Instant loan apps have gained popularity among aspiring borrowers over the last few years. With just a few taps on your smartphone, you can apply for the required funding and get approved in minutes. However, with the increasing number of loan apps in India, choosing the right one becomes challenging. Here is a list of critical features to look for in a loan app to help you make an informed decision.
Interest Rates and Charges
The interest rate on your loan is the most important factor determining your EMIs and loan costs. A lower interest rate reduces your monthly instalment amount and saves money on the total interest outgo. However, the final interest rate you get depends on your repayment capacity, credit history, income, debt-to-income ratio, and other parameters. Ensure the app clearly displays the Annual Percentage Rate (APR), including the loan interest rate and extra charges. Enquire about hidden charges, including late payment penalties, prepayment charges, processing fees, etc. Compare the loan cost with other loan providers to ensure a competitive deal.
Speed and Convenience
Speed concern when you need a Personal Loan for an emergency. Choose an app that supports a complete digital loan procedure. This means there is no requirement to submit physical documents for Personal Loanapproval. It ensures the application and verification process is completed in minutes and you get loan approval without a lengthy waiting period.
Security
When it comes to financial transactions, you want to ensure that the lender keeps your personal and financial information safe and secure. Look for an app that uses industry-standard encryption for data protection from third parties. The security feature of two-factor authentication provides an extra protection layer to your account by restricting access.
Repayment Flexibility
loan apps in India offer flexible repayment options suitable to everyone’s needs. Look for an app that allows you to choose a repayment schedule that fits your affordability. Look for an EMI calculator in the app that lets you calculate your EMIs and select a term with budget-friendly instalments. Moreover, it should allow you to make early payments if needed.
Integration
An app that works in isolation demonstrates inefficient and slow value chains. A loan app with automated technology has a complimentary interface that communicates and collaborates. For instance, modern loan apps perform underwriting and consumer onboarding to make the entire process more efficient and faster. Ensure that your chosen app handles all the work on a single platform.
Customisation
The lending organization should offer customised loan offers that are suitable to your funding requirements. Customized loan plans ensure that you meet your needs effortlessly and streamline processes perfectly. The digital lending platform should support configuration to meet individual borrower’s financial needs. For instance, the applicant should be free to borrow a loan amount up to a specific limit according to their requirement.
Customer Support
In today’s age of online apps and eCommerce websites, the app must provide a seamless digital lending solution. An efficient loan app offers speed, a user-friendly interface, a diverse range of credit products, and automatic approvals. The app should offer responsive and reliable customer support through various channels, including chat, email, and phone. They must answer your questions and resolve any issues quickly. Refer to the FAQs section on the platform to find answers to common questions.
Look for an app offering multiple communication mediums. Check how effectively and quickly its customer executives respond to queries. Moreover, the customer support team should be available at your convenience.
User Reviews and Ratings
Look for an app with a high overall user rating, which indicates a positive experience. Read online reviews to understand other borrowers’ experiences with the loan app, especially regarding customer service and transparency. Be aware if you notice a common pattern of complaints, such as poor customer support, hidden charges, etc., in the reviews.
Hidden Fees and Charges
Before downloading a loan app, understand the hidden fees and charges associated with the loan. The app should provide transparent information about the interest rate, loan amount, applicable fees, and other charges. Read the terms and conditions carefully to understand the repayment plan, including penalties for missed or late payments. Doing so will help avoid any surprises later and let you budget your finances efficiently.
Tools and Features
The loan apps in India have several tools and features that make the borrowing process. Some of such tools include the following:
- Credit Score Check: The credit score checker gives a snapshot of your financial standing, making it easier for the lender to monitor your credit history.
- Interest Rate Calculator: This tool helps you estimate the loan cost based on the loan amount and interest rate. It also helps you compare loan plans and make better decisions.
- EMI Calculator: An EMI calculator calculates monthly EMIs on the principal amount, interest rate, and repayment term. Accordingly, you can budget your finances and avoid surprises during repayment.
- Repayment Facility: The app should have a user-friendly interface and allow borrowers to repay their EMIs through various payment methods.
- Loan Tracking: The loan tracking feature lets you easily track your repayments, schedules, and remaining balances.
- Alerts and Notifications: The feature notifies you of your upcoming due dates, fraud alerts, account activities, etc.
You can always lenders like the Hero FinCorp instant loan app for its features and user-friendly interface. It ensures a smooth borrowing experience at competitive rates and customer support.
Disclaimer: The information provided in this blog post is intended for informational purposes only. The content is based on research and opinions available at the time of writing. While we strive to ensure accuracy, we do not claim to be exhaustive or definitive. Readers are advised to independently verify any details mentioned here, such as specifications, features, and availability, before making any decisions. Hero FinCorp does not take responsibility for any discrepancies, inaccuracies, or changes that may occur after the publication of this blog. The choice to rely on the information presented herein is at the reader’s discretion, and we recommend consulting official sources and experts for the most up-to-date and accurate information about the featured products.