Digital Personal Loans in India

The presence of digital personal loans in India has heralded the digital era. Gone are the days when the process of applying for a loan was synonymous with pile-high paper works and multiple visits to the bank. Today you can apply for one sitting in the comfort of your home. The extensive paperwork to has been replaced with the facility to upload copies of the document and extensive usage of secured sites. For digital personal loans in India, it is best to take them from Fintech companies like Qbera that offers excellent digital features.

The increase in the number of small households has ensured that there is never ending demand for instant personal loan. Personal loans are collateral free loans and so there is no requirement to pledge any kind of asset with the lender. This particular feature is very useful for individuals who do not possess any kind of asset. Digital personal loans are classified under unsecured loans and are considered high-risk, which explains the slightly higher interest rate that they carry.

Features of digital personal loans in India

The most important feature of a digital loan is the complete digital form of loan application, document submission, verification, and disbursal. All aspects of a loan granting process are done online. There are a few hard copies of documents such as Aadhar card, cheques leaves, photographs and PAN card that are collected by an executive of Qbera. Barring these, the entire process is digitized.

CIBIL score forms the crux of a loan lending decision as it gives lenders an insight into the creditworthiness of an applicant. While banks prefer a score of 750 and above, Fintechs like Qbera processes applicants with a score of 600 as well. This is like a boon to people with marginally low credit scores.

Persons in the low-income category find it extremely hard to secure an unsecured loan. Even if they have a regular monthly salary, they are denied loans. Lenders of unsecured loans expect the borrower to repay the loan form salary and so do not usually entertain persons with low income. Qbera, however, does consider applicants with a monthly salary of Rs 18,000 as well.

Another category that finds difficulty in securing a loan are individuals in rented accommodations or shared accommodation. The absence of a permanent residency is considered as a risk factor prompting banks to reject their loan application. Qbera does consider such applications.

Manageable interest rate and long repayment tenure ensure that a person with Qbera digital personal loan is not overstretched while paying monthly EMIs. Long tenure helps in bringing down the monthly payouts.

So, the basic eligibility criteria are-

•    You must be a salaried individual

•    You must have a min net salary of Rs.18 000/-

•    You must be above 23 years of age and less than 55 years

•    A minimum CIBIL score of 600 and no defaults in the last 24 months