Personal Loans - Meaning and Definition

Types Of Personal Loans Available In India

Opting for personal loans in India is quite popular, but did you know that there are various types of personal loans that can be opted for by people as per their needs and demands? We can fairly say that in the last decade, the industry of personal loans has seen colossal growth across the nation. Different types of personal loans will also help you in tax redemption if that is something you are looking for.

We have a list of personal loans that individuals can opt for as determined by their needs.

Wedding loan

Weddings in India are significant events with various functions involving both the groom and bride. Many couples and their parents take loans from the bank to suffice the amount they desire to spend on the wedding. It helps in enjoying the functions and not draining out all the savings in the long run.

Travel loan

Yes, that is one type of personal loan. If you enjoy travelling and find happiness in exploring new places but cannot opt for the option, then this loan is specially curated for you. You can take a bank loan for your travel purposes and enjoy your tour across the places you wish to see.

Home renovation loan

We all know people who have taken loans to build or buy a house, but have you met someone who has taken a bank loan to renovate their house? Yes, this is a possibility now. You can opt for a personal loan from a bank to renovate your space no more worries about draining out savings.

Pension loan

This type of loan is specially curated for people who are retired. Some banks provide personal loans to senior citizens based on their application. Various banks provide a few times with the amount the pensioner used to get in a month before applying for a bank or financial institution loan.

Personal loan for students

The banks provide personal loans for students to study or pursue a course, career, or degree. Education costs are increasing, and students require loans to complete their education. It helps them get into the universities and colleges of their choice. Personal loan for students is a boon for pupils who want to study further but face immediate money constraints.

Festival loan

Different lenders and financial institutions offer people personal loans to celebrate festivals with friends and family with ease and joy. This is another type of personal loan that is new in the market and is turning out helpful for people feeling short on cash at the time of festivals. 

Small personal loan

Small personal loans, as the name suggests, are the loans that one might need; they feel a funds crunch of a small amount at the end moment of making payments like a child’s higher education, wedding plans, etc. this can be availed from banks, lenders, and financial institutions.

Personal loan for women

This type of personal loan is specially designed for women. Today, women have broken the typecasts and have come forward to work and create a life of their own. To empower this, various banks come up with loans that are tailor designed for women to suit their needs and desire to grow so on and forth in life.

Personal loan for salaried employees

If a salaried person wants to apply for a personal loan, then they must be a minimum of 21 years of age and a maximum of 60 for these types of personal loans. They can apply for a personal loan if they have a work experience of 2 years, in which one year should be with the current employment.

Personal loan for government employees

A loan designed for people who work in public sector departments of a state or centre. This loan can be used for multiple uses but is only given to people working in government sector jobs. The eligibility for this loan provides valid proof of work in the government sector.

Final words

Personal loans are like supporters in bicycles. It adds up as help in situations where you need money to get a job done or make a payment in real time. This also comes up with options to pay part money each month that does not let you feel the burden on your bank accounts.