FIRSTmoney vs. traditional personal loans

With varied credit options, digitally available, the personal loan market in India has seen significant growth over the years. The need for immediate access to funds has driven borrowers to look for lenders that offer a simplified loan process with beneficial terms, forcing them to look beyond traditional personal loans. This makes IDFC FIRST Bank’s smart personal loan FIRSTmoney, an industry-first proposition with excellent  credit scores, of 730 and above, an alternative that is tough to ignore.

If you are a borrower looking for a personal loan and are weighing your options before choosing the best one, go through this blog to learn all about FIRSTmoney and how it offers much more than a standard personal loan. 

Key differences between FIRSTmoney and traditional personal loans
 

Wondering how FIRSTmoney differs from traditional personal loans? Let's find out!

• Digital Application process
  

  The application process for traditional personal loans can be quite time-consuming. This is because the physical paperwork and in-person verification processes are often mandatory.  FIRSTmoney streamlines this process with a 100% digital approach, and the funds are disbursed instantly to your bank account without any delay.

• Multiple Withdrawals
  

  Traditional personal loans have a fixed structure. Once the amount is disbursed, you can't access more funds without applying for a new loan. FIRSTmoney's credit line offers high flexibility, as you can withdraw funds multiple times up to your credit limit whenever required.

• Flexible Repayment
  

  With traditional personal loans, interest accrues on the entire loan amount immediately upon disbursement. This can be expensive if you don't need to use the entire loan amount. FIRSTmoney charges interest only on the amount you use. For example, if you are approved for a credit line of up to ₹10 lakhs but only utilise ₹50,000, interest will only be charged on the ₹50,000 you have used and not the entire sanctioned credit line.

• ZERO Foreclosure charges
  

  Traditional personal loans usually include a penalty if they are foreclosed. This foreclosure charge discourages borrowers from clearing their debts sooner, even when they have the funds. With FIRSTmoney, it is possible to foreclose the loan in full without incurring any additional cost.

• Repayment tenure
  

  The tenure of regular personal loans is usually fixed and ranges from 1 to 5 years. With FIRSTmoney, you can select a period starting from as short as 2 months ranging up to 60 months.

What are the benefits of FIRSTmoney smart personal loans?
 

Here are some advantages you can expect with FIRSTmoney:

• Multiple withdrawal facility
  

  FIRSTmoney lets you borrow any amount in multiples of ₹5,000 up to your full credit limit almost instantly. Whether you want to withdraw the entire amount up to your credit limit or in instalments of ₹5,000, the decision is entirely yours.

• No foreclosure charges
  

  FIRSTmoney has a ZERO foreclosure charge policy. This means that you can repay your loan early without incurring additional costs.

• No maintenance charges
  

  Once you apply for your FIRSTmoney loan, you will get a credit limit based on your creditworthiness. There are no maintenance charges on your sanctioned credit line.

• Instant approval and quick disbursements
  

  You can apply for a FIRSTmoney smart personal loan through a 100% digital process and enjoy a quick approval and disbursal. Once your documents are verified, you can get your credit line sanctioned. After that, you can start withdrawing funds to handle your expenses.

How to apply for a FIRSTmoney smart personal loan?
 

Follow these simple steps to apply for a FIRSTmoney loan:

• Start by scanning the QR code or clicking loan from your smartphone.
• Register using your mobile number and confirm basic/personal details to check your eligibility.
• Select the loan amount of your choice starting from as little as ₹5,000 up to your full credit limit and choose flexible repayment terms.
• Link your bank account where you wish the funds to be disbursed.
• Complete the video KYC verification process with your physical PAN card.

FIRSTmoney - A wise alternative to traditional personal loans
 

IDFC FIRST Bank’s FIRSTmoney gives personal loans a modern twist. With benefits like affordable interest rates, quick disbursals, a completely digital application journey, flexible repayment tenures, and no foreclosure charges, this loan proves to be a smart borrowing option that you need to consider. Say goodbye to the limitations and restrictions of traditional personal loans by applying for a FIRSTmoney loan today! Both Salaried and Self-Employed Individuals can apply.