Financial difficulties are the unprecedented events in our lives that often catch us off the guard. No matter how well you plan or how strong your finances are, a medical crisis or an urgent high-end purchase can shake your finances. In such a situation, opting for a personal loan can be the most feasible, convenient and smart choice, if you find the right lender. Personal loans are unsecured loans, which means the lender does not require collateral or guarantee against the loan. They are easy to process, requires minimal documentation, have simple eligibility rules and most importantly, the interest rates of a personal loan is much lower than a credit card!
You can download the personal loan app and apply for a loan of required amount in a few simple steps.
How a Personal Loan Can Help You in Financial Difficulties?
- Medical emergency
Medical emergencies are the most common financial crisis that a very large number of people face. In such a situation, the need for cash is urgent and non-negotiable. A personal loan app can be your savior, especially if you do not have enough savings to afford the best possible healthcare provider. With a personal loan app you can apply for a loan within minutes and if you furnish the right documents (digital copies), the loan will get approved and processed the same day.
Though personal loans and other quick credit facilities are available to address emergency medical needs, we highly recommend you to get a medical insurance. Check for the cashless facility, the number of hospital covered, and other details to get maximum coverage.
- Home repair emergency
India is a country with a very diverse geography and unfortunately the spread of home insurance in India is very limited. Natural disasters are one very common set of causes of home damage in India. From earthquakes to floods, cyclone, avalanches, tsunamis and landslides all are known to damage houses to such an extent that the repair cost for home can run into multiple lakhs. Not many people have that kind of liquidity in their savings account. But these home repairs are unavoidable. In such case, a loan app is a good way to arrange emergency cash for getting the repair work started.
- Cash crunch
A cash crunch is a very common scenario that most of us have faced at some point in our life. You might have already borrowed from your friends and family, and yet the financial situation is not getting any better. As such, paying off all the dues at once can seem like impossible. In such a situation, you can avail a personal loan, according to your eligibility, and pay off your existing debts. With a personal loan, you will have to pay back to the lender in easy monthly installments which makes it much easier.
- Meet Urgent purchase needs
This is one of the most common reasons why people opt for personal loan. Whether it is a laptop, phone, refrigerator or the AC, some of the purchases are simply unavoidable especially if your existing gadget broke down. With so many people working from home a good laptop and a high-end phone has become a necessity. The scorching heat has made refrigerators and air conditioners compulsory. But these gadgets are expensive, especially if you fancy high-end products. Opting for a personal loan is one of the smartest ways to finance these products. In most cases, lenders offer zero processing fees, a minimal fee and very less interest on the principal.
- Emergency international travel
International travel has always been expensive but with globalization, international travel has become more common than ever. Whether it is to meet a close family living in a far off place or the aspiration to pursue higher education, international travel can also be considered as an emergency situation. And more than anything, international travel needs surplus cash. In case, you don’t want to break your savings or sell your property, you can opt for a personal loan.
- Debt consolidation:
Many times, people have to undergo debt consolidation because they have many different kinds of loans running and they are not able to keep up with the EMIs. Debt consolidation is one way to get out of this situation. Say you have multiple EMIs running on credit cards. If you take one personal loan and divide all the money, you can simply pay off the credit card loans at once and you will be left with one loan and EMI for the one loan that you took to pay off all other loans. Many people use personal loan in such a manner because it allows them more time and also reduces overall money outflow every month. This helps them manage their finances in a better way.
Money is perhaps one of the most limited resources for most people and it should always be managed in the best possible way. Yet financial emergencies are by their very nature unpredictable and not much can be done to prepare for them. A personal loan can help a lot when you need a financial support but this should be used very carefully and with a very high level of discipline.