Czech massage anal porn video df6 org pornn fh18 net vk porn
casino siteleri
Partner Hattı Kurtköy Escort Kızlar Beylikdüzü Bayan Escort Escort Anadolu Yakası Taksim Eskort Aksaray Eskortlar Escort Bodrum
Türkçe Mp3 İndir

Padişahbet Pusulabet Betvakti Celtabet Bahis Siteleri Casino Siteleri Bahis Siteleri Milosbet Bet10bet Kalebet İkimisli Onwin Hilbet Betmatik Prizmabet Liderbahis Modabet İkonbet Onwin Casinoslot Belugabahis

BusinessFinance

Smart Things To Consider Before Opting For Personal Loan Balance Transfer

This facility is usually availed by borrowers when the existing rates become unaffordable, or the rate charged by other lenders is more profitable. Loan is a process where the remaining loan balance is switched from one lender to another. Here, the outstanding balance is to be repaid to the new lender, servicing the new interest rates. Loan balance transfer is also known as loan refinancing. A Personal loan balance transfer is an ideal option to reduce repayment burden and save a considerable amount of money.

But unplanned decisions regarding balance transfer can create a mess, leading you to further troubles during loan repayment. Your decision to change a lender must be made after considering certain aspects and loan terms.

What to keep in mind before availing a balance transfer loan?

  1. A nominal drop-in interest rate can impact substantially on loan EMIs. So, make sure the new lender offers a lower rate than your existing one. Ideally, the difference should be over 1% to enjoy substantial savings. Know how to avail better interest rates on an unsecured loan.  

 

2. A loan balance transfer may attract certain charges from both lenders. You need to make a cost assessment as the total cost of switching should not exceed your expected savings on the interest payable. 

3. As per amortisation schedule, EMI outflow is more towards interest payment during the 1st half of repayment period. A loan balance transfer, thus, gives good savings if you avail it early into the tenure. Suppose your personal loan incurs a 14% rate of interest p.a. and has a 4 years’ tenure. In the initial 2 years, over 72% payment will go towards the interests. Shifting the credit to a new lender then makes it gainful.

4. Changes in your expenditure and income in 2020 may require a revision in loan terms as well. If your current lender refuses to adjust, a loan balance transfer can allow you to negotiate for tenure change, prepayment and flexible terms. Maintaining a healthy CIBIL score keeps you on the beneficial side here. 

5. When you transfer a personal loan, new terms and conditions are applicable. Also, there are several fees and charges levied on a loan. So, read the policy thoroughly for charges, prepayment conditions, etc. before shifting.

Must Read: How Do You Check Your CIBIL Score For Free?

Lists of points to remember before choosing a personal loan balance transfer

Often people mistake loan balance transfer as a method for availing better interest rates on a personal loan. However, lower personal loan interest rate is not the only essential requisite for switching loans. A lot of other things must be considered before finally taking the decision to balance transfer. Here are some of those points:

  • Processing and other related charges

Other than the payable interest, there are several different charges and fees levied on a personal loan. Your existing lender or the new lender might charge a certain fee to process the balance transfer. In case these charges involve a significant amount, you must avoid opting for a personal loan balance transfer. Or else, you can opt for lenders who levy zero hidden charges on personal loans.

  • Terms and conditions

Make sure to go through the fine print thoroughly before making any decisions regarding loan balance transfer. Missing any point might lead to paying higher than you actually intend to. You can discuss these points with the new lender beforehand to avoid confusions.

  • Transfer options

Some lenders might ask you to open a new savings account for processing the balance transfer, which is likely to attract additional hassles. You can instead opt for lenders who do not require you to follow on any such steps. You can opt for a balance transfer directly to your existing account to eliminate any such hassle.

  • Check the revised EMIs.

Low interest personal loan might not necessarily help you save money. This is why you must check the revised EMI liabilities of the new loan and tally it with the existing one. You can use a balance transfer calculator to draw the required comparison. Loan tenure also plays a crucial role in this respect. If the new lender provides an extended tenure, you might end up paying higher overall interest than earlier.

  • Added features and benefits

You must never forget to check the add-on benefits which a lender offers on loans. For example, a Flexi-loan facility on personal loans can help you save up to 45%* on EMI payments.

You may opt for the Bajaj Finserv Personal Loan to enjoy maximum benefits at competitive interest rates. They offer existing customers pre-approved offers on secured and unsecured loans. When you avail these offers on a range of financial products and services, you get to experience a simpler, better, and hassle-free application process. Have a look at your pre-approved offers now by entering your name, mobile number, and valid one-time password

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button
casino siteleri slot siteleri