Category: Loan

A personal loan and a credit card both allow individuals to borrow money, but they work in very different ways. A personal loan generally provides a fixed amount of money upfront, which the borrower repays over a predetermined period, usually through EMIs. A credit card provides a revolving credit facility that can be used repeatedly…

A personal loan application can be rejected even when the applicant has a regular income. This is because lenders assess several factors before approving an unsecured loan, including credit history, income, employment or business stability, existing debt and repayment capacity. There is also no single eligibility formula followed by every bank or NBFC. A borrower…