Personal Loans in Ludhiana

Personal Loan in Ludhiana p

Do you live in Ludhiana? Are you looking for a personal loan in Ludhiana and wondering what your options are? Read on!

Personal Loans in Ludhiana

What is a personal loan?

A personal loan is generally an unsecured loan—meaning no collateral or guarantor is required in order to obtain it. As the name suggests, it is a loan taken by an individual to fund any personal expenses like, for example, a wedding, to remodel the home or even for a luxurious vacation. A personal loan doesn’t have any restriction on the end use, unlike many other kinds of loan. The borrower has the full freedom to use the money for any purpose they want.

Key features of a Personal Loan:

• Complete flexibility of end use
• No security/guarantor required
• Loan amount ranging from few thousands to several lakhs.
• Speedy Processing and disbursals
• Loans for salaried & self-employed individuals.
• Payment via EMI with tenure ranging from 12 to 60 months
• Competitive interest rates—although this is dependent on individual credit history
• Facility to apply online with most of the lenders
• Special offers for existing customers, like special rates and discounts

Disadvantages of a personal loan:

The downside to taking a personal loan is the high interest rate. Since it is an unsecured loan, the lender usually charges you a high interest rate to avoid risk of falling into bad debt. Personal loans are one of the costliest loans in the market which could go up to as high as 32% p.a. or even more, depending the severity of your credit situation.

Personal Loans in Ludhiana—Availability

All major banks offer personal loans in Ludhiana. Popular banks and NBFCs that offer personal loans in Ludhiana include: Indian Bank, Standard Chartered Bank, Punjab National Bank, Yes Bank, HDFC Bank, Canara Bank, Corporation Bank, Bank of India, SBI, Central Bank of India, Fullerton, Axis Bank, ICICI Bank, Shriram Finance, Bajaj Finance, Citibank, etc.

Personal loans in Ludhiana for salaried, self-employed, business people and NRI are available.

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

Yes and no.

Yes, it is possible to get a personal loan in Ludhiana with bad credit depending on the severity of your credit situation, and the relationship you share with your lender.

If loan application is accepted despite having a poor credit history, you might be offered unfavorable terms and conditions, like a high interest rate and high penalty for missing payments, etc.

Worst case scenario—your application would be rejected and your credit score will take a beating. So, it is always advisable to raise your credit score to a healthy 700 or above, so that you can avail a personal loan at reasonably good terms and interest rate.

Eligibility for Personal Loan in Ludhiana

• Age criteria: The applicant should be between 21 years to 65 years (at the time of maturity of the loan).
• Salaried, self-employed, and business professionals are eligible to apply. If you are not a regular wage earner, talk to your bank manager about your situation.
• Minimum salary for salaried people is typically Rs. 15,000 though the salary requirement 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.

You can check your eligibility for a personal loan in Ludhiana online, on the lender’s website.

Documents Required for Personal Loans in Ludhiana

For salaried / self-employed professionals:

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

• Valid Identity Proof - Passport, Driving License, Voter ID Card, Aadhar Card, PAN Card (any one document to be submitted)
• Valid Address Proof – Lease/Rent Agreement, Passport, Driving License, Ration Card, Utility bill (not more than 3 months old), Bank Statement
• Income Proof Documents – Last 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.

For the self-employed and those into business, the following might be requested for in addition to the above-mentioned documents.

• Degree Certificate / educational documents for self-employed professionals.
• Proof of business existence
• Last 3 years Income Tax returns (self and business)
• Last 3 years Profit /Loss and Balance Sheet, duly attested by a CA
• Any other documents as directed by the Bank or NBFC

Personal Loan in Ludhiana With Low Interest

Lenders usually offer a low interest rate to those who have a good credit history. The interest rate is dependent on variety of factors including the loan amount applied, credit score and history, existing loan obligations, the loan amount, employer profile, etc.

Personal Loan in Ludhiana FAQS

How to apply for Personal loan in Ludhiana:

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 and apply with the required documentation

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