Fullerton personal loan
Personal loan is the one of the few loan product for which you do not have to provide any collateral security to the lender and thus comes handy to the people who need some funds for meeting any emergency. Amongst the various Banks and Non Banking finance companies providing personal loans Fullerton is very aggressive in this field. Let us understand the need of personal loans and various features of Fullerton Personal Loan.
Why you need to take a personal loan?
The personal loans come handy in case of a medical emergency. The personal loans can also be availed when you suddenly plan for holidays or are buying an expensive product like a motor car. Personal loans also come handy for furnishing you house after you have exhausted all your savings to buy a new house. Some people use the route of personal loan for even financing their margin requirement for a home loan by making simultaneous application for home loan and personal loan so that none of the lender is not aware about the existence of other loan being processed. Even events like sudden marriage of your child may also necessitate you taking a personal loan.
Why personal loan is preferable than the cash advance on credit card?
In case you have a credit card, you can avail the facility of cash advance against your credit card within the limit set for your credit card. It is still not advisable for you to opt for cash advance facility against your credit card due to various reasons. Firstly the amount of cash advance which you get against your credit card may not be just sufficient for your needs as the cash advance limit it is only a certain portion of your credit card limits. Moreover you need to pay processing fee and interest which is around 30% to 36% p.a. irrespective of your credit history and credit score. When you use the credit card to withdraw the cash, there also you have to pay some charges for use of ATM.
Who can apply and what documents are needed?
The Fullerton personal loan is available for salaried as well as self employed people. Both class of people have to submit some basic documents for address proof as well as for identity in addition to fully filled in application form with a photograph.. For proof of identity you can submit any of the various documents like copy of the Passport, Voter ID card, Driving License, PAN Card etc.
For address proof in addition to the passport copy or driving license you can also submit documents like copy of the bank statement, property ownership documents, rental agreement, Ration card, copies of utilities bills like Telephone Bill, Electricity Bill or gas bill. If your age is not proved with the identity or address proof , you will have to submit some additional documents for your age like copy of the passport, PAN card, Secondary Examination mark sheet. You also need to submit the copies of the bank statements or pass book of your active banks account for last six months where your salary/income is credited.
Salaried applicants have to submit copy of Form No. 16 for last three years. Whereas the self employed have to submit copies of the income tax return as well as profit and loss account with balance sheets for past three years. You can make application online as well and upload the copies of the above documents. You can even apply through their mobile app called Fullerton India Instaloan.
Tenure and rate of interest
You can get a personal loan repayable over 12 to 60 months. Longer the tenure lower is the amount of EMI which you will have to pay. The amount of EMI will vary depending on the rate of interest, amount of the loan and tenure.
Since no collateral security is required to be furnished for the personal loan and the lender does not have any asset to take recourse, the rate of interest charged on personal loan is higher than other loans like home loans.
The rate of interest for personal loan varies between 12% to 24%. This personal loan comes with fixed rate of interest so the rate of interest on your personal loan remains fixed for the entire tenure. In case you wish you can prepay your personal loan after you have serviced it for six months. For prepayment of the personal loan, you may have to pay a prepayment penalty as agreed at the time of sanction of the personal loan.
The rate of interest which you will have to pay for Fullerton personal loan shall depend on various factors, most important of those is the employer where you are working in case you are a salaried. In case you are working in a well known company like Infosys, Reliance, Hindustan Unilever Limited, you may get the personal loan at minimum rate of interest. If you are self employed and professionally qualified then also you may get lower rate of interest than a person who is a businessman.
Your credit history and credit score will also affect your ability to avail the Fullerton personal loan and if your CIBIL score is more than 750, your chance of getting the person loan sanctioned goes up with better rate of interest offered on it.The Fullerton personal loan is to be repaid in monthly instalments and the interest is calculated on monthly reducing balance method.
Amount of personal loan and processing fee
Fullerton gives personal loan for a maximum amount of 20 Lakhs for salaried people if you are otherwise eligible based on your income. However in case you are self employed, your loan eligibility can go up to 30 lakhs if your income justifies that you can service such huge loan liability. For getting a personal loan you have to pay processing fee. For a personal loan of Rs. 20 Lakhs you have to pay a processing fee of around Rs. 50,000/-. The processing fee is negotiable and is non refundable even if you prepay the personal loan before completion of the original tenure.