Empowering Your Dreams: Understanding Personal Loans and How to Apply

Empowering Your Dreams: Understanding Personal Loans and How to Apply

19 December 2023

In the pursuit of turning dreams into reality, financial empowerment often plays a crucial role. Whether it's starting a business, pursuing higher education, or embarking on a personal project, the availability of funds can be a determining factor. One avenue that individuals explore to bridge the financial gap is through personal loans. Let’s delve into the dynamics of personal loans and understand how they work.

Understanding Personal Loans 
A personal loan is an unsecured form of credit that individuals can use to fund major expenses for various purposes. Unlike secured loans, such as home or auto loans, personal loans are not backed by collateral which means that the approval is based on factors like creditworthiness, income, and financial history. The credit score of an individual plays a crucial role in determining the rate of interest being charged by the issuing authority. If your credit score is greater than 700, the rate of interest charged by the issuing authority might be less.

Key Features of Personal Loans

A few factors to consider

INDIE by IndusInd Bank – Empowering Your Dreams 
Instant personal loans can be a powerful tool for empowering your dreams, but they do have a few drawbacks too. Interest rates are higher as compared to secured loans and they potentially impact your credit score if not repaid on time. Additionally, borrowers may face prepayment penalties and fees, contributing to the overall cost of the loan.  

INDIE by IndusInd Bank offers a flexible credit line offering you instant funds of up to ₹5 Lakh. The feature allows an individual to withdraw the desired amount of money as and when required. Moreover, the interest rate is charged only on the amount used and not the entire credit limit. Not just this, you can choose a suitable repayment schedule making it absolutely convenient! This financial tool provides a safety net for unexpected expenses or opportunities without the need for a new loan application.

Disclaimer: Views are personal opinions of the author.
The information provided in this article is generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances. Hence, you are advised to consult your financial advisor before making any financial decision. IndusInd Bank Limited (IBL) does not influence the views of the author in any way. IBL and the author shall not be responsible for any direct/indirect loss or liability incurred by the reader for taking any financial decisions based on the contents and information.