How to get a Personal Loan?

Follow these steps:

Choose a bank, where you want to apply for a personal loan. Select a bank based on aspects like interest rate, ease of applying, fees and charges, flexibility of repayment and terms and conditions.
Visit the bank or NBFC and ask for an application form for personal loan. Also collect information on what documents would be required to be submitted with the form
Fill the Personal Loan Application Form and KYC form
Carry the filled form and documents to the bank. Or,

Use the bank’s mobile app to apply for a personal loan and get money in your bank account.

You can even get a personal loan from an NBFC, like Bajaj Finserv by submitting documents online and getting a pre-approved loan.

NOTE:

In a pre-approved loan, the lender offers you a predefined loan amount at a set interest rate, based on your repayment history and credit behaviour.

Alert:

No bank or NBFC will call, mail or message to ask for your bank account number, username, user ID, password, UPI Pin, Credit card, Debit card or ATM card number, CVV and PIN.

How much time would a bank or NBFC take to process a personal loan?

Once you have applied for a personal loan and submitted all the required documents, you will get an application or acknowledgement number.

It can take around one to seven days for a bank or NBFC to approve your personal loan.

Once approved, it would be disbursed in a few days, depending on your chosen bank.

In case of a pre-approved personal loan from an NBFC, like Bajaj Finserv, you can get the loan amount credited to your bank account on the same day of application.

Pro Tip

Please check the approval and disbursal timelines of different banks before applying.

Pro Tip

Please compare the interest rates of your chosen NBFC and additional charges with Bank Personal Loans before choosing.

What should you keep in mind while availing Personal Loan?

Compare Interest Rates

This is one of the most important aspects to look for while choosing a personal loan. You can compare interest rates from different banks and NBFCs. This can help you find out the lender giving you a personal loan with the lowest interest rate.

Time for Processing and Disbursal

If you need the loan amount in a short amount of time, you can check for the bank’s or NBFC’s website for the time it takes for processing and disbursal. You can also check if there are any pre-approved loans available for you, pre-approval automatically reduces time for processing.

Check for fees and charges

Banks and NBFCs have some administrative charges involved in giving you a personal loan. This can be different for different banks and NBFCs. You can check them on their website or ask the banks/NBFCs for their terms and conditions.

Check your credit score

Have you taken a loan before? Or, do you have a credit card? Or, have you purchased anything on EMI? If you have answered any of the above questions with a yes, you will have a credit score. Credit score is a score based on your credit history. It analyses your credit worthiness with your past credit behaviour. Having a good credit score can help you get a loan easily.

Repayment flexibility

When choosing a bank or NBFC for your personal loan, make sure they are flexible enough to allow for momentary fluctuations in payments. Choose the tenure and EMI you are comfortable with.

Borrow within your means

To meet your current personal needs and live a stress-free life after taking a personal loan, you can borrow the amount you would be able to repay soon. The more time you take to repay the loan, the more interest you will have to pay due to compounding

To track your progress