At some point in our lives, every one of us has faced a situation in life where you really need the money and you do not have enough funds to fulfill your requirements. It might be a loss of job, unforeseen medical expenses, or an emergency car repair, an unexpected financial situation can be incredibly stressful. Not having enough money when you need it is not only humiliating but it is depressing as well as frustrating. A small loan offers a complete solution to the requirement of funds during a financial emergency.
Small loans are loans which are borrowed from a financial institution to cover for something right away. They are not only quick but they are also easy to avail and most importantly they are a safe bet. The borrower can borrow any amount ranging from 5000 to 1 lakh and get it directly transferred to their bank account within a short period of time.
Small loans are borrower-friendly and have become the preferred option to raise funds in case of a financial emergency. The following are the reasons why you should opt for a small loan in an adverse situation:
1. Faster Loan Approval:
When applying for a loan a person’s credit score plays an important role in deciding whether the loan will get approved or not, hence making it a tedious option for people who have a low credit score. But small loans have proved to be a blessing for such people especially in case of emergencies. Small loans are not only faster than traditional bank loans but anyone with a low credit score can also avail these loans without any hassle.
2. Quick Disbursal of Funds:
A signature feature of small loans is that they are exclusively designed to help the people get access to immediate funds in case of emergency. A traditional bank can take up to 10 days to get your loan approved. Whereas if you’re opting for a small loan online, you can avail funds within a day or two hence making it a preferred option when in need of fast cash. The funds are credited to your bank account and you can meet your financial emergency with ease.
3. No Documents Required:
Collecting all the documents especially in case of a financial emergency can lead to stress. These days, everyone prefers easy online options and not worry about document submission or spend hours applying for bank loans.
Unlike traditional bank loans, you can easily avail small loans online from the comfort of your home and without going through the stress of any paperwork. All that’s required are a few details and online document submission. Most of the small loans are approved instantaneously and the funds get automatically transferred to your bank accounts within a day or two.
4. Lower Interest Rates:
In case of emergencies, people often tend to borrow money on a higher rate of interest. This often adds to their financial burden. By borrowing money through small loans you do not have to worry about the interest rates. The interest rates for small loans vary from 1.50% to 2.25% per month. With such lower interest rates, you can easily repay the loan amount in installments without having a major burden on your monthly budget.
5. Flexible Repayment Options:
You can choose your preferred payment mode, EMI and the duration when you opt for a small loan. Normally the repayment period ranges between 3 to 12 months or more depending on the lender’s policies.
Apply for a Small Loan
You can easily apply for a small loan by filling out a convenient and secure online application. In this application, you can specify the amount of money required and the preferred loan repayment period. Then you are required to fill in some basic information about yourself for the lender to access your repayment ability. If you have a decent credit score and a steady monthly income, your application is processed immediately. Post-approval your small loan amount will be deposited in your bank account as quickly as 24 to 48 hours.
With easy repayment terms and no hidden costs, small loans have proven to be the best option for people looking for funds in case of an emergency. If you too are facing some kind of financial emergency, visit this website to know more about and avail a small loan easily.