Personal Loans in Ahmedabad

How to Get a Personal Loan in Ahmedabad

Living in Ahmedabad? Looking for a personal loan in Ahmedabad and wondering what your options are? Read on!

Personal Loans in Ahmedabad – What is a personal loan?

Firstly, let us understand what a personal loan is:

• Definition:

  A personal loan personal loan is generally an unsecured loan, meaning you needn’t pledge collateral or security in the form of cash, bonds, land, etc., in order to avail the loan.

• End use:

  Its end use is not restricted and you could use the loan amount for any expenditure as long as it is not illegal—for instance, funding your dream vacation / child higher education / child’s wedding, or it could be used as funds for buying consumer durables, or for overcoming a personal emergency like a medical crisis or loss of job. It can be used as a debt consolidation tool as well, though one needs to keep the interest rate in mind.

• Interest Rates:

  A personal loan is one of the costliest retail loans in the market—since it is unsecured. Since the lenders do not hold any customer asset as security, they charge a high interest rate to safeguard their money against possibly defaulting customers. The interest rates could go up to as high as 32% or even more, depending on your credit history and other factors. Those who have a clean credit history can get a personal loan in Ahmedabad with at attractive interest rates.

Personal Loans in Ahmedabad

Almost all major banks and NBFCs offer personal loans in Ahmedabad. Popular banks and NBFC’s include: Axis Bank, Shriram Finance, HDFC Bank, Fullerton, ICICI Bank, Citibank, SBI etc. Also, as mentioned before, if you are applying for a personal loan in Ahmedabad, you don’t require any collateral—but keep in mind that some lenders might require a guarantor or a token of some sort. However, most banks offer personal loan in Ahmedabad without any form of collateral and / or guarantor or security. For this very reason, a personal loan is a very attractive option for customers who may not be able to raise the collateral required for other types of loans.

Personal loans in Ahmedabad for salaried, self-employed and business people are available. You can put the internet to good use and find the best personal loan offers in the market. You can compare and contrast to find the best personal loan providers in Ahmedabad.

Is it possible to get a personal loan in Ahmedabad with bad credit?

Well, it depends on the severity of your credit situation. It is not entirely impossible to avail a personal loan with bad credit, but certainly very difficult. If you are not in a hurry, then it would do to take time out and build your credit score to a good number before applying for the loan.

If you are in urgent need of funds, then applying for a personal loan with a bad credit score could lead to three possible outcomes:

1. Your application would be rejected right away, which would further bring down your credit score (ouch!) or,
2. The loan could be approved (without need of collateral) on unfavorable terms and conditions, like a very high interest rate or
3. The loan could be approved and you might be asked to pledge some form of security, but again on unfavourable terms and conditions like a high interest rate.

Depending on your situation, it is best to improve your credit score to a healthy number before applying for a personal loan, so that you are able to negotiate for the best interest rates.

Eligibility for Personal Loan in Ahmedabad

• Age criteria: The applicant should be between 21 years to 65 years.
• Salaried, self-employed, and business professionals are eligible to apply.
• Minimum salary for salaried people should be at least Rs. 15,000. The salary bracket depends on what tier of city you live in and the company you work for
• Should be staying in the same address / city for at least 1 year
• Total work experience should be at least 2 years
• Should have a stable employment history.

Documents Required for Personal Loans in Ahmedabad

For salaried / self-employed professionals:

The documents required are standard: Address proof, identity proof, 6 months / 3 months bank statements etc. For professionals, your degree certificate / educational documents might be required.

Following are an overview of the documents generally asked for while applying for a personal loan in Ahmedabad:

• Valid Identity Proof - Passport, Driving License, Voter ID Card, Aadhar Card, PAN Card (any one document to be submitted), self-employed, and business professionals are eligible to apply.
• Valid Address Proof – Lease/Rent Agreement, Passport, Driving License, Ration Card, Utility bill (not more than 3 months old), Bank Statement
• Income Proof Documents – Latest 6 months salary slip and latest Form 16
• Bank Statements: Past 6 months bank statement with salary credit
• Continuity of employment proof, like offer letter, relieving letter, etc.
• Degree Certificate / educational documents for self-employed professionals.
• Any other documents as directed by the Bank or NBFC

Tip: Make sure you keep all your documents handy before applying for a personal loan in Ahmedabad. This will ensure that you don’t waste time in identifying your documents at the time of application.

Personal Loans in Ahmedabad FAQS

How to apply for Personal loan in Ahmedabad:

There are several ways to apply for a personal loan:

• You can apply directly online at the bank / NBFC's website;
• You can go in person to your nearest branch with the required documentation and apply

Need help? Alternatively, if you think you need help with your personal loan application and advice on loan eligibility, CreditMantri can guide you through the whole process and match you with the loan offer that best suits your credit profile.