Need for Emergency Cash? 7 Options to Get an Instant Finance
5 Dariya News
21-Jun-2020
If you are facing a cash crunch and in need of emergency cash, do not despair. There are many ways to meet your instant financial requirements. This blog discusses seven easy ways to get instant finance for your needs, with the personal loan being foremost.
Top 7 Ways To Get Instant Finance
1. Personal Loan
You can receive an instant personal loan in as little as 30 minutes. However, you have to meet the personal loan eligibility which differs across lenders. Please go through their website, and check if you are permitted to apply for the loan. Make sure to read the terms and conditions while applying for a personal loan. You may also be required to pay a GST on your EMIs. Look for hidden charges and foreclosure fees before applying for a personal loan.
2. Borrow from Your Employer
The fastest way to get finance is to borrow it from your employer as most of the documentation is already present and verified. You just need to apply for the loan, get approval from your employer, and provide the necessary and required documents. The loan amount, along with interest, will be deducted from your total payout every month in the form of EMIs.
3. Credit Card Cash Withdrawal
The best part of owning a credit card is that you can avail instant cash at any time and anywhere, even when you don’t have sufficient funds in your account. You just need to visit an ATM or use your credit card. However, there is a limit to the amount you can withdraw, which is about 40-80% of the card limit. Moreover, once you exceed the daily cap for withdrawal, you may need to pay a fine as well as interest on the fine. Please do note that this option should be used only if it is absolutely urgent, and you don’t have any other option, as credit card cash withdrawals attract extremely high-interest rates.
4. Top-up Loan
If you already have a house loan, you can apply for a top-up loan, which will allow you a loan limit of up to Rs. 50 lakhs through the tenure of 20 years, or till the remainder of the house loan repayment, depending on your income stability and other criteria.
However, you need to pay attention that the loan amount remaining from the house loan and the amount you are planning to apply for should not exceed 75% of the property value. Since your documents are already present with your lender, the processing should not take too long. However, if you are unable to repay, you may face serious consequences.
5. Loan Against Property
Unlike an instant personal loan that does not require any collateral security, you can apply for a loan against a property if you have any building or plot, which you can mortgage. Depending on the market value of the property, you will get a loan of up to 65% of the property value as a loan. Usually, the loan amount ranges from Rs. 5 lakhs to Rs 10 crores. The repayment duration is typically for up to 30 years.
6. Loan Against Securities
You can use your mutual funds, shares, insurance policies, or fixed deposits as collateral to obtain a loan. You can get up to 75% of your fixed deposits as a loan, whereas you will receive about half of the money in shares and mutual funds. Although the loan is easily available, you may need to put in extra shares to the bunch if the portfolio price decreases.
7. Loan Against Gold
You can get a loan against gold, that you deposit as a mortgage. You can receive up to 80% of the gold value in the form of a loan, straight to your account. The tenure of the loan is from 6 months to 12 months. You can renew the tenure, after paying a small fee. Thus, you can repay the loan whenever required. However, the gold is returned on repayment of the loan and interest amount. At times, you may face an urgent need for money, whether it is for study, medical reasons, or any other emergency. It is possible to acquire loans by asking your employer or visiting different lenders. You may want to approach friends and family for a loan, but if you are unable to repay the loan as agreed, it can affect your relationship. An instant personal loan is one of the best options, but you have to meet the eligibility criteria of the lender. The best thing is that you can check your eligibility using this personal loan eligibility calculator.