Personal Loan Suggestion

[Anshit]

I urgently need some money for medical expenses and I was looking at some Personal loan options as my Insurance has capping ...Axis is providing me a top-up loan at the rate of 11.25% though my existing loan is at 10.75%, They are saying there rate has changed 11.25% is the lowest they can do...I do see other banks advertising lesser rates like IDFC and Indusind...but I am not sure if I will get that rate as I don't have any relationship with them... should I check with other banks or Axis is best offer?

 

[helloworld]

Above 11% is current rates, you can negotiate with every one you like.. no relationship needed.

They need
- Good cibil score with 0 defaults
- Affordable income related to EMI

 

[Anshit]

Above 11% is current rates, you can negotiate with every one you like.. no relationship needed.

They need
- Good cibil score with 0 defaults
- Affordable income related to EMI

Thank you for your insight...If I take a top-up loan will the intrest rate for my existing long change to the new rate? I want to check options other banks portal but I am worried that will trigger a lot of CIBIL inquires...My Current CIBIL score is 795 and don't have any defaults

 

[Nemil]

Do you have a home loan? If yes, try getting a top-up stating some renovation, furniture, etc. That will be at ~9% only.

 

[Anshit]

Do you have a home loan? If yes, try getting a top-up stating some renovation, furniture, etc. That will be at ~9% only.

No don't have any Home Loan!

 

[Nemil]

No don't have any Home Loan!

Just spoke to my fiancee who works with IndusInd Bank and she confirmed that Axis is giving you a better rate and you won't get that with IndusInd as a new loan account. You can try with other banks though.

 

[Anshit]

Just spoke to my fiancee who works with IndusInd Bank and she confirmed that Axis is giving you a better rate and you won't get that with IndusInd as a new loan account. You can try with other banks though.

Thank you for checking for me this great help!

 

[Nemil]

Glad it helped and I wish you get out of that medical thing very soon

 

[Anshit]

Glad it helped and I wish you get out of that medical thing very soon

It's just my insurance broker goofed up and landed me in this situation...Any you idea of my existing loan rate will change to the new rate If I top up?

 

[Nemil]

It's just my insurance broker goofed up and landed me in this situation...Any you idea of my existing loan rate will change to the new rate If I top up?

No, as far as I know, you will have another loan account number for the top-up loan. So the existing loan will stay at the old rate and the top-up will have its own interest rate.

 

[Anshit]

No, as far as I know, you will have another loan account number for the top-up loan. So the existing loan will stay at the old rate and the top-up will have its own interest rate.

I reason I am asking this is on the Axis App ,I have two options to Merge the loan or create a new loan account, If create a new account then the rate would be 11.75% and If I merge it would be 11.25%, I am scared that If I merge they will change existing rate to 11.25%

 

[Nemil]

I reason I am asking this is on the Axis App ,I have two options to Merge the loan or create a new loan account, If create a new account then the rate would be 11.75% and If I merge it would be 11.25%, I am scared that If I merge they will change existing rate to 11.25%

Yes, then in this case, both the loans will be merged and charged at 11.25%. You mind telling the outstanding amount for the existing loan and how much are you planning to take now?

 

[Anshit]

Yes, then in this case, both the loans will be merged and charged at 11.25%. You mind telling the outstanding amount for the existing loan and how much are you planning to take now?

I just spoke to the Axis they confirmed the same thing they are suggesting that I take higher top-up loan amount and close the existing loan and continue with new loan...My existing outstanding on loan is around 2 lacs with 26 months remaining and I am not planning for huge amount I may need around 1 lac remaining the insurance will cover... I planning to take this just not to disturb my other savings and I am looking at a duration of 1 year

 

[Nemil]

I just spoke to the Axis they confirmed the same thing they are suggesting that I take higher top-up loan amount and close the existing loan and continue with new loan...My existing outstanding on loan is around 2 lacs with 26 months remaining and I am not planning for huge amount I may need around 1 lac remaining the insurance will cover... I planning to take this just not to disturb my other savings and I am looking at a duration of 1 year

Don't follow what they are saying. You will lose:

1. An existing loan with a lower interest rate of 10.75%
2. Closing the old loan early may attract foreclosure charges
3. Taking a higher top-up loan means higher processing fees
4. Everything will be at 11.75% instead if you decide to merge at 11.25%

They are just misguiding you so that they can achieve their targets. Better go with 1L as a top-up separately and keep the old untouched. No need to merge them if you are going to pay off the top-up within a year.

 

[Anshit]

Yup, Not merging it...will just check if I can get anything better than 11.75%

 

[deep@vie]

Check with HDFC,ICICI.
The chances of getting a better are slim though as the loan amount is not big.

Yup, Not merging it...will just check if I can get anything better than 11.75%

 

[Anshit]

Check with HDFC,ICICI.
The chances of getting a better are slim though as the loan amount is not big.

Checked with HDFC, they are giving 11.88% with no processing fee...I was also checking on IDFC website but accidentally clicked on incorrect address when they pulled up my Aadhar and the website is not allowing to continue, seems like got a CIBIL hit, one inquiry wasted

 

[helloworld]

Thank you for your insight...If I take a top-up loan will the intrest rate for my existing long change to the new rate? I want to check options other banks portal but I am worried that will trigger a lot of CIBIL inquires...My Current CIBIL score is 795 and don't have any defaults

it will be new loan and previous one preclosed and open new one with new interest.

better take separate one.

 

[Nemil]

Checked with HDFC, they are giving 11.88% with no processing fee...I was also checking on IDFC website but accidentally clicked on incorrect address when they pulled up my Aadhar and the website is not allowing to continue, seems like got a CIBIL hit, one inquiry wasted

What's the processing fees with Axis?

 

[Anshit]

What's the processing fees with Axis?

They said it would be between 1-1.5% for me