Vital Tips To Keep In Mind While Availing For A Home Renovation Loan

The home improvement loan is an extension of the personal loan that is designed to help you cover the needs of home improvements. 

If you wanted to implement a home decor idea for long, then you can use the loan amount to do that. From bathroom fittings to electrical lights to anything else, you can use the loan money to manage all. 

If you are eligible, then you may get up to Rs.25 lakh from leading lenders in India. But before applying for the same, you need to consider a few aspects in mind. It can help you approach the home improvement loan easily. Read on!

  • Decide how much is too much

The first thing is deciding the home improvement loan amount that will cover your needs easily. And to do that, you will need to calculate the amount that you will be approved. To do that, you can use the personal loan eligibility calculator on a lender’s website for free. The calculator will showcase an amount that you can avail on the basis of many aspects. You should always borrow an amount that you need and not what you are eligible for. It is because you need to repay it and EMIs may hurt your finances for a specific time.

  • Check out the eligibility criteria

The next thing is to check out the eligibility criteria of the lender and furnish the documents required. The standard eligibility criteria for the home improvement loan include:

  • You need to be a resident citizen of India. 
  • You should be aged 23-55 years. 
  • You need to be employed with an MNC, Public and a Private Limited Company.
  • KYC Documents. 
  • Employee ID Card. 
  • Last 2 months’ salary slips. 
  • Previous 3 months’ Salaried bank account statements. 

These are common eligibility conditions and may vary from lenders to lenders. Hence, it is good to check out the exclusive loan eligibility of the lender in advance.

  • Ensure to compare different loan offers

Once you decide to apply for the home improvement loan, you will come across many deals online. It may confuse you which one to choose and not. Hence, the best thing is comparing different loan criteria and picking the best suiting your needs and budget. The facility is available on a third-party website for free.

  • Check if you can repay the loan amount

The next thing is to know if you can repay the availed loan amount or not. To do that, many borrowers may decide their EMI amount manually. Doing that may have errors and affect financial planning. You can use the loan EMI calculator on a lender’s platform and know about the exact payable EMI amount. Most lenders offer repayment tenure of up to 60 months. You can go for it and pay lower EMIs.

One of the best ways to get personal loans is by having a robust credit score of 750 and more. This way, you can enjoy lower personal loan interest rates and speedy approval in no time. It gives the lender the confidence that you can repay the EMIs on time. It is because a healthier credit score denotes that you have creditworthiness. 

Once you are aware and consider these aspects, then you will be able to approach your personal loan for home improvement. 

If you are ready, then you can apply for it online and get started. 

Bajaj Finserv provides you with pre-approved deals on personal loans, home loans, EMI network and more. It can help you save your time on loan processing. 

You can check out pre-approved loan offers after sharing some basic details like the name and mobile number.