Overview

Personal loan overdraft facility is understood as a credit line in which the personal loan borrowers withdraw funds from the loan account according to the authorized credit limit. The limit of borrowing is perpetually endorsed post factor in the credit profile, monthly income along with flow of cash statements of personal loan borrowers. The borrowers can draw out from the loan account any number of times up to the endorsed limit, and compensate as per the accessibility of funds. The interest is imposed priorly on the amount withdrawn, and not the overall overdraft limit. This makes a personal loan overdraft facility an extraordinary loan choice for those facing recurrent cash flow mismatches.

A personal loan overdraft facility provides the opportunity for customers to withdraw funds as per their financial needs and  requirement, along with the benefit of paying interest only on the utilized capital or amount for the given term or period. Such an option is taken to be handy for meeting necessary needs or managing unforeseen expenses. The Overdraft facility is considered readily available for both salaried and self-employed individuals who are alike. A Personal Loan Overdraft guarantees an individual to have an immediate access to funds without the increased costs generally associated with other kinds of loans.

Advantages of Personal Loan Overdraft Facility

The most significant advantage of personal loans overdraft can assist you to meet any unforeseen expenses. You'll pay interest on the capital you utilize plus a monthly fee – however, it won't cost anything if you don't use it.

Pay According to Use
Such a facility offers a person to pay interest only on the avail oneself of the amount instead of paying interest on the overall authorized limit.

Easy Documentation
The documents needed for a Personal Loan overdraft are generally taken as quick, straightforward and simplified to offer.

Several Withdrawals Via Online Transactions
it allows access funds online to meet a required array of personal expenses, as many times as needed.

Transfer Funds Across Accounts
one can celebrate the freedom to move funds seamlessly across various bank accounts.

Pay All Kinds of Bills
one can utilize the funds to pay various utility bills, multiple credit card bills to manage different payments seamlessly.

How Does OD Work ?

If an individual gets an overdraft account authorized from the reputed bank then it would receive the requested overdraft amount just like the one receives a loan amount from the bank. A pre-approved overdraft facility, whenever one requires funds, they can withdraw them from their bank account and it will go into overdraft. After overdrawing funds through the account up to an agreed limit. By using the overdraft facility one basically increases the outstanding on a bank account; once a deposit is funded, the outstanding decreases.

Features & Benefits

Eligibility

Who can apply:

• Minimum monthly income: ₹40,000 in metro cities, ₹28,000 in other cities
• Salaried individual
• A credit score above 700
• Total work experience of atleast 1 year

Age:

• Above 22 years and below 58 years

Required Documents

   

Identify Proof

Any of the following

1. Passport
2. Voter ID
3. Driving License
4. Aadhar Card (Mandatory)
5. Pan card (Mandatory)

   

Address Proof

Any of the following

1. Passport
2. Utility Bill
3. Aadhar Card
4. Driving License

   

Other Documents

Mandatory

1. Salary Slips ( Last 3 months)
2. Salary A/c Bank statement ( Last 3 months)

Calculator

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How to Apply

LoansJagat is a platform to offer personal loan overdraft quickly and efficiently without having a difficult application process. Our aim is to offer a hassle-free process so that no one has to wait for their dream to become a possibility. Apply for a loan right away!

• Visit the LoansJagat.com
• Click on apply button
• Select the loan category
• Enter city name
• Mention your full name
• Enter your mobile number
• Click on the next button
• Fill in your personal and financial details
• Finally, based on the following information, you will get bank options available.

Tips to Avoid Loan Rejection

The following guidelines assist in improving the chances of loan approval to avoid the possibility of rejection of personal loan overdraft.

• Eligibility Criteria: It must be adhered to reduce the chances of loan rejection.
• Regular Paid Installments: Monthly payments must be ensured on time.
• Credit Utilization: It must be a ratio of 30% or less.
• Credit Scores: They are often the key factor on which lenders rely on to assess the risk associated with an individual. A score of 750 and above is considered credit-worthy to increase the chances of loan approval.
• Avoid Multiple Loans: Taking several loans and credit cards without closing pre-existing applications will also portray you as credit-hungry and unreliable as a borrower.
• Inquiries And Applications: As an increased number of lenders approach, a person's credit score gets lower, often showing that they are credit-hungry and in dire need of funds from lenders and banks, jeopardizing their financial credibility.
• Debt-to-Income Ratio: Keep your debt-to-income ratio low. This ratio compares your monthly debt payments to your monthly gross income. Lenders typically prefer a ratio of 36% or lower.
• Consider a Co-Signer: If your credit score or income is insufficient, a co-signer with a solid financial profile can improve your chances of approval of a personal in kolkata..
• Be Honest: Provide accurate and truthful information on your application. Misrepresentation can lead to automatic rejection and damage your credibility.
• Consult a Financial Advisor: If you’re unsure about your financial standing or need advice on improving your chances, consult a financial advisor.

FAQ’s