7 Tips for the Best Deal on a Personal Loan

Use the following top 7 tips for the best deal on a personal loan:

Do not show urgency:  Never exhibit your anxiety or urgency to the banker.  In reality, you might need the loan urgently.  But showing the need will make the banker think that you are in desperate urgency and he will try to offer the unsuitable product with the high-interest rate.

Online product comparison:  Make a small online research.  Sites like provide an excellent avenue to check all the personal loans available in the market.  You can easily get the best deal by comparing the interest rates, terms and conditions and tenure.

Read reviews:  Read online reviews to get a good idea about the loan products.  The more information you gather the best deal you can strike upon.

Avoid big bankers:  Always avoid big bankers who target the creamy layer and charge an exorbitant fee.

Search hidden charges:  Certain loan products may look cheaper.  But when analyzing the terms and conditions there may be hidden costs.  Many borrowers suffer by selecting such loan products by mistake and end up paying more.  Find out hidden costs and smartly select a product without any such cost.

Check for offers:  If you are availing loan during quarter ends, check for offers like interest rate rebates.  Banks will try to push loan products by giving offers to achieve their quarterly targets.  Try to get the best deal by using the offers.

Interest trend:  Analyze the market to find whether interest rates are climbing up or falling down.  Never borrow at a fixed rate when interest rates are falling down.  That will bring a huge loss.  Also, it is better to select a fixed rate when rates are climbing up.  You will not spend more even when rates increase subsequently. Sometimes a longer tenure may look better since repayment would be comfortable.  But loans with long tenure have high hidden costs in order to protect the interests of the bank.  Hence Select the right tenure which may be financially best.