Personal Loan in Covid

Personal Loan in Covid

The deadly disease Covid 19 has been in action for more than a year and has cost many things. From happiness to deaths and everything in between. The losses are immense, and financially, people have ended up in a far deep hole than they ever expected, and the banks’ loans are helping them save themselves. Since the beginning of the virus in December 2019, a new kind of normal has formed, and nationwide actions are in motion to help the country and people be back on their feet. The virus and killing the common deviated the economy at large, and loans by banks and Non-Banking Financial Companies(NBFCs) are available for the customers to use. Banks and NBFCs offer this personal loan for the treatment of corona for self or family members.

Personal Loan in Covid

The eligibility of the applicant:

The applicant must be at least 18 years and at most 65 years to avail of the loan. Although some banks and NBFCs require a minimum age of 21 years. Salaried employees and self-employed individuals can avail of this loan. The co-applicant feature is present in a personal loan. The applicants must be related by blood(father and son, mother and son, father and unmarried daughter, mother and unmarried daughter)or husband and wife. Only a few banks and NBFCs allow siblings as co-applicants. The minimum salary of the applicant should be Rs 20,000 for a personal loan.

The necessary documents to avail a personal loan are:

ID proof: An authorised government document verifying the applicant’s id. PAN card, voter id, aadhar card, passport, driving license, or any other valid proof of identification.

Residence proof: A gazetted document stating the applicant’ place of residence. PAN card, voter id, Aadhar card, passport, driving license or any other valid if mentioning the applicant’s place of residence.

Employment proof: The applicant’s proof for employment. Employee id-for salaried employee or business proof for a self-employed individual.

Income proof: The applicant’s proof of income, stating the monthly or yearly income. ITR, Salary slips or any other valid proof of income.

Bank statement: The bank account statement of the applicant for the last 3 to 6 months, depending on the bank or NBFC.

Features of a personal loan

Loan amount: The principal amount is a loan a bank or NBFC sanctions for the applicant. The loan amount may vary from Rs 25,000 to Rs 50 lakh depending on the financier. If you have a high monthly income and met all the eligibility criteria, the bank or NBFC, without hesitation, grants the loan amount you want.
Tenure: The period of the loan is known as tenure. The tenure for a personal loan varies from 1 year to 5 years. You can choose the tenure you want. A longer tenure has a low interest amount each month, and a shorter tenure has a high-interest amount every month.

Rate of interest: Equated Monthly Installment(EMI) is the interest amount you have to pay for your acquired loan. The interest amount is calculated based on the loan and tenure. A personal loan calculator on the bank’s official website or NBFC can be used to know more about the loan details. The interest rate varies from 7.5%-20% per annum in most banks and NBFCs.

Processing fee: The processing fee of a personal loan is incurred for the processing and the approval of the loan either via online or offline modes. The charge is either a fixed rate like Rs 500 or a part percentage of the loan amount up to 2.5%.

Preclosure or Foreclosure charges: The pre-payment charge is incurred if the borrower decides to close the loan account earlier than the end of tenure. The preclosure cost depends on when the borrower closes the account. The charge may go as high as 6% of the loan amount.

PNB personal loan is a highly renowned personal loan that benefits millions of people generously with its affordable rates and best deals. The loan is highly convenient to avail. The personal loan must be paid off without delays, and the borrower should maintain a healthy relationship with the bank.

Author Bio:
Thanks for stopping by and checking me out. I’m Rahul Grover, a writer, blogger, and author with over 2 years of writing experience. Check out some of my published works. I’ve published so many articles in online publications; blog posts. Being a part of this field for a long time now, I written many informative articles and blogs benefiting and assisting many in this field. And this article is all about PNB personal loan, which clarify all your quires regarding loan.

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