CareCover, a healthcare finance company, offers medical loans of up to 5 lakh rupees for the treatment of coronavirus. The loan is interest-free for one year and an interest rate between 12-15% will be charged for a period of 18-24 months. The minimum loan amount is set at Rs 15,000. This loan can be used by anyone between the ages of 21 and 60. An individual can register at Rs 999 per year. However, additional 3 members can be registered at Rs 500 per additional member.
If your loan is expensive to keep, pay off the loan as soon as possible. It is better to take care of unplanned expenses so that high-interest personal loans and loans on credit cards may be avoided. Sometimes people want to take a loan to avail of the benefits of 24B and 80C. To close your loan prematurely, you need to give written information to your bank that you desire to close the loan. But the payable interest has to be cleared.
LIC Housing Finance Limited (LIC HFL) has announced a new offer for home loans which may give a boost in home demands. The real estate sector has been witnessing a slowdown since last year. This ‘2020 Home Loan scheme’ is a new turn for this sector. In this scheme, a buyer only has to pay the principal amount until he/she gets the possession of the house. During the period he/she will pay interest only.
Good news for home loan borrowers. HDFC Bank, India's largest home loan provider has reduced the Retail Prime Lending Rate on housing loans by 5 bps or 0.05%. The new rate will be applicable from 9 March 2020. RBI does not change its policy rates but as per the central bank's notice banks to pass the benefits of rate cuts to the customers by linking the lending rates to the Repo rate. It will boost housing demands.
Now, you no longer have to go through the pain of filing loan application forms over and over again after downloading different lending apps. Noida-based fintech Afinoz app, which is India’s 1st online instant personal loan marketplace can help you get a guaranteed emergency fund from more than 40 lenders ready to fund you. After filing your details on the app, it matches your requirements and credentials and offers options of potential lenders with their respective offers at a single place.
A credit report is a statement with details about your credit activity, loan paying history and the current status of your credit accounts. It does not talk about your income or savings or insurance. It's all about your credit, what you owe, how much you have borrowed etc. Getting calls about taking up a loan from random tele-callers are noted as enquiries if you've agreed to the loan. Unnecessary loan enquiries work against you. So be cautious about maintaining your credit history because lender will check credit report before approving a loan.
At the start of your career, if you move to another city for a job, you may not have the amount needed to pay the rental deposit, which is equal to 6 to 12 months of rent. Fintech companies are now offering rental deposit loans. Typically the rate of interest for these loans is high in comparison to a traditional personal loan, which is charged on the reducing balance. If you are unable to pay higher EMIs, rental deposit loan may be helpful; however, avoiding loans at the start of your career is the best option.
For millennials jumping jobs for better career growth is a frequent occurrence. It is not a bad thing to do, however avoid jumping jobs just ahead of submitting your application—more so if you plan join a start-up, lenders prefer large corporations. Banks prefer customers with stable cashflows so salaried are favoured over self-employed. Lenders may deny you home loan if the cheque bounces for lack of sufficient fund and avoid skipping EMIs. Be prudent with credit card usage in the months before you apply for loan. Too much usage might show credit hungry behaviour and may work against you.
Several banks have moved away from marginal cost of lending rate (MCLR), to repo-linked lending rate (RLLR) products after successive cuts by RBI in last one year. The repo rate is the rate at which the RBI lends money to other banks, hence banks get to borrow money cheaply from the RBI. Fresh borrowers should absolutely go for these repo rate-linked loans since the rate transmission is so transparent. However, for existing borrowers the rate cut should be at least 0.5% lower than the existing loan cost as customers face costs like processing fee and stamp duty while switching.
A credit score is a representation of your ability to repay credit. It is a 3 digit number in the range of 300 to 900. Majority of lenders like banks and NBFCs prefer a score of 750+ to give you better deals on credit cards and loans . Here are 4 most important factors to maintain healthy credit score. 1) Paying of EMIs & credit card bills on time is most critical part. 2) Credit card utilisation percentage, above 80% puts you in high risk zone. 3) Longer credit history improves the score. 4) Multiple loan applications reduces your credit rating.