We often realise that quite of our salary is spent on the expenses and EMIs and we do not spare enough money for luxuries. Most of the other times we face issues when suddenly some unexpected or unplanned expenses comes up.
What is their income-expenditure ratio?
According to an ICICI Lombard 2015 study, Indian millennials have almost 69 percent of income-expenditure ratio, which means they spend 69 percent of their income every month. Interestingly, the study pointed out that the millennials spend just 5 percent of their monthly income on health and medical needs.
The expenditure on family, livelihood, and EMIs account for 50 percent of the earnings, said the study.
Millennials expenditure mostly comprises of short-term goals as well as few long-term goals. As instant gratification is more sought after, their expenditure may sometimes outweigh their income
Because we all know expenses are inevitable. But what you do not know about is the EMI free loans available by new lending platforms in the market.
The EMI Free Loan are really EMI Free. That means No EMI. This concept involves Paying only interest on the Loan amount and and making lump sum payments towards principal amounts every six months. yes you heard that right. That is really possible.
These loans also offer:
Flexibility
Foreclosure facility
Involves Transparent process
One can now give up the hassle of running to institutions for approvals of loans. RBI registered digital NBFCs are now-a-days providing loans online, therefore helping people to choose wisely while they can have loans at their doorsteps.
One needs to pay only interest for 5 months and make bullet payments towards principal every 6 months. If you make a Part Payment, it lowers your monthly interest cash outflow for the following months.
One can also check loan eligibility online. Few parameters are kept into consideration before apply for a loan. one must have a good CIBIL score.
Credit information Bureau deals with credit records of consumers and companies. It is an effort to enhance transparency, efficiency and accountability for credit access. It keeps a check on activities of an individual or an entity. This help banks, insurance companies and government companies to know the credit worthiness or risk associated with clients.
FYI: CIBIL partners with two international credit Bureaus: Dun & Bradstreet and TransUnion International.
REASONS WHY ONE COULD NEED A Loan:
- To Pay off an existing Debt
- Medical Emergencies
- Relocating costs
- Car Repairs
- Renovation of the Home, etc
No one would like a debt for a long period. post 6 months of loan servicing one can opt for a closure of the loan. That too without any charges. Banks usually charge 3-4% foreclosure charges. Therefore, one must opt for a NBFC as their products are unique and user oriented.
Plan Your loans with a variety of credit products available in the market. For every situation there are tailor made loans available. Wedding loans, Holiday loans, Overdraft loans, etc. One need not worry if he faces unexpected expenses as these loans are accessible in no time. The NBFCs provide loans faster then banks. The interest rates with such institutes are lower as compared to banks.
Hence, reduce your monthly outflow with EMI Free loans customized according to ones needs.
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