Money may not buy happiness but it can buy just about anything else. Money has now become such an integral part of our life that very few things require no money. It is the basis of all transactions and allows us to fulfill our goals short term or long term, be it purchasing a car or saving up for a child’s education and so on.
In order to purchase the things that make you happy , one requires money and if there’s a shortage of it and depending on the urgency of the requirement, people tend to take up loans to make up for the shortage in money. Personal loans have no per-defined purpose for use and can be used on just about everything, from refurbishing a home to consolidating credit card debt. Banks realize the importance of personal loans and hence offer a variety of personal loans to lure more customers to their bank as opposed to competitors. This gives rise to different interest rates offered by different banks and different value added features to go with it as well.
Features such as unsecured loans, low interest rates and reduction in administration fees are all tailored to make the loans more appealing and attract more customers. But the question that lies beneath is how much of a loan can one take out and what its impact on their financial standing will be.
When it comes to a personal loan, the main question is how much EMI can one afford to pay without making too much of a drastic change in one’s lifestyle. The best way to go about this is figure out the amount required and the interest rate the bank of your choice is offering and what tenure you would like to take up. One should keep in mind the longer the tenure the more interest you would end up paying. If you are eligible for that particular loan based on your net income, you would go online and check for an EMI calculator. EMI calculators will allow you to make a close educated guess as to how much of your salary would go towards paying the monthly installments.
Even though a bank of your liking may offer an attractive interest rate, one should carefully read the fine print and figure out if there are any hidden charges or any conditional requirements. Hence it is important to conduct a self-assessment of one’s current financial standing which will help better evaluate your loan and repayment amount.
An applicant can find out a few key points using a Personal loan EMI calculator such as what the eligibility criteria are and whether or not he/she is eligible. They can figure out what the monthly installments would be for the loan amount they desire and the interest rate levied by the particular bank of your choice. However a personal loan EMI calculator does not tell an applicant certain key points such as whether or not the applicant’s application has a chance of being approved or give certainty that the interest rate won’t fluctuate.
The personal loan EMI calculator is an indispensable tool if a person decides to take up a loan but one should be aware that in reality there will be a difference in what the EMI calculator states and what EMI a borrower would end up paying. Hence provision should be made in one’s financial planning to make room for this.
In order to purchase the things that make you happy , one requires money and if there’s a shortage of it and depending on the urgency of the requirement, people tend to take up loans to make up for the shortage in money. Personal loans have no per-defined purpose for use and can be used on just about everything, from refurbishing a home to consolidating credit card debt. Banks realize the importance of personal loans and hence offer a variety of personal loans to lure more customers to their bank as opposed to competitors. This gives rise to different interest rates offered by different banks and different value added features to go with it as well.
Features such as unsecured loans, low interest rates and reduction in administration fees are all tailored to make the loans more appealing and attract more customers. But the question that lies beneath is how much of a loan can one take out and what its impact on their financial standing will be.
When it comes to a personal loan, the main question is how much EMI can one afford to pay without making too much of a drastic change in one’s lifestyle. The best way to go about this is figure out the amount required and the interest rate the bank of your choice is offering and what tenure you would like to take up. One should keep in mind the longer the tenure the more interest you would end up paying. If you are eligible for that particular loan based on your net income, you would go online and check for an EMI calculator. EMI calculators will allow you to make a close educated guess as to how much of your salary would go towards paying the monthly installments.
Even though a bank of your liking may offer an attractive interest rate, one should carefully read the fine print and figure out if there are any hidden charges or any conditional requirements. Hence it is important to conduct a self-assessment of one’s current financial standing which will help better evaluate your loan and repayment amount.
An applicant can find out a few key points using a Personal loan EMI calculator such as what the eligibility criteria are and whether or not he/she is eligible. They can figure out what the monthly installments would be for the loan amount they desire and the interest rate levied by the particular bank of your choice. However a personal loan EMI calculator does not tell an applicant certain key points such as whether or not the applicant’s application has a chance of being approved or give certainty that the interest rate won’t fluctuate.
The personal loan EMI calculator is an indispensable tool if a person decides to take up a loan but one should be aware that in reality there will be a difference in what the EMI calculator states and what EMI a borrower would end up paying. Hence provision should be made in one’s financial planning to make room for this.