Planning to take a personal loan? Before selecting a lender, keep these 5 things in mind
Nowadays, personal loans are available very easily. People have started taking loans to fulfill their small needs. If you are also going to apply for a personal loan, then first pay attention to some things about the lender. There are 5 such points, which should be considered before taking a loan, so that you do not regret it later. Because many times it is known later that some other lender was giving you a loan with better rates or benefits than that. So pay attention to all the important things beforehand -
Consider these five things before taking a personal loan-
1. Interest rate and hidden charges
Before applying for a loan, you should check whether the lender from whom you are taking the loan is charging a higher interest rate than others. Apart from this, many times there are hidden charges in the loan, which many lenders do not tell about earlier. That is why find out such hidden charges. For which you can see the feedback of borrowers who have already taken loan from the same lender. Choose the lender only after reviewing them.
2. Avoid unknown lenders
Always take loan from a lender who has a good reputation in the market. Avoid taking loan from a new or unknown lender. Even after this, if you are thinking of taking a loan from a new unknown lender, then first check whether it is approved by RBI.
3. Pay attention to customer reviews
Nowadays, when you buy anything online, the first thing you see is the customer reviews. How is the product you are buying. Similarly, before taking a loan, you can know the feedback of previous customers. From where you are taking a loan, look at the reviews of borrowers who have already taken loan.
4. Loan eligibility
If you repeatedly depend on personal loan for even small tasks, then it can create problems for your future. Taking loan repeatedly can reduce your loan eligibility. Not only this, it will also increase the burden of debt on you. Which will affect your savings.
5. Loan tenure
If you are going to take a personal loan, then first decide the tenure. The loan repayment period should neither be too long nor too short. Calculate the loan repayment period according to the EMI that you can easily pay. If you do not do this, if the loan burden increases on you and you are unable to repay it, then it will affect your credit score.
