"Find out how long-term personal loans can reduce your financial stress. Know the details and apply personal loan online with My Mudra."
Published: 2 May 2024
Updated: 2 May 2024
Long-term Personal Loans are distinguished with extended repayment periods, ranging from two to five years. These types of loans allow the borrower to repay the loan amount in a longer period with lower monthly payments. Long-term personal loans maintain the Debt-to-income ratio and also are considered the better option for applicants with less monthly salary. Apply for personal loan online and get many benefits including fast approval of personal loans. In this blog, you will majorly get to know about personal loans, long-term personal loans, short-term personal loans, their features, and many more things.
Loan repayment is the period between the disbursement of the loan amount and the last EMI paid. You can select your repayment tenure according to your capacity to repay the loan back on time.
You can extend the repayment tenure in the following situations:
Increasing your loan tenure reduces your financial burden and this helps you maintain a good credit score. However, keep in mind that your total interest will be higher during the entire loan tenure, in comparison to the situation when you opt for a shorter repayment tenure. Hence, assess your financial needs carefully and consider all the factors that influence your loan conditions before deciding on your personal loan tenure. Consider opting for My Mudra personal loans to enjoy competitive interest rates for tenures of up to 5 years. Use the My Mudra personal loan EMI calculator to calculate the monthly EMI you will be able to pay comfortably.
Some of the important features of Long-term Personal loan are discussed below:
Long-term personal loans have longer tenure so borrowers have to pay lower monthly payments, they get enough time to repay the loan amount, which helps the borrower manage the monthly expenses swiftly. Lower monthly payments help to balance and lower the debt-to-income ratio.
If you are willing to get a higher personal loan amount then opting for a long tenure can be helpful to you. Longer tenure means you have enough time to pay the higher amount comfortably without feeling a financial burden. My Mudra offers a personal loan of 12 to 84 months. You can easily get a personal loan of up to 90 lakh through My Mudra at the best interest rates for personal loans.
While long-term personal loans offer lower monthly EMI payments, they tend to increase the overall interest rate over the total span of the personal loan due to the extended repayment period. Borrowers should carefully see the total interest that is to be given before borrowing and committing to a long-term personal loan.
A long-term personal loan comes with a higher loan amount which can be used for major personal expenses such as home renovation, marriage, education, or even debt consolidation.
When you are deciding to opt for a personal loan, it is essential to consider your financial needs, terms, and repayment capabilities. Ask yourself the following questions to examine the best loan option for you:
What is the purpose of applying for a personal loan?
Is the purpose for a major expense that requires a larger loan amount and longer repayment tenure, or is it for a short-term need that you can repay quickly?
Can I afford the monthly EMIs that are associated with a long-term loan?
Am I willing to repay the loan amount with such a high-interest rate, as the tenure is longer?
By carefully examining these factors and comparing the features and benefits of personal loans, and answering all the questions you can make your final decision that perfectly aligns with your financial situation and goals.
If you’re looking for an instant personal loan at competitive interest rates, then do check out My Mudra Personal Loan which is specially designed to fit into the personal needs of individuals as per their lifestyles. With My Mudra Personal Loan, you get to enjoy instant approval, quick disbursal, flexible repayment tenure options, and many other facilities. That’s not all, its application process is 100% paperless with minimal or low processing fees, we believe in working with full transparency and take care of our customers' security.
