Okay, so you have secured an online Diwali Personal Loan and are ready to spend big. But, along with the funds and fervor, you must focus on the EMI (Equated Monthly Installment) repayments, as well. What are EMI repayments? It is the monthly amount that you pay, to Loan Singh, to clear-off the Diwali personal loan which you have borrowed. So far, as a digital lending platform in India, we have come across some borrowers who have defaulted on their EMI repayments.
It hurts us because despite being salaried and financially independent, you struggle to understand the importance of paying your EMI repayments on time. Some of you may forget (Yes! It’s true! Some do forget that they owe credit), some simply procrastinate or fall short on money to repay. We have written a lot about EMI repayments already on our Blog. With Diwali, set to envelope you in a mood of celebration and enjoyment, we thought today’s piece would set a good precedent for you to not take your EMI repayments lightly.
Online Diwali Loan
One of Loan Singh’s unique offerings is to provide an online personal loan to salaried individuals who have never availed credit before. To cater to the long list of Diwali expenses, it is obvious that you need a source of funds to celebrate the festival in all its pomp and fervor. Personal loans are unsecured loans that are availed to meet these exact fund requirements. As it is an unsecured loan, it does not require any collateral.
Loan Singh looks at your creditworthiness to determine if you can pay the loan EMIs regularly, or not. The idea is to not strain you with credit but to make sure that your salary and savings permit you to avail credit. Your credit report acts like a gauge for Loan Singh. It shows how prompt you have been in your previous credit responsibilities and how trustworthy you are. Loan Singh is perfect because of
No collateral – Having no collateral gives personal loan an advantage over a secured loan. Even if you do not own any fixed assets, you can at still get funds from Loan Singh.
Multiple purposes – A personal loan can be availed for a number of purposes such as shopping for Diwali, purchasing household appliances, electronic gadgets, purchasing gold, holiday travel, home improvement, job relocation, medical expenses, marriage, etc.
Personal Loan Benefits in India
Loan Singh’s hassle-free process and quick approval personal loans are perfect for salaried individuals like you who are too busy to even get a rest. The attractive EMIs and interest rates at Loan Singh, make personal loans affordable to repay back. Add luxury to your mundane lives without putting too much strain on your finances. Your dreams are our dreams. We help turn your dreams into reality. Brand new appliances and electronic products are also needed in case you are relocating due to your job. The job relocation personal loan at Loan Singh helps cover exactly this.
Loan Singh’s emi calculator will help you understand how much you need to pay in order to clear your consumer durable loan. The calculator only needs your intending loan amount and tenure for telling you how much you need to pay each month. A personal loan can be availed between Rs. 50,000 and Rs. 10 Lakhs.
Another huge benefit you have with a Loan Singh online personal loan is that you have the freedom to choose where you want to spend your loan amount on. You can apply for a shopping loan and utilize the cash to spend on an Amazon, some on Flipkart or some on Snapdeal. Unlike so many ecommerce websites that let you gain discounts for possessing a debit card or points of a particular finance provider, Loan Singh’s personal loan can be utilized to be spent on the website you want and on the product you want to spend on.
Online Diwali Loan EMI
We are so caught up in our daily professional lives that we tend to ignore our credit obligations. We fail to set a budget to ensure timely repayments of EMI. The personal loan you avail has to be re-paid to Loan Singh in the form of periodic payments (which includes principal and interest, both). This periodic repayment is aptly titled Equated Monthly Installment (EMI). Before applying for the personal loan with Loan Singh, you can actually calculate your prospective EMI on the Loan EMI Calculator.
EMI (Equated Monthly Installment)
From Loan Singh’s perspective, if you are a salaried individual, there is a low risk of default because thanks to the steady income you can make regular payments each month. An EMI is a fixed amount that you, as a borrower, need to pay to Loan Singh every month – until the loan is repaid. It is essentially made up of 2 parts – The principal amount and the interest over that principal amount. This is then applicable across each month of the personal loan tenure. The EMI has to be paid to Loan Singh before the assigned due date. The payment mode preferable for EMI payment is via auto-debit, internet banking or NEFT.
Equated Monthly Installments Calculation
You need 3 things to calculate your EMI – the loan amount, the interest levied and the total time period for which the loan has been mutually agreed to be repaid in.
Here P is the Personal loan amount, R is the yearly rate of interest and N is the loan tenure period (in months).
From Loan Singh’s perspective, if you are a salaried individual, then you show a potential to make the EMI payments regularly. But, making sure the loan EMI payments are done regularly is dependent on your self-discipline. You can easily track your EMI repayments and due-dates through Loan Singh’s loan management system.
Choose the EMI carefully. Ensure that you have the financials in place to be able to make prompt periodic EMI repayments every month. In case you are not serious enough to oblige to Loan Singh’s repayment policy, then it is best that you do not apply for the loan in the first place. Ensure that you do not delay in your EMI repayments, as this could lead to a penalty and hit your credit score badly.
How to Pay Online Diwali Loan EMIs?
You can easily pay your loan EMIs via signing the NACH mandate form and giving Loan Singh the access to auto-debit the EMI repayment amounts each month. This way, you do not have stress about anything.
Let us look at some tips that can help you manage your finances better and stay prompt with your monthly payments.
Prioritize Debt Repayments
Ensure that you are extremely prompt while clearing loan EMIs and other credit-related payments. With all these payments getting registered with credit bureaus, it is important that you pay-off these debt payments to prevent a negative credit history and also to prevent a fall in your credit bureau score. Keep reminders on your phone or log in to the Loan Singh dashboard to keep track of the due-date and impending EMI payments.
Build A Budget
A better way to control your finances is by creating a precise budget and sticking to it. A well-planned budget will help you prevent over-spending. Your budget should include all your expenses – big or small. Tweak your budget according to the rise in your income. Revisit your budget every 6 months, at least. Although it can be difficult, especially if you have high spending habits ingrained, a budget should be your priority to make your personal financial management work. This includes loan EMI repayments.
Track Your Expenses
Expense tracking is a habit that will ensure you keep track of daily, weekly or monthly expenses. This is important because in case you overshoot your budget, you won’t have the funds needed to pay the loan EMIs on time. Keep track of your bank account balance, store all your bills, ATM receipts, invoices, etc. so that you can match these values with your expense tracker. The tracker can be a spreadsheet or a diary. Categorize the expense with type, date and purpose. You will get to know how much you spent last week in restaurants or how much fuel goes into your motorcycle each week, etc.
Rainy Day Funds
An emergency fund gives you breathing space in case a calamity strikes. It will prevent you from looking for other options to pay your loan EMI, as well. Clearing a personal loan is a debt. It is best you clear only one instead of thinking of paying loan EMIs with your credit card limit. That is a Big No!
5 Benefits of Making Prompt EMI Repayments
Making prompt EMI repayments is greatly beneficial towards your financial peace. Let’s look at 5 benefits of paying your personal loan EMI repayments with Loan Singh.
Good Repayment History with Loan Singh
Yes! That is true. The awesome thing about availing a personal loan from Loan Singh is the repayment history you build. We appreciate your efforts to pay the EMIs on time and ensure you can then avail another loan – faster than the first one. Please do not make it difficult for us, and for yourself, by defaulting in your EMI repayments.
More Savings by Avoiding Added Charges on Default
Nobody wants to pay more for anything. You look at the cashier with aghast when he/she tells you “Sir! Your bill is coming to Rs.4,999. Is it okay, if I redirect your balance of Re.1 to the children’s fund?” While this is a noble thought, people always expect us to feel no worry to take a little from what we earn. You have so many other priorities to spend your money on, instead of paying extra for a loan default.
On Time EMI Repayments Prevent Late Penalty
With a late penalty you not only have to spend more, you still have to face the ignominy of being a defaulter. It is a worrying sign. Wouldn’t it be better if you set up reminders over your GMail calendar, put up sticky notes on your fridge or simply provide Loan Singh with your details to auto-debit the EMI amount before the due date?
CIBIL Score Is Boosted
We have been reiterating about building your credit score since Day-1. A good repayment history, with Loan Singh, will allow you to avail a second loan without a hick. But, this will also boost your credit score to help you get a credit on your credit cards, secured loans, etc.
Trust Built Among Lenders Improving Your Credibility
Loan Singh’s digital lending platform allows lenders to invest their money to receive high returns. Now, if you pay your EMIs on time, it gives the lenders a sense of security that good borrowers are availing a personal loan. This not only convinces the lenders to continue investing their cash to serve your emergency requirements, but you can always remain assured of receiving emergency cash from Loan Singh’s platform.
About Loan Singh
Loan Singh is a digital lending platform that prides in providing online personal finance loan or unsecured personal loan to salaried individuals. You can apply for quick funds as an easy emergency loan which is not a bank loan. We provide a loan with the best personal loan interest rates. The instant funds, or instant loans, are loans between Rs. 50,000 and Rs.10,00,000 taken for purposes such as:
- Home improvement loan/Home renovation loan
- Marriage loan/ Wedding loan
- Medical loan
- Used vehicle loan
- Consumer durable loan
- Vacation loan
- Debt consolidation loan
- Credit card refinancing loan
- Job relocation loan
- Smartphone loan
- Travel loan
- Festival loans
- Gold jewelry loan
- Shopping loan
- Lifestyle loan
- Short term loans
You can calculate your easy EMIs using our personal loan EMI calculator. We accept bank statement and PAN, for quick loan approval. A bad credit score or credit report errors can lead to personal loan rejection. The ‘Loan Singh Finance Blog’ is one of the best finance blogs in India. Loan Singh is a product of Seynse Technologies Pvt Ltd and is a partner to the Airtel Online Store.
Loan Singh’s Online Presence
Loan Singh is not an anonymous digital platform. We are present on almost all leading social media platforms. All you need to do is look for us. You can find us on Loan Singh Facebook, Loan Singh Twitter, Loan Singh Google+, Loan Singh YouTube, Loan Singh Pinterest, Loan Singh Instagram, Loan Singh LinkedIn, Loan Singh Blogarama, Loan Singh Google Business, Loan Singh Medium, Loan Singh Reddit, Loan Singh Tumblr, Loan Singh Scoop It, Loan Singh Feed, Loan Singh Storify, Loan Singh Digg and Loan Singh Blogger.