3 Ways How a Salary Based Loan Can Help in Times of Financial Crisis

When it comes to saving money and having proper control over our finances, there are many instances in life where we might stumble. One of the main reasons why that might happen is because of unexpected expenses. You might have a sudden financial emergency and may not have enough cash in hand then. So, you may need to dip into your savings. Even if you are pretty meticulous about your finances and can put aside a fixed amount towards your savings every month, the next month might surprise you. What if you suddenly have to make a large purchase? You might end up spending the monthly amount you meant to save.

It might also happen that the amount you’ve saved up from the past 6-8 months put together may not be enough to meet a pressing financial need. You might have to pay for flight tickets to go home for an emergency. You might have to buy new appliances for the house! Both these examples involve a lot of money. But what if you don’t want to touch your savings at all? You take a loan, of course. More specifically, a salary-based loan. Here are three ways how it can help you:

1.    Borrow More Than You Earn

As the name itself suggests, a salary-based loan is a loan against your monthly salary. It’s also known as an Advance Salary Loan or a Personal Loan for Salaried. If you thought that such loans are only given by an employer to their employees, you’re mistaken. Today, thanks to the popularity of personal loans and the emergence of several online loan lenders across the country, anyone can apply for a salary-based loan from the comfort of their home. What’s more, a big advantage of this loan is that it allows you to borrow more than a month’s salary, with some companies offering loans of up to 2.5 times your monthly salary. So, in case you want to borrow ₹1 Lakh but earn only ₹50,000 per month, don’t worry. A salary-based loan will help you out. However, all lenders have a limit on how much you can borrow, based on your eligibility.

2.    Quick And Transparent Application

Thanks to a completely online application process, what you see is what you get while taking out a salary-based loan. Almost all online lenders that offer such a loan do so through a salary loan app. The entire application process, from registration to loan disbursal happens on the app itself. So, you can see what is happening. You get to see a complete breakdown of the various charges associated with your loan, including the interest rate. You know exactly how much you’ll pay every month. There are no hidden charges that will take you by surprise later on. Also, something that used to take several days with traditional banks, happens within a maximum of 24 hours on a salary loan app! At the start of the application, you will even get to know whether you’re eligible for a loan on the platform quickly so that your time isn’t wasted.

3.    Flexible Repayment Options

With a salary-based loan, you are assured of flexibility when it comes to repaying your loan. During the application process, you can set the loan tenure from as low as 3 months up to 12 months depending on your repayment capacity. However, the actual tenure options will differ from lender to lender, as you know. Also, you can even repay your EMIs using several methods. If you can’t do a direct bank transfer, no problem! Lenders today give you the option to pay via UPI, Paytm, net banking, and other popular wallets as well.

Wrap Up

The three points mentioned above are the top three benefits of availing of a salary-based loan. If you have to take care of important expenses and are looking for such a loan, look no further than KreditBee. Our Personal Loan for Salaried allows you to borrow up to ₹2 Lakhs. Just download the KreditBee app from the Google Play Store, complete your profile, and leave it to us to process your application in as little as 15 minutes! To learn more, you can write to us at [email protected] or reach us at +080 44 292 200.

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