Types of Personal Loans Offered in India by My Mudra

The need for extra cash can arise at any time–whether it’s an urgent expense or a long-planned goal. In such a situation, instead of putting your dreams on hold and pushing the financial responsibility away, take the challenges head-on with personal loans! They are your financial saviour, offering you quick access to funds without letting you drain your savings. However, not all of them are the same. So, how do you decide which types of personal loans are the ideal choice for you? 

Making a wrong choice could mean paying more than what’s necessary. So, allow My Mudra to break down things for you. Through this blog, understand what makes personal loans so popular, what their types are, and more. 

What Makes a Personal Loan So Popular: Top Features

Wondering what makes a personal loan or credit a go-to finance solution? The answer is simple–it’s unique features that offer several benefits. Find them listed below:

1. No Collateral Required

Personal loans are unsecured. That means borrowers do not have to keep anything as collateral, i.e., an asset as security with the lender. It makes these financial instruments more accessible for every individual, including even those who do not possess any valuable collateral. 

2. Flexible Use

Unlike car or home loans, which are used for specific purposes, personal loans offer a flexible use. In fact, there are different types of personal loans available today. From medical and travel to even marriage loans, there are different options. Thus, borrowers can choose according to their financial needs. 

3. Quick Approval

Today, personal loans are getting approved instantly–thanks to digital processing. The borrowers just have to meet the eligibility criteria of the lender. It further speeds up the disbursement process, making the application a stress-free experience. 

4. Minimum Documentation

Although there are different types of personal loans, they have one thing in common–minimal documentation requirements. It means less paperwork for the borrower. Digitisation further simplifies the process.

5. Customisable Tenure

All personal loans allow borrowers to personalise their repayment tenure according to their financial situation. It significantly helps in reducing the financial stress on the borrower’s wallet. Long tenures result in lower EMIs, while short tenures allow you to enjoy lower interest rates.

One Loan, Several Needs: Types of Personal Loans On My Mudra

At My Mudra, we understand that every individual has different financial requirements. Resonating with this, we bring you our range of popular personal loans tailored for different goals:

1. Medical Emergency Loan

Facing financial burden due to medical costs? Take a deep breath, relax and turn to our medical emergency loan! Be it anything–emergency surgery, hospitalisation costs, or even diagnostic tests, we offer funds to help patients meet their medical needs. Our personal medical loan also covers medication and other related expenses. 

2. Marriage Loan

Planning a dream wedding is exciting, but the expenses can be too high sometimes. It is here that My Mudra helps you with an easy personal marriage loan. From venue and catering to even honeymoon trips, we offer you funding for everything. With our loan repayment flexibility, celebrate love and leave the rest to us.  

3. Travel Loan

Don’t let a lack of funds hold you back from exploring your dream destinations! With our personal travel loan, embark on your favourite journeys and getaways, and we will cover your travel expenses. Make payments later in instalments without stressing your pocket.  

4. Advance Salary Loan

Do you have to meet unannounced expenses before payday? Our salary advance loan has you covered. Designed specifically for salaried individuals, these loans offer instant access to funds. Their repayments are linked to a borrower’s upcoming salaries, ensuring monthly finances aren’t disrupted. 

5. Personal Overdraft Loan

Not having enough bank account balance to meet the expenses hurts. However, with our personal overdraft loan, you can access extra funds whenever you need. You can also extend the overdraft facility up to 84 months. 

Factors to Consider Before Applying for Personal Loan

With various types of personal loans available online, choosing the right one requires careful thought. Thus, before you proceed with your application, consider the following key factors:

1. Know Your Needs

Different types of personal loans are available. Borrowers need to decide which type of loan they want–medical, travel, or any other personal loan. As different loans feature different benefits, interest rates, and repayment terms, clarifying your needs helps you make the right choice. 

2. Check Your Eligibility

Before applying for personal credit from any lender, check whether you comply with their eligibility criteria. Also, ensure you have a good credit score, preferably 700 or above, to show ideal creditworthiness. All these factors make loan approval easy.

3. Determine Repayment Capability

You obviously don’t want to struggle when paying off your loans. So, it’s better to verify your repayment capability to know whether you can afford the monthly EMIs. Thus, use our My Mudra Personal Loan EMI Calculator to make an informed loan application.

4. Consider Interest Rates and Other Charges

When choosing a personal loan, compare interest rates and other costs, like loan processing fees and prepayment and stamp duty charges. Once you identify an option that suits your requirements, choose without any delay. At My Mudra, the following are our top lenders for personal loans:

How to Apply for a Personal Loan On My Mudra

After exploring the different types of personal loans, you are surely going to have clarity about which credit option suits you best. Whichever option you select, follow the steps below to make an application with us:

Step 1: Visit My Mudra Website

Once you are on our official My Mudra website, navigate to the ‘Loans section.’ Thereafter, click on the ‘personal loan’ tab. Various types of personal loans appear in the drop-down menu; select according to your requirements. 

After you select a loan type, you are directed to the relevant loan’s web page, where you must click on the ‘apply now’ option.

Step 2: Fill Out a Form

Complete your loan application by providing the relevant information in the online form. Provide accurate personal and financial details to avoid any delays in processing and disbursal. You may also be asked to upload certain documents. Click on the ‘submit’ option once you have entered and reviewed your details.

Step 3: Receive Instant Approval

After the form submission, your loan application will be evaluated by automated checks. If you meet all the eligibility criteria, you will receive an instant approval. Our fast digital processing ensures you receive access to funds faster. 

Step 4: Get Instant Disbursement

After the loan approval, the amount is directly credited to your bank account. Such a hassle-free transfer enables you to use the funds immediately and meet your financial requirements on time. 

If you have been wondering about how to get a personal loan online, allow My Mudra to assist you with the 4 simple steps above. We ensure our user-friendly interface makes the process even more smooth for you.

Conclusion

As there are several types of personal loans available on My Mudra, choosing the right one requires an understanding of your financial situation and needs. Know what the purpose of each loan is and whether it aligns with your requirements; accordingly, make a choice. Also, always consider factors like interest rates, eligibility, repayment capacity, etc. So, take the financial leap–apply for a personal loan with us now and achieve all your goals promptly. 

Frequently Asked Questions about Different Types of Personal Loans 

1. What are the documents required for a personal loan application?

Ans - When applying for personal credit, borrowers may require basic KYC documents like Aadhaar and PAN card. Also, keep past 6 months’ bank statements, salary slips (for salaried employees), and passport-size photographs handy. 

2. What is the minimum salary requirement to be eligible for personal credit?

Ans - It actually depends on the lender. Most financial institutions have a minimum requirement starting from ₹25,000 per month. It makes the loans accessible to a majority of borrowers.

3. How to use a personal loan EMI calculator?

Ans - When using a personal credit EMI calculator, you must just enter three details: loan amount, tenure in months, and rate of interest. The digital tool calculates your monthly EMI payable amount in seconds.

Also read: Get ₹20 Lakhs Personal Loan with Low Interest Rates