In today's age of credit cards and easy financing options, it is inevitable that you have to pay multiple EMIs. This can often strain your finances and lead to the payment of penal interest and late charges due to default on payments.
In such a scenario, it becomes important to clear your outstanding dues as soon as possible to safeguard your savings and protect yourself from paying hefty interest on loans.
If you are feeling financially burdened because of poor management of multiple loans EMIs, you should consider a debt consolidation loan. By consolidating your debt, you can combine multiple monthly debts into one new loan.
With this, can make a single monthly payment that is affordable and reduces the interest on the debt. However, it is very crucial to choose the right financing option for repayment of debts.
If you are thinking of taking credit or additional loans to repay the existing debts, it will further burden the finances and lead to a vicious cycle that would be hard to exit. Instead, it is recommended to opt for a personal loan as it is the ideal match for one's requirement and comes with a lower rate of interest.
This debt-relief option untangles the clutter a consumer faces every month trying to keep up with multiple bills and multiple deadlines. Instead, there is one monthly payment to one source, making it completely hassle-free.
This option of combining debts and repaying it with a personal loan comes with several benefits-
* Ease of repayment with a single EMI - It is always better and convenient if you have to pay only a single EMI at a much-reduced interest rate. This also eliminates the risk of penalty on late payments and default that can arise from the mismanagement of multiple EMIs and scarcity of funds.
* Reduced expenses - Paying off personal loan interest is more affordable than paying interest on multiple loans and credits. Through this, you can cut back on expenses, which may be made due to hefty interests and enhance your savings.
* Faster approval and disbursal - If you choose the right lender for a personal loan to repay your debts, it can help you save on time too. NBFCs like Bajaj Finserv offer instant approval with disbursal within 24 hours. This can help you avoid delays in the repayment of your debt. You can also check out pre-approved offers to further save time and get instant financing.
* Improved credit score - With multiple loans, your credit score is likely to be affected due to various reasons. However, if you consolidate your debt and reduce your expenses, it can help you improve your credit score.
Choose a Bajaj Finserv Personal Loan for Debt Consolidation. It comes with the flexi loan facility with which you can borrow as much as you need and prepay at ease. Use the Bajaj Finserv Personal Loan EMI Calculator to check how your loan is likely to affect your monthly outlay.
Not only this, but you can also check pre-approved offers that simplify the process of availing the loan and help you save on time too. Avail a personal loan for debt consolidation and save money.
This story is provided by BusinessWire India. ANI will not be responsible in any way for the content of this article.
Disclaimer: No Business Standard Journalist was involved in creation of this content
