Loans
21st century consumers in India have seen Banks and Non-Banking Finance
Companies (NBFCs) in India
·
Housing Loans (also known as Home Loans) to fund the purchase
and/or construction and/or repairs and renovation of a house along with the
land surrounding it or even the purchase of a flat in a residential apartment.
·
Commercial Property Loans to fund the purchase of immovable property for commercial
purposes.
·
Car Loans (also known as Auto
Loans) to fund the purchase of a new or a used car.
·
Education Loans to fund further studies.
·
Multipurpose Loans where the loan amount can be used for any purpose. Most
typically, loan amounts greater than Rs 10 lakes are either used for funding a
business (popularly called Business Loans) or for funding higher studies of
children. Multipurpose loans for amounts less than Rs 5 lakes are often used
for funding wedding expenses (own or sibling) or for funding an overseas
holiday. More importantly multipurpose loans may be further classified based on
the collateral offered.
- Personal
Loans : These are completely unsecured loans (meaning no
collateral has to be provided by the borrower). These attract high rates
of interest which banks are known to negotiate for customers matching
their target profiles.
- Loan
Against Property : The collateral pledged here
is an immovable property (either residential or even commercial). These
are cheaper than unsecured loans since the bank perceives a lower risk,
but they are costlier than Home Loans as the purpose of using money is an
unknown
- Loan
Against Security : The collateral pledged here
is a financial asset such as stocks/ bonds/ fixed deposit
- Loan
Against Gold (also known as Gold Loans): The
collateral pledged here is gold jeweler.
Mrbrain advises consumers to borrow responsibly.
It is important that we remember that a loan taken is the same as giving the
bank a share of our future income.
Borrowers who experience a difficulty getting a
loan because of age, income or credit score can still avail of Gold Loans and
Loan against Security.
On the other hand, in case of a personal loan,
the bank is placing its entire bet on the future income of the borrower so
these loans are obviously not available to applicants whose age or income
profiles don't conclusively prove the potential to repay.
How does Mrbrain help
loan-seekers?
Simply put, the Mrbrain platform helps consumers
looking for loans in the following five ways:
1. Generating Choice
The first thing about rates and charges is that
they can always be negotiated. And a skillful negotiator can also negotiate the
terms once he senses that the bank is desperate for his business. But the key
to getting a great deal is to be in the driver's seat. For that, you need to
have a choice of banks who are queuing up to offer you a loan.
With ever expanding network of over 1,200 banks
and distributors spread across the country, we believe that whatever be your
profile you will certainly not get more choice if you apply on any single other
platform. In fact, it is our mission that if your loan can be done on the terms
desired by you in India
If you directly want to apply and do not have
the time to do a comprehensive research at this point of time, you might find
these pages useful:
2. Calculators to aid decision making
Much before we choose to apply, we want to know
some basics. For instance, what is the maximum loan amount am I eligible for?
Or what EMI will I have to pay and for how long? Or if I have an existing loan,
should I pre-pay it or even transfer the balance? We believe that our easy to
use calculators help answer these and other equally relevant pre-purchase
questions.
3. Rate Charts to make initial comparisons
Another pre-purchase question that we seek to
answer is what are the typical rates in the industry today? Or which bank will
offer you what rate and levy what charges? While it is extremely important to
note that all rates and charges that are published by banks (even on their own
websites) can be negotiated to a certain extent. But most of us want to get a
broad idea of current rates and charges even before applying. Which is why,
weve built a host of comparison tables for any given profile that you may use
as ready reckoners.
4. Product Guides
Our Product Guides explain the typical loan
application process, the eligibility criteria, the documents required, the
typical associated costs (in addition to the interest charged), tax
implications (if any) and negotiating tips so that you can get a better deal
than most others.
5. Expert Advice
In case you still have a question that has been
left unanswered, you have the option to post it for free on the any social page.
While we cannot promise that we will be able to answer all questions posted
here, we will certainly make our best effort.
At this time we are considering the possibility
of expanding our expert team so that we can offer advisory services for a fee
where we will be able to guarantee a response within two business days.
Should you be interested in such services,
please send your request to helpdesk@mrbrain.in.
