HDFC Personal Loan is one of the most popular and best personal loans available in India. With affordable interest rates & charges, easy documentation, flexible tenure, different EMI repayment options, quick online application, and instant disbursal, it has become the most favourite alternative for many during any financial emergency.

Instant HDFC personal loan can be used for travelling, destination weddings, medical emergencies, business requirements, and so on. Pre-approved customers of HDFC Bank can get an instant personal loan disbursal in just 10 seconds without any documentation.

If you fulfil the HDFC Bank Personal Loan Eligibility, you can avail of the loan instantly without any hassles. The eligibility criteria for HDFC personal loan depend on various factors mentioned below: 

• Your Repayment Capacity: Out of many factors that impact your Personal Loan eligibility, the most important one is your repayment capacity. The lending bank will check whether you are financially capable of repaying your loan over the given tenure. HDFC considers your current income, credit score, outstanding loans, and continuity of income. If your credit score is good (750 or above) and you are financially stable, you will be considered eligible for a higher loan amount. Also, if you are an HDFC Bank customer already, you may even be eligible for a pre-approved loan, which needs little or no documentation. In a pre-approved loan, the amount is usually disbursed to your account within 10 seconds.

• Credit Score: To enhance your chances of personal loan approval in the future and securing a low interest rate, you must have a good CIBIL score. A CIBIL score indicates your creditworthiness and the ability to a repay loan. For HDFC Bank, a good credit score for a personal loan is considered to be 750 or above. HDFC Bank customers can easily check their CIBIL score through NetBanking. Non-HDFC Bank customers can request their credit report directly from CIBIL or other online platforms. Usually, these credit reports involve a nominal fee. However, some online platforms provide a free credit report too. Check your credit report carefully and look for any errors. For instance, a closed loan may be marked as pending or there could be a loan that you never applied for. If you find any error, file a dispute with CIBIL for rectification of errors, if required, as they could affect your credit rating and decrease your score.

Who is eligible to apply for HDFC personal loan?

Following people are eligible to apply for a personal loan with HDFC:

• Employees working with private limited companies, public sector undertakings (including central, state, & local bodies)
• People aged between 21 and 60 years.
• People who have a job experience of at least 2 years and a minimum of 1 year have been served at the current employer.
• People earning a minimum net monthly income of Rs. 15,000. If you are working in Delhi, Mumbai, Chennai, Bengaluru, Pune, Hyderabad, Kolkata, Ahmedabad, or Cochin, your net monthly income should be minimum Rs. 20,000.
• You must submit the following documents to be eligible for HDFC personal loan approval:
  • Identity proof, such as a copy of the Aadhaar/ passport/ voter ID/ driving license.
  • Address proof, such as a copy of the Aadhaar/ passport/ voter ID/ driving license.
  • Bank statements of the previous 3 months or passbook of the previous 6 months.
  • Latest 2 salary slips or current dated salary certificate along with the latest Form 16.

Why apply for HDFC personal loan?

Applying for HDFC personal loan has the following benefits: 

• This instant personal loan can fulfil all your financial needs.
• You can get a maximum of up to Rs. 40 lakhs as personal loan amount from HDFC.
• The repayment tenure can vary from 1 to 5 years.
• HDFC personal loan interest rates start from as low as 10.50% p.a. and can go up to a maximum of 21% p.a.
• Processing fee for this loan is up to 2.50% of the sanctioned loan amount. The maximum fee for salaried customers Rs. 25,000.
• The bank allows prepayment of the loan by charging a prepayment fee of 2 to 4% of the outstanding loan amount, depending on when you wish to prepay the loan.
• You can also opt for HDFC personal loan balance transfer facility to reduce your EMIs.
• You can check your eligibility online in just one minute and at select branches using HDFC Personal Loan Eligibility Calculator.
• You can get funds in just 10 seconds if you are a pre-approved customer of HDFC Bank. Other customers can get funds in under 4 hours.
• You can apply for HDFC personal loan online in just a few clicks through the bank’s simplified personal loan application process.
• Get Personal Accident Cover of up to Rs. 8 Lakhs and Critical Illness cover of up to Rs. 1 Lakh for a nominal premium.
• Get Personal Loan Security with Sarv Suraksha Pro and avail of the following benefits:
  • Accidental Hospitalisation cover of up to Rs. 8 Lakhs.
  • Credit Shield cover equivalent to the outstanding loan amount.
  • Accidental Death or Permanent Disablement cover worth up to Rs. 1 Lakh.

Notoriously technical and difficult to calculate, figuring out your mortgage interest rate can be confusing, so we’ve compiled a short guide to help you if you’re thinking of buying a property in Canada:

Fixed rate or variable rate mortgage

A fixed rate mortgage is a popular option because homeowners can make the same interest payment each month; protecting them from rate increases. Be aware though, that these mortgages are compounded semi-annually, meaning that if you’re quoted a rate of 6%, it could actually be 6.9% because the numbers are compounded using a mortgage rate less than 6%. Typically, the more a mortgage is compounded, the higher the monthly interest payments will be.

These mortgages also often come with harsh penalties when the term is broken.

For more flexibility, you might want to choose a variable rate mortgage, which fluctuates with the market, and while you’ll still be making the same payment every month, the amount going to interest and that going to your principal, will go up and down.

How can you calculate your mortgage interest yourself?

The following equation can help you figure out your rate of interest, you’ll just need your payment amount and PV factor (the number of months in your mortgage term or your total number of payments):

Determine your principal: PV factor x payment amount

Determine your total payment amount: divide your principal with the total number of payments you’ll be required to make.

You should be left with your total payment amount.

Note that calculations obtained using this equation obviously don’t factor in any other payments, such as insurance premiums and property taxes.

How will you be affected if your interest rate goes up?

Provided you know your current mortgage rate, mortgage payment, amortization period (PV factor) and frequency of payments, you should be able to figure out your payment amount after a rate increase, by using an online mortgage calculator.

Below are definitions of the above terms to help you navigate the calculation process:

• Current Mortgage Rate: This is the existing interest rate you’re paying onyour mortgage loan.
• Current Mortgage Payment: The monthly mortgage payment you make.
• Amortization Period: The number of months (i.e., total amount of payments) there are in your mortgage term.
• Payment Frequency: How often you are making payments towards your mortgage (usually monthly).

Even if you have a mortgage with a variable rate, you can put the figures into a mortgage calculator while accounting for the fluctuating rate of interest.

Working with a financial advisor or mortgage broker can help you make better sense of your mortgage rate and how it’s calculated, and armed with the above information, you can prepare yourself for buying your first Canadian home.

Being thrifty is a good thing. If you are frugal, you will almost certainly never run into financial difficulties. Being frugal, on the other hand, entails giving up a lot of creature comforts in the hopes of expanding your financial account. Regrettably, that is not the way to conduct your life. Some people become so engrossed in the habit of being frugal with their money that they find it difficult to let go and enjoy it. However, there are a lot of things worth spending money on. Let’s take a look at some of them:

• Eyes– Perhaps our most crucial sense is vision. As a result, investing in the most comfortable contacts or glasses is a must. If you use spectacles, choose the thinnest lenses possible with anti-reflection and scratch-resistant coatings. Purchase contacts with the most up-to-date breathable technology for daily use. Stop reusing your disposable contacts after the expiration date. Make an investment in a pair of UV-protective sunglasses.
• High-quality Mattress – A third of your life is spent sleeping. It’s only natural to want the comfiest and supportive mattress you can buy. Make sure you’re at the top of your game every day so you’re completely rested and ready to take on the challenges ahead. Just keep in mind that mattresses have exorbitant markups, which is why there have been so many mattress companies throughout the years.
• Clothing– When it comes to shopping for clothes, stay away from the discount stores and invest in some high-quality items. Sure, that off-the-rack suit appears to be inexpensive, but it makes you look like you’re clothed in a shabby suit. You might be surprised to realize how much your co-workers and employer put into looking their best.
• Delicious food– What you eat determines who you are. Eating a healthy diet boosts your metabolism and strengthens your immune system. As a result, you’ll be less likely to get sick and keep healthy body weight. As a result, if you eat a healthy diet, you should expect to prevent diet-related disorders like diabetes and arteriosclerosis.

A frugal person’s worst nightmare is to spend money on any of the items on this list. However, there are moments when you must learn to relax and enjoy yourself. While we all want to retire early, the majority of us don’t want to do so in bad physical and mental conditions. You improve your situation by spending your money on things that are important to you.