Here's how to get the best Personal Loan interest rate

You can easily avail personal loans at lower interest rates by maintaining a good credit score and performing your due diligence. Check out our five tips for the same.
 

Wondering how you will arrange funds for your latest emergency requirement? We understand that people can get caught up in a position of urgent financial need at any time. Whether it is for your sibling’s wedding, a small investment you need to make in your home, or for funding an upcoming holiday trip, you can find yourself in multiple situations where you need immediate financial assistance. So, what do you do?

Well, a personal loan should be your go-to solution. But not just any personal loan. The key here is to get the best personal loan deal at the lowest interest rate. This helps you bring down your total liability and avail an affordable EMI scheme that you can oblige comfortably. Here are five tips you can use.

1. Improve and maintain your credit score
 

To get the best interest rate, the simplest thing to do is maintain a very high personal loan eligibility. That often boils down to having a good credit score, usually above 750. The higher your credit score, the more confidence your lender will have in your ability to pay off a bigger loan. As a result, you will get lower interest rates. To maintain a good credit score, always pay off your credit card bills and other EMIs on time.                          

2. Try to close your existing loans, if possible

If you already have a significant chunk of your income going away in existing loans and EMIs, then you are less likely to receive a lower interest rate on a new personal loan. Hence, try to cut down your total liability to less than 40% of your monthly income by foreclosing certain loans before taking on a personal loan. 

3. Research your options thoroughly
 

Market research and analysis will help you greatly in comparing all the lenders and options and settling for the best interest rate. Remember, even a seemingly minute difference in interest rates can mean significant savings. Check if a lender provides instant disbursal or offers a hassle-free digital application process. As such, IDFC FIRST Bank offers instant and paperless personal loan disbursal for all customers. You can also check out reviews, ratings and testimonials online. IDFC personal loan reviews on our website and other portals will give you a fair idea of what you can expect if you sign up for our exciting personal loan offers.

4. Keep an eye out for seasonal deals
 

Keep tabs on your email and SMSs for any festive or seasonal offers from your existing lenders. You can also check your finance apps for any pre-approved personal loan offers and limited-period discounts that you can avail within 24 hours without any documentation! 

5. Utilise your professional network
 

Lastly, you can also bank upon your company’s reputation or job standing to negotiate a lower interest rate for personal loan. Many reputed companies have good relationships with financial institutions, and if you work for one, then you can easily avail better personal loan terms with full confidence.

IDFC FIRST Bank can be a good option for you with our attractive personal loan interest rates starting at 10.75%. We ensure a completely digital, paperless, online application process through our mobile banking app while also giving you the possibility of balance transferring any existing personal loans at affordable rates.

Click here to avail personal loans of up to INR 1 Cr. Let us help you fulfil your personal dreams or assist you financially for any emergencies without any hassle.

Disclaimer

The contents of this article/infographic/picture/video are meant solely for information purposes. The contents are generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances. The information is subject to updation, completion, revision, verification and amendment and the same may change materially. The information is not intended for distribution or use by any person in any jurisdiction where such distribution or use would be contrary to law or regulation or would subject IDFC FIRST Bank or its affiliates to any licensing or registration requirements. IDFC FIRST Bank shall not be responsible for any direct/indirect loss or liability incurred by the reader for taking any financial decisions based on the contents and information mentioned. Please consult your financial advisor before making any financial decision.