrying about vacations or wedding plans you can surely knock on the bank door for personal loans. Frankly speaking, you can opt for personal credit technically for everything like children’s school fees, buying expensive watches or shoes. They are one of the most common sources of procuring credit right now. 

How you can avail the benefit of Personal loan? 

So there are few steps that you need to fulfill before applying that include your age criteria, financial status, current employment, work experience, and a lot more. Below are mentioned a few points that you need to remember next time you approach any bank for a personal loan application. 

Age Criteria 

Generally, the minimum age to go apply for the loan is 21 years but this isn’t uniform across all banks many banks require you to have a minimum age of 23 years. 

Loan Amount 

The loan amount can vary anywhere between 1 lac to as high as 75 lacs offered by HDFC bank. But some banks restrict the maximum amount to 25 lacs. The benefit of this facility is you don’t have to worry about day to day expenses during bad times with fewer compliances you can opt for personal loans even below 1 lac Rupees. 

Monthly Income 

Lenders are willing to give you if you have a stable monthly income or you are working for a reputed organization since that ensures your credibility and financial background. Certain banks require you to have ₹15000 pm to be eligible for applying. 

CIBIL Score 

Every time you fulfill your loan obligation your creditworthiness is improved thus your CIBIL score. It ranges between 300-900 points. If you have a credit score more than 650 it is considered good on other hand a credit score in the range of 300-550 is considered as bad. Credit score that falls in this range means you will need to take serious measures to improve it. Having a bad credit score will not make you eligible to avail a loan or even get a credit card. 

Work Experience 

Normally for salaried individuals, the requirement is that they need to be Employed at the current company for at least 6/12 months, and for individuals who are Self-Employed should be associated with a Business that is having a tenure of at least 3 years (continuous) Or ITR of last 3 years. Now that you have fulfilled all the eligibility requirements for your personal loan the next step is the what documents one requires to apply for a loan, 

Documents required 

  • Identity proof (copy of passport/voter ID card/driving license/Aadhaar) 
  • Address proof (copy of passport/voter ID card/driving license/Aadhaar) 
  • Bank statement of previous 3 months (Passbook of previous 6 months) 
  • Two latest salary slip/current dated salary certificate

From where to take loan? 

After you have collected all the documents and you fulfill all the requirements the next step is to actually search for the bank that gives the best deal in the Market. I’ve attached the latest interest rate charges by top banks in India below 

But wait there’s a tedious process involved in taking loans from banks. Firstly you need to visit the nearest branch of your favorite bank, do all the manual paperwork, afterward the bank will check your creditworthiness and the story continues. You probably have to wait couple of days for sanction of your loan application and the processing fee charges which are as high as 6%. 

And here MoneyLoji comes into the picture, it aims to fulfill the gap between potential lenders and borrowers. Speed and accessibility in offering loans with strict credit underwriting models make it a very different platform from traditional bankers and an outdated process of availing loans. 

MoneyLoji is India’s first digital platform aggregator of all financial products for salaried, self-employed as well as MSME enterprises. It offers the Fastest solution to financial products in a secure environment within 8-10 minutes 

Imagine getting a loan application within Such a short span of time. So next time you think of availing personal loan think MoneyLoji because “when time is money we got you covered”. 

Personal Finance, Personal Loans

Precautions while taking Personal loans

 “Quick to borrow is always slow to pay”

Credits economic times

In Earlier times the process of taking loans from banks was quite tedious and people actually thought twice before applying for one, but nowadays with improvement in technology personal loans can even be taken from the comforts of your home via internet banking or through personal loan apps. With such ease and comfort comes great confusion and risk of falling into a debt trap. So one needs to be very careful while opting for personal loans and with due diligence do every research on repayment schedules, interest charges, and much more. In today’s article, we’ll be talking about the precautions one needs to take while taking a personal loan so let’s begin

Personal loans

A personal loan is like any other loan where the borrower opts for credit for any purpose like a child’s school fees, buying the latest gadgets, or for your wedding plans. If you want to know more about personal loans, eligibility, sources you can check our previous blog by clicking here

Anyways in comparison with any other form of a loan, it can be arranged quickly, interest charges are less, all the formalities can be done online and you’ll get funds credited to your bank account within two to three working days. But with such benefits young professionals and employees are lured in only to pay a large chunk of their monthly salary as EMIs later on.

Understand you financial background and current loan obligations

One should before making any personal loan application be very sure of the current EMI installments and whether he/she can afford to take a loan. Generally, people do undermine this and later on face cash crunch as more loans will lead to a large part of your income going for regular monthly installments.

Make sure you have good credit score

It is one of the first things that lenders look into when evaluating loan applications. Your ability to pay determines whether you’ll be eligible for credit or not. Generally, a credit score of 650 plus assures that you get personal or home loans without any difficulties. Want to know more about CIBIL Score, its importance, and how to maintain a good Cibil score do check our previous blog by clicking here.

Understanding whole processing and Interest cost associated while talking up loan

There are few costs involved while availing of personal loan facilities like one-time processing fees, late fee charges, penalty charges. Before applying for a loan make sure you check and compare all these costs among the top lenders and make a rational decision.

Don’t go for flashy and eye catching offers

Does that zero cost interest program looks lucrative beware there might be hidden cost involved in it!

Sometimes lenders offer a floating rate of interest that at one time might seem to be very affordable and lucrative but can substantially increase over a period of time and can put you in real trouble finding a lender who is aim is transparency and smooth experience. MoneyLoji is a  unique digital marketplace in which the products which are available for applying will be processed and approved or sanctioned or issuance happens within 24 hrs time. So you get the best deals and offers by top banks and NBFCs and that too at NO hidden cost.

Always opt for personal loans in emergency situations

The newly launched car that you saw last weekend in the car showroom or you want your hands on the latest sneakers as I mentioned you can take a personal loan for any of your needs but taking one should be your extreme option.  This is because, after credit card loans, personal loans are the most expensive loans that are available in the market. Struggling with credit card bills or your child’s education expenses you can surely apply for a personal loan but if you’re planning for buying any depreciable item like a car, laptop then my friend you are really playing with fire. I mean I’m not saying it’s a bad option but taking a loan for items that will lose the greater part of the value on the purchase itself is quite risky if you believe you’re not financially sound and repayment of the loan might be a burden on your existing income. Take loans for building assets, not liabilities.

Conclusion

It might seem very easy to opt for a personal loan that can rescue you from your financial obligations but make sure to use this one with the utmost care. Personal Loans are one of the best financial products available in the Markets but things can go wrong if you don’t plan in advance and take some of the necessary precautions mentioned above. But don’t worry we are here to enlighten you with all hacks and tips that enable you to manage your finances well so stay tuned.

Personal Finance, Personal Loans

Personal loan or credit card what is best for you?

Nowadays it is quite easy to opt for credit facilities , One can take any  type of loan depending upon the purpose behind it. Whether to buy new house or latest gadget from apple store it can be accessed with ease. The Real question is should you opt for taking loan from a bank or avail credit Card facility since both of them fulfils your needs  

In today’s article we’ll be talking about whether should we avail personal loan or take credit card facility when we need funds So let’s begin 

What Exactly is personal loan facility? 

 It can be described as one of The flexible sources of taking credit where Usually no collateral and security is required. One gets quick access to funds and can Manages his/her own financial plans in a better Manner. Whether you want to buy latest smartphone or repay your children school fees you can take personal loan and repay them With flexible repayment options.

Usually you can borrow huge funds with help of personal loans and the funds can be borrowed for long tenure.

What is Credit Card and  how’s it different from personal loan?

 It is a plastic card having a magnetic strip, issued by a bank or business authorizing the holder to buy goods or services on credit. Credit card is Issued by financial institutions like banks and It gives  customers a pre-set credit limit which he can use to pay for his purchases without having to pay in cash or issuing a cheque. Let’s say you swipe your credit card for monthly grocery purchases your account accrues a balance that must be paid off each month that is you need to pay that amount next month.

Whenever banks issue a credit card there is pre-defined limit on maximum amount one can avail through this facility. When you have a high limit for the credit card, it allows you to spend more and this will help your credit scores

What is the minimum eligibility for getting personal and credit card loans?

Age Criteria

Generally the minimum age to go apply for loan and credit card Is 21 years but this isn’t uniform across the all Banks many banks requires you to have Minimum age of 23 years.

Minimum income criteria 

You should have minimum monthly income so as to qualify for both personal and credit card loan. Mostly Banks requires you to have ₹15000 pm to be Eligible for applying for a personal loan on other hand the amount in case of credit card loan is ₹25000 in case of top lenders. 

Employment 

 Banks are willing to give you loans if you have stable Monthly income or you are working for a Reputed organisation since that ensures your Credibility and financial background. Both in case of credit card and personal loans Normally for salaries individuals the Requirements is that they need to be Employed At current company for at least 6/12 months And for individuals who are Self-Employed Should be associated with Business that is Having tenure of at least 3 years. 

Now the real question which is the best source to take credit from? 

To Make you understand things in simpler manner I’ve elaborated all the key aspects into different parameters 

  1. Time Consuming

Incase of personal loans since lot of documentation like nationality and income proof is involved it is a long and tedious process on other hand application process in credit card is quite fast as there is less documentation involved. 

  1. Interest Rates 

This is where the real difference is interest rate charges on personal loan ranges from 13%-22% and interest rate can be restructured and there is  a Reducing balance option not like credit cards where interest charges is between 12%-18 and it’s a flat rate of interest. 

  1. Loan Duration 

Loans on credit card can be borrowed for shorted period of time let’s say 1 month  on other hand for personal loans it has fixed duration of 12- 48 months. 

I’m attaching a table below summarising all the key differences between the two ;

When should you Apply for credit care?

  1. When you can easily repay the amounts in 30-45 days.
  2. When you have good credit card limit and you can easily do big ticket purchases.
  3. Let’s say you’re not eligible for personal loans and are in urgent need of funds.
  4. Want to buy gadgets online? Credit card are best way to go

When should you apply for personal loan?

  1.  The benefit here is you can repay the amount in long duration.
  2. When you’re planning to buy tangible assets like Car or any other expensive items.
  3. When you need funds which are beyond your credit limit but you meet all the necessary criteria to avail loan.

Conclusion 

Both personal and credit card loans are at par with each other. It really depends upon your credit profile and need of funds to determine which one is clear winner among both of them but wait! 

No matter what you need MoneyLoji has a solution for you be it any loan with a flexible repayment option and the lowest interest rate across the whole market so apply for a personal loan Now! 

Personal Loans

Why these 5 documents are necessary before applying for a loan?

The need for money is one of the basic wants of people. You need money to perform every single activity in the modern lifestyle. Literally, there are no free lunches nowadays. So it is better to take heed of the current financial status of the system and plan accordingly, to ensure a better living and a secured future. A need for a sudden lump sum amount may rise at any point in your life. It may be because of some medical exigency expense or for buying a property. Whatever the case may be, want for a loan is one of the most practiced monetary activities of the people. A whole industry has come into being because of these frequent loans applied by the people. Loans are available in variant sorts regarding their amount, kind of usage, and the repayment terms.

The loading process is not very easy or a smooth one. There are many hassles involved when you are applying for a loan or getting it sanctioned by the concerned authorities. Resorting to the big financial corporates or the banks is very common but the difficulties are also very big. So what is the way, if you want a small and swift loan for your perusal? The answer is simple. The small online payment banks and money lenders are the best counter for getting instant cash loans online. These are very compatible, competent, and trustworthy. For quick payments and quicker funding options do apply for instant loans online. So this will invariably solve your money crunch. The quick short term loans are fairly feasible and viable to your likings and will serve your purpose quite fruitfullyInstant cash loans no credit checks no paperwork in India is the new concept of personal and quick-witted financial understandings.

The credit sector is a very risky domain. If you do not provide with sufficient and reliable credentials along with your loan application your loan will not get processed, let alone be sanctioned. This is why there is a lot of troubles in approving a loan, whether personal or professional. The increasing amount of non-performing assets (NPAs) in the banking sectors and the number of big corporate defaulters have made the lenders very vigilant, caution, meticulous and unforgiving. The grip is so strong that even a meager amount of fifty thousand or so does not speed past the immaculate screen tests. This is where the instant online loaning portals take the center stage and relieve the general populace of the bothers of the long winding loaning process. But it is essential to have proper know-how about the credential documents necessary while applying for a loan because it is crucial for both instant and comprehensive borrowing procedures. These are

1. The photo identification card is the first and foremost document needed for the process as it supports your very existence. The voter ID card, Aadhar card, driver’s license, passport, and similar documents are necessary for KYC perusals of the lender.

2. Tax returns documents are very essential for the lender to know the whereabouts of your financial status. A high return gives them assurance about your monetary consistency.

3. Pay stubs are proof of your current financial earnings. This gives the lenders a clear picture of your repayment capabilities. Without consistent and substantial earning no one will lend you a loan.

4. Bank Statements will allow the lender to gauge your accounts credibility and will give them a smooth channel to sanction the money and recover the repayments.

5. The credit score is a very important tool for getting a loan approved. A high credit score will give them a guarantee about your repaying character.

Credit Score, Personal Finance, Personal Loans

How can an instant loan save you from those crucial times before your salary day!

Cash is the voice of every financial conversation. You could never even have a free cup of tea in an open market. Every need can only be fulfilled with the transaction of money. But what to do when you do not have enough cash with you to buy something or pay someone immediately? There is also a time that you seriously want some hard cash to overcome a critical crisis situation and your regular payday is weeks away, what to do then?

Well, quite frankly this is something most of the people face every day and they get by every time. This is thanks to the instant money loan they get through the various money lending firms. The starting up new age money lending portals are offering instant payday loans online so that you can have the necessary fund you require well in advance in credit and the repayment will be made directly when your salary day arrives. Nowadays, instant loan in India is quite a common and viable practice among the general populace and a new face of finance has emerged as a result.

Now, the question that really begs to be answered is — does an instant small loan online really benefits you? Yes, plain & simple. The loan really helps you get over emergency financial necessities like paying off medical bills, unexpected bill payments, buy expensive medicines, instant repairing and many more. The advantages that instant credit online brings with it, which rescues you during crucial times are discussed in the following list

  1. If you are above the legal age of 18, have a valid national photo ID and have a verifiable income source then getting an instant loan online is as simple as a finger snap.
  2. If you have a bad credit history to your name then rest assured no banks or big money lending corporates will give you instant money. It will take longer periods of hassle and may even have to do something with keeping collateral. But in case of the instant payday loan, your bad credit is not that much of a barrier. Just provide a certificate on consistent income & the salary account details and the cash will be disbursed.
  3. Payday loans are best for an immediate cash crunch. You are short on cash and require a small amount of excess cash, the online credit money portals are the best option because they dole out even smaller amounts like 5000 INR. This benefit, you will never get from a bank.
  4. Smaller credit amounts mean faster debt paying off process. So you are free from any long drawn installment paying commitments that will keep you anxious all the time.
  5. This immediate small cash sanctioning and even faster repayment schemes enable you to borrow money from multiple lenders. This will keep your repayment commitments to every lender at the minimum and you could scoop up larger credit amounts from the market.
  6. The instant approval payday loans are truly a sigh of relief for many. Big firms require a lot of credentials of yours and need to verify them thoroughly before releasing the firm. But online loan portals just requires a standard set of documentation for sanctioning the loan.
  7. All the processes taking place on these online lending platforms abide by legal financial norms & regulations.
  8. No portion of the loaning process involves manual access and every documents you provide are restricted to unnecessary usage. Hence the system is completely secured against any mal-intentions.
  9. Finally, the transparent interest rates and the instant money transitions reflect good impression on your credit rating. Many times these online loans do not even affect the credit score.

Personal Finance, Personal Loans

Instant Loans — A Boon!

Personal finances are very tricky and painstakingly scattered. You most of the time do not know what actually you possess. The crisis does not end even after you manage your funds in a proper file. This is because life is very unpredictable and an emergency situation may rise out of the blue when you are short of requisite monetary resources. In such situations, instant loans which are available on the market is definitely a boon for any and every person facing immediate fund shortage.

These instant loans act as lifesaving fundraisers for the people whose paychecks barely cover their monthly expenses let alone give them an opportunity to do savings for troubled times or for taking up some extracurricular initiatives. Instant emergency loaninstant small loan online and instant money loan online are the latest sign of reprieve for the common people. These are much more effective and lucid than conventional loans. The instant financing organizations do not make a thorough investigation of your credit background or demand huge security collaterals. This is mainly because the amount of sanctioned is not very big and the repayment time and interest rates are very lenient. So now for a quick inflow of cash apply for instant cash loans and fulfill your needs like paying the emergency operation bill, renovating your home or paying the down payment of your new car.

So what are the benefits of instant loans?

There are several advantages of instant loans. Here are some of the notable mentions

  1. Quicker application process — For applying for an instant loan you will just have to fill up your personal details, give the necessary information about your salary account and submit the KYC documentation. The online system of the lending platform will do the rest with swiftness.
  2. Faster approval process — Unlike big financial institutions and banks, the instant loaning platforms do not take up too much time on sanctioning of the amount requested. They just verify the credentials and release the funds. No unnecessary stories of credit score check and background researching.
  3. Simpler repayment process — After getting a loan approved the most destructive thought strikes the mind, “how to repay the loan?” In case of a payday person the idea is very intimidating. But for instant loan the situation is nothing like that. You will be given ample time and scope to repay the loan and as the amount is not very huge you will feel no pressure to clear the debt away.
  4. Relaxing loan regulations — In general, the binding contract between a borrower and lender is very comprehensive and has many articles and sections that suffocates almost anyone. But in case of instant loans the contract is concise and lucid. Just read it and sign it. After signing the contract, your account will be immediately credited with the requested amount. No legal harassment and administrative hassles are there in this instant loan scheme. The boon of instant loan is provided by various lending institutions through the instant money loan online portals. So, what are the main types of instant emergency loans that are available on these instant small loan online portals? The followings are the known instant loans accessible in the financial market.
  5. Payday loan — This is the most popular kind of instant loans available. Popularity of this loan is because of the fact that the amount is very small, even for the instant loan category, and does not concern any credit check. For temporary fund boost this payday loan is the most effective option. Just borrow the money and reimburse the amount on receiving the next paycheck.
  6. Advance cash — This instant loan is more lump sum than the payday loan and the repayment time is more lenient, you do not have to pay it by the next paycheck day. Take time to reimburse with interest. For vacationing or throwing a party, just apply for an advance cash and enjoy.
  7. Online instalment payment loan — The amount is very big. For medical exigencies and home remodelling projects, you can apply for this instant loan. Since the instrumentals are very huge you are given the opportunity to pay them online with extended time span.
  8. Personal loan — For emergency purposes, this loan is granted over the instant money loan online portals. Just apply with credentials to get the amount sanctioned within minutes and repay on lenient terms.
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