Personal loan eligibility

Personal loans can either be unsecured or they can be secured debt.  When you take out a secured personal loan, then you are required to offer the creditor a collateral.

However unsecured personal loans don’t require any kind of collateral, although the creditor has the option to sue you and take money from your paycheck or the bank account if you aren’t making any payments.

Both the unsecured and secured personal loans are the installment loans, which means that you receive the entire amount up front and then make monthly payments. Generally, if you’re approved for the personal loan, then you’ll be able to choose between the different repayment periods which are available such as 24, 36, or 60 months. The interest rate may, however, range from as low as 5 percent to over 30 percent, and there’s often a minimum and maximum amount which you can borrow.

You can also choose between a fixed and a variable-rate loan. A loan with a fixed interest will, however, have the same interest rate throughout the life of the loan — which means that your monthly payment would never change. Variable-rate loans often start with a lower interest rate compared with fixed-rate loans, however, variable interest rates can also be increased in the future, which can thus lead to higher monthly payments and also a greater cost to you over the lifetime of the loan.

If you can repay the loan quickly, then a variable rate may, however, save money, but if you want a definitive budget for the future, then a fixed-rate is the way to go.

Legal Raasta provides for personal loans at easy rates and it is advantageous to take a loan from us since for it, no security is required and there is no tracking of its use.

This article tells us as to what is the eligibility for the personal loan. This eligibility has however been stated in two parts that are for the salaried individuals and the self-employed individuals.

For the salaried individuals, their age must be between 23 – 58 years and they must have their net salary / net profit of Rs.3 00 00 000 per annum while their total time in business/job must be between 1 year. Also, their minimum requirement per annum is Rs.4,80,000.  The documents which they are required to furnish while applying for a loan from us are:

  1. Address proof
  2. Age proof
  3. Pan card
  4. Last 2 years ITR
  5. Form 16
  6. Last 6 months bank statement

However, for the self-employed individuals, their age must be between 28 – 65 years and they must have their net salary / net profit of Rs.2 00 00 000 per annum while their total time in business/job must be between 2 years. Also, their minimum requirement per annum is Rs.6,00,000 The documents which they are required to furnish while applying for a personal loan from us are:

  1. Address proof
  2. Age proof
  3. Pan card
  4. Last 2 years ITR
  5. Last 2 years profit and loss statement
  6. Last 6 months bank statement
  7. Balance sheet of last 2 years
  8. Proof of business existence

However, for more information, you can contact our experts at FinBucket.

By | 2017-11-04T08:44:05+00:00 November 4th, 2017|Personal Loan|0 Comments

About the Author:

Pulkit Jain is the founder of LegalRaasta – India's top portal for registration, trademark, return filing and loans. Pulkit is a veteran CA with over 10+ of experience.

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