Personal loans are one of its kind credit facilities when it comes to catering to any financial crunch. If you want a Personal Loan Apply Online easily and they are instantly available. These unsecured loans don’t require any collateral and enable quick disbursement. You can use them for multiple purposes. Today, there is a huge increase in the number of people applying for personal loans as they are readily available with easy eligibility criteria and minimal documentation.
A personal loan can be availed of for a variety of reasons. Below are the top 10 reasons why people get a personal loan:
- Wedding: Weddings in India are a week-long affair and that is why many people apply for a personal loan in India for wedding ceremonies. The loan amount can be used for buying dresses and jewellery, booking a wedding venue, arranging accommodation for the guests, buying gifts, catering, and so on. Since many people dream of having a big fat Indian wedding, they do not hold themselves back when it comes to enjoying this once in a lifetime experience. They have an extensive budget for this event and save money for it. If they fall short on money, they apply for a wedding loan, which can be up to Rs. 25 lakhs.
- Business: Starting a new business is a big event in everyone’s life. However, it requires a regular flow of funding to keep the business running. A new business also requires money for one reason or another, including meeting the cash flow requirement, purchasing raw material, salary payment, and so on. New entrepreneurs may not be able to provide for these unpredicted expenses from their own pocket always. Many banks are reluctant in offering business loans to new businesses. For situations like these, many business owners usually opt for a personal loan.
- Medical Emergency: Funding a medical emergency is another useful purpose for availing of a personal loan. Medical emergencies can come unannounced and not everyone is prepared enough for them. Medical insurances do not cover all medical illnesses and expenses. They provide medical coverage to a certain extent and have a funding limit too. If your medical expenses exceed the sum assured, a personal loan comes handy.
- Credit Card Bill Payment: Do you have multiple active credit cards? If yes, paying them off every month can be an exhausting task. Instead of paying several credit card bills separately, you can take a consolidated personal loan and clear all your card dues by paying a single EMI each month.
- Vehicle Purchase: While you can purchase a car with a car loan, you need to make a down payment from your own pocket. Getting a car loan and making a down payment can shake your savings. You can take a personal loan instead for the car, which will enable you to make the complete payment during the purchase without affecting your savings. You can also use a personal loan for a two-wheeler purchase. They are quick during traffic and save a lot of time.
- Vacation: Are you planning to go on a relaxing vacation, but the lack of sufficient funds stopping you from realising your travel dream? Don’t worry as there is a personal loan for travel as well. Apply for a travel loan, select suitable repayment tenure and repay accordingly after enjoying your dream vacation.
- Home Renovation: If you have an old house to repair or want to extend your existing house because now you have a big family? A personal loan can be used for all home renovation needs, including repairing, enhancing the look of the house, upgrading your kitchen, doing interiors, and so on. Personal loans for the home renovation can be procured easily and also give you tax benefits.
- Long Distance Relocation: If your work requires frequent relocations, you would know that relocation even within the city is an expensive affair and if you move from one city to another, you require a lot of money. A personal loan can be used to cover all these relocation expenses.
- Debt Consolidation: Having multiple debts to pay for each month can be a daunting task. It can be difficult to keep a tab on multiple interest rates, tenures, and payment dates. That is why many people opt for a personal loan for debt consolidation, which can be extremely helpful. Debt consolidation helps you combine different payments into one single EMI with a fixed interest rate, fixed tenure and single payment date. It helps you to be organised manage your finances easily.
- Education: Being a multipurpose loan, a personal loan can also be availed of to finance your child’s higher education. A personal loan can be used to cover various educational expenses, including tuition fees, hostel fees, books purchase, and so on.