I’m certain that almost all of us must have faced a time when we were in emergent need of funds. This need can arise from any situation. It may be for funding your child’s marriage or it may be for funding your long-awaited new year trip to Kerala or it can be for buying the newly launched piece of gadget. It doesn’t matter what your need is, you can take a personal loan for all such requirements. To solve this problem of yours, you could ask for funds from your relatives or friends. But it may not be necessary that they would have this much amount of sum at their disposal at such short notice.
So, a personal loan would be the best option for you because of the amazing facilities that you can get with. There are several banks and financial institutions that can be taken by you at an affordable rate of interest. But before opting for the loan there is a burning question that must be answered. The question is which bank is best for personal loan? So if you’re someone who is looking to get a personal loan and juggling between two or more than two options, then this article would be perfect for you to know on which factors you should test a personal loan. Keep reading on!
What are the factors that you should check before opting for a Personal Loan?
Let me clear this first, that which bank is best for personal loan totally depends on several factors. After checking these factors in a detailed way, you can decide which bank would be perfect for you to take a personal loan facility. You can have a look at those factors below.
- Loan Amount: First of all, you must check which bank is offering the loan amount according to your needs. Different banks and NBFCs provide different companies different loan amount to their eligibility. So you would get the answer to your question of which bank is best for personal loan. If the given loan amount doesn’t fit your criteria, then you can check the other options
- Interest rates: This is one of the most important things to look for because rate of interest is the most important factor that would affect your personal loan repayment. The loan repayment is done through EMIs and it is directly dependent on the rate of interest that the lender is offering. Your EMI amount would be lower if you get a lower rate of interest and vice versa. So check all the options that you have and choose what is best for you.
- Balance Transfer Facility: If you have an existing personal loan with another bank at a higher rate of interest and want to transfer it to a different lender, then you must check if your lender has a balance transfer facility. Choose the bank which could give you this facility at an interest rate lower than you already have.
- Accessibility: In order to know which bank is best for a personal loan, you must also check if the lender that you are choosing is providing services in your city. Sometimes, several banks have different schemes in different cities. So before finalizing one, you must check if it’s available in your city.
- Processing fee: Always choose the bank which has the lowest processing fee because that would help you in lowering the overall cost of your loan.
- Sanction and Documentation Process: You must also consider the overall loan sanction time of different lenders because it may possible that it does not align with your needs. The documentation process also should be hassle-free