Unsecured Loans India
Unsecured loans are those that are provided by the banks and other financial institutes without mortgaging any collateral, risk of asset loss is eliminated, for loan disbursement.
The bank analyses the past relationship with the borrower, the credit score, and other factors to determine whether the loan should be given or not. The interest rate for such loans can be higher as compared to secured loans because there is no way to recover the loan amount if.
There are various unsecured loans which are available in India for the borrowers some are following provides by banks and other lenders:
Education Loan
Education loans can avail by the students who wants to pursue higher education in India or abroad. Due to lack of money, students can go for financial instruments such as education loans. The course can either be an undergraduate degree, a postgraduate degree, or any other diploma/certification course from a reputed institution/university. You must have the admission pass provided by the institution to get the financing.
Personal Loan
The purpose of the personal loans can be anything like consolidating, old debts, to pay medical bills, for wedding, to purchasing big-ticket furniture or gadgets etc. If you have liquidity issue, you can go for a personal loan. Personal loans are offered based on the applicant’s past relationship with the lender and credit score or with a stable source of income.
Vehicle Loan Vehicle loans can be avail for the purchase of two-wheeler and four-wheeler vehicles. Further, the four-wheeled vehicle can be a new one or a used one. Based on the on-road price of the vehicle, the loan amount will be determined by the lender. You may have to get ready with a down payment to get the vehicle as the loan rarely provides 100% financing. The vehicle will be owned by the lender until full repayment is done.
Home Loan Home loans can be provided for the purchase of a house/flat, construct a house, renovate/repair an existing house, or purchase a plot for the construction of a house/flats.
