Many of us postpone or cancel our need to purchase something big and important because we run short on cash. This can include buying a new laptop, a new car, etc. At that time, a personal loan for shopping comes in handy. If you don’t know about this type of loan but are interested in getting the best information about it, then keep reading this post.
An Overview of Shopping Loans
As the name suggests, shopping loans are a type of personal loan offered to meet urgent shopping requirements. These types of loans can be availed both online and in-store, however, most people prefer online shopping loans to save their time and effort. It is counted among the most unsecured personal loans. Therefore, an individual doesn’t have to provide any security.
Top 10 Benefits of Shopping Loans for Making a Big Purchase
- Quick loan approval: The biggest advantage of applying for shopping personal loans for your next big purchase is their easier accessibility through online platforms and quick approval. Faster approval is beneficial for people facing budget constraints. You can go through the online application process anytime and from anywhere with complete freedom. However, some companies offer a shopping loan app to streamline the application process. So, there is no hassle of multiple visits to physical offices or banks and waiting in a long queue for loan applications.
- Immense flexibility: Shopping loans are often trusted to provide customers with immense flexibility about repayment options. Customers can select the repayment plan that aligns with their financial goals and budget.
- Chances of reduced interest rates: Interest rates on shopping loans are generally less than credit card interest rates. This is mainly true for borrowers with good credit scores. That’s a reason why shopping loans are considered less risky as compared to credit cards.
- Great convenience: The seamless application process of this type of personal loan reduces the need for professional support. Customers can simply visit the specific website and secure a loan by providing essential information like personal information, contact details, and financial information. The user-friendly online interface provides a simpler and step-by-step guide to the loan application.
- Reduced documentation: The documentation process for shopping loans online is paperless and contactless. In conventional loans, filling up long documents and prolonged verification were the main rules. Online shopping loans, on the other hand, need less documentation, requiring candidates to simply provide their address proof, income statements, and identification proof. For example, PAN card, Aadhar card, residential certificate, ITR, and salary slip. Less documentation saves the time and effort of an applicant and provides them with easier access to credit.
- Available 24 hours 7 days a week: Unlike traditional loans, shopping loans are not limited to certain business or working hours. As mentioned above, these types of loans can be applied for through apps or digital platforms, there are no obstacles spanning your application process several days. Just as online shopping has transformed the way of shopping, an online shopping or personal loan has changed the loan application and approval process, helping customers access credit with great convenience.
- No requirement for any guarantee or collateral: Since shopping loans are unsecured loans, there is no guarantee or collateral required for them. An applicant can easily take this loan to purchase some big items such as an air conditioner (AC), etc.
- Improved credit history or score: Paying off shopping loans due on time benefits an applicant the most by allowing them to develop a good credit score or history. Timely repayment of loans and a positive credit history provide multiple opportunities for future loans. For example, good terms on credit cards and lower interest rates.
- Affordability and peace of mind: Shopping loans are known for their affordability as they assist applicants pay for their costly goods over time. It helps make their big purchases affordable by allowing them to pay for their new item in smaller and more manageable amounts instead of paying the whole amount at once. The affordability, tax benefits, convenience, and flexibility of shopping loans provide an applicant with complete peace of mind. Instead of stressing about how to pay for the cost upfront, they can enjoy purchasing their new asset and get the best experience with no worries of financial burden.
- Option to keep your savings: Last but not least, choosing shopping loans for your new big purchase can be extremely beneficial to preserving your savings. You can secure your savings for unforeseen emergencies when selecting the right shopping loan for your purchase.
Who is Eligible for a Shopping Loan?
An individual will be considered eligible for a shopping loan if he or she meets the following
requirements –
- They need to be an Indian citizen.
- Age more than 21 years.
- Working as a full-time employee in the private or government sector.
- Must have a good credit score.
- Receive a specified salary in a recognized bank account.
- Have at least six months of overall work experience and 3 months of present
experience in the current company.
Conclusion
At the bottom line, choosing shopping loans for a big purchase over traditional loan options can offer you a wide range of benefits. From easier accessibility, all-time availability, convenience, reduced documentation, lower interest rates, and keeping your savings to a good credit score, shopping loans help a person with so many things without any financial stress.
If you are suppressing your need to purchase something due to a lack of finances, then contact us today. At EverydayloanIndia, we are assisting everyone who is eligible and has an ideal salary.
