Have you ever received calls or even messages informing you that you are eligible for a Personal Loan? You may also have received an occasional E-mail congratulating you, that you are only a few steps away from securing a pre-approved loan under your name.

However, is it of any significance to take this loan?

But first let’s find out what a Personal Loan and pre-approved loan is.

When you have an excellent credit history and a track record of financial discipline, you may become eligible for a pre-approved Personal Loan.

What is a Personal Loan?

A Personal Loan is mostly an unsecured loan or a type of short term credit. They can be availed from any bank. You can take one for any purpose without the need to furnish any collateral or security.

What is the process for a Personal Loan approval you ask?

A simple set of documentation and quick disbursals of finances have made Personal Loans the preferred choice of loans when an individual is in extreme need of money.

However, there is a faster method to be eligible for quick funding, without any additional document submissions. It is known as a pre-approved loan.

A pre-approved Personal Loan needs minimal to no documentation and or paperwork with the least processing time. It is often offered by banks to existing customers who have a clean credit record. Initial analysis of their financial standing and credibility is carried out to check the track record of clearing old dues and repayment of existing loans. So if you have a proven track record, then you are eligible for a pre-approved loan.

Who is eligible for a pre-approved  Personal Loan?

You should check with your bank or through your online account, whether there is a pre-approved Personal Loan offer available for you.

At times the bank would call to advise you in this regard. Typically if you are a long-standing customer with an excellent existing balance, a substantial saving history, income and decent repayment record . You may be eligible for a Personal Loan faster.

If you are an HDFC Bank customer, you can log in to your NetBanking account and check your eligibility for a pre-approved offer.

Know more about how to calculate Personal Loan eligibility and EMI.

What are the significant features of a pre-approved loan?

The significant features of a pre-approved loan:

• Immediate processing
• Straight forward application practice
• Beneficial interest rates
• Negligible to no paperwork
• Flexibility for the usage of funds

What are the benefits of a pre-approved Personal Loan offer?

• Instant funds
  
  Once the bank specifies your eligibility amount and has proof of your track record, the approval time taken for a pre-approved Personal Loan is nominal, and the funds are disbursed quickly.
  
  A 10 second* disbursal of funds to your account for select pre-approved loan customers of HDFC Bank is available.
  
  However, for non-HDFC Bank customers, the funds are disbursed for a pre-approved loan in under 4 hours*.

• Competitive interest rates
  
  Pre-approved loans at times come with a lower rate of interest. This is because the bank is assured about your ability to repay, given your financial prudence and stability of income.
  
  Since you are a selected customer, the bank will offer you the most competitive interest rates on Personal Loan pre-approval.

• Flexibility of purpose
  
  A pre-approved loan is impressive to the extent that it does not have any usage barriers or any limitations. You can use the funds for any personal requirements, and no questions will be asked on how you spend the money.

• Zero documentation
  
  A pre-approved Personal Loan for an existing customer usually requires no documentation and is hassle-free.

• Online and paperless
  
  When you have a Personal Loan pre-approval offer, you can accept the loan online, without leaving your home or office. All you need to do is contact your bank or a bank representative and request for the funds to be transferred to your account. Moreover, you can log into your bank account online and request for the pre – approved loan there.

• Flexible repayment
  
  Pre-approved Personal Loans allow you to choose the tenure of repayment for the loan. You can choose a tenure that makes for pocket-friendly EMIs.HDFC Bank offers various tenures from  12  months to 60 months, with EMIs at Rs. 2187 per lac* for flexible repayment.

Main factors to consider while applying for a pre-approved Personal Loan:

• These loans may be for a specific period only since they are an Invitation to Apply offer.
• Always inquire about the pre-payment charges and pre-closure charges.
• Find out about zero processing fees.
• Do not forget to compare the available features and interest rates.

So take advantage of the benefits of the pre-approved Personal Loan by applying now! #Startnow!

* Terms & conditions apply. Personal Loan disbursal at the sole discretion of HDFC Bank Ltd. The information provided in this article is generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances.

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