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What Is The Credit Processing & Appraisal Of Instant Personal Loan?

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Personal loans are one of the best ways to take care of your financial requirements in the short term. Financial Institutions, like Fullerton India, provide some of excellent schemes for personal loans at very attractive interest rates.

However, there is a complete process to gauge the financial viability of the borrower before the loan amount is disbursed. The basic documents are collected only as per the norms of the RBI. Financial institutions are more interested in the quality of your portfolio i.e. your credit rating when you are taking a loan through a personal loan app.

In this article, we will be discussing the two major concepts of loan processing which are credit appraisal and credit processing.

2 Major Concepts of Loan Processing:

CREDIT APPRAISAL:

Credit appraisal is the process of assessing the various risks creditworthiness associated with repayment of the loan. 

This is a basic exercise to establish mutual trust so that the loan can be taken forward to the final stages of processing. Since there is no collateral in a personal loan, therefore, it becomes necessary for the lender to check for the credibility of the customer.

The fundamental questions asked analyzed by the lender during the processing are:

  • Who is the customer?
  • How much amount they need and when?
  • How will the loan amount will be utilized and for what specific purpose?
  • How will the borrower service the debt obligation?
  • What protection can the borrower provide the bank in the event of him/her unable to meet the agreed obligation?
  • What is the key metrics and how well are they measured, monitored and comprehend?

The five Cs of credit are kept in mind during the credit appraisal.

  • Capacity: Capacity to repay the loan.
  • Capital: To gauge the risk of pitting the capital in the hands of the borrower and deciding on the final amount. 
  • Collateral: Personal loans do not require any collateral. However, this point is taken into consideration while measuring exposure.
  • Character: To know the customer applying through an online loan app in a better way.
  • Common sense: The most subjective of the five criteria where it is one the discretion of the lender to take the final call.

CREDIT PROCESSING:

The entire flow of credit processing can be divided into the following stages.

  • Prospecting: Finding a worthy client who is need of a loan.
  • Pre-approval: Getting to know the basic requirements of the client and to get done with the intial documentation.
  • Loan processing: Risk assessment and credit checks are done in this stage.
  • Credit appraisal: As discussed in the section above.
  • Disbursal: The final amount is handed out to the borrower.
  • Evaluation: Post-disbursal evaluation is done by a central agency to make sure there was no loophole in the entire processing.

This is how the entire credit processing and appraisal is done at the end of financial institutions after you apply through an online loan app. These steps are strictly adhered to in order to make sure that the process is free of any errors or malpractices. Gauging the risk at the end of financial institutions is critical as there is no collateral in a personal loan through an instant loan app.

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All you need to know about how to get the best credit card

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cash limit in a credit card

Since the announcement of the Digital India initiative in 2014, the use of financial instruments such as credit cards has increased significantly. As per recent data, more than 125 million POS transactions were made using credit cards. These financial instruments have played a vital role in increasing the purchasing capacity of Indians by making it possible to convert their transactions into monthly EMIs.

They also come in handy when individuals require funds on an urgent basis to fulfill various requirements. With the growing use of credit cards, the number of financial institutions issuing them is also increasing. Hence, before learning how to apply for a credit card online, individuals must weigh the different options available to choose one that is best suited to their needs.

Guidelines to choose the best credit card

Here are some tips that individuals should consider when opting for a credit card –

  • Joining and renewal fees

When choosing a credit card for the first time, individuals must enquire about the fees that are associated with this financial instrument. Examples of such fees include joining and renewal fees. There are some credit card issuers who waive off the renewal fees if certain criteria are fulfilled by an individual.

  • Additional charges

Credit card issuers impose additional charges in the form of interest on the unpaid outstanding balance. Moreover, they also levy fixed charges on cash withdrawals made using the credit card. Hence, before knowing how to apply for a credit card online, individuals must be aware of the charges that are imposed by credit card providers.

Nonetheless, one of the latest financial instruments, the Bajaj Finserv RBL Bank SuperCard allows its users to make interest-free cash withdrawals. It enables individuals to avail cash from ATMs, without having to pay interest against it for a term extending up to 50 days.

It also offers various other benefits such as emergency loan advance, top-notch security against threats of cybercrime, and more. All these features are instrumental in making it arguably the best credit card among other similar products in the current market.

 

  • Credit limit

Before opting for a credit card, one must enquire about the cash limit in a credit card that is being offered by the provider. If an individual ends up spending more than the amount sanctioned by the card issuer, he or she has to pay the over-limit fees that are charged on the amount exceeding the pre-set limit.

Moreover, utilizing the full credit limit can also have a significant impact on the credit profile of an individual due to an increased chance of default. It is, thus, essential for an individual to know how to use a credit card wisely to avoid paying additional charges and maintain a healthy credit score. Before learning how to apply for a credit card online, individuals need to check their credit score to confirm whether they fulfill this particular requirement.

  • Rewards and benefits

Credit cards come with various rewards and benefits. As an individual starts making purchases using a credit card, he or she begins to earn reward points. These accumulated reward points can later be redeemed to avail a wide range of offers and benefits. The reward points, along with various essential information, are represented in a credit card statement.

Besides rewards, financial institutions like Bajaj Finserv provides pre-approved offers on credit cards. Individuals can utilize these offers to enjoy a hassle-free application process for credit cards, personal loans, business loans, etc. Check your pre-approved offer by filling in some details like your name and contact number.

Make sure to keep the above-mentioned pointers in mind when you apply for a credit card online. Also, look through different card options in the market to avail the one best suited to your needs.

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How to get an instant personal loan through Vijaya Bank in 2021?

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Vijaya Bank is one of the leading public sector banking solutions in India that has set up with its corporate office in Bangalore, Karnataka. Being one of the largest banks in India, Vijaya Bank offers a wide range of personal loan services and preferred banking by all kinds of people for getting a personal loan. For an immediate financial requirement like wedding, medical treatments, home renovation, and vacation, etc.

Features of Vijaya Bank personal loan

Vijaya Bank offers attractive features to a higher loan amount with flexible loan tenure. The key features offered by Vijaya Bank personal loan are as follows:

  • The personal loan offered by Vijaya Bank is multipurpose, with no boundaries on the end-use of the loan amount.
  • It offers an attractive interest rate to the users.
  • Flexible tenures up to 60 months.
  • Easy and simple documentation required.
  • Low processing fee charge
  • Pensioners ensure they can meet any obligation post-retirement.
  • Individuals can apply for the loan amount equivalent to their 18 months of net salary subject to a ceiling of Rs. 6 lakhs maximum and pensioners can avail of 8 months gross pension as a loan.
  • Loan offered to the pensioner they get when they meet any obligation post-retirement.
  • This loan is available for the purchase of consumer durables, clean loan for flexible personal loan expenses.

Benefits of Vijaya Bank personal loan

  • Low-interest rate
  • Long tenure
  • Less paperwork
  • Minimum income requirement
  • No hidden cost and administrative charges
  • Pensioners get attractive offers

Eligibility criteria for Vijaya Bank personal loan

Vijaya Bank personal loan is offered to the loan seeker based on certain parameters. Here are some eligibility criteria to avail of a personal loan from Vijaya Bank are mentioned under:

  • Salaried/pensioners: The personal loan is offered to the applicant must be a salaried individual or should be a pensioner availing regular pension.
  • Age criteria: Vijaya Bank offers personal loans to users who should be a minimum of 21 years in the case of salaried individuals.
  • Service: The applicant should be salaried for a minimum of 4 years of service.
  • CIBIL Score: Credit score is the main factor for approval of the loan. Usually, the user’s creditworthiness is determined by evaluating the credit score for example CIBIL / EXPERIAN score. If the applicants having poor credit score may get rejected.

Documents required for Vijaya Bank personal loan

For obtaining the maximum amount of Vijay Bank personal loan, the users should have the following documents according to the user’s business profiles as follows:

  • PAN Card
  • Filled Vijay Bank online application form
  • Passport size photos
  • Residential address proof
  • Income documents should be submitted as form 16 of the last 2 years, 3 month’s payslip, and 3 months bank statement showing salary credit.
  • ID proof: driving license/passport/ PAN/ Voter ID/ Aadhaar card

Compare Vijaya Bank personal loan with other lenders

Banks Interest rate
HDFC Bank personal loan 11.25%
ICICI Bank personal loan 10.99%
SBI personal loan 10.90%
Axis Bank personal loan 16%
Tata Capital personal loan 11.25%
Bank of Baroda personal loan 11.60%
Fullerton personal loan 12.99%
Indusind Bank personal loan 11.25%
Punjab National Bank personal loan 12%
Aditya Birla personal loan 14%

 

Vijaya Bank personal loan interest rates

Particulars The effective rate of interest
General-Interest rates 13.50%
Processing fee 0.75% of the loan amount + Service Tax
Pensioner- Interest rates 12.50%
Minimum income Rs. 12,000 p.m.
Repayment period Minimum-1 year

Maximum- Up to 5 years

Maximum loan amount For the salaried class- Maximum of Rs. 10 lakhs

For pensioners- Maximum of Rs. 2 lakhs

 

Vijaya Bank personal loan EMI calculator

The EMI of the loan amount can be easily calculated with the Personal loan EMI calculator. This calculator helps in a very quick and simple to calculate the monthly installments payable on the loan amount.  It also takes into consideration of the loan amount, tenure, and rate of interest while calculating through it.

For example, You are applying for a personal loan via Vijaya Bank for 5 years and the interest rate is chargeable on the same is 13% p.a. of the loan amount. To know the monthly installments of EMI and overall payment, take a look at the table below:

Loan amount Interest rate Tenure Monthly installments The total amount of interest Total amount
Rs. 6,00,000 13% 1 Rs. 53,590 Rs. 43,084 Rs. 6,43,048
Rs. 6,00,000 13% 2 Rs. 28,525 Rs. 84,602 Rs. 6,84,602
Rs. 6,00,000 13% 3 Rs. 20,216 Rs. 1,27,789 Rs. 7,27,789
Rs. 6,00,000 13% 4 Rs. 16,096 Rs. 1,72,632 Rs. 7,72,632
Rs. 6,00,000 13% 5 Rs. 13,652 Rs. 2,19,111 Rs. 8,19,111

Eligibility calculator for Vijaya Bank personal loan

For checking the eligibility criteria, you could say that it is easy to avail Vijaya Bank personal loan but you can check the loan amount through this. Thus, the bank ascertains the loan amount using the eligibility calculator. With the given example you can calculate Vijaya Bank personal loan interest rate:

Loan amount is Rs. 1,00,000

Loan tenure is 5 years

The rate of interest for the loan is 13% p.a.

EMI: Rs. 2,275

Your income- Rs. 90,000 and savings –Rs. 45,000

Personal loan eligibility is Rs. 1 lakh x savings/per lakh EMI

Rs. 1 lakh x 45,000/2,275= Rs. 19.78 lakh (Received amount)

Factors affecting Vijaya Bank personal loan

For approving eligibility criteria, certain factors are affecting the loan application with minimum salary and the loan amount eligibility. They are as follows:

  • Location: It is an important factor there is a location for your loan application. It determines the minimum salary amount for personal loan eligibility.
  • Income: The loan amount you will get when there is higher income and it always has an excellent repayment capability.
  • Credit history: The user’s credit history is based on their credit score which is very important to calculate. This primary factor depends upon the loan amount, interest rate, and tenure.
  • Company of the employment: The user should be working in a reputed company with a stable job, this will help you to get the loan with a better interest rate.

Conclusion:

It is noted that Vijaya Bank’s loan provides flexibility in meeting the immediate financial needs of the customer at a very low-interest rate, flexible repayment tenure, factors affecting personal loans, and more. In such a case, the user has a set of experts, available at one’s doorstep to guide the customer and choose the personal loan as per the user’s needs for a personal loan.

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Finance

The Most Famous Antagonists That Played A Forex Trader In Movies

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The Most Famous Antagonists That Played A Forex Trader In Movies

It’s interesting how much we can find out about the world’s history through movies and mainly its economic side thanks to Wall Street, which has inspired the film industry since 1929 (yes!). It will continue to do so as we see significant technology changes, especially after the recession and rise of cryptos. But, let’s see who are the greatest antagonists in the movies we know and ones that should be on our movie list. Some are rather unexpected although they are playing forex traders, since the accent is on the other side of the personality, but is it that disconnected from their job? Is it a consequence of capitalism? Let’s see some top antagonists, who people either love or hate in the movies. 

The Wolf of Wall Street (1929) and The Wolf of Wall Street (2013)

Believe it or not, even though DiCaprio pushed for this film to be made and was impressed by Jordan Belfort’s story, there was another Wolf of the Wall Street called Jim Bradford, a world-class stock manipulator. The Academy Award-nominated George Bancroft played him. Imagine playing such an exciting role where, months before the market crash when the Great Depression started, portrayed the world of obscenity, madness, and manipulation to gain more and more. It’s important to mention the film had sound since it was still a new thing to have talking movies. 

Compared to Dicaprio’s role, there is not much difference if you tell apart different periods. The drive is the same – get more, earn more, be more recognizable and ultimately feel the consequences of this way of life. While Bradford is a real antagonist, Belfort doesn’t seem like that at first. Mostly since he redeemed himself in real life by still working, staying away from suspicious activities – it looks like he learned his lesson after losing almost everything he cherished. Even though we don’t look at Dicaprio’s role as antagonistic, we are witnessing someone with a simple drive leading a better life to become the antagonist in the end, even though he didn’t have bad intentions in the beginning. Is it what Wall Street can bring you if you get money too fast, and don’t process it? And how do you process becoming rich in such a short time?

2. Wall Street (1987)

Don’t worry, not every movie about the stock market has “Wall Street” in the title. This movie is essential antagonist-wise because it depicts the 80s excess where Gordon Gekko is the main antagonist ruthlessly running the corporate market. Charlie Sheen took on Gekko’s protegee Bud Fox’s role, and famous Michale Douglass plays Gekko. You can hate the character of Gekko since many real-life traders inspire him, but in the end, the industry is portrayed with a sentence that follows that kind of life, when Gekko says “If you want a friend, get a dog”. Nobody is your friend if you are working with money.

3. Boiler Room (2000)

Boiler Room is a must – watch a movie for every broker who’s just starting. The main character, Seth Davis, You will not come across a broker who hasn’t seen it or at least heard of it. The antagonist in the movie is the whole brokerage company that Giovanni Ribisi joins, after being busted for running an unlicensed casino. Even though his first job was quite sketchy, he quickly realized what he got into was far more sinister and robbed clients. This movie is based on real experiences. Since writer and director, Ben Younger interviewed many brokers to write the best screenplay he wanted. By the end of the movie, the question is, how far people are willing to go to secure their finances and what becomes too much?

4. American Psycho (2000)

The most famous antagonist where often people don’t even think about Patrick Bateman, played by Christian Bale is an investment banking executive. Yes, we see his “perfect” life and all the expensive things he owns, but we instead connect it with his psychopathic character rather than his job. As he descends into his madness led by his alter ego, in the end, we have to ask ourselves, what is this movie really about? It is still speculated by many is it merely someone with an illness represented in an unorthodox way. Still, maybe it’s another way to show how far people can go if their character is already prone to instability once they gain “everything that is wanted by many”.

5. Margin Call (2011)

Margin Call depicts a whole day before the 2008 financial crisis. There are many big stars in the movie from Kevin Spacey to Jeremy Irons and Zachary Quinto. The film was meant to show us, by the director’s words, the tragedy of lost potential and how manipulated a system can be. 

6. Arbitrage (2012)

Richard Gere was nominated for a Golden Globe Award thanks to his portrayal of Robert Miller, a hedge fund manager who goes on a trip trying to cover up his company’s frauds. He desperately tries to sell his company before everything gets revealed, but life gets in the way, and he becomes even more on the edge when unfortunate events unfold. 

In conclusion

What do you think? Is the case of antagonists in this line of job natural or bound to become one? Maybe it’s both? Where would you draw the line if you were in the same position?

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