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Finance is a field that promises greater earning potential in a wide range of industries. There is an increasing demand for finance professionals across all areas despite the economic slow down. If you are a person interested in business management and accounting, finance can be a right choice for you.

When it comes to financial instruments there are home loans, business loans, overdrafts that are all widely used by borrowers needing finances. There are also borrowers in the market who have unique requirements and will need more complicated financing instruments. Structure finance is a financial instrument which is used by big financial institutes or companies with financial needs which cannot be satisfied by conventional financial products like normal loans. Traditional lenders do not offer structured finance such as Collateralized Debt Obligations (CDOs), Collateralized Bond Obligations(CBO), etc.

When banks turn down your home loan application, you may want to look for some other source for funds to buy the house. On such occasions, you can also request your seller for the financing. Real estate owners who are unable to sell a property also provide such options to home buyers who will return the money as per the agreement.

There are different types of cars in the market. You can buy a car based on your financial capability. Most people purchase a car on financing which lets them buy their favourite vehicle even if they do not have sufficient money. Financing a car means that you are borrowing money from a financing company or a private lender to purchase a car from a car dealer or a private party. The borrowed amount has to be repaid with interest at an agreed installments.

You walk into a car showroom to buy a car. Let’s imagine, you only have half the amount of the value of the car. The car dealer may now ask if you would like to go for car financing for the remaining amount which can be repaid month-on-month at an agreed interest rate and tenure. The car financing is provided by banks, NBFCs and other private lenders. In some cases, the manufacturers themselves provide car financing for the buyer.

People who are employed and have a good credit score wouldn’t have a problem of availing any kind of loan. With a high credit score they would even be able to get low interest loans and high loan amounts. But lenders options are limited when it comes to self employed people. But there are lenders who will be willing to provide funds for your business. A Personal loan is an easy way for a self employed person to procure money for his/her business. As long as you have a good credit score your lender will trust you to make the repayments on time and thus lend to you. These loans are also collateral free.

Interest rates on MSME loans are between 8.30% and 16.25%. Depending on your lender there will be a limit on the maximum loan amount or some lenders wouldn’t have any such limits. Interest rates will also depend on your credit score. With a good credit background you will be able to get good interest rates and high loan amounts. Your lender would want to make sure that you have a good repayment capability, so that they are assured that you will be able to pay back the EMIs on time.

There are both negative and positive impacts on small businesses when it comes to GST. But when it is considered for the long term, GST has a positive effect. The GST payable is split into SGST, CGST and IGST, but only one single registration is required for all of them. GST registration also doesn’t need physical paperwork as most of the uploads can be managed online and digitally signed. 

MSME loans are offered to Micro, Small and Medium Enterprises by financial institutions like banks and NBFCs. MSME loans can also be lent by the government with the help of various schemes like MUDRA loans, CGTMSE, PMEGP, etc. These schemes help upcoming entrepreneurs start a business and can also help businesses who want to expand. 

The age limit to apply for MUDRA loans varies from one bank to another. The general guideline is that the minimum age to apply for a Mudra loan is 18 years at the time of loan application and the maximum age is up to 65 years at the time of loan maturity.

There is no MSME registration fee, which was has been clarified by the Ministry of MSME. The Udyog Aadhar Memorandum is the official website to sign up your business. The registration process is simple, but if assistance is necessary they can get help from their respective District Industries Centre. The registration is not mandatory, but by registering you will be able to get a lot of benefits. 

Before applying for a MUDRA loan, it’s always better to check the eligibility criteria with as many lenders as you can. After checking, apply for the loan with the lender who can provide you with the best loan offer and fits your eligibility. If at all your loan proposal gets rejected, you can figure out why and work towards correcting what went wrong. For example, if your credit score is not what your lender expects, you can try to improve your score.

Indian citizens having a business plan for a non-farm income generating activity is eligible for a MUDRA loan. Businesses from the manufacturing sector or the service sector with loan need up to Rs. 10 lakhs can approach their respective lenders for availing a MUDRA loan under the Pradhan Mantri MUDRA Yojana(PMMY). While the age limit set for applying for a MUDRA loan is between 23 and 28 years, the person should not be more than 65 years of age when the loan matures. The terms and conditions of your lender would have to be followed for availing a loan under PMMY. 

Since the introduction of the GST regime, one of the benefits is that your tax payments can be done online. To make GST payments more convenient, each registered taxpayer gets an electronic credit ledger. The electronic credit ledger displays the input tax credit balance available to the registered taxpayer. An electronic cash ledger reflects the amount of cash available to settle the tax liability.

There are several banks that provide MUDRA loans all across the country. Your MUDRA loan offer will depend on your lenders flexibility. If you have been a previous customer of the bank from where you are seeking a MUDRA loan, you will be able to negotiate lower interest rates and tenures. But your credit score will play an important role in getting the best offers. That is why having a good credit score is essential.

Indian citizens who have business plans for any non-farm income generating activities are eligible for a MUDRA loan. Manufacturing sectors and service sectors needing credit up to Rs. 10 lakhs can approach either a bank or an NBFC for availing a MUDRA loan under Pradhan Mantri MUDRA Yojana(PMMY). The eligibility criteria set by your lender would also have to be followed to qualify for the loan.

It is hard for unemployed people to get qualified for a good loan offer. Lenders would need proof of income to be convinced that you would be able to pay your monthly payments on time. But even though you are unemployed there are ways to get a loan. One way is by pledging collateral. Secured loans are lent to people who provide security to their loan. In case they are not able to pay back, the security they pledged will be taken as compensation. 

Small Industries Development Bank of India (SIDBI) and Franchise India has been collaborating to provide financial support to established franchisors as well as to start-up franchisors. This collaboration was started as a funding initiative to help entrepreneurs make franchising models of businesses, which are less intimidating. SIDBI is an institution that helps franchisors procure funds for their business. NBFCs would also be willing to lend to businesses who need funds to expand.

GST is not applicable on loan interest. Before the introduction of GST, service taxes were levied on loans. The rate of service taxes were 15%, whereas the rate of GST is 18%. As there was a 3% increase due to the change in the tax scheme, some people might have assumed that interest rates would also be affected. But GST is not levied on EMIs of the loan or on the payment of interest on the loan. It will be levied only on the processing charges and other charges that your lender would be charging you.

Though online banking is quick and easy, it has its own disadvantages. Following are some of the common disadvantages of online banking.

The primary advantage of Netbanking is the liberty of not having to visit the bank branch to carry out various transactions. Following are some of the common advantages of using internet banking.