5 Reasons Why People Should Opt for Joint Personal Loans
Applying and availing the required financial support from a personal loan is easy for people with good CIBIL score and the required repayment capacity. However, not everyone has a good CIBIL score or a good repayment capacity and hence, loan rejection is more evident for them compared to chances of approval. So, what should applicants with low eligibility do? How can they avail a personal loan without being saddled with the high-interest rate? The answer is a joint personal loan application.
Also know what is the minimum CIBIL score for personal loan.
Joint personal loan is the much better option for those want to get personal loan with low cibil score. You (applicants with low eligibility) can apply for Joint loan and avail the required financial support. That said, you must always compare your options based on the benefits they offer before making any decision. Therefore, below are some reasons why people should apply for a joint personal loan.
- Improves Credit Eligibility
Two people jointly applying for a loan is always better than an individual applying for the same loan. When people do that, their credit eligibility increases and they get the best interest rate deals from the lender. You must also know how to improve credit score in India because it will help for your future financial needs.
- Adds to your Repayment Capacity
Joint loan applications are likely to get approved for a higher loan amount compared to individual loan applications. In joint loan applications, the gross income of both the participants is combined before calculating the repayment capacity. Hence, the borrowing eligibility increases due to the increased repayment capacity.
- The Tax Benefits are Available Individually
Lastly, when people apply for a joint loan, both of them become eligible for the available tax benefits individually given the loan qualifies for tax benefits. For a gist, personal loan applicants can claim tax benefits by using the borrowed capital for home renovation or for funding the higher education of their children.
Additional read: Joint Personal Loan In India: 5 Reasons You Must Opt For It
December 11th, 2018