But what if my credit score is not good?

Then we must break the bad news to you! Without a good credit history, getting the best personal loan interest rates is almost impossible. Banks will consider you as a credit hungry customer and might either;

• Give you the personal loan at higher interest rates OR
• Reject your loan application (This will further affect your credit history)

How do Banks know if I am a reliable customer?

Banks run a personal loan eligibility check to understand your income & credit history. If you fulfill the minimum requirement, then you surely can get your loan application approved.

What are the important things I can avoid for a better credit score?

We have listed 4 important points that you must directly avoid if you need a better credit score.

1. Do not Default. Ever! – The thumb rule for any person will be that they must always pay their bills on time. Do not default on your credit card payments or EMI payments on personal loan. Any one default can bring down your credit score. Avoid the practice of “Minimum amount due” as the Bank understands that you cannot pay your bills fully.

• Avoid High Credit Utilization on your cards – Every credit card has a limit. Try to ensure that you don’t max out your limit. If possible manage a healthy credit utilization ratio. This ratio must hover less than 35-40% of your credit limit. It shows the Bank that you only need little credit and your income is sufficient to fulfill your needs. 

• Avoid becoming a Loan Guarantor/Co-Applicant – There are multiple advantages of becoming a loan guarantor/ co-applicant for personal loans. But remember that if the other applicant doesn’t repay the loan EMI or cannot repay it at all, then you will also have to bear the brunt of it. It will directly affect your credit score.

• Do not cancel older cards – Be careful when it comes to your old credit cards. If you cancel them, it will only affect your credit history. Yes, when you close a card, all your credit history related to that card also gets wiped out. This will have a direct impact on your credit history.

Hence you must be very careful when it comes to improving your credit score. Be a reliable person and always pay your bills on time. If you are looking to find the best deal on personal loans, visit Ruloans.com!

These are the types of loans offered by Ruloans;

1. Personal Loan
2. Personal Loan Transfer
3. Home Loan
4. Home Loan – Commercial
5. Used Car Loan
6. Car Refinance Loan
7. Loan against Property (LAP)
8. Loan Balance Transfer Top-up
9. Loan Balance Transfer without Top-up
10. Credit Cards
11. Business Loan

Taking a loan is very easy. But there are many factors you need to keep in consideration. These factors will help you to not only save money but also reduce the stress which comes along with taking a loan. Let’s take a look at the 5 factors mentioned below;

• Your EMI should be affordable:

You must always look at the affordability of the loan and compare it with your earning. Basically you should not be paying more than 40% of your earning on loans. To make sure the burden is less, it’s best to calculate and find out what is the ideal rate of interest that will help you balance the loan and your lifestyle.

For that you can always use the loan calculators for Personal, Home and Car.

• Keep your tenure short:

Always remember that no matter how low the interest rate is, if your tenure is higher, then you will end up paying an amount more than the principal. Here is an example for which we have used the home loan calculator.

Eg: Mr. Krishna had always wanted a home near Virar. His current income got him a loan of 50 lacs with an interest rate of 10% for a 20 year period. At the end of 20 years, Mr. Krishna ends up playing interest worth 66 lacs. This means he will pay a total of 50 lacs (principal) + 66 lacs (interest).

Hence before you could take a call, calculate how much should be the ideal tenure and decide accordingly.

• Take insurance for big loan:

A big loan is defined as a loan taken for over 10 years. Such loans are higher in amount and also take a toll on the person paying it. There is also a possibility that the person taking the loan might die before paying off the loan. In that event his/her family will have to complete the payments which can be a burden if no one is earning.

To avoid such hassle, it’s best to take a life insurance of the person taking the loan. There are clauses where the overall debt of the person is stated and that will help you clear off the debts even after your family member has passed away.

• Switch your loan lender if needed:

When you took the loan from ABC bank for 20 years, they were offering a good rate of interest. 10 years later, you see yourself paying a higher EMI every month. The other banks DEF and XYZ are offering better rates. This can help you lessen the EMI amount. So, it’s best to transfer the loan lender as per your preference if it means you have to pay less.

• Don’t ignore your other financial goals:

When you take a loan for 10-20 years, there is a certain obligation you have every month. Due to this, you cannot always spend money as per your wishes. You try to limit it as the main priority is to save enough to pay off the loan. But that shouldn’t stop you from enjoying life. Sure, you can limit your purchases but you can still buy some things. You might have to reduce your vacations but don’t stop them completely. Also, you can still keep investing a small amount in fixed or recurring deposits, Mutual Funds and in the stock market. This will ensure you can get some extra money to pay off the loan and also enjoy life simultaneously.

Apply for the best home loan!

So if you are planning to buy a car, look for these top 10 cars to be launched in 2018.

1. Hyundai Eon Facelift

This amazing car is coming with major design upgrade compared to old Eon models. This car has new color combinations, better fabric and a new instrument cluster for the ease of the passengers. This fuel efficient car has restyled headlamps, tweaked bumpers, new grille, new wheel caps and revised tail lamps. The biggest attraction of this car is a touch screen infotainment system.

Tentative Launch: January 2018

Tentative Price: Rs. 3 lakh.

2. Lexus NX

Lexus NX is a completely built up smallest Japanese SUV in the company’s car range. This car has large spindle grille, sleek LED headlamps, flared wheel arches, high placed LED tail lights and cladded rear bumpers with attractive rear. This sportier looking car has a fully functional dashboard, leather seats and squared air-con vents. The car goes from 0 to 100kmph in 9.1 seconds with top most speed of 180kmph.

Tentative Launch: January 2018

Tentative Price: Rs. 70 lakh.

3. Maruti Suzuki new Swift

This black and grey Japanese car has a touch screen infotainment system with reversing camera, climate control and leather upholstery. This car has 1.2-litre petrol and 1.3-litre diesel engine. The car will be equipped with a five speed manual.

Tentative Launch: February 2018

Tentative Price: Rs. 4.5 lakh.

4. Maruti Suzuki Ciaz Facelift

This car comes with very peculiar changes compared to its earlier models. This car is most likely to get LED Daytime running lamps, projector headlamps and tweaked bumpers on the outer side. It will also have automatic headlamps and wipers.

Tentative Launch: February 2018

Tentative Price: Rs. 6 lakh.

5. Toyota Vios

This attractive sporty car has octagonal grille with wide open air intake, flared wheel arches, a strong baseline along with a sleek shoulder line. It has a large wrap around tail lamps. The main colors of the car are beige and black. Ithas some amazing features like climate control, 2-DIN music system, steering mounted audio controls and an AC vent for the rear seat.

Tentative Launch: March 2018

Tentative Price: Rs. 8 lakh to Rs. 12 lakh.

6. Mercedes Benz C Class Facelift

This German luxury car will come with an upgrade with its earlier model which was launched in 2014. This new model will have an attractive bumper and head lamps with tweaked day time running lights. Inside the car, the passengers will have a tablet-like screen, climate control, panoramic sunroof and the latest version of the COMAND infotainment system which has an integrated Garmin navigation system with 3D-visualisation and a new interface design with a touchpad.

Tentative Launch: March 2018

Tentative Price: Rs. 39 lakh.

7. Audi Q3 New

This new luxury car is slightly bigger and lighter compared to its old model. It has sharper headlamps, tail lamps and new octagonal grille outlined in chrome. The car is expected to have the latest comfort and safety measures. The motor of the car will be equipped with a seven-speed auto gearbox along with the option of a six-speed manual. This car is expected to have 17kmpl fuel efficiency.

Tentative Launch: March 2018

Tentative Price: Rs. 32 lakh to Rs. 43 lakh.

Apply Car Loan online Now.

Alexandra Paul once said that the cars we drive say a lot about us. Buying a car is a symbol of social status in India. But owning a car which will enhance your reputation was that one ‘never coming true dream’ until recent times due to the high price of any vehicle in India. But with easy EMI options and attractive interest rates, banks and NBFCs are now offering car loans. These loans are specifically designed to buy a car or any other vehicle for that matter. By opting to take a car loan, now you can touch the golden dream of owning a car. Many banks and NBFCs also offer Used Car Loans which are getting famous day by day. But there are many misconceptions when it comes to taking a loan to buy a car. That’s why we have come up with some facts against those myths…

MYTH 1: You can’t get a car if you don’t have strong credit score

Having a good credit score is one of the requirements to get a car loan. The required credit score for most banks and NBFCs to get a car loan is around 750. But many banks and NBFCs offer car loan to those with lower credit score depending upon rest of their profile. So you can avail a car loan even if you don’t have such strong credit score. The policy varies from bank to bank.

MYTH 2: You get car loan only for new car

Many people now-a-days prefer buying used car or second hand car over brand new car. Banks and NBFCs provide loans in this case too. These types of loans are known as used car loan. Click here to know more about used car loan.

MYTH 3: Only one person can apply for car loan

To get a car loan, you can apply for the loan with your spouse or a family member. By adding them as co-applicant, you can avail better deals as the credit score changes as you add another applicant for your car loan.

MYTH 4: Banks have rigid rules for car loans

Banks and NBFCs now-a-days are extremely customer friendly. They can bend some of their loan rules if you have a strong credit score and right documents with your application.

MYTH 5: You get 100% financing on your car

Even though many lenders do promise that they provide 100% financing on car loans, in reality that doesn’t happen. Banks and NBFCs finance 85% to 90% of required amount. So if you are relying on them to pay your car bills in full, then we ask you to be prepared for a 10% to 15% down payment.

Now that you are aware of these unknown facts about car loan, why don’t you apply for one? Click here to check your eligibility for car loan.

There is an old saying which goes as ‘old is gold’. The saying emphasizes the importance of old objects. But when it comes to getting an old or used car, it’s not just about the importance but also about many more benefits. Banks and NBFCs happily give loans to purchase a used car or second hand car. This type of loan is getting popular day by day because of various benefits and features one can avail.

1. Suitable For Low Budget:

Cars are an expensive affair. People who are on low budget wish to buy a car but many times have to settle on a two wheeler. But with used car loan one can make the car dreams come true. Used cars cost less than its current on road price and with easy EMI options offered by banks; you can easily buy a used car. You can pay the EMIs which will be much cheaper than buying a firsthand new car.

2. Freedom To Choose Desired Model:

By opting for used car loan one can easily afford any luxury car. The price of used car is not derived from its current on road price. It is decided on its condition, model and insurance details etc. So the price of luxury car dramatically decreases and one can buy it by opting for easy EMIs. Here you can choose a model of the car which you won’t be able to buy easily in terms of new car. So those who desire to buy cars like SUVs will be able to get it easily.

3. Easy Availability of Loan:

The process of getting a used car loan is much easier and hassle free compared to a new car loan.  This is a new type of loan and banks are always willing to avail it to customers. Banks offer customized used car loans with easy EMI plans for customers. Also compared to new car loan, the banks are able to lend lesser amounts to customers. Banks charge very minimal fees for pre-payment of used car loan so the customers can easily pay off the loan faster than required. Banks charge interest rate on used car starting from 15.50%.

4. Minimum Documentation:

To avail a used car loan, you don’t need a pile of documents. Self employed and salaried, all types of professionals can avail this loan. You just need your KYC details along with your bank statement and salary slips or ITR statements.

So buy your dream car today!

RuLoansWatchOut # 1. Understand The Rate of Interest:

As you are aware, the rate of interest will impact the final cost of your car. So, look around and check the best rate of interest offered by various banks and financial institutions.In addition to various rates offered by banks, interest is also affected by the differencein floating to flat rate. Here, even the slightest difference in points can make a huge impact on the price of the car. Thus, it’s key to ask to as many questions as possible when it comes to interest rate.

RuLoansWatchOut # 2. Look Out For Processing Fee:

Loan companies and banks always charge a loan processing fee. This calculation again is different for each bank and institution. For instance, some banks may have a flat or fixed loan processing fee, while some calculate the fee based on the loan amount. This calculation is based on a fixed percentage. Also, when checking on processing fees, one must ask questions regarding charges for delay in paying the EMI and so on. Further, it’s important to know if there is any service tax,and if it’s a one-time lump sum amount or one needs to pay on a year-to-year basis.

RuLoansWatchOut # 3. Focus On Down Payment:

It’s always good to make a huge down payment on the loan. This way you pay interest on a smaller amount borrowed from the bank. In any case, banks usually ask for a 15 to 20 percent of the overall loan amount as down payment. So if you pay a higher down payment at the start, you not only reduce your loan amount, but also effectively lower the monthly EMI.

RuLoansWatchOut # 4. Check On Foreclosure Charges:

Most loan takers miss out on foreclosure details. Foreclosure happens when you decide to clear the loan by paying a lump sum amount before the actual closing period. And, in such cases banks tend to charge a foreclosure penalty on the remaining loan amount. Just like rate of interest, the foreclosure charges vary from one bank to the other; so choose wisely.

RuLoansWatchOut # 5. Follow-Up On Your Credit Score And Eligibility:

Yes, car loans are relatively easier to get. But, even in this case it’s key to ensure that you have a good credit history and that you meet all the criteria. For, keeping up the possibility of frauds and loan default scenarios, banks usually ask for details like monthly take home salary or annual income or income tax returns.For the loan borrower, keeping a tab on eligibility and credit history, also helps in filling out all KYC (know your customer) documents, and other details like bank statement, valid address proof, photo id proof, credit card statement and more.

Ruloans Tip :

Don’t forget to get quotations and look out for deal offers from various car showrooms, institutions and banks.These offers come with incentives like free insurance and so on.

Finally, to know more about car loans or to apply for a loan, leave your details here and our executive will get back to you at the earliest.

Deduction on loan’s interest rate:

You can avail income tax deduction on your home loan’s interest rate as per Section 24 of Income Tax Act. The total which you have paid as an interest rate of your loan will be deducted from your income tax. The deduction is given to amount up to Rs. 2 lakh in that specific financial year. Also, if you miss any EMIs in this tenure, you still remain eligible to claim for this tax benefit. This deduction can be availed only if you have taken the loan to purchase a new house or to build a new one.

Deduction on loan’s principal repayment:

You can avail income tax deduction on your home loan’s principal repayment as per Section 80C of Income Tax Act. Your EMI comprises of interest rate and principal amount of loan. The portion of principal amount in the EMI is eligible to get tax benefits. You can avail deduction up to Rs. 1.5 lakh under section 80C. Also you can avail this benefit for the processing fees, stamp duty, prepayment charges and service fee you paid to avail loan. You can get deduction benefits as much as Rs. 1.5 lakh. Under the same section, the co-applicant of the loan or the co-owner of the house can also avail the same tax benefit.

 Deduction for first time home buyers:

If you are buying a house for the first time, you can avail additional deduction of Rs. 50,000 on your home loan under Section 80EE of Income Tax Act. You can avail it along with tax deduction under section 24 and section 80C of Income Tax Act. But the loan amount taken should be minimum Rs. 35 lakh and the home amount should not be more than Rs. 50 lakh.

Apply Home Loan Now:- https://www.ruloans.com/home-loan