Feminism is on a high, which means that women all over the world are seeking equality of rights and opportunities available to men. However, the financial requirements of women are different in most instances, which makes sense to offer them customised financial services.
The idea of personal loans for women resonates well with today’s economy that views both men and women on an equal footing. Lenders offer personal loans at lower interest rates to women, thus, lending them the much-needed financial freedom. Described aptly as “the wind beneath the wings”, quick disbursement of the loan amount to women ensures that they can meet their financial needs sans any unwarranted hassles.
Quick loan approval
Lenders advocate quick approval and disbursal of personal loans. A woman simply has to log to the lending company’s website or click on the lender’s mobile app, check for their loan eligibility, fill in the details on the loan application form, submit required documents and await the approval, post which the money gets credited in her account. The amount of loan can be as low as Rs 50, 000 and go up to Rs. 25 lakhs, depending on the purpose for which the loan is being taken. Alternatively, women may choose to use the Personal Loan Eligibility Calculator that will lend a better understanding of the maximum loan that can be sought.
The immediate nature of the loan helps as it allows women greater financial independence while allowing them to take care of their travel expenses during vacation, pay their medical expenses in case of emergencies, look after their home remodelling activities themselves or getting married at their own expense. Moreover, many women have resorted to personal loan financing to repay their nagging education loans, credit card bills and other liabilities at one go.
Flexi loans for all
Unlike other forms of loans like a home loan or a car loan, personal loans are not secured against any asset. It is the unsecured nature of personal loans that makes women more financially secure. Since they are not required to offer any collaterals and take loans at comparatively low rates, the loan amount received helps them attain financial independence at nominal interest charges. However, unsecured nature does not imply that women can default on their loans. Inability to repay the loan amount on time or defaulting on the loan taken from financial institutions would reflect badly in their credit report, thus, affecting their credit score in the long run. A low CIBIL score becomes a cause of concern during application for credit cards or loans in future.
Lenders are more inclined to give loans to working professional women or are self-employed. Like others, women can choose to repay their loans according to a flat rate method or opt for balancing rate method. Irrespective of the choice of loan repayment methods, women are charged a lower rate of interest to relieve them of the burden of equated monthly instalments (EMIs), thus, enabling them to focus on their growth and economic independence. The availability of a personal loan interest calculator online allows women to assess the interest amount they would have to pay on the amount of personal loan taken.
With easy loan tenures available up to five years, women can repay their loans with ease.
Be it financial institutions, all processes starting from application to approval are online. Filling in the required loan amount and necessary loan details ensure that the borrowers have access to the loan amount within three days of loan approval.
“Is the documentation process for personal loans different for women?”. This is a question that many women ask the customer care representatives while inquiring about the possibility of securing a personal loan.
The eligibility criteria and documentation process remain essentially the same for all, irrespective of gender. This means that women seeking personal loans must submit the following before seeking approval on their loan amount.
- Identity proof documents
- Address proof documents
- Last three months’ salary slip (in case of salaried or employed women)
- Last three months’ bank statement (in the case of self-employed women)
Transparency in approach
Women are fearful of lenders looting them or burdening them with extra charges under the pretext of giving them personal loans. However, stringent banking regulations have mandated it for lenders to mention upfront any extra charges, if added to the loan amount. Administration charges or service charges, if any, are added to the loan amount. However, most lenders now refrain from levying extra charges, which means that women borrowing personal loans do not have to pay anything while repaying their loans. With no hidden charges and comprehensible terms and conditions, women are assured of transparency on the personal loans they have sought from lenders.