Taking a loan with a partner may increase the chances of loans getting approved. Also, you get to share the amount of installments which you would have to pay once the loan has been disbursed. But, as the management says, “Be wise”. Just do not pair up with anyone in order to avail the loans.
Here are top 5 things you should know about the person whom you are considering to be your potential loan partner:
- Credit history: The credit history is a kind of statement or to be subtle, it is a record that talks about things like the number of times the person has taken a loan, the repayment responsibility, the number of times the person applied for loans and the number of times the loans got disbursed to him. It also keeps a track of how many times the person failed to make payments on time. Once you know the credit history of a person, you know his ability to repay. If the credit history is good, go for it. But, if it is not good, look for another prospective partner.
- Credit Score: It is a score which you get in accordance with your financial behavior. If you repay your debts without failures, your credit score increases. It would also give you chances of availing low interest rates. Whereas, if you miss out on repaying the debt on time, and have an outstanding amount on your credit card which still needs to be paid off, your credit score falls. So in short, if you are a defaulter of any kind, your credit score will fall. Having a credit score of about 700 and above helps you get fair chances of getting any loan approved. If your partner has a score like this, you are safe to go with the partner.
- Income: The income of your partner plays an important role. There is a minimum level of income that a person should be earning on a regular basis to have the loan approved. If that criteria is not met, no financial institution would grant you loans.
- Ongoing debts: If your potential loan partner has other ongoing debts or loans, chances are less that you would be granted loans. Having multiple loans is not a popular practice. This gives somewhat a negative impression about the borrower.
- Responsiveness: You can know about the person’s responsiveness with the way he talks and behaves. Having a nascent partner is worthless. You should pair up with an upfront and active partner. This is the kind of person you need.
Also read: How to safeguard contingent financial crisis with Instant Cash Loans
As the interest rates are increasing, people consider taking joint loans as it costs less and bestows the perks of getting money at a lower interest rate and faster instant approvals. Home Credit India also gives out such cash loans. Visit the official website and verify your Aadhaar and phone. Get your loan and accomplish your goals!