Personal Loan From NBFC
Many Non-Banking Financial Companies (NBFCs) in India offer personal loan from nbfc to those who are in need of urgent cash for their personal expenses. It provides Offers overdraft facility and No penalty charged on part-prepayment. The documentation required is minimal and they approve the Loans instantly. There are many types of NBFC that provide personal loans to borrowers.
- Investment companies
- Loan companies
- Asset Finance companies
- Core Investment companies
- Infrastructure Finance companies
- Micro Finance companies
- Mortgage Guarantee companies
- Housing Finance companies
Personal loans availed from NBFCs would have a similar impact on the credit score of the applicants as personal loans availed from banks. When an applicant applies for a loan, the NBFC would fetch his credit report from the credit bureaus. Lender-initiated credit report requests used for evaluating loan applications are considered hard inquiries. The credit bureaus in turn would slightly reduce the credit score for each hard inquiry. Hence, if an applicant applies for a personal loan with multiple NBFCs or banks within a short span, his credit score may register a deeper reduction.
Instead, personal loan applicants should visit online lending marketplaces to compare personal loan offered by multiple lenders and apply accordingly. While lending marketplaces would also fetch the credit report of the loan applicant, such inquiries are known as soft inquiries and do not affect the credit score of the applicant. Here are some NBFCs that are given with their interest rate and loan amount.
NBFC
Interest Rate (p.a.)
Loan Amount
Tata Capital 10.99% onwards Up to Rs.25 lakh
Mahindra Finance as per Lender Up to Rs.3 lakh
IIFL Finance 24% p.a. onwards Up to Rs.2 lakh
HDB Financial Services Upto 36% Up to Rs.20 lakh
Aditya Birla Capital 14.00% p.a. to 26.00% p.a. Up to Rs.15 lakh
