According to a report by World Bank, the Indian middle-class today is willing to spend more and more on education, leisure, consumer durables, telecommunications etc. This is because digitization and technological advancements have made the access to credit or getting a cash loan more simplified for consumers. Fintech companies have made it possible for the consumers to apply for a loan from the ease of their homes and get the loan disbursed in a matter of few minutes into their bank accounts with just a few clicks.
Online loans are literally changing the banking experience & landscape. Read more.
The personal loan segment of India has grown extensively over the years due to increasing popularity of digital finance in the country which has made loans accessible to almost every Indian. A data released by Reserve Bank Of India suggests that personal loans registered the highest growth in all sectors. There was an increase of 20.4 percent in February 2018 as compared with an increase of 12.0 percent in February 2017.
Today, with the help of online finance providers, consumers can avail benefits like minimum documentation, quick verification, faster approvals and instant disbursal of a personal loan to their saving accounts which is why personal loans have become the most sought-after loans in India.
Personal loans have proven to be extremely helpful in unforeseen circumstances. These loans are unsecured loans which means you don’t need to provide a collateral to avail it. Also, many consumers find the flexibility of personal loans to be the key perk i.e. consumers have a discretion over what they would do with the loan (legal, of course!).
Here are few ways one can use a personal loan:
- Unexpected medical emergency– Personal loans come as a great help when there is a medical emergency or an unexpected hospital bill.
- Home renovations– Personal loans can be utilized for renovating homes or to make necessary home improvements
- College Fee– School or college education fee can burn a hole in your pocket. A personal loan helps you to pay for the educational expenses.
- Wedding expenses– Personal loans help a great deal to manage wedding expenses thereby reducing your stress
- To pay other bills– Personal loans can be used to consolidate various types of debts such as credit card bills, legal bills, medical bills etc.
- To plan a Vacation– If you are planning to take a vacation without going broke or maxing out your credit card, availing a personal loan is the best option.
- Purchasing a vehicle– If you need finance to buy a vehicle, you can avail a personal loan from online finance providers.
The ease of availing personal loans from digital lenders today is helping more and more people to not just meet their needs but also fulfill their desires. In the latest report submitted by ICRA (Investment Information and Credit Rating Agency Of India), the consumer durable market is all set to grow at a rate of 21-24% per year because of instant and easy loan schemes offered by online finance providers to their customers. Easy and quick loan disbursals with flexible repayment options from digital lending companies like Homecredit is helping people today to spend on anything they want without worrying about burning a hole in their pockets.