Different Types Of Loans You Need To Know About

Not everybody has enough cash flow to run their worlds. You may need different types of loans and credit to fulfill your goals and desire like buying a car, funding a start-up, complete education, etc. Here ‘make my money helps you in getting various types of loans from different banks.

These are the types of loans.

  1. Home loans

Own a home is still a dream for many people. So if u are applying for a home loan then, you should know that the amount you borrow for a home loan is bigger so, it comes with long duration to pay off the loan like 20 to 30 years more or less. The interest you will have to pay will be between 8% to 9% per annum. Your credit score and details will be checked and if have everything in line, you will get the loan. You can also use these loans for home renovations, home extensions, purchasing land property, under construction houses, etc.

  1. Car loans

Buying a car means buying your ticket of joy and freedom. A car can really be your partner and also an asset. Your credit scores are important to get you any kind of loan. Check your books, if you have a high credit report or not because it gonna get you the loan. The loan will get approved on low interest say @8.65 %  (approximately) and easy installments. These are secured loans if, you fail to pay the loan, they will simply take your car with no further damage.

  1. Personal loan.

Personal loans are the loans you take to deal with your personal expenses like buying home appliances. The application for this loans are lengthy so the formalities are. The interest rate for these loans is a bit higher between 10% to 13% and the duration to pay off isn’t much longer so taking a big loan can give you hurdles to pay off. These are unsecured loans so, the lender will proof of income, proof of asset, proof of identity, address, etc. Before taking your application of the loan. You will get the results in a couple of days. 

  1. Credit card loans.

Credit card loans are easy to get, you can also fill the form online and get the loan. But these loans come with high interest. If you don’t pay off bills on time, it will keep piling up and then it gonna be hard for you to manage your finance. But if you use this wisely, it’s gonna get you great benefit. 

  1. Educational loan.

Educational loans help you to pay for your educational fees and study higher. If u wish to get this loan, you need to submit your documents like your qualification certificates, your family income proofs, your identity proof, your invitation letter from the university, etc. The interest you will pay will be between 10%-12% p.a. the repayment duration can be between 10 to 15 years.

  1. Loans against insurance schemes

You can apply for a loan against insurance scheme if you have completed 3 years into the scheme. You can attain the amount from your insurer also you can you it as an investment for insurance as collateral.

  1. Loan against fixed deposits.

You can avail this loan up to 80% of your fixed deposit. However, the interest will be higher than your fixed deposit rate.

  1. Loans against mutual funds and share.

You can avail a loan against your mutual fund value and share value by a certain lender. But this type of loan does not provide you a huge amount. 

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