There used to be a time not very long ago when the entire process of applying for a loan was entirely manual. One had to visit a bank, several banks, and financial institutions to learn about interest rates and time for repayment. Applicants had to go back to the selected bank and collect a loan application form. The application would need to be filled up and submitted along with the required and requested documents and submitted. The loan application would be approved in a few working days, and the applicant would need to pay yet another visit to the bank or NBFC to collect the all-important loan cheque and physically deposit it in his or her account. The borrower would also be required to pay periodic visits to the bank or NBFC to submit advance EMI cheques. In fact, every process in the loan application and loan processing, including any special services, needed a physical visit to the bank or the NBFC.
The times they are a-changin’
The people who have gone through this lengthy process will find it difficult to believe that there are now loan apps where people can apply for a loan in an app installed on their smartphones. The entire process of loan application to loan sanction is online, and the applicant receives the loan directly in a matter of a few hours from the time of submitting the loan application. For them, such speed makes it an instant loan.
There are now a large number of loan providers with online apps as people do not prefer to go to banks or NBFCs and prefer to get their work done from the comfort of their homes with their smartphones. There is intense competition to get the coveted tag of being the best loan app.
So what are the factors that lead to a loan app getting the tag of being the best loan app? Paysense has won this prestigious tag because of the superior speed, quality, and convenience of its services.
The loan app that gets the title of being the best loan app has the following distinction.
Speed in disbursing a loan– The speed in processing a loan is so great that the app literally disburses an instant loan. Some loan apps pay a loan within a few hours of applying, often on the same day.
Minimum documentation- Moat of the loan apps have access to client’s financial database and require minimum documentation. The best loan app requires just three documents and only basic information such as the aadhaar number, PAN number, and registered bank account details of the bank where the loan amount is to be credited. Applicants can scan and upload the required documents from their smartphones.
Even the eligibility check is instant- The best loan apps require just 2 minutes to evaluate if an applicant can get a loan or not. This information is provided instantaneously, and an eligible applicant will receive instant notification of approval. This speed is due to the access of loan apps to cloud data available from banks and financial institutions.
Lowest interest rates- The intense competition between loan apps means that interest costs are going lower and lower. The best loan app charges an interest of just 1% per month, steadily going lower.
Flexible repayment options- The best loan app allows borrowers to pay larger amounts periodically to reduce the loan burden on them and do part foreclosures without any charges. This ensures that borrowers can pre close and foreclose loans as frequently as possible to reduce their interest as well as loan. The best loan app also allows borrowers to balance transfer to another app with added benefits such as lower interest rates and longer repayment tenures. The best loan app will ask for the reasons and then offer extra facilities to retain borrowers.
Flexible benefits- The best loan app will ask for a different minimum income for different loan amounts, depending on the EMI. Most banks and NBFCs have a fixed minimum monthly income requirement.
The best loan app is not just the app that provides an instant loan but makes the whole process flexible, comfortable, and hassle-free for borrowers.