An instant personal loan is one of the best financing options that you can avail to meet all your financial requirements. Today, availing an instant loan has become easier than ever with the advent of instant loan apps. However, before using a loan app you must know how to select the best loan app to be your financial partner.
Your choice of the lender can have a deep impact on your finances. From the interest rate levied on your loan to the charges and fees, it all varies from lender to lender. In addition to this, the right lender will offer you a great lending experience along with assisting you with great financial tips.
They would send you regular updates on loan offers, send you a statement regarding your loan account, provide complete transparency, resolve your queries and help you maintain a good credit score. They will send you reminders to make your EMI payments on time and reach out to you in case you miss your EMI payment. This helps in maintaining a good credit history.
Read on to discover some of the pro tips to choose the best personal loan app.
How to Evaluate a Personal Loan App?
Before you download a personal loan app you need to evaluate the following points –
- Verify Eligibility First
Before starting your instant personal loan application, you should first check your loan eligibility. Meeting the eligibility condition is crucial for loan approval. In case, you fail to meet the eligibility rules cited by the lender, your loan application may get rejected.
Once you are sure that you have met the personal loan eligibility conditions, check for the credibility of the lender. You can check the ratings and reviews online, connect with their customer support and check the user-friendliness of the app.
- Check the documentation
When applying for an online loan, you need to provide the requested documentation to support your application. Most lenders ask for your driver’s licence, Aadhar card, Pan Card and salary slips. Some lenders may also request your appointment letter, bank statement, and account statement.
- The Size and Term of the Loan
Different apps offer you different loan sizes depending on your eligibility. The loan amount can range from Rs. 10000 to Rs. 2.5 lakhs. The loan tenure also differs from lender to lender. Compare different loan offers before downloading the app.
- Affordable Rate
The interest rates offered by personal loan apps are much lower as compared to traditional loans. This is because of the low operational costs associated with personal loan apps. You must check this before proceeding with the application.
- Quick Financing
Most personal loan apps offer quick financing with the loan amount getting disbursed as fast as 24 to 48 hours. Check this feature while choosing the app. The lender must offer quick approval and fast processing.
- A 24/7 Support
Always check for the customer support facilities offered by the loan app. You would want a lender who is prompt and efficient. Read the reviews and try the app before submitting the application.
How to Choose the Best Personal Loan App?
Read the steps given below to choose the best personal loan app for you.
- Ratings and reviews of the App: Do your research to see whether the lender has been approved by the RBI or is associated with a lender that the RBI has approved, such as a bank or NBFC. Also, look at the app’s rating and user reviews.
- Rate of Interest and Processing Fees: Check the interest rates as well as the various fees and charges associated with the loan. Read the rules and regulations thoroughly. Install the app of a lender who is open about all of these fees.
- Features for Safety and Encryption: When using a personal loan app, security is a key consideration. Be sure to examine the security features of the one you choose. By reviewing the privacy policies on the App Store and Play Store, you may comprehend this. Additionally, the “Data Safety” and “App Privacy” sections are included on both Google and Apple. Read these to learn about the security procedures employed and how the app saves and shares data.
- Process and Timetable for Approval: Finally, find out how long it takes for a personal loan app to accept your request and deposit the money into your account. See how simple it is to upload documentation, apply for a loan, and manage your loan. All of this makes it easier for you to manage the loan.
Two prime benefits of having an instant personal loan app on your smartphone are its simplicity of use and quick access to money. However, before downloading a loan app, you must do your research and select the right lender who fits your requirements.
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