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What is a Pre-approved Personal Loan and How to Get It?

by Guru Sone Financial Services

A pre-approved loan is a loan given to you without you having to apply for a loan. With a pre-approval, taking a personal loan is very easy. Taking a pre-approved personal loan online can enhance the process even more. In this, the lender reviews your credit score, credit history, your income, nature of the job, and job tenure you have served and gives you an offer to avail a loan. If you accept, your loan will be disbursed into your account immediately.

 

Features of the pre-approved loan

 

1.    It provides fast processing to the loan.

2.    It offers better rates of interest.

3.    Minimum or no paperwork is required.

 

Terms of getting a pre-approval

 

1.    A good credit record. That means if you maintain a good credit score and credit history pre-approval is possible for you.

2.    Regular repayments of your debts. Paying back all the dues of a credit card or the EMIs of an already running loan can earn you a pre-approval.

3.    You have made enough investments and saved money with a bank that it approves of. It provides a strong back to your financial status.

 

The procedure of getting a pre-approval

 

1.    Presenting income information- For getting a pre-approval, you are required to submit all the credit-related financial documents to your lender or a bank. These documents may include details of payslip and bank statements of the last six months.

 

2.    Presenting investment or saving details- Income you have affects your loan application. But, how much you saved or invested shows the sound financial back up you have. In past years if you have put a significant amount in these two sectors then it could earn you a pre-approval for your loan. These documents also show that the lender can earn back all the money from these in case of any default.

 

3.    Furnishing personal information- Giving basic personal information may sound like it is an easy step. But, apart from being an easy step, it is very crucial too. Having ready personal information and documents backing them can cast a positive impression on your lender. It also speeds up the process of pre-approval.

 

4.    Job details- You can think like what is the relation between my job or profession and pre-approval on my loan. But, it plays a significant role in telling about your stability. Sticking to a job for a significant period shows that you are not the one who suffers a change of mind a lot. Along with this, the observer may check the nature of employment you have and its scope. Also, the employer and its market status are observed to make sure that the organization will survive shortly. These may mark your seriousness towards the cause of taking a loan as well as your payback capacity.

 

5.    Approval granted- Once all these documents are submitted and observed by the lender or a bank, you receive the approval on your loan. Sometimes there may be failures too. But, you can ask for the shortcomings in your documents and can apply again after correcting them. There are also chances when the pre-approval is not given on the full amount you asked for but to a lesser sum. As well as many times an extension is also granted in case of need.

 

If you are looking for a loan app, you can apply with FlexSalary for easy approval of a loan up to INR 2,00,000. You can also apply for a loan even if your CIBIL score is less.

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About Guru Sone Freshman   Financial Services

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Joined APSense since, October 4th, 2019, From Hyderabad, India.

Created on Jul 6th 2021 02:53. Viewed 501 times.

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