With the advent of the internet, it has become much easier to find out how to get a loan in India. Before getting into the loan process it is important to ascertain the reason for your poor credit rating. There are several reasons that may lead to a poor credit rating. Among the most common are joblessness, medical bills, CCJ's or default in repayments on loans taken, and bankruptcy.
The best way of improving your credit ranking is to get the debts cleared as quickly as possible. The quickest way to get a loan in India is to use your savings. If you have some savings, it is a good idea to try and get a payday loan. Payday loans are quick and easily accessible, they carry low-interest rates and the repayment terms are quite flexible.
If you do not have any savings to offer as a security for the loan you wish to get, there are other options. For example, you can get a personal loan from your relatives or friends. You can even get a post-dated check (dated for a few days after your next payment) and use the money for paying off the loan amount. It takes time to get a loan in India but at least you can stay on track. This is important because if you run out of cash before the due date, you will be charged an extra fee.
In case you are unable to get a loan in India using any of the above methods, the best option left is to go in for a credit card. Credit cards can be used to get a loan in India only if you can prove that you have an income. The basic requirement is that you must have a valid bank account. Once you prove your identity, you can proceed further and get the loan.
The best thing about credit card loans in India is that they provide the borrower a lot of flexibility. In the case of unsecured loans, it is very difficult to predict the interest rate and get a low rate of interest. A credit card allows the lender to charge high interest and you will end up in a situation where you have to pay back twice as much as you borrowed. On the other hand in case of secured loans, the interest rate is quite low. If you can pledge the security against the loan amount then the lender will be willing to provide low-interest rates. Thus, if you have an income but do not have anything to pledge as security, you can go in for a secured loan.
However, if you do not have a credit history or if you do not have a credit card then you can get a loan in India without using a credit card. All you need to do is to open a bank account with a financial institution. Then you have to deposit a nominal amount in the account every month. Your interest will be charged according to the amount you deposit in the account every month.
Another good option to get a loan in India is to use your house as security. Suppose you are unable to make the payment on your credit card because of some reason like emergency etc., then you can use your house as security. The banks will grant you the loan at a lower rate of interest because of the reduced risk of risk to their company. The benefit of a house is that it does not require a credit check, thus, if you do not have a good credit record or if you are retired, you can use your house against the loan amount.
You can read our blog for more info about Improving Credit Score.
You can visit our Website also:- Chakde Credit
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