Short term loans, often known as Short-term instalments are the best and easiest way to handle your financial needs in a hassle freeway. These loans are provided to meet any urgent personal or business financial needs for a shorter tenure ranging from a couple of months to a year. These loans can be useful if you are unable to obtain any longer tenure loan from banks or other financing agencies.
How does Short Term Loan Works?
Short term loans are usually a blessing in disguise for your personal as well as business needs when you have all the other alternatives closed as it doesn’t demand for any kind of security for your loan amount in terms of any money or any property.
- Choose your lender and select the amount you wish to borrow
- Check out the interest rate and other loan terms applied to your borrowing amount
- Agreement for repaying the loan as well as the interest applied on the same for a pre-decided date between you and the lender
- Credit check to estimate your financial history from the lender before approving the loan amount.
- Loan amount credited to your bank account after the approval
- Repayment of the loan on the pre-decided date until the completion of the loan amount
Loan Eligibility Criteria
Well the eligibility criteria for the Short term loan varies from lender to lender, however some of the common eligibility criteria for short term personal loans or short term business loans are as mentioned below.
- A Salaried Individual
- Above 21 years and less than 57 years of age
- Monthly income of minimum INR 13,500
- Mode of salary should be bank transfer
- Minimum Cibil score of 600 or Experian score of 650
Loan Interest Rates
The interest rate for these kinds of loans varies from lender to lender based on their own terms and criteria. However, in general the rate of interest starts by 16% per annum and is affected by several factors such as your credit score, income, other running loans and some more. In a nutshell, the lender after taking care of your creditworthiness decides the best applicable interest rate for you.
Benefits of Short Term Loans
- Quick Approval & Fast Disbursement – In case of any emergencies, Short Term Loans are the best as they are quick to be approved and too fast to be disbursed. The entire process from applying to the disbursement of loan amount may take a maximum of 24 hours.
- Collateral Free – These loans are collateral free making it one of the best features for any applicants.
- Wider Range | Bigger Tenure – The loan amount ranges widely from 5k to 5L based on the individual needs with the repayment option ranging from 1 month to 60 months.
- Attractive Interest Rates – The loan market is too competitive in terms of the interest rates, but for the short term loans the interest rates are very shorter and affordable.
- Flexibility – No-one is going to question you for the purpose of your loan, you can use it accordingly as per your own needs with a complete flexibility option.
Well, check out for our interesting and attractive offers on the Short Term Loans to address any of your urgent financial requirements. Get your loan approved with a few taps over your mobile, download our app today and start checking your eligibility and other things with a short term loan app.
Author Bio: Surya Patra is a qualified webmaster by profession and Marathon Runner/Cyclist by passion with more than 6+ years of expertise in the financial domain. Surya is also an entrepreneur, enthusiastic in storytelling, content writing, and digital marketing professional.