Medical loans are unsecured personal loans for medical expenses that can be used to refinance existing health insurance, pay for anything from an emergency procedure to cosmetic surgery, etc. You can use medical loans to pay for any emergency or urgent medical expenses.
Pay Your Medical costs With Instant Loans:
Many personal loans lenders provide medical loans faster than any other financial institutions. The following is the list of NBFC-registered personal loans online lenders for medical costs:
- Kredit Bee
- Fibe India
Eligibility Criteria for Medical Loans:
When it comes to becoming eligible for a personal loan to pay off medical debt, each lender has their own specific standards. However, there are a few standard requirements for qualifying that you’ll probably need to fulfil, such as:
- A good to excellent credit score: You need to have a CIBIL score ranging between 650 to 900. However, compared to loans for people with bad credit, a good credit score typically enjoys low-interest rates instant loans.
- Verifiable income: Depending on the lender, you may need to verify that you have the ability to repay the loan. Some lenders have a minimum income requirement that starts from ₹ 15,000 per month.
- Debt-to-income (DTI) ratio: It will help online lenders to measure how much of your income is going towards your monthly debt payments. Your DTI ratio should be no greater than 30% to qualify for instant loans.
- Employment status: Another aspect that lenders could take into account is your current employment status. They might favour lending to people who have steady employment and a predictable income.
- Other criteria: You must be at least 20 years old and You must be an Indian citizen.
Tip: Having a co-signer with a decent credit score and income can boost your chances of getting a medical loan if you have bad credit or a limited income.
How to compare lenders for medical loans:
Every lender has various eligibility criteria, so you must shop around and compare lenders to discover the one that best meets your requirements and financial circumstances. Find the best instant loans for your needs when you consider your medical loan possibilities.
Following are a few points to consider while you compare medical loans –
- Interest rates: Your loan’s interest rate will have a significant impact on how much it will cost you to repay. Generally speaking, the lower your overall loan amount will be, the better your rate will be. The rates you’re offered will also be influenced by your credit and the payback term you select.
- Repayment period: Depending on the lender, you normally have a month to two years to pay back a personal loan for medical costs. The shortest term you can afford is typically the best choice if you want to keep your interest expenses as low as possible. Additionally, many lenders give borrowers who choose shorter terms higher rates.
- Fees: Before applying for instant loans, be sure to check processing fees or prepayment penalties and foreclosure or late payment fee, and any other charges.
- Loan amount: Lenders normally give personal loans in the ₹5,000 – ₹2 lacs range, while some may go higher. Pick a loan size that will suit your demands.
- Process: While some lenders may approve your application immediately, others may process it over the course of days or even weeks. If you require the funds immediately, take the approval procedure into account while selecting a lender.
- Authenticity: Look for a lender with a solid track record of honesty and strong customer service. Also, the lender must be registered with NBFC.
- Special features: Some lenders could let you adjust your payment due date or skip a payment if you’re having trouble. If you value these characteristics, take them into consideration.
How To Apply For Medical Loans?
Medical expenses can be a significant burden on a person’s finances, especially when unexpected emergencies arise. Fortunately, medical loans can help cover these expenses and make healthcare more affordable. However, applying for a medical loan requires careful consideration and planning.
You normally need to have a good to excellent credit score, as well as verifiable income, to be eligible for a medical loan from these or other lenders.
Tip: It’s always a smart idea to look into less expensive financial options initially due to these eligibility requirements as well as the interest fees you’ll pay on the loan over time.
- Select an online lender:
To get the best medical loans for your needs, make sure you take into account as many lenders as you can. Choose the lender that best suits your needs keeping in mind their interest rates, repayment terms, processing fee, foreclosure charges.
2. Fill out the application form: Once you’ve decided on a lender, you must complete an application by your basic details like name, contact details, etc.
3. Upload documents: Submit any necessary supporting documents, such as Aadhar, PAN card, and salary payment slip (Bank statement). Lender will verify your documents and will run a quick credit check.
4. Loan disbursement: Once your lender verifies your documents, you will be notified the same. Typically, a loan gets transferred into the borrower’s account within 24 hours.
Medical loans offer a solution for individuals who are struggling to pay off their healthcare expenses. These loans are less expensive and can be acquired instantly, making them a convenient option for those in need of immediate medical care. However, it’s important to carefully consider the terms and conditions of the loan before applying, and to ensure that you have the means to repay the loan on time. With proper research and planning, medical loans can provide much-needed relief for those facing unexpected medical expenses.
One benefit of medical loans is that they might give patients a method to get the treatment they require without worrying about the immediate financial needs. Before taking out any loan, it’s crucial to carefully evaluate the terms and make sure the monthly payments fit into your spending plan. Although using medical loans to pay for medical expenses may be wiser, it’s a good idea to look into less expensive choices.