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Why Should You Think Twice Before Applying for Loan in Meerut?

By: f2cpvtltd

Meerut has emerged as one of the developing industrial areas, resulting in a dense population. To satisfy the desire or in an emergency, people often need funds, and hence they apply for loan in Meerut.

Getting a loan approved and disbursed in time is a boon, but the same one can be a trap & source of anxiety & stress if you take any loan lightly and miss the fine print. If you’re also thinking of getting a credit facility or loan in Meerut, this article will help you keep things in mind before signing up. 

  • Interest Rates
  • Loan Amount
  • Repayment Period
  • EMI or Equated Monthly Installments
  • Prepayment Option 
  • Credibility of Lender
  • Total Time Taken for Disbursement
  • Ease of Processing

If you ignore the above-mentioned factors, a credit facility or a loan can be a pain in the neck.

Let’s discuss all of them one by one.

How Interest Rate Affects a Home Loan in Meerut?

One of the most critical factors while applying for a home loan in Meerut is the interest rate. It decides the total due or outstanding you need to repay, i.e., principal amount plus interest. If you don’t pay attention to it, you may end up paying higher installments. Most people aren’t aware that they can even negotiate on the rate of interest too. Yes, you heard it right.

You can arrange the interest rate from your lender because even a slight change in the rate of interest can affect your EMI drastically. For example, you apply for a home loan in Meerut for Rs 50L, and the bank/NBFC gives you a fixed rate of 8.25%. Now your monthly installment will be Rs 42603. But if the rate of interest is 6.70%, the installment will fall to Rs 37870. You can now analyze how installment can affect a home loan in Meerut.

What is the Ideal Loan Amount When Applying for A Personal Loan in Meerut?

The essential thing you need to think about before applying for a personal loan in Meerut is the loan amount. Make sure that you don’t over-borrow. As the more you borrow, the more interest you need to pay. While applying for a personal loan in Meerut, always ensure that you borrow a lesser amount. It’ll be easier for you to repay a smaller amount than a more significant amount. Don’t borrow any amount that you don’t require. Keep the borrowed amount as low as possible. The ideal loan amount for a personal loan in Meerut is five times your monthly salary. For example, if your net disposable income is Rs 50,000 then you shall not borrow more than Rs 2.5 lacs. 

What does the Role Repayment Period play in Loan Against Property in Meerut? 

People think that the repayment period must be shorter to pay off loans against property in Meerut. However, it isn’t true! For example, to keep the repayment period short, you sign up to pay for a higher installment. Now, if something worse happens in the future, it’ll be difficult for you to manage your monthly installments. As a loan against a property consultant in Meerut, Fair Fincorp suggests that you need to keep the EMI as low as possible. And, if you get any funds like a bonus, you can make the in principal payment anytime during the loan period. It will help you short the repayment period but also save hard-earned money on interest.

Can I Prepay a Business Loan in Meerut Earlier?

Yes, you can indeed prepay a business loan in Meerut. But before you sign up, you need to confirm from your lender whether they offer prepayment service for a business loan in Meerut or not. RBI has mandated that there shall be no prepayment charges while foreclosing or prepaying a home loan. But on a business loan in Meerut, it isn’t covered by the RBI guidelines. When you decide to foreclose a business loan in Meerut, your lender may ask you to pay a small prepayment fee plus GST over & above.

To save prepayment penalty charges, don’t follow the more extended repayment if you have the funds. The covid-19 pandemic situation has taught everyone that the future is unpredictable, and it’s good to keep financial commitment as low as possible. Reach out to your lender’s customer service and confirm the charges for prepayment & option. If you wish to apply for a business loan in Meerut, feel free to reach out to our certified financial planners anytime.

Which is Better: A Personal Loan or A Credit Card in Meerut?

Credit cards in Meerut come with a higher interest rate, up to 42% per annum while a personal loan is up to 18%. But a credit card is better than a personal loan. Don’t know why? Keep following to know the hidden truth. Although a credit card has a higher interest, there isn’t any obligation. For example, if you don’t use it, you don’t need to pay any credit card bill except for any yearly renewal charge.

On the other hand, when you get a personal loan, you can pay a monthly installment. Also, when you use a credit card and pay its bill, you can use it next month. But this isn’t the case with the personal loan. Until you pay off or foreclose a personal loan, the chances of getting another personal loan in Meerut are slim. 

As a certified loan consultant in Meerut, Fair Fincorp is always there to support those in need. Whether you need an instant personal loan or insurance in Meerut, all you need to do is to call us or send us an inquiry. We’ve tied up with all the central banks and NBFCs and will help you get the best possible interest rate. On top of this, we’re there to support you from filling an application form until you get the disbursal. 

Call +91 9897666966 for a hassle-free loan experience with quick processing & disbursal. Fair Fincorp doesn’t charge any consultation fee. However, we receive a small payment from lenders as an agreement upon successful disbursal. We suggest you a lender post checking their credibility and always keep the customer’s interest in mind. 

When you reach out to us, we analyze your financial need, capability & capacity—a post in which we put all the options on the table. Now, the final decision is yours. You can choose a lender as per your choice & convenience. There isn’t any obligation to buy, purchase or sign up for anything.

Therefore, what are you waiting for? Reach out to Fair Fincorp certified financial consults today and make the most of it.

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