A personal loan is a money lent to you by a lender for any of your expenses you can use the money lent for virtually anything without any restrictions of the bank. You can also use the money for more than one thing such as paying your medical bills, paying off credit card debt, or even go for that dream vacation that you have been planning but, never been able to go to.
Also during this pandemic, a lot of people are facing financial problems from losing their jobs to salary cuts. Due to the unstable stock market, people are losing money on their shares. This crisis is not going to end soon so it might not be a viable option to just break into all your savings right now.
Personal loans are two categories secured and unsecured. Secured loans come with collateral attached. Unsecured loans are without any security so they generally require a high credit score to approve the loan. They also come with higher interest rates and short payback tenures.
A personal loan can be used to finance anything ranging from medical bills to business expenses to that one dream vacation on your bucket list. They can also be used for the combination of two or more things as there is virtually no limit on how you can spend the money lent to you.
If you have to make a lot of expenses in a short amount of time using all your liquid cash to pay them might not be a great option. This is when personal loans can help you out in making manageable EMIs to your expensive purchases.
Personal loan interest rate is quite low when compared to a buisness loan and use it where you can make more money by investing the loan money in the right way.
Remember to increase the EMIs as your earnings increase as well. Do not increase it to very high amounts but an increase to 1000 rs. per month can add up and get your loan payback in less time. Bank of Baroda will serve as a perfect solution for your personal loan needs. You can borrow an amount ranging from 5 lakh up to 10 lakh later being the amount for urban borrowers.
Karur Vyasa bank personal loan - KVB provides personal loans from interest rates minimum of 15% for secured and a maximum of 19% for secured. For unsecured loans, they range from 15% to 19%.
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