Advance Salary loan - The perfect fitCash Advance LoansUpdated on Dec 20, 2019 View more like this | Visit India, UN | Contact Trishya Sharma |
Must-knows of Advance Salary Loans:
Easy to manage: Taking this loan doesn't put pressure of EMI on the borrower for long time as they are available in short duration
Hassle Free Process: No hassle of waiting to be sanctioned, standing in long queues and going to the bank
Simple eligibility criteria: Advance Salary loan permits you to avail 2.5 times your net monthly earnings for anywhere between 3 to 12 months. The only condition is that you have to be a salaried professional working in a Private/Government organization with earnings of Rs. 40,000 per month
Nominal rate of interest: Advance salary loans are provided by the lenders at a nominal interest rate. Even though this rate is higher than that for a long-term loan, you end up paying a lower amount as interest because of the short tenure
No collateral needed: In most of the cases, this type of loan does not require you to pledge any collateral or security
Advance Salary loan vs Personal loan?
It is better to take an advance salary loan compared to a loan. Let's understand why should opt for this loan. Salary advance loan can be taken for an amount as small as Rs 25,000. Personal loans generally tend to get a minimum ticket size that is far higher. Long term personal loans have a longer repayment tenure than advance salary loans and therefore the interest you eventually end up paying is much higher total interest amount to the loan taken.
Easy to manage: Taking this loan doesn't put pressure of EMI on the borrower for long time as they are available in short duration
Hassle Free Process: No hassle of waiting to be sanctioned, standing in long queues and going to the bank
Simple eligibility criteria: Advance Salary loan permits you to avail 2.5 times your net monthly earnings for anywhere between 3 to 12 months. The only condition is that you have to be a salaried professional working in a Private/Government organization with earnings of Rs. 40,000 per month
Nominal rate of interest: Advance salary loans are provided by the lenders at a nominal interest rate. Even though this rate is higher than that for a long-term loan, you end up paying a lower amount as interest because of the short tenure
No collateral needed: In most of the cases, this type of loan does not require you to pledge any collateral or security
Advance Salary loan vs Personal loan?
It is better to take an advance salary loan compared to a loan. Let's understand why should opt for this loan. Salary advance loan can be taken for an amount as small as Rs 25,000. Personal loans generally tend to get a minimum ticket size that is far higher. Long term personal loans have a longer repayment tenure than advance salary loans and therefore the interest you eventually end up paying is much higher total interest amount to the loan taken.
