Professional salaried loans are a type of personal loan that is specifically designed for salaried professionals who are working in reputed organizations, such as MNCs, public sector banks, government offices, and private companies. These loans are offered by banks, non-banking financial companies (NBFCs), and other financial institutions.
Professional salaried loans are unsecured loans, which means that the borrower does not need to provide any collateral or security to obtain the loan. These loans are given based on the borrower’s income, which provides the lender with assurance of repayment. The loan amount that a borrower can avail of depends on their income, credit score, repayment capacity, and other factors.
Features of Professional Salaried Loans
Loan Amount and Tenure: Professional salaried loans offer a loan amount ranging from Rs. 25,000 to Rs. 25 lakhs, depending on the lender’s policy. The borrower can select the loan amount and tenure as per their requirement. The loan tenure can range from 12 months to 60 months.
Interest Rates: The interest rate on professional salaried loans is generally lower than personal loans because the lender is assured of the borrower’s ability to repay the loan based on their income. The interest rates can vary from lender to lender and usually range from 10% to 25%. It is advisable to compare the interest rates offered by various lenders before finalizing the loan.
Processing Time: Professional salaried loans have a simple and hassle-free application process. The loan amount is sanctioned within a few hours of the application being submitted. The loan is disbursed within 24 to 48 hours of the application being approved.
No Collateral Required: Since professional salaried loans are unsecured, the borrower does not need to provide any collateral or security to obtain the loan.
Flexible Repayment Options: The repayment tenure for professional salaried loans can be customized as per the borrower’s convenience. Some lenders offer flexible repayment options, such as step-up or step-down repayment options. These options allow the borrower to increase or decrease the EMI amount as per their financial capacity.
Prepayment and Foreclosure Options: Professional salaried loans offer prepayment and foreclosure options, which means that the borrower can repay the loan amount before the end of the tenure. Some lenders may charge a prepayment or foreclosure penalty, while others may not. It is advisable to check the policies of the lender before availing of the loan.
Advantages of Professional Salaried Loans
Easy Approval Process: The application process for professional salaried loans is simple and hassle-free. The borrower can apply online or offline, depending on the lender’s policy.
Quick Disbursal: The loan amount is sanctioned within a few hours of the application being submitted. The loan is disbursed within 24 to 48 hours of the application being approved. This makes it a convenient option for salaried individuals who need money urgently.
No Collateral Required: Since professional salaried loans are unsecured loans, the borrower does not need to provide any collateral or security to obtain the loan. This makes it a convenient option for individuals who do not have any asset to pledge as collateral.
Tax Benefits: The borrower can claim tax benefits on the interest paid on the loan amount under Section 24 of the Income Tax Act, 1961.
Flexible Repayment Options: The repayment tenure for professional salaried loans can be customized as per the borrower’s convenience. Some lenders offer flexible repayment options, such as step-up or step-down repayment options.
Professional salaried loans are a type of personal loan given to individuals who are employed in reputed organizations, such as MNCs, public sector banks, government offices, and private companies. These loans are given based on the borrower’s income, which provides the lender with assurance of repayment. Professional salaried loans are useful for individuals who want to meet their financial needs, such as medical bills, travel expenses, wedding expenses, or any other personal expenses. In this article, we will cover how to be eligible for professional salaried loans, its features, advantages, and the various options available in the market, including Bajaj Finserv App’s professional salaried loan option.
Eligibility for Professional Salaried Loans
To be eligible for a professional salaried loan, the borrower must be employed in a reputed organization and should meet the following criteria:
– Age: The borrower must be between 21 and 60 years of age.
– Income: The borrower’s minimum monthly income should be Rs. 25,000.
– Employment: The borrower must have a minimum of two years of work experience and one year in the current organization.
Once the borrower meets these criteria, they can apply for the professional salaried loan.
Features of Professional Salaried Loans
Here are some of the main features of professional salaried loans:
– Minimum and Maximum Loan Amount: The minimum loan amount that can be availed is Rs. 25,000, and the maximum can go up to Rs. 25 lakhs.
– Loan Tenure: The loan tenure can range from 12 months to 60 months.
– Quick Disbursal: The loan is disbursed within 24 to 48 hours of application approval.
– No Collateral Required: Professional salaried loans are unsecured loans, which means that there is no requirement for any collateral or security.
– Fixed Repayment Amount: The repayment amount is fixed throughout the loan tenure.
– Prepayment and Foreclosure Charges: Some lenders impose prepayment and foreclosure charges, while others do not.
Advantages of Professional Salaried Loans
Here are some of the advantages of professional salaried loans:
– Easy Application Process: The application process is hassle-free and straightforward.
– Quick Disbursal: The loan is disbursed within a short period of time after the application is approved.
– No Collateral Required: Since it is an unsecured loan, there is no need to provide any security or collateral.
– Flexible Repayment Tenure: The repayment tenure can be customized as per the borrower’s convenience.
– Multipurpose: The loan can be used for any purpose as per the borrower’s requirements.
– Tax Benefits: The borrower can claim tax benefits on the interest paid on the loan amount under Section 24 of the Income Tax Act, 1961.
Options Available in the Market
Apart from the Bajaj Finserv App, there are various other professional salaried loan options available in the market, such as:
– SBI Personal Loan: SBI personal loan is a type of professional salaried loan that provides quick financial support to salaried individuals.
– HDFC Personal Loan: HDFC personal loan provides funds to salaried individuals who require money for urgent expenses.
– ICICI Bank Personal Loan: ICICI Bank personal loan offers personal loans to salaried individuals for personal and professional needs.
– Axis Bank Personal Loan: Axis Bank personal loan is a type of unsecured loan given to salaried individuals for their financial needs.
These loans have their features, loan tenures, and interest rates. It is necessary to choose a loan that meets one’s financial requirements and is affordable for the borrower.
In conclusion, professional salaried loans are a type of personal loan that salaried individuals can apply for to meet their financial needs. The loan amount is given based on the borrower’s income, and there is no requirement for collateral or security. The application process is straightforward, and the loan is disbursed within a short period. These loans also offer tax benefits. There are various options available in the market, and it is necessary to choose the right loan that meets the borrower’s financial needs and is affordable for them.