Sumit Gade

You should also ensure that your income is enough to repay the loan, before opting for a personal loan.

You can easily compare the rates offered by different financial institutions, before opting for a personal loan.

Based on the prices and expenses associated with your needs, you can decide the amount that you need to borrow. If your monetary needs are unpredictable, consider opting for a flexi personal loan.

Wishing you and your family, Happy Gudi Padwa.

One of the most important things to know before opting for a personal loan is that you can get a personal loan if you maintain a good credit score.

Under this section, an individual can claim a deduction of up to Rs 1, 50,000. The principal amount of the personal loan, which you have taken for home improvement, is eligible for deduction under Section 80C of the Income Tax Act.

When you avail a personal loan at a flat interest rate, the interest is calculated on the entire loan amount throughout the loan repayment period. When you make a monthly repayment, the interest for the remainder of the loan tenure will be calculated on the outstanding loan balance.

The tenure of the loan goes up to 7 years therefore you have the flexibility to choose a tenure that suits you best. Longer tenure means lower EMI and vice versa.

Since no collateral is hypothecated, there is no scope of property seizure.

As personal loans come with easy eligibility criteria and good credit score, it is also easy to get a personal loan.

Personal loans can be used to cope up with all your financial needs. It can be used for many purposes and acts as a financial backup during an urgent requirement for funds.

A personal loan is a type of unsecured loan and helps you meet your current financial needs. You don't usually need to pledge any security or collateral while availing a personal loan and your lender provides you with the flexibility to use the funds as per your need.