A Quick Guide on How to Optimise Your Personal Loan

Aayushman Pardeshi
2 min readApr 5, 2022

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A short-term personal loan is an easy way out for quick cash. You can borrow up to ₹4,00,000 for 1.5 years and pay it back via pocket-friendly EMIs. A smart analytics-based scoring mechanism called SLQ leverages alternate data sources like social media footprint and education along with the credit score to determine eligibility. The collateral-free instant loan is just a few clicks away with plenty of perks. But you must know how to make the most of the funds to ensure a successful borrowing experience.

● Regular Payments

Besides funding a wedding or vacation, personal loans inculcate financial discipline. Try not to miss the EMIs. Set up an auto-debit facility from your account. This will help avoid penalties or a default status if you exceed the 7-day interest-free grace period. In some time, you will get into the habit of paying the installments on time. There are fewer chances of getting flagged as a customer with a negative profile.

● Timely Payment

Try to clear the EMIs a few days before the due date. Staying up to date with payments will help boost your credit score. It is a great way to optimise a personal loan. An impressive profile ranging between 650–800 increases the chances of getting quick approvals from banks and credit unions for home loans and credit cards. Download the personal loan app from Google Play Store or App Store to apply for the loan hassle-free.

● Save Money

Take a loan to fund your expenses and repay with low-cost EMIs. No need to touch your savings or break your FD or mutual funds. This way, you do not have to impair or compromise your existing life goals. Taking a short tenure also brings down your interest outgo and helps save a significant amount in the long term. Make sure to plan your EMIs well to manage a short-term loan better.

● Maximise the Leftover

Put a portion of your personal loan into a savings account, Bitcoin or an emergency fund. It helps accumulate wealth in the long run and keeps you afloat during rainy days. You do not have to borrow from friends or family. Neither do you have to live a compromised and budgeted lifestyle during high inflation days. This is also a good way to ensure a comfortable retirement without depending on others.

Conclusion

These are simple ways in which a personal loan improves your finances. Make sure the EMI does not exceed 10% of your total income. Up-to-date documentation and good payment history can increase the chances of getting the loan. Get the personal loan app to track and manage the loan status on the go.

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