Guidance on Overdraft for emergency fund

[Matirp]

Hello everyone. Need some guidance on availing Overdraft for future emergency purposes.

Was approached by Axis finance & Tata

For Axis:
Amount offered: 7 lakh+
Roi: 14.25
PF: approx 8999k
Insurance: 4500 approx
Tenure: 5 years
No AMC
No Foreclosure charges

Tata's were pretty high as they offered 16lakh+

An agent who approached first offered OD from Kotak. However, after submitting all docs said due to some technical issue, Kotak will not be possible this month
The offer is as below:
𝚄𝚍𝚒𝚝 𝚛𝚊𝚓𝚙𝚞𝚝 𝚍𝚎𝚜 𝚜𝚒𝚍𝚎 𝚏𝚛𝚘𝚖 𝚔𝚘𝚝𝚊𝚔 𝚖𝚊𝚑𝚒𝚗𝚍𝚛𝚊 𝚋𝚊𝚗𝚔 .

𝙹𝚄𝙽𝙴 𝙾𝙵𝙵𝙴𝚁𝚂

LOAN AMOUNT 10LACS AND ABOVE
Roi: 13.75

MAXIMUM PF CASH BACK PER CASE WILL BE 4999
𝙿𝙵- 7999
𝙰𝚗𝚗𝚞𝚊𝚕 𝚖𝚊𝚒𝚗𝚝𝚎𝚗𝚌𝚎 𝚌𝚑𝚊𝚛𝚐𝚎𝚜 (𝚣𝚎𝚛𝚘)0
𝙲𝚕𝚘𝚜𝚎𝚒𝚗𝚐 𝚌𝚑𝚊𝚛𝚐𝚎𝚜 (𝚣𝚎𝚛𝚘)0
Any better offers I can get? No idea on this. This will be purely for emergency fund.

Not interested in Personal Loan.

 

[RaviAglRaviAgl is verified member.]

Hello!!

Welcome to the TechnoFino Community and thank you for posting here.

I understand that you are going for an emergency fund which you do not require as of now.

In my opinion, going for this sort of stuff is probably not worthy of investing.

Generally, an emergency arises in only 2 cases -

Death of a loved one or a Medical Emergency.

In both cases opting for Life Insurance or a Mediclaim Insurance Policy would be the path to go.

However, I may have misunderstood your Question and if you have already made up your mind regarding the emergency fund, let other members respond. I will watch this thread and give my inputs if needed.

Note that your first 3 posts will require approval from moderators, so replies maybe a bit delayed.

Welcome, once again.

Thanks!!

 

[starstruck]

Hello everyone. Need some guidance on availing Overdraft for future emergency purposes.

Was approached by Axis finance & Tata

For Axis:
Amount offered: 7 lakh+
Roi: 14.25
PF: approx 8999k
Insurance: 4500 approx
Tenure: 5 years
No AMC
No Foreclosure charges

Tata's were pretty high as they offered 16lakh+

An agent who approached first offered OD from Kotak. However, after submitting all docs said due to some technical issue, Kotak will not be possible this month
The offer is as below:
𝚄𝚍𝚒𝚝 𝚛𝚊𝚓𝚙𝚞𝚝 𝚍𝚎𝚜 𝚜𝚒𝚍𝚎 𝚏𝚛𝚘𝚖 𝚔𝚘𝚝𝚊𝚔 𝚖𝚊𝚑𝚒𝚗𝚍𝚛𝚊 𝚋𝚊𝚗𝚔 .

𝙹𝚄𝙽𝙴 𝙾𝙵𝙵𝙴𝚁𝚂

LOAN AMOUNT 10LACS AND ABOVE
Roi: 13.75

MAXIMUM PF CASH BACK PER CASE WILL BE 4999
𝙿𝙵- 7999
𝙰𝚗𝚗𝚞𝚊𝚕 𝚖𝚊𝚒𝚗𝚝𝚎𝚗𝚌𝚎 𝚌𝚑𝚊𝚛𝚐𝚎𝚜 (𝚣𝚎𝚛𝚘)0
𝙲𝚕𝚘𝚜𝚎𝚒𝚗𝚐 𝚌𝚑𝚊𝚛𝚐𝚎𝚜 (𝚣𝚎𝚛𝚘)0
Any better offers I can get? No idea on this. This will be purely for emergency fund.

Not interested in Personal Loan.

I would say shop around more with different financial institutions for lowest rates and best other benefits.

 

[starstruck]

I would say shop around more with different financial institutions for lowest rates and best other benefits.

A quick google search for "compare overdraft interest rates". You should connect with the institutions offering lowest rates.

https://www.paisabazaar.com/business-loan/overdraft-account/

Overdraft Interest Rates - Compare the Best Rates

Compare the latest overdraft interest rates offered by leading banks in India. Get detailed insights into borrowing costs and repayment terms.

www.creditmantri.com

 

[Matirp]

A quick google search for "compare overdraft interest rates". You should connect with the institutions offering lowest rates.

https://www.paisabazaar.com/business-loan/overdraft-account/

Overdraft Interest Rates - Compare the Best Rates

Compare the latest overdraft interest rates offered by leading banks in India. Get detailed insights into borrowing costs and repayment terms.

www.creditmantri.com

Thank you... However, avoiding Paisabazaar... They are irritating as hell 🙂

 

[starstruck]

Thank you... However, avoiding Paisabazaar... They are irritating as hell 🙂

Use their data in the link to contact the bank directly. I thought that was understood.

 

[helloworld]

Hello everyone. Need some guidance on availing Overdraft for future emergency purposes.

Make your own emergency fund. Keep 10-15% of your income every month without fail and within 2 years your emergency overdraft will be ready.

Incase any emergency in-between try to use credit cards for interest free period, and pay on-time. Settle bills with insurance and reload emergency without stopping.

With Proc. Fee and variable interest rate, none of them looks good anyway.

 

[Suspicious Activity]

Hello everyone. Need some guidance on availing Overdraft for future emergency purposes.

Was approached by Axis finance & Tata

For Axis:
Amount offered: 7 lakh+
Roi: 14.25
PF: approx 8999k
Insurance: 4500 approx
Tenure: 5 years
No AMC
No Foreclosure charges

Tata's were pretty high as they offered 16lakh+

An agent who approached first offered OD from Kotak. However, after submitting all docs said due to some technical issue, Kotak will not be possible this month
The offer is as below:
𝚄𝚍𝚒𝚝 𝚛𝚊𝚓𝚙𝚞𝚝 𝚍𝚎𝚜 𝚜𝚒𝚍𝚎 𝚏𝚛𝚘𝚖 𝚔𝚘𝚝𝚊𝚔 𝚖𝚊𝚑𝚒𝚗𝚍𝚛𝚊 𝚋𝚊𝚗𝚔 .

𝙹𝚄𝙽𝙴 𝙾𝙵𝙵𝙴𝚁𝚂

LOAN AMOUNT 10LACS AND ABOVE
Roi: 13.75

MAXIMUM PF CASH BACK PER CASE WILL BE 4999
𝙿𝙵- 7999
𝙰𝚗𝚗𝚞𝚊𝚕 𝚖𝚊𝚒𝚗𝚝𝚎𝚗𝚌𝚎 𝚌𝚑𝚊𝚛𝚐𝚎𝚜 (𝚣𝚎𝚛𝚘)0
𝙲𝚕𝚘𝚜𝚎𝚒𝚗𝚐 𝚌𝚑𝚊𝚛𝚐𝚎𝚜 (𝚣𝚎𝚛𝚘)0
Any better offers I can get? No idea on this. This will be purely for emergency fund.

Not interested in Personal Loan.

Could you elaborate a little on the purpose of the fund?

 

[Matirp]

Could you elaborate a little on the purpose of the fund?

Only as a liquid emergency fund

 

[Suspicious Activity]

Only as a liquid emergency fund

Then why not a credit card. The money you are going to set aside as EMI amount could go towards building a corpus fund in the meantime. That way, if there is no immediate emergency happening, you could tap into that corpus fund