Seeking Expert Advice on Debt Consolidation

[creidthungry]

Hi everyone,

I’m looking for advice from financial experts regarding a debt consolidation loan. Here’s my situation:

• My friend and I started a business that unfortunately went into a total loss. Due to personal reasons, my friend won’t be able to contribute to settling the loan immediately.
• To manage the financial burden, I’ve taken small loans and also withdrew cash from my credit card, which I converted into EMIs. The interest rates on credit card EMIs are very high, and the total EMIs now exceed my monthly salary.
• I’m considering consolidating my debts into a single personal loan with a longer tenure (6-7 years) to reduce the monthly burden and save on interest charges. Currently, most of my loans have a tenure of 2-3 years.

Here are some key details about my income and financial profile:

• I earn a monthly salary of $4000, which I receive in dollars from a US-based company as I’m on a contract with them. I live and work in India.
• Since it’s a contract-based role, I don’t have an official email ID from the US company, but I do receive payment receipts and have bank statements (ICICI Bank has previously approved a loan based on these details).
• My CIBIL score is 777, which I believe is decent.

I’m exploring options for a debt consolidation loan to manage my EMIs better. I’ve come across online portals like LoansJagat, but I prefer going through banks as their interest rates are lower (around 10.5% to 11%). My CA suggested an alternative: taking a loan from individuals at 20% interest for a year to pay off credit card dues and then approaching a bank for a top-up loan. However, individuals will be hesitant to give loans I believe. Approaching friends and relatives also won’t work.

I would greatly appreciate advice on:

1. Banks or lenders that might consider my situation for a debt consolidation loan.
2. Whether online portals like LoansJagat are reliable or if sticking to banks is a better option.
3. Any alternative strategies to consolidate my debt effectively.

If there’s anyone in technofino community who works in banking or has been in a similar situation, your guidance would be invaluable. Thanks in advance for your help!

 

[Anupama_Jha]

In my experience with HDFC and ICICI, only last 3/6 months payslips and bank statements are asked. No home/office verification

And, personal email I'd will also work. Or buy some related domain for 1-2k

 

[creidthungry]

the domain thing is a very good idea.. Will try that..