Published on Aug 25, 2021Updated on Oct 15, 2026
While preferring to opt for loans to finance one’s needs, a common question that occurs to most individuals is, which form of credit will offer me the most returns at the most reasonable cost? Not all forms of credit are made equal and not every product might be the right fit for your requirements. However, the good news is that the borrower of today has more borrowing options as compared to before. Personal loans and peer-to-peer lending are attractive methods of borrowing, but which option should you opt for? Let’s understand the meaning and the difference between Personal loans vs peer to peer lending:
A personal loan is a collateral-free form of finance that is offered by financial institutions. These funds can be used to fund any of your requirements. The funds are sanctioned as per your eligibility and must be repaid within a fixed tenure as per the terms and conditions in the loan agreement.
Another attractive type of borrowing that might be relatively new to most borrowers is Peer-to-peer lending better known as P2P lending. A major difference between both is the fact that P2P lending enables the borrower to borrow directly from individuals without the requirement of a financial intermediary. These types of loans, in most cases, are offered online and are approved quickly.
If you are considering opting for a personal loan online, here are some reasons why you should consider opting for a personal loan:
Must Read:7 Situations in Which a Personal Loan Can Be Your Saviour
SMFG India Credit’s personal loan eligibility criteria are as follows:
In addition to these factors, we also consider other factors like your repayment capacity, nature of employment, etc. while evaluating your application for a loan.
Must Read: Reasons Why Borrowing Money from Friends is Not a Good Idea
The following are the basic personal loan documents are required to evaluate your eligibility for a personal loan:
If you have decided to opt for a personal loan, click on the “Apply now” button on this page to commence the loan application process. Happy borrowing!
Important Note: This article is for general informational purposes only and may be subject to change from time to time. As product features, eligibility criteria, interest rates, charges, fees, tenures and other terms may be revised as per SMFG India Credit's policies, readers are advised to refer to the latest details from the respective product pages (please select from the top menu). For the latest loan charges, please visit Charges & Fees Link and for the latest Interest rates, please visit Interest Rate Rationale. Please note that final loan terms, disbursement process and eligibility criteria will depend on SMFG India Credit's policies at the time of loan application.
The content of this article is for information purposes only and does not constitute as, an offer or advise to avail any products or services from, or, a commitment to grant any loan by the company. It is not intended to create any rights or obligations against us. All content is provided "as is" without any warranty of any kind, either express or implied & we disclaim any warranty or representation, whatsoever, in regards to the content. Please refer to the Privacy Policy of the company to understand the use, processing and storage of your personal data.
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