Manage a Medical Emergency with an Online Personal Loan

by Bhavna S. Financial Advisor

If there is something uncertain in life, that is a medical emergency. You need your loved ones to be safe and healthy because to see them fit is a greatest blessing as well. Chances could be that your medical insurance may fall short if there is an extended hospitalization and extensive treatment. In such a case personal loans are very useful. Personal loans are the unsecured loans which can be used for medical emergencies, weddings or for travel etc.

Medical loans can be availed by both salaried as well as self employed employees which are used to pay hospital bills, surgery bills, chemotherapy and other similar treatments. Most of the lenders provide medical loans which are available instantly and getting funds are hassle free.

Features and Benefits

Listed below are a few features and benefits of medical loans:

Loans are approved quickly- Medical personal loans are approved very quickly and the disbursal time is very quick too. The loan amount is disbursed in the lender's account within 2 hours to 72 hours. With internet banking coming in things have become more faster as compared to the traditional method.
Interest rate- There are many lenders available in the market who offer medical loans at a varied interest rate, but while applying the loan, interest rate should not be the only factor to determine. But it is advised to compare the personal loan interest rate across the lenders before applying.
No security- Medical loan is a personal loan and in any personal loan a borrower is not required to pledge their asset as collateral.
Minimum documentation- While applying for a medical very minimal documents are required. Only documents like, identity proof, address proof and income statements are needed.
Flexible tenure- Lenders offer the flexible loan repayment terms, the tenure ranges between 12 months and 60 months. Shorter tenure means higher EMI and longer tenure means lower EMIs.
Credit Score- Credit score plays an important role while you apply for a medical loan. Borrowers interest rate is decided by looking at your credit score, good credit score means lower interest rate. You should maintain a credit score which is above 750.

Eligibility criteria*

A person who is a salaried or self-employed individual
An individual should be between 21 years to 58 years
Must have a work experience of at least 1 year and in the current company for six months.
A minimum salary of at least Rs 20,000 per month is required to apply for a loan.
Any Indian citizen living in a country can apply for the loan.

*Eligibility criteria may vary from bank to bank.

Documentation Required

To avail the medical loan you need to submit the following documents:-

Identity proof

-Passport copy/Driving license/Pan card copy

Address proof

- Passport/Voter Id/Ration card/Driving license/Recent electricity or telephone bills

Passport-size photograph
Last six months or three months salary slips
Form 16
Appointment letter of the current company
Past six months' bank statement.
Certificate of employment

How to get a personal loan to meet the medical emergency

Let’s understand with an example, how a borrower can apply for a medical loan with Bajaj Finserv:-

Firstly, go to the website of a lender and check if you meet the eligibility criteria.

If you apply for a loan with Bajaj Finserv then you should:-

Be between 25 and 57 years of age
Indian citizen residing in the country
Be having a credit score higher than 750
Have a steady source of income

2. Know what features the lender offers to you, interest rate, repayment charges, loan tenure, disbursal time.

Bajaj Finserv has the following features:-

2-click application process: If you are an existing customer of a bank then you will only need to submit your name and contact number to check for a pre approved loan offer. After that you select the loan amount which you want to borrow from the approved amount .
High loan amount: With this feature you can get any amount of money you require which covers all your emergencies.
Long tenures for loan repayment: Borrowers also get an option for flexible re[ayment tenures. To get an estimate of your EMI you can use an Personal Loan EMI calculator which will also help you plan your finances.

3.Carefully read the terms and conditions:-

If you are already a customer of a Bajaj Finserv and meet the eligibility criteria, then you don't need to submit the income proof. But, it is advised to read the terms and conditions related to your loan. Because there are few lenders who may not be transparent and may not tell you the hidden charges related to the loan.

4. Get your personal loan

Whether you are an existing customer or new, you apply for a loan digitally. You can go to any banks or NBCFs website and apply for a loan, your loan application will be processed and the amount will be disbursed in less than 24 hours, digitally only.