2020 has been a tough year for all of us. The year started with the global COVID-19 pandemic, and even before most of us could realize what was going on, the pandemic made its way to the remotest parts of the world, leaving several scars along the road it took. Starting from a disruptive effect on the economy, causing a global recession to kick in, all the way to millions of people losing their jobs, 2020 can be truly called a year of trauma and loss for humanity.
In such times one of the most important aspects all of us needs to focus on, is to make sure that we have enough reserves with us, not only to meet unforeseen situations but also to make sure that we can deal with sudden medical emergencies. However, due to the slew of job losses that have been sweeping through the nation, this fact is sadly not a reality for most of us.
Thus, at this time if a medical emergency presents itself, how will we face it, especially given the fact that we do not have any funds to meet our expenses?
Luckily for us, there is a solution and that too an easily accessible one.
If you are facing a medical emergency now, or you want to be prepared if situations tend to turn for the worse, this article is for you. In today’s article, we will discuss with you how exactly you can get an instant personal loan in India for a medical emergency. So, without further ado, let’s get started.
What Is a Personal Loan?
One of the first and most important aspects we need to understand is the meaning of a personal loan. In simple terms, a personal loan can be understood as a financial instrument through which you can borrow a certain amount, usually between ₹10,000 to ₹500,000 at an attractive rate of interest along with a flexible repayment plan.
While the concept of a personal loan is not exactly new in India, in recent times the awareness among consumers regarding personal loans has been steadily increasing thanks to the many lenders who now specialize in this domain.
Now, if you are hearing about personal loans for the first time, you may be wondering about the differences between a personal loan and other loans (especially a medical loan in this context).
Mentioned below are some of the most significant differences:
Low Rates of Interest: One of the biggest and most important differences between a traditional medical loan and a personal loan is the rate of interest at which they are offered. Generally, in India, medical loans from most lenders come at an interest rate of 10 to 15% depending on the tenure you choose. On the other hand, personal loans in India arrive at some of the lowest rates of interest in the market (starting at 1.13% at per month Money View).
Easy Repayment Plans: When you compare a personal loan with a traditional medical loan, one of the most important differences which will immediately catch your eye is the repayment plans that are available. Traditional medical loans in India come with stringent repayment policies generally in the range of 12 to 24 months, while on the other hand personal loans come with flexible repayment plans which start as low as 3 months and go all the way to 60 months.
Quick & Instant Disbursal: When you are dealing with a medical emergency, every minute is crucial and can be the actual determinant between a life and death scenario, and this is where the next difference between a traditional and personal loan lies. Personal loans offered by most lenders in India come with instant, on the spot or online approval and disbursal of funds to your bank account in the next 24 to 48 hours. This means that you will get the money you require in your account in the shortest amount of time, possible. On the other hand, traditional medical loans in India come with a long and tiresome application process, thus making it harder for you to get the money in your account delayed by a significant margin.
Online Application & Ease of Access: Although the overall lending industry in India is transitioning to a completely online and digital process, the ultimate goal of being completely digital will take time to realize especially for traditional loans. On the other hand, personal loans in India have a completely online application process, thus making it way easier for the borrower to quickly fill in the details, upload the required documents, bypass a long wait to approval and ultimately get the money they need in their account in the shortest time possible.
But, How Can You Get an Instant Personal Loan to Meet a Medical Emergency?
Now that you know of the main advantages of a personal loan over a traditional medical loan, you surely must be wondering about how you can avail this service?
Mentioned below are the steps you need to follow to get a personal loan instantly.
- Do your research and choose a lender who offers personal loans both to self-employed and salaried professionals at a low rate of interest.
- Visit the lender’s official website or download their application on your smartphone (either from the App Store or the Play Store).
- Start the account creation process, by sharing your full name, email address and registered phone number with the lender.
- Enter the OTP shared by the lender, and proceed to enter your eKYC details (which include your PAN card number, Aadhar number, etc.).
- Share your income details with the lender that is your monthly in-hand salary and your employment type that is either self-employed or salaried professional.
- Complete the application and wait for your approval to arrive.
Loan Eligibility Criteria
Before you proceed with applying for a personal loan in order to meet your medical emergency, it is important that you are aware of the eligibility criterias. Additionally, it is important to note that although most lenders have a standard eligibility criteria in place, they can change from time to time.
- You should be an Indian citizen between the age of 23 to 55 years.
- You should be a salaried employee with a minimum monthly income of ₹13,500 and self-employed with a net monthly income of ₹20,000 or above.
- You should have a good credit score generally between 750 to 800, on a scale of 900 either via Experian or CIBIL.
- You should have all the required documentation ready (that is Aadhar Card, PAN Card, full name, phone number, email address, salary slip, bank statement, income certificate and or latest ITR returns).
- You should have a good repayment history.
Getting a personal loan in India of 2020 has become much easier than ever before, and this is a boon at such testing times, especially because of the fact that it enables you to face any medical emergency with ease.
Thus if you are planning to get a personal loan for a medical emergency, make sure you follow all the above steps, and you will have the amount you need in your bank account in no time.