Faridabad is the most populated city in Haryana, known for its commercial centres, enhanced migration and rising business potential. It is a central industrial hub famous for henna production from the agricultural sector. A large-scale manufacturer of industrial products such as tractors, motorcycles, switch gears, refrigerators, shoes, tyres and garments, Faridabad is regarded as the eighth fastest-growing city in the world.
In this industrial city, expenses will be higher, and you might need urgent finance to meet your expenditure needs. A personal loan in Faridabad will help you to meet your expenses with ease and maximum convenience. This article will help you understand everything about personal loans so that you can make a better decision when choosing among the different options available to you.
A personal loan is one of the most popular financing tool that has taken the market by storm in the last few years. The significance of personal loans increases while using them for emergencies like medical, education, wedding or home renovation. With Buddy Loan, you can apply for an instant personal loan in Faridabad to get better benefits on interest rates.
Are You Eligible For A Personal Loan In Faridabad?
A personal loan’s eligibility will differ depending on various banks and lending companies. Still, some specific criteria are universally followed by borrowers.
- The applicant should have Indian citizenship.
- The applicant’s age should be above 21 when applying for the loan.
- The monthly income of the borrower should be Rs.18,000.
- If salaried, the applicant should have completed a minimum of two years in their current organisation.
- For self-employed, they should have continued in their business for a minimum of two years.
- The individual should have a credit score above 700.
Required Documents for Personal Loan in Faridabad
For A Salaried Individual -:
|Identity Proof (Anyone)||Passport, PAN, Voters ID, Aadhar, Driving Licence.|
|Address Proof (Anyone)||Passport, Aadhar, Ration Card, Utility bills, Driving Licence.|
|Income Proof||Salary slip for the last three months.
Bank statements for the previous six months.
|Ownership of Residence Proof (Anyone)||Property documents, Electricity Bills, Water BIlls, Maintenance Bills.|
|Investment Proof (If any)||Fixed assets, shares, fixed deposits, etc.|
|Job continuity Proof (Anyone)||Employment certificate from the current company.
Experience proof (Relieving or appointment letter from previous company).
Appointment letter of current company.
|Photograph||One passport-size colour photograph|
For Self-employed individuals –
|Identity Proof||PAN, Aadhar, Driving Licence, Passport, Voters ID. (Anyone of them)|
|Address Proof||Passport, Aadhar, Ration Card, Utility bills, Driving Licence. (Anyone of them)|
|Income Proof||Income Tax Returns of the last two years’ .
Balance sheets and Profit & Loss statements for the previous two years.
|Ownership of Residence proof||Property documents, Electricity Bills, Maintenance Bills, Water BIlls. (Anyone of them)|
|Proof for Office Address||Electricity Bills, Property documents, Maintenance Bills. (Anyone of them)|
|Proof for Office ownership||Property documents, Maintenance Bills, Electricity Bills. (Anyone of them)|
|Proof for Business Existence (Anyone)||Tax registration copy, Company registration licence, Shop establishment Proof. (Anyone of them)|
|Bank statements||Statements of savings and current bank account for the last year.|
|Investment Proof (If any)||Fixed deposits, Fixed assets and shares.|
|Photograph||One passport-size colour photo.|
For NRI Applicants -:
|Identity Proof||Copy of your Passport and Visa.|
|Employment Proof||Appointment letter, Job contract, official Email Id or HR’s Email Id, and Labour card (If any).|
|Income Proof||Last six months’ bank statements.
Salary slips or Salary certificates.
|Photograph||Recent passport size photo.|
Personal Loan in Faridabad: Advantages
With a good credit score, you will get more benefits for your loan approval.
- Variety of uses -: You can use the loan for any expense. Let it be a vacation, paying off debts, education fees, holidays, weddings, etc.; you can cover your need with a personal loan.
- Create an emergency fund -: Whenever you face an emergency, with a quick personal loan, you can arrange urgent funds to meet your necessities.
- Consolidated debt -: It is one of the most intelligent decisions to use a personal loan to pay off your existing loans and bills. Clear your credit card bills and other loans with a personal loan to save you from paying more interest.
- Low-interest rates -: Personal loan interest rates are lower when compared with credit card loans. You will get low-interest rates with a good credit score and an excellent repayment capacity.
- Ease of repayment -: You are open to choosing the repayment tenure from 6 months to 5 years, according to how much you can pay back monthly as an EMI.
- Improve credit score -: Personal loans are the best option for improving your credit score. By paying off the dues and EMIs, you can achieve to be a person with responsible credit behaviour. Using mixed credits allows you to exhibit your credibility and good repayment history. Lenders look upon these criterias to approve your loan application.
Knowing your credit score is significant when applying for loans and credit cards. You can use Buddy Score to discover your credit score.
Tips to Get a Quick Personal Loan in Faridabad
Personal loans will help to heal your financial struggles. You can use these tips to speed up your loan application process.
You can apply for a loan online through a mobile application or the official website of the authorised lender or bank, as it is the fastest and most secure way. First, you must provide all the loan application information and upload all the required documents. Lenders accept your application once the verification process completes. While applying online, the best part is you get updated through emails or messages about your loan. After the KYC verification, you will obtain the loan approval, and the bank will transfer the amount to your account within 24 – 48 hours. It’s better to check with your bank before applying for a loan so that you can utilise any current offers banks provide, like pre-approved and pre-qualified loans. You can apply for an instant personal loan online via Buddy Loan, which offers interest rates from 11.99%.
Maintaining a Good Credit Score
A credit score is a three-digit number that helps lenders to check your creditworthiness. It lets the bank or lenders measure your credit behaviour and repayment capacity. Usually, a credit score above 700 is a good one; if it is above 750, it will get speedy loan approval. You are regarded as low-risk when you have a good credit score. Chances for defaults in your payments will be considerably low. You get better interest rates and lower processing fees with a credit score. So, it is essential to get a good credit score. You can practice paying dues and EMIs on time. You either set up a reminder or enable an auto-pay option in your registered bank account for your payments. But to avoid any bounces, remember to maintain a sufficient balance in your bank account.
Know your credit score before applying
Checking your credit score will ensure you don’t have any defaults. Sometimes, you might have missed any dues or EMIs. Any errors in your credit report will directly impact your score, resulting in the rejection of the loan. So checking your credit score frequently will save you in many ways.
Maintain a good bank balance
Maintaining your account with a considerable balance will display your repayment capacity to the lenders. A higher balance in your savings account will benefit you in quickly getting a pre-approved and pre-qualified loan and an instant disbursal of the loan. However, before applying for a loan, be cautious and read the documents thoroughly. Do re-check the terms and conditions and various charges you have to pay. Most importantly, you have to check whether the lender is reliable or not to help yourself from any fraud.
Apply only with one lender
During emergencies, you may tend to apply for a loan with multiple banks and NBFCs as if anyone among them will give you approval. But this technique will not work as every loan application will be followed with a hard inquiry, where lenders will check your creditworthiness. So, multiple hard inquiries over each application will negatively affect your credit score. As you know, a lower credit score is quite risky for your loan approval.
Keep all the documents ready.
Check whether you have all the required documents for your loan application according to a specific bank or NBFC. Though you only need fewer documents, it’s better to be sure again to avoid delays. You can save your application processing time if you keep every document ready before applying.
Provide accurate information
You should provide correct information to the lender when you apply for a loan, which will help you get a speedy loan to cover your expenses. For example, if you have more income sources, you must give proof regarding that also. Likewise, you must submit a rental agreement and your permanent address proof if you live in a rented house.
Apply for what you can manage to pay
Only after considering your debt-to-income ratio you should apply for a loan. The debt-to-income ratio gives a detailed picture of your monthly EMIs and income. Opting for a higher loan than your repayment capacity will result in a financial struggle. If there is instability in your debt-to-income ratio, you will get a rejection for your loan applications. It’s better to keep up a debt-to-income ratio of less than 30%, meaning; you should not use most of your monthly salary to pay EMIs.
With this article, you can learn all about getting a personal loan in Faridabad to manage your financial crunches. These instant loans will be a helping hand in your hardships. At last, you will be able to free yourself from troubles and have a better future with proper and intelligent management of your finance.