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The Advantages of Acquiring a Personal Loan Through a Mobile App

The Advantages of Acquiring a Personal Loan Through a Mobile App

With the changing mindsets of Indians, taking a loan is no longer a sign of financial crunch. Today, millennials often use small Personal Loans for various planned or unplanned expenses like foreign vacations, study abroad programmes, renovating homes, handling medical emergencies, covering last-minute wedding expenses, etc. 

Due to the surge in the demand for Personal Loans, several NBFCs have started offering them through their websites or Personal Loan apps. These loans have been highly successful in fulfilling the growing loan demands and helping ambitious youth fuel their dreams.

Personal Loans have gained immense popularity over the last few years due to their advantages, including reasonable interest rates, customised repayment plans, digital application procedures, and 24/7 accessibility. 

Many modern NBFCs promote their Personal Loan apps that are known to provide quick, paperless, and trouble-free access to the required funds. These apps support each loan procedure step online, from application to documentation, approval and disbursal. Let’s discuss a few advantages of acquiring a Personal Loan through a mobile app.

How Does a Personal Loan App Work?

A Personal Loan app is an easy-to-use borrowing platform. You can access it from anywhere using your smartphone. You just need to fill out an online application form, enter a few necessary details, and upload your income, identity, and address proof to confirm your information. The loan provider that owns the app verifies the data and determines your eligibility based on your creditworthiness. If you accept the loan offer, you get funds disbursed directly into your bank account. 

Benefits of Using a Personal Loan App

Here are a few advantages of applying for a Personal Loan using an online loan app:

  • Quick Processing: Conventional loan application methods take several days, sometimes weeks, to complete. Even after waiting several days, the result can be a loan rejection, significantly wasting your time and effort. However, recent developments in the fintech industry led to the onset of mobile loan apps that drastically changed how the lending industry works. Today, you can measure average loan approval duration in minutes. A reputable Personal Loan app verifies and approves applications within minutes without hassle.
  • Streamlined Application Method: Many loan apps backed by reputable lending institutions provide small Personal Loans with hassle-free and time-efficient application procedures. You just need to download the app on your smartphone and register. Next, you can apply for a loan by filling out an online application form, uploading the necessary documents, and getting approval instantly. After verifying your details, the app sends a loan offer. If you accept the loan offer, you get disbursal within a few hours of the loan request.
  • No Physical Branch Visits and Zero Paperwork: When you apply for a Personal Loan using a reliable instant loan app, you can do away with physical paperwork and branch visits. You can apply for a loan online by providing your personal, financial, and employment details. When it comes to documentation, you can upload scanned copies of the necessary documents without any human interaction.
  • No End-Use Restrictions: Another advantage of applying for an instant loan using a loan app is that you can use the approved loan amount for any personal need. Whether you need funds for a vacation, wedding, education, home renovation, or medical emergency, you don’t need to specify the reason for borrowing in the application form. 
  • Flexible Terms and Conditions: Personal Loan apps give enhanced flexibility in choosing the desired loan size and selecting an appropriate repayment tenure according to your requirements and affordability. Depending on the loan provider’s policy and your Personal Loan eligibility, you can apply for a loan amount that best suits your financial needs. A similar level of flexibility applies to the repayment term. Use a Personal Loan EMI Calculator in the loan app to choose a tenure with EMIs suitable to your monthly budget. 
  • 24/7 Accessibility: All-time accessibility is an important feature of Personal Loan apps. You just need a smartphone and internet connectivity to apply for a loan online anywhere, anytime. You don’t need to wait for the lender’s working hours to apply for the loan. That means you can access the funds you want anytime using an online loan app.
  • Convenience: When looking for an instant loan to cover an urgent expense, you no longer need to visit the lender’s branch office to apply. With a simple loan app with a user-friendly interface, you can conveniently get the required loan while sitting at home. Downloading the app and applying for a loan online takes minimal time and effort.
  • Direct Disbursal to Your Bank Account: Sometimes, even after loan approval and offer acceptance, the disbursal process might take several days due to additional complications and formalities. However, an online loan app directly disburses the money to your bank account after online verification.
  • Small-ticket Loans: A reputable loan app may offer collateral-free small Personal Loans per your requirements and eligibility. So, don’t worry when you apply for a small-ticket loan using an online loan app.

Points to Remember When Using a Personal Loan App

Keep these points in mind when using an instant loan app:

  • You may get competitive interest rates when applying online. However, compare various loan offers to get the best deal.
  • Enquire the prepayment charges, processing fees, and other additional charges to estimate the total loan cost.
  • Use a Personal Loan EMI calculator to select a repayment tenure with affordable instalments.
  • Check your credit score before applying to avoid chances of rejection.
  • Ensure your chosen app has sufficient encryption and security methods to protect your data.
  • Even if you qualify for a higher loan amount, evaluate your financial requirement to borrow an adequate loan amount.

Online Personal Loan apps are excellent funding solutions that offer quick and convenient access to money. User-friendly interface, 24/7 accessibility, zero paperwork, and fast approvals are some major advantages of using these apps. Select one that best suits your requirements to get instant funds and cover various expenses.

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