Benefits And Features Of Instant Loans For Salaried Employees

     

 

Benefits And Features Of Instant Loans For Salaried Employees

Life is never fixed and anything could happen when you're least expecting it. From a medical emergency to unforeseen wedding expenses to requiring additional funds for sending your kids to a college exchange program, and more - sometimes a fixed salary isn't enough to cover those needs for extra cash. 

An instant loan can be a game-changer for those who don't have access to quick funds. Most banks and NBFCs require just proof of income and statements that show you have a stable job before you can apply for them. There are many benefits to taking instant loans for salaried employees and we discuss them below.

Benefits Of Instant Loans For Salaried Employees

Here's a list of the benefits, features, and why to consider taking a personal loan for salaried employees. 

·   Quick Disbursals - There's a reason they're called instant loans. The cash disbursal process is quick and it can take just a few hours. Not everyone can wait for 1 to 2 weeks during times of crisis which is where these come to the rescue.

·  Minimal Documentation - Not a lot of paperwork is needed to apply for instant loans. Banks and financial institutions require borrowers to furnish just KYC documents such as Aadhar Card, PAN Card, Proof of Address and ID proof. The loan application can get approved on the same day if they submit these early. Customers have to sign up on the website and fill in the application form in order to apply for these loans. Once they upload the required documents, the bank or organisation quickly verifies them and releases the funds.

·  No Reasons Needed - Most loan application forms make it mandatory to write a  reason when it comes to applying for loans. But instant loans are different and lenders understand the varying requirements of the consumer. No reasons are needed to explain why you're taking instant cash and the added layer of confidentiality is another reason why many salaried employees are opting for them.

·   Completely Online Process - The best part about instant loans is that you don't have to visit the bank or NBFC to apply for them. As long as you have the website address or app, you can fill in the details and submit your application online. SMS notifications and emails are sent as soon as your documents are verified, prior to disbursing the loan. During medical emergencies when an individual doesn't have time to go to the bank for loans, this can be a life-saver.

·   Low Interest Rates - Instant cash loans don't have high interest rates and a flexible repayment policy. This makes them very convenient and since the interest rates are low, paying back on time becomes easy.

·  Build up Credit History - For those who don't have a CIBIL Score or credit history, these loans are a fantastic way to start building it up. When you make the repayments on time, CIBIL will log it in their database. In the future, when you apply for personal loans or any other types of loans, the process will be much easier and not take up much time.

·    Get up to Rs 5 Lacs Instantly - You can get up to Rs 5 lacs in just 1-2 days if you have the required documents and details. Instant cash loans start as low as Rs 10,000 and don't need collateral security. Traditional banks aren't willing to give out large amounts without added clauses of conditions. This is one of the biggest benefits of going for these types of loans.

Eligibility Requirements For Instant Loans

One can get an instant loan with minimal paperwork and documentation. Basic eligibility requirements are mostly the same across various financial institutions and NBFCs.  You should be an Indian resident and be aged between 18 to 65 years old prior to filing your application.

The most important eligibility criteria are your income status, salary, and proof of your repayment capacity. Make sure your bank slips reflect that you've been having a stable income for at least the last 6 months.  You don't require any form of collateral or security to apply for an instant cash loan online. 

Cons of Traditional Loans

There are many reasons why many consumers are moving away from traditional loans. Here are a few of them:

·     Huge processing fees - Banks can charge huge processing fees and take forever to sanction the loan amount. Most individuals who are facing an emergency can't afford to wait that long and pay exorbitant fees for the application.

·  Too much time needed - It can take up to 2-3 weeks for releasing the funds. Traditional loans fail to meet emergency expenses and sometimes loans may not be approved due to inadequate paperwork or verification documents.

·    CIBIL score - If consumers don't have a CIBIL score, they can't get approved for a loan. Most banks have a high CIBIL Score criterion which makes it difficult to meet within a short period of time.

·  Fixed repayment schedules - If you don't know when you'll be able to pay back, monthly EMIs become difficult. Times of crisis can hit you financially and affect your ability to repay. Banks don't understand this and most traditional loans demand that consumers make fixed monthly repayments. An instant cash loan provides more time to pay back and gives consumers the option to avail lower EMIs. This provides plenty of time for them to get through their situation, recover, and pay back later.

·    High Interest Rates - When the tenure for repayment gets stretched out, banks end up charging higher interest rates for these loans.

·  Market Fluctuations - The interest rates can change depending on the market's situation. If you don't know what your financial status will be like in a few months, it could impact your ability to make a repayment on time.

·    Requires collateral - Banks aren't willing to disburse unsecured personal loans in most cases. A collateral or co-borrower applicant may be needed to file a loan application. This is inconvenient for many users and not a feasible option.

Conclusion

If it's your first time applying for an instant loan and you're not sure how to go about it, you can always talk to the company or lender. Discuss your requirements and explain the details a bit before applying for these loans.  Once you make your requirements clear, they can guide you through the application process step-by-step. And if you don't get enough time to talk on phone, you can write an email online and get a quick response.

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