India PR Distribution
New Delhi [India], November 14: Wondering whether to apply for a personal loan to meet your home renovation expenses? Unlike home and auto loans, which are for a specified purpose, personal loans give you the flexibility to use the money to cover different expenses.
Instant personal loans have become popular because they are very easy to get, do not involve much paperwork and do not require collateral. Here's a look at using an instant personal loan for home renovation.
How much loan to apply for?
The first and most important step before taking an instant personal loan is to assess the cost of redoing your home. Depending on the purpose of renovating, consider the following when assessing your money requirements:
* Materials and supplies - These may include cement, tiles, paint, fixtures, and electrical components.
* Labour costs - These could include paying the contractor as well as carpenters, painters, plumbers, and electricians.
* Permits - Depending on how extensive your home renovation is, it may require obtaining some permits from the local authorities. These may have some associated charges.
* Equipment and tools - You may need to rent or buy some specialised tools.
* Architect and interior designing
* Outdoors - Your home renovation may include landscaping, rebuilding a fence or making other outdoor improvements.
When preparing the budget for your home renovation, take a little extra as a buffer for unexpected needs. You can even use an EMI calculator to determine the amount you can comfortably repay every month. This will help you decide the loan tenure. Your home improvement personal loan may get you some tax benefits under Section 24 of the Income Tax Act. Consider this when deciding the loan amount.
Apply for an instant personal loan only after you have a final figure in mind.
Additional considerations
Getting a personal loan online can be a seamless process if you have everything ready at your end. Here are the most important things that will impact the approval of a personal loan:
Credit score: If your credit score is above 700, you can get the best terms when you apply for an instant personal loan online or offline. If your credit score is lower than this, you may need to pay a higher interest rate. If your home renovation need is not urgent, you can use a credit card to improve your credit score. Whatever the case, it's a good idea to compare interest rates and terms of different lenders before going ahead with a personal loan.
Age: You can apply for a personal loan as an individual or jointly with a family member. None of the applicants should be under 21 or above 70 years old.
Stable income: If you have proof of a stable income, the chances of loan approval are higher.
Citizenship - You can apply for a personal loan for home improvement only if you are an Indian citizen. You could be a resident or non-resident Indian.
Documents needed to apply for a personal loan
Keep all your documents ready to avoid delays in loan approval and disbursal. If you're applying for an instant personal loan online or via a mobile app, keep digital copies of your documents handy. If you intend to visit the branch, carry the originals as well as their photocopies. The documents required to apply for a personal loan are:
ID proof - PAN card, driving license, aadhaar card, passport, voter ID
Income proof - Last 3-6 month's salary slips for employed and income statements for self-employed
If you're taking a joint personal loan, all applicants will need to separately fill out a KYC form, along with the loan application. Ensure that all your documents are complete, correct, and updated. Stay prepared to submit additional documents, such as bank statements, income tax returns, Form 16, etc.
Personal loans help you when money is tight. You can get cash in your bank account within a few hours of loan approval. A great way to manage a personal loan effectively is to keep it in a separate account and track your expenses throughout the home renovation process.
(ADVERTORIAL DISCLAIMER: The above press release has been provided by India PR Distribution. ANI will not be responsible in any way for the content of the same)
(This is an unedited and auto-generated story from Syndicated News feed, LatestLY Staff may not have modified or edited the content body)