Finance Forum India

Tanmay Seth, a software engineer in his early 30s, thought he had his finances under control. After all, he had savings, two houses, and medical insurance for his whole family. But then Tanmay’s wife was diagnosed with a medical condition that his insurance did not cover. He was in a fix. How could he pay his wife’s hospital bills? Should he sell his second apartment? Should he charge it to his credit card? Should he consider the hospital’s own EMI repayment options?   Tanmay chose the best alternative—he applied for a personal loan. His wife was able to get the best...

The loan is an amount taken by an individual from another and has to be repaid over a period of time - a financial obligation. Loans are taken either for a long term or a short term. Long term loans are taken for the purpose of purchasing high costing assets such as a house. This purchase requires a lot of planning and loan taken for this purpose has a long term relation for both the giver and taker. So, the documents should be clear and free from ambiguity. Hence, all the property-related documents must be prepared accurately.  Some of the reasons...

Loan and CIBIL score are closely inter-related. The loan is an amount taken by individuals for fulfilling their wants which he cannot fulfill with just his means of income, and CIBIL score is a score which is an important factor taken into consideration by the lenders for the purpose of knowing credit worthiness of individuals. So, an understanding of both can be helpful in analyzing the pros and cons of the same. Normally, purchase of an asset requires a lot of planning and comparisons before decision making. One of the important and almost once a lifetime asset purchase decision that an...

Most of us dream of owning a home, do we not? Buying a home is a big investment. So, it is important to take a wise and well thought-out decision. Take the example of Gargi Sen. She wanted to buy a home, but it was turning out to be quite the nightmare for her. Even after a month of house-hunting, she was nowhere close to even making a deal. One day, she was talking to a colleague who had recently bought a house. The conversation was an eye-opener for Gargi. She realised that many things about home-buying that she had believed...

Turning 24 had its own special meaning for my not-so-little daughter. She had been working since the last 2 years, and was all set to buy her first car. Her dad had convinced her that a fancy car could wait a few years; instead she should buy a used car to begin with. Excited and chirpy she bounced into the room.” Dad, I want a small car; there’s no garage space in Delhi.” Her infectious enthusiasm had us scrambling to our feet and we were off to the car dealer’s garage cum showroom in no time. Once there, Manasvi hopped from...

When lenders are willing to lend money to borrowers, it is in their best interest to ensure that money is only given to those who can actually repay it back on time. So as an estimate of future repayment behavior, lenders look at past credit history of the applicants to see how they have been repaying their loans. A borrower who has not been regular with his repayments has higher chances of continuing this habit. Similarly, those who have a habit of repaying loans on time have a high chance of doing so in future too. So lenders look at credit...

Rohit Mistry, 34, decided to renovate a portion of his house and change all the furniture. The entire project would cost him a few lakhs. He immediately applied for a personal loan of Rs 8 lakh. Within no time, his home was as good as new. Rohit preferred a personal loan over a credit card for a few reasons. These included the quick disbursement, easy availability, and flexible EMI options. Let us explore why you should choose a personal loan over a credit card: 1)    Interest rate: This is a significant factor. Unlike in a credit card, the rate of interest...

v\:* {behavior:url(#default#VML);} o\:* {behavior:url(#default#VML);} w\:* {behavior:url(#default#VML);} .shape {behavior:url(#default#VML);} Normal 0 false false false false EN-IN X-NONE X-NONE /* Style Definitions */ table.MsoNormalTable {mso-style-name:"Table Normal"; mso-tstyle-rowband-size:0; mso-tstyle-colband-size:0; mso-style-noshow:yes; mso-style-priority:99; mso-style-parent:""; mso-padding-alt:0in 5.4pt 0in 5.4pt; mso-para-margin-top:0in; mso-para-margin-right:0in; mso-para-margin-bottom:10.0pt; mso-para-margin-left:0in; line-height:115%; mso-pagination:widow-orphan; font-size:11.0pt; font-family:"Calibri",sans-serif; mso-ascii-font-family:Calibri; mso-ascii-theme-font:minor-latin; mso-hansi-font-family:Calibri; mso-hansi-theme-font:minor-latin; mso-ansi-language:EN-IN;} Many factors determine how ready we are to take a home loan when we’re deciding on the same. Some of the most common factors summed up are listed below to assist one in preparing before they apply for a home loan to buy the ‘home of their dreams’: 1.    Do you have a good...

 There are a few do’s and don'ts while opting to avail a loan to own that dream home for life that one can think of. We’re penning down some of the important factors that make for the decision while going for the home loan. Do’s: ·         Since most of the information is available online these days, it is good to do a thorough research and apply online.   ·         Stay put at the job you’re at, and don’t move interim the process.   ·         Continue to use the same insurance company.   ·         Ensure all your existing bank accounts are functional...

Normal 0 false false false EN-IN X-NONE X-NONE /* Style Definitions */ table.MsoNormalTable {mso-style-name:"Table Normal"; mso-tstyle-rowband-size:0; mso-tstyle-colband-size:0; mso-style-noshow:yes; mso-style-priority:99; mso-style-parent:""; mso-padding-alt:0in 5.4pt 0in 5.4pt; mso-para-margin-top:0in; mso-para-margin-right:0in; mso-para-margin-bottom:8.0pt; mso-para-margin-left:0in; line-height:107%; mso-pagination:widow-orphan; font-size:11.0pt; font-family:"Calibri",sans-serif; mso-ascii-font-family:Calibri; mso-ascii-theme-font:minor-latin; mso-hansi-font-family:Calibri; mso-hansi-theme-font:minor-latin; mso-ansi-language:EN-IN;}   The practice of lending has been in existence since time immemorial, though the exact origin of loans remains cloudy. What is known though is that in earlier times, loans were in the form of barter. Over 5,000 years ago, precious stones and grains would be stored and traded in the Mesopotamian civilization, mainly temples. This is how the raw concept of banks...