5 Benefits of Availing a Personal Loan for Women
5 min read | 3 months ago
In 2023, personal loans taken by women in India grew by 19%, showing a clear trend towards financial independence and empowerment. When life throws surprises your way, whether it’s a career opportunity, a personal milestone or an unexpected expense—having the financial freedom to say 'yes' can make all the difference.
For many women, personal loans offer a practical solution to fund dreams, manage finances and even invest in personal growth. Let’s explore the top five benefits that make personal loans an excellent choice for women across the country.
Why personal loans for women are a great choice?
With competitive features tailored for women, these loans offer not only affordability but also flexibility and convenience. Below, we explore five key benefits that make personal loans an excellent option for women.
1.Lower interest rates
Many banks and financial institutions offer lower interest rates on personal loans for women. This can significantly reduce the overall cost of the loan, making monthly payments more manageable. By saving on interest, women can allocate more funds towards other financial goals. These reduced rates also empower women to access credit without excessive financial burden, helping them pursue opportunities that might otherwise be financially challenging.
2.No collateral needed
Personal loans for women are usually unsecured, meaning there’s no requirement to pledge assets as collateral. This makes the process less daunting, as women don’t risk losing valuable assets like property or jewellery. This feature is especially beneficial for women who may not have access to collateral, such as young professionals or single mothers. The absence of collateral requirements opens doors to financial assistance based on credibility, not assets.
3.Flexible repayment options
Personal loans for women often come with a variety of repayment terms. This flexibility allows women to select a repayment schedule that suits their financial situation, whether they prefer short-term or extended payment plans. For those balancing multiple financial responsibilities, such flexibility can alleviate stress by offering manageable monthly payments. Women can better plan their finances and ensure loan repayments align with their income and expenses.
4.Quick approval and minimal paperwork
Financial institutions recognise the value of convenience and speed, especially for personal loans aimed at women. These loans typically require minimal documentation, which simplifies the application process. Moreover, quick approval times mean women can access the funds they need promptly, whether for emergencies or planned expenses. This efficiency is particularly advantageous for busy professionals or mothers who need timely access to funds without complex procedures.
5.No usage restrictions
Personal loans for women come with the freedom to use the funds as needed, without restrictions. Whether it’s for further education, business expansion or personal expenses, women can allocate the loan for any purpose. This versatility enables them to pursue opportunities or cover necessities based on their unique goals and priorities. Unlike loans tied to specific uses, personal loans offer the flexibility to address a range of financial needs.
Tips when availing personal loans as a woman
Here are some additional tips for women availing personal loans in India, aimed at ensuring a smooth and beneficial borrowing experience:
1.Evaluate your exact loan needs
Borrow only what you need. Avoid over-borrowing to keep interest payments manageable and prevent unnecessary debt. A well-calculated loan amount can make repayment easier and save you money over time.
2.Keep a strong credit score
A higher credit score can help you secure better interest rates and terms. Regularly monitor your credit report to catch any discrepancies and practice good credit habits like timely payments and low credit utilisation to maintain or improve your score.
3.Choose a lender with quick disbursal
When you need funds urgently, selecting a lender known for fast loan disbursal can make a big difference. Many lenders today offer online applications and quick approvals, some within 24 hours, which is ideal for those needing immediate access to funds.
4.Understand prepayment and foreclosure charges
Some lenders allow early repayment but may charge fees for it. If you plan to repay early, check the lender’s prepayment and foreclosure terms to avoid unexpected costs and potentially save on interest.
5.Verify the lender’s credibility
Ensure the lender is reputable and trustworthy. Read reviews and research the lender’s background to confirm they have a good track record. A reliable lender provides transparency and clear terms, helping you avoid hidden fees or unfavourable conditions.
Choose Unity Small Finance Bank for availing personal loans
Personal loans for women offer a pathway to financial independence, helping them achieve their goals, handle emergencies or even fund new ventures. Unity Small Finance Bank understands the unique financial needs of women, offering flexible terms and transparent processes that make borrowing simple and stress-free.
If you’re ready to take control of your financial journey, consider Unity Small Finance Bank for your personal loan needs. Reach out today and explore options that are designed to empower you. Start making your dreams a reality!
About Unity Small Finance Bank
Unity Small Finance Bank is committed to making banking simpler and more accessible for everyone. Our services include Savings Account, NRI account, Current Account, Fixed Deposits, and Personal Loans offering flexible tenures and attractive interest rates. We also offer financing options like MSME Loans and Microfinance to support businesses and underserved communities. Learn more about Unity Small Finance Bank here.
