One of the most efficient ways of fulfilling a short-term financial need is availing an instant personal loan. Choosing an instant online loan can help individuals track their online loan applications and conveniently repay their personal loan EMIs (Equated Monthly Instalments). IndusInd Bank, for instance, offers instant personal loans to customers by following a quick approval and instant verification process. Borrowers can follow this step-by-step guide to get an instant personal loan approval and repay their personal loan dues on time.
Stepwise procedure to get an instant personal loan
Borrowers can follow five simple steps to avail quick personal loans to meet their urgent financial needs. Here’s the general procedure to apply for an instant personal:
- Provide proof of income to the bank to prove repayment capacity
Personal loans are unsecured loans that do not require the borrower to pledge collateral while signing up for the loan. However, the bank’s decision to approve the loan and to decide the loan amount and terms is dependent on the borrower’s monthly income. If the borrower’s monthly income has increased over the past few months, they must provide income proof to the lender of their increased repayment capacity.
- Build a strong credit score
Oftentimes, borrowers’ personal loan applications get rejected because of them having a poor credit score. A credit score is a number that ranges between 300 and 900 that reflects a borrower’s creditworthiness. Borrowers who have a low credit score can take the following steps to improve their credit score over time:
- They must repay their credit card and loan dues on time.
- Clearing their dues at the earliest possible can improve their credit score.
- Borrowers with a low credit score must avoid taking multiple loans at the same time.
- Borrowers should maintain a credit utilisation ratio of 30% or lower. To improve their credit score, borrowers can also approach the bank to increase their credit limit.
- Borrowers can opt for a longer repayment tenure for their credit card and current loans to improve their credit score.
- Choose the right lender for an instant personal loan
The next step that borrowers must follow is selecting the right lender for getting fast loan approval. Lenders such as IndusInd Bank offer easy documentation and flexible personal loan tenures, allowing their customers to sign up for an instant personal loan through their mobile banking app and netbanking portal. Borrowers must also prioritise other features such as doorstep service and low personal loan interest rates.
- Decide on a suitable loan amount by using an online personal loan calculator
IndusInd Bank’s personal loan EMI calculator can help borrowers calculate their personal loan EMI conveniently online. Customers must fill in three details while using this calculator – their personal loan amount, its rate of interest, and the tenure of their personal loan. IndusInd Bank’s EMI calculator can help borrowers plan for their instant personal loan repayment well in advance.
- Consider applying with a co-applicant
Finally, borrowers can also consider applying for an instant personal loan with a co-applicant if their credit score is keeping them from availing a higher amount as a personal loan. They can consider his option even if their monthly income does not make them eligible for a low-interest personal loan.
Wrapping up
Instant personal loans, like the ones offered by IndusInd Bank, are easy to access, quickly disbursed by banks, and do not require pledging any collateral. Customers can also plan their loan repayment in advance by using a personal loan EMI calculator.
