Personal loans have grown immensely popular in India over the last few years. A lot of it can be accredited to increasing adversities during the global pandemic. Many people lost their jobs, and most had a pile of medical bills. Personal loans became a lifesaver in these challenging times. It’s a great way to meet urgent financial obligations without depending on your savings. Personal loans are unsecured loan products, meaning you don’t have to provide collateral to get the loan. It has helped many people who couldn’t deposit collateral to get a loan.
Why take a personal loan?
A personal loan can be taken to meet a wide range of expenses. It is a multi-purpose loan, and the lenders impose no restrictions on its end-use. Unlike other loans (home loans), they can be used to cover all expenses. There is also a personal loan for CIBIL defaulters. Let’s look into what people usually take a personal loan for.
- Medical expenses
Medical emergencies can happen at any time. Unfortunately, most of us are not always financially prepared for them. In such situations, a personal loan can be of great help. You can quickly pay your medical bills in full and repay the loan amount using an affordable EMI plan.
- Wedding
Weddings in India are grand and expensive. At times, expenses can exceed our planned budget. A personal loan can help you meet the wedding expenses with ease.
- Education
Higher education is costly, and without higher education, it’s tough to have stable employment. Personal loans can be used to finance higher education if needed.
Also Read: Is it Possible to Take a personal loan without an income proof?
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