An instant personal loan is a form of unsecured loan that is given out by financial institutions. Usually, the terminology refers to loans that can be availed online. The amount of personal loan that will be sanctioned depends upon several factors including the borrower’s employment history, repayment scope, CIBIL score, income level, repayment capacity (Know how much loan you can get on your salary using a personal loan eligibility calculator, etc. In the event of a financial crunch, a personal loan can serve the pressing needs of an individual.
A borrower can apply for a personal loan in many ways. This includes online applications or a DSA personal loan. Both the aforementioned methods have their advantages.
Advantages of an Online Applications
- User-Friendly Apps and Websites
Today, almost all NBFCs and banks have a user-friendly app and website interfaces. You can apply for an instant personal loan without ever having to leave the comfort of your home.
Thanks to the user-friendly web designs that help visitors navigate the digital terrain with ease, availing an instant personal loan online has never been easier. Additionally, lenders, through their websites and apps, provide complete information on the types of personal loans offered.
You can also reach out to customer service through these digital applications. Salaried applicants can download SMFG India Credit InstaLoan app today to experience the joy of digital finance!
- Paperless Applications
These days, online applications for an instant personal loan routinely require minimal documentation. Borrowers are no longer burdened with a plethora of forms to fill or documents to submit.
You can simply upload digital copies of a handful of their personal loan documents on our mobile app or website. Once approved, the funds are directly credited to your registered bank account.
- Faster Turnaround Time
Online applications remove the human element from the process. The lack of manual intervention also reduces the chances of errors drastically.
Modern automation has further reduced the time it takes to process an instant personal loan application, leading to faster disbursal of money to the borrowers.
- Ideal for Emergencies
Most borrowers avail an instant personal loan to address urgent financial needs such as a medical emergency, avoid insolvency, etc. In such dire situations, time is of the essence. The faster the loan seeker can procure the funds to meet the financial obligations, the better.
On such occasions, the online application process for the instant personal loan is a godsend to individuals reeling from the burdens of financial pressure.
Must Read: A Complete Guide of Personal Loan Glossary & Terminology
- Compare and Choose
One enviable advantage that online applications for personal loans offer borrowers is the power to compare and choose. Loan seekers can now search online for instant personal loan processes that suit their requirements more efficiently.
If you visit a retail outlet or a registered agent, you will be familiarised with the products offered by a single lender.
However, when you research online, you can look up different types of personal loans from multiple lenders.
There are even sites that provide a comparative analysis of loans on offer from multiple lenders depending upon your amount and tenure of choice. All this will aid you in making a more informed decision.
Advantages of a DSA Personal Loan
- Doorstep Service
Most consumers are conservative, especially when the product on offer is money. Traditional borrowers prefer an in-person interaction over trusting a bot when a large sum of cash is expected to exchange hands.
When you approach a DSA for a personal loan, he or she will offer doorstep services. Armed with all the requisite forms and information, they visit the homes of the loan seekers to make their lives easier. They guide the hesitant borrowers to make the right decisions, answer all their queries and assuage their anxieties.
- Application Process Assistance
Sometimes, borrowers fail to gain approvals for their loan applications for no fault of their own. Even though they are creditworthy, loan seekers are rejected because of errors in their application process.
A knowledgeable DSA for a personal loan will guide borrowers, offer invaluable advice and ensure that there are no hassles with the application process.
- Approval and Credit Score Guidance
When an application for a loan gets rejected, it adversely affects the credit score of the borrower. An experienced DSA for a personal loan can help avoid such a scenario.
By adequately guiding a loan seeker through the application process, a DSA for a personal loan will ensure the highest probability of instant personal loan approvals.
Must Read: How to Apply for a Personal Loan Online?
- After Sales Service
After you have submitted your loan application form online, there are often no human touch points where you can follow up to know the status of your application.
When you avail of a DSA personal loan, the latter may at times, act as a relationship manager. They are with you every step of the process till the loan is successfully disbursed.
Points of Caution
Please note that a DSA is not an authorized representative of the lender. Hence, it is absolutely essential that before you sign the loan agreement, you are in full understanding of the terms and conditions pertaining to your loan. If you are not sure and would like to know more, please don’t hesitate to contact your lender directly.
As is evident, both channels of application have their unique advantages. Customers who are tech-savvy and prefer a loan on the go will favor online applications over more traditional ones. Conversely, loan seekers who are more conservative and prefer the human touch will prefer a DSA personal loan.
As long as the loan amount, repayment tenure, personal loan interest rate, and other terms and conditions of the instant personal loan agreement are favorable, borrowers can choose any mode of the channel to apply for a loan.