There are many times when we need a helping hand for making our dreams come true. Such a helping hand is none other than the top-up loans in the financial aids.
Top-up loans are a great option for all those people who have already taken a personal loan and are still in need of some more amounts for any reason. There are several benefits of top-up loans that initiate from a low-interest rate as compared to personal ones. Apart from this, there are many tax benefits as well that are provided to the people who opt for a top-up loan.
In case, if you are making up your mind for home loans, then you can reach out to IFL Housing Finance, where you’ll be able to get various types of home loans that will be able to fulfill all your needs.
Benefits Of Top-Up Loans
There are various benefits that an individual can avail if he opts for the top-up loans. Some of them are mentioned below:
Cheaper Rate of Interest
As it is a type of secured loan over which there is something like property is kept as a mortgage, top-up loans prove out to be a cheaper one. As a matter of fact, it is much more than cheaper than an unsecured loan or personal loan. The rate of interest of any Top-up loan is usually as same as that of running home loan. This marks a remarkable difference in terms of total payable interest as a home loan.
Easy and quick approval
As banks or NBFCs possess all the relevant personal documents of an individual that are required during the procedure of loan, including their repayment habits and many more. In case there is a good track record of repayments, customers can easily as well as quickly get approval for the top-up loans as well.
No foundation on the usage of funds
Top-up loans are differentiated as it can be taken for various purposes that may include marriages, medical expenses, home renovation, child’s education, etc. It is not restricted only for the home loans.
As mentioned above, banks and NBFCs keep all your indispensable documents with themselves including all the track records. There are quite minimal requirement of any other documentation process and that is also if needed. For instance like updated banking or salary slips.
As mentioned in my previous blog about the of tax benefits. Similarly, there is in case of Top-Up loans as well, people can avail tax beneficiaries. In case, the amount of loan is used for acquiring, constructing or any kind of repair on existing residential property.