Life is completely unpredictable and you never know when it will throw a curveball at you. Financial emergencies can happen when you least expect them. Wise ones will tell you that you need to be prepared for all contingencies at all times. Does life really work that way? No. The best of us are caught unawares at times when you are at your wits’ end and don’t know what to do or who to turn to for relief.

When we talk of financial emergencies, we are looking for solutions that are easy, convenient and can be executed almost instantly. In today’s time, a personal loan is your go-to knight in shining armour.

Let us look at five situations where a personal loan can provide quick relief and is a better solution than anything else.

Situation 1 

You need accommodation in Bengaluru and have just found a place which is very convenient for you. It is close to your new workplace and has all the amenities you need. There is only one catch. It is a popular locality and you need to put a deposit down right away. In a city like Bengaluru, the house owners take 10-12 months of the rental as a deposit which can be a good sum. Since you are from a different city, you are caught unawares. What do you do?

The best solution is to go for a personal loan. Look at LoanTap’s Rental deposit loan. They have one tailored especially for this situation keeping your needs in mind. You can get a personal loan with an interest-only EMI. LoanTap will pay the deposit amount directly to the owner and you need to pay only the interest component on a monthly basis. At the end of the loan tenure of 11, 22 or 33 months, the owner will refund the principal directly to LoanTap. Isn’t that a wonderful solution? There is no burden on you since you need to bear only the interest component. You get the accommodation of your choice without the burden of the deposit.

Situation 2

You are faced with a medical emergency and have a cash crunch. You have no other fallback option and your savings have dried up. What do you do? When you are aware that you will not be able to pay back in a few months, it does not make sense to use your credit card. You are better off using the personal loan route.

You can apply for LoanTap’s medical loan. You will get your loan approved within 24-36 hours. You need to pay only the interest component for the first three months after which your fixed EMI will begin. This gives you some time to get your life in order before you start your normal EMIs.

Situation 3

A very prestigious company is coming up with a rights issue and you wish to apply since it is at an attractive discount. Since you had some recent expenses, your savings are exhausted. The deadline is in 3 days. What do you do? 

Getting a personal loan can solve this issue for you. LoanTap can give you a personal loan ranging from Rs 50,000-Rs 10,00,000 for tenure from 6 months to 5 years. You can service the loan for 6 months and then choose to prepay your loan whenever you have funds available. Thanks to personal loans, you do not need to miss out on an attractive investment opportunity.

Situation 4

Your father is planning to buy a plot of land and is falling short of funds. You wish to support him but do not have sufficient savings. Your investments will mature in 8 months but you do not have liquidity at the moment. What can you do to solve this problem?

You can take a personal loan to tide over this crisis. Get a personal loan from LoanTap. You can get the amount disbursed within 24-36 hours at an interest rate starting at 18%p.a.

Once your investment matures, you can prepay the loan without any prepayment penalty. A personal loan can help you to tide over such emergencies easily.

Situation 5

You are stuck in a vicious circle of credit card debts and don’t know what to do. You are unable to repay the debt and the interest is mounting. Your credit score is going down because of this. You want to get out of this rut and start afresh.

Taking a personal loan may be the right solution to get you out of this sticky situation. LoanTap offers a credit card takeover loan for this situation. You can combine your credit card debts and apply for a credit card takeover personal loan. While a credit card charges between 24-30% annually on the outstanding balance, a personal loan from LoanTap starts at 18%p.a. You can opt for a step up repayment plan that will allow you to pay only the interest for the first 3 months and normal EMI thereafter. This will help you to pay off your debt in a structured manner and rebuild your credit score. A personal loan can be a real saviour when you are faced with this crisis.

How does a personal loan work?

A personal loan is an unsecured loan which means it is collateral-free. If you are an Indian citizen or resident over the age of 21 years and earning a net monthly income of over Rs 30,000, you are eligible to apply for personal loan.

All you need to do is to fill up an online application form and upload the following documents –

  • PAN Card
  • Aadhaar Card
  • Salary slips for the last 3 months
  • Bank statement of salary account for the last 6 months

The LoanTap team will evaluate your application. If your credit score is good and your documents are in order, your loan will be approved and the amount disbursed to your account within 24-36 hours. You can choose the repayment plan that is convenient for you and meets your requirements. After servicing the loan for 6 months you can choose to prepay the loan without any prepayment penalty.

As you can see, in each of the above difficult situations, a personal loan provides instant relief. This is mainly because of being collateral-free, ease and speed of processing, eliminating the paperwork and being cheaper than a credit card in the long run. A little bit of financial prudence can help you to get out of the stickiest situation. So, if you are faced with a short term financial crisis, take a deep breath and visit the LoanTap website. We may have the right remedy for you!

Credit Card Takeover LoanMedical Personal LoanPersonal LoanRental Deposit Loan
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Satyam Kumar is banking industry veteran with enriched experience of more than 20 years. Apart from founding LoanTap and FinTech Association of Consumer Empowerment, he is an avid traveler and holds keen interest in Blogging. He has amassed profound knowledge in FinTech trends, banking, consumer trends, food and mythology which he loves sharing with others.
Satyam kumarSatyam KumarCEO & Co-Founder, LoanTap asset 8 asset 9
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