Applying for a personal loan is quick and easy; it comes in handy, especially when you’re in urgent need of money. Everyone knows that getting a loan would mean cutting down on your expenses and figuring out a new budget. That’s why it’s really important to think twice and then make a choice among the various options available.
Here Are the 4 Questions You Should Ask Yourself Before Applying For A Personal Loan:
It’s quite normal to be apprehensive and anxious with the idea of applying for a personal loan. Here’s a list of 4 very important questions that one must ask before applying for a personal loan.
1. How much money do I need?
Whenever applying for a personal loan, first acknowledge how much money you need. One thing you must consider is that it’s you who will have to pay back the loan amount, not to forget the interest rate you have to pay additionally. The more you’d ask for, the more you’d have to pay back along with other charges. You should understand that your future, especially your financial condition is uncertain, it’s advisable to either apply for the exact amount or lesser.
2. Am I eligible for a personal loan?
Your loan eligibility depends on your credit score and financial profile. If you have maintained a good credit score, your loan will get approved quickly. If your credit score is low, you might want to hold on for a while and get it right before applying for a personal loan.
Generally, Credit Score or CIBIL above 600 makes you eligible to avail a good loan amount. The only way to do this is by ensuring that you’re meeting your financial obligations on time. Your overall payment history and credit utilization (credit card and other bills) should be paid on time. Also, to be clear, check out the eligibility criteria and terms and conditions beforehand.
StashFin, the digital financial organization, gives personal loans to both salaried and self-employed individuals and also helps them build creditworthiness.
3. Can I afford my monthly repayment (EMIs)?
It is really important to determine whether you can afford to pay back your monthly EMI payments after taking out the loan. Take stock of your financial situation and basic expenditure per month while applying for a loan. Also, check your EMIs in the EMI calculators to get an idea of monthly repayment based on the loan amount, interest rate, and other charges if there are any. Money lending companies such as StashFin do not have any hidden and prepayment charges.
4. How long will I have to pay?
Your loan repayment will be a fixed amount called monthly instalments for a fixed period of time. Both your interest rate and monthly EMI will be impacted by the tenure of your loan. Hence, always check which loan tenure is convenient to you before availing a personal loan. With StashFin, you will have the choice to choose loan tenures to pay back the loan amount (between 3 to 36 months).
An online personal loan is what you need at times of financial emergency. By considering these questions, you will have enough knowledge of why, how much and and from where you need to borrow. To apply for a personal loan online, visit StashFin, your friend in need!