What can I use a personal loan for?⌄
Any personal purpose — medical, wedding, travel, renovation, education, electronics, debt consolidation, or business needs. No end-use restriction or proof required.
Is any collateral required for a personal loan?⌄
No. Personal loans are completely unsecured — no property, gold, guarantor, or security deposit required. Approval is based solely on income and credit profile.
How quickly is a personal loan disbursed?⌄
Pre-approved customers: 30 minutes to 4 hours. New applicants with complete documents: 24–48 hours. We submit to lenders who match your profile for fastest approval.
What credit score do I need for a personal loan?⌄
750+ is excellent and gets you the best rates. 700–749: approved at slightly higher rates. Below 650: very difficult through banks. We assess your profile honestly and guide you on the best path.
What is FOIR and how does it affect personal loan eligibility?⌄
FOIR (Fixed Obligation to Income Ratio) = total existing EMIs ÷ gross monthly income. Banks require FOIR below 40–50%. If FOIR is already high from existing loans, new loan eligibility reduces. We calculate yours precisely.
Can a self-employed person get a personal loan?⌄
Yes. Doctors, CAs, architects, business owners are eligible. Income assessed via ITR and bank statements. Minimum 2 years of stable income history typically required. Rates may be slightly higher than salaried profiles.
What happens if I miss a personal loan EMI?⌄
Penalty charges (1–3%) + negative impact on credit score. After 90+ days, account classified as NPA — severely affecting future borrowing. Always inform your lender in advance if you face difficulty. Restructuring options exist.
Can I close my personal loan early?⌄
Yes. Early closure (foreclosure) is allowed. Some lenders charge a foreclosure fee of 2–5% of outstanding amount (usually after 12 EMIs). For floating rate loans, no foreclosure charge as per guidelines. Always check before applying.
How is personal loan interest rate decided?⌄
Key factors: (1) Credit score — 750+ gets lowest rate, (2) Employer type — MNC/PSU employees get preferential rates, (3) Income level, (4) Loan tenure, (5) Existing relationship with the bank. We negotiate on your behalf.
Can I get a personal loan with an existing home loan?⌄
Yes, as long as your FOIR remains below 50% after adding the new EMI. Having a home loan actually helps — it demonstrates responsible credit behaviour and builds credit history.
What is the difference between personal loan and credit card?⌄
Personal loan: fixed amount, fixed EMI, 1–7 years, 10–18% rate. Credit card: revolving credit, minimum payment trap, 24–48% annualised rate if not paid fully. Personal loan is always cheaper for needs above ₹50,000.
How does Srikara help me get a better personal loan rate?⌄
We know which lenders offer the best rates for your specific income, employer, and credit profile. We avoid unnecessary applications that hurt your credit score. We negotiate for waivers on processing fees where possible.