NBFC Personal Loans: A Viable Option for Traditional Loan Rejections?

Non-Banking Financial Companies (NBFCs) have emerged as compelling alternatives in the dynamic landscape of personal financing. For individuals facing traditional loan rejections, an NBFC Personal Loan online offers a viable solution. It may not need to meet the stringent criteria often imposed by traditional banks. Many times, traditional financial institutions adhere to strict eligibility requirements. People with lower credit scores, limited income, or collateral face challenges in getting loans. Whereas, NBFCs step in with a more inclusive approach, considering a broader spectrum of factors beyond just credit scores.

The agility, innovative use of technology, and customer-centric approach of NBFCs are making them a better financing choice these days. This paradigm shift underscores the growth of NBFC Personal Loans in metro cities and other parts of India. It has emerged as a pragmatic and accessible choice for people who have faced roadblocks in traditional lending.

Top 3 Reasons for Rejection of a Traditional Personal Loan

1. Creditworthiness: A low credit score or no credit history or it being marred by defaults, late payments, or high outstanding debts can be a major deterrent. Lenders assess the risk associated with lending by checking the credit score. A less-than-favourable score may result in outright rejection.
2. Income & employment: Insufficient income and or unstable employment are frequent grounds for denial of traditional loans. Your income stability and employment records help lenders to gauge your repayment ability. If not met with the set criterion, it may end up in the rejection of the loan.
3. Collateral: Many loans are backed by collaterals or a co-signer to mitigate the risk. If not available, it can hinder loan approval as the perceived risk increases.

NBFC Personal Loans Online

This provides you with an alternative to traditional banking or lending institutions.

These loans have streamlined application processes, unlike conventional banks. NBFCs leverage user-friendly digital platforms that allow you to apply for loans online. It eliminates the need for extensive paperwork reducing the time it takes for approval.

While traditional loans adhere to strict eligibility criteria, these loans often adopt a more inclusive approach. They consider various factors, such as income stability and employment history. Also, personalization is a key strength of these loans reflecting in their ability to offer a diverse range of credit products. Whether you need a short-term loan for immediate needs, a purpose-specific loan, or a substantial sum for a significant financial goal; you get tailored solutions with these loans.

Maintaining clear and straightforward communication regarding terms and conditions leads to easy access to information. When you know about interest rates, repayment schedules, and any associated fees online before committing to a loan, it helps you make an informed credit decision. The amalgamation of digital convenience, flexible eligibility, personalized offerings, and transparent communication positions NBFCs as valuable alternatives to traditional personal loans.

Top 5 Reasons to Choose an NBFC Personal Loan Online Over a Traditional Loan

1. Efficiency and Speed: An NBFC personal loan online offers the speed and efficiency of the application and approval process. Unlike traditional banks it involves no lengthy paperwork and manual processing. Using digital lending platforms, you get prompt financial assistance.
2. Convenient Application Process: These loans provide a seamless and user-friendly application process. You can complete the entire loan application from the comfort of your home or office. Its process eliminates the need for multiple visits to a physical branch, saving time and effort. This convenience is a great draw for you while looking for hassle-free credit solutions.
3. Flexible Eligibility Criteria: NBFCs, being more agile than traditional banks, often have more flexible eligibility criteria. This can be advantageous for people with varying financial backgrounds. It considers additional factors beyond just credit scores, making it easier for a broader range of applicants to qualify for personal credit.
4. Transparent Terms and Conditions: Through NBFCs’ platforms you can easily access and review the terms of the loan online before committing. This helps in making informed decisions and reduces the likelihood of hidden charges during the repayment period.
5. Customized Loan Products: These tend to offer a variety of personalized loan products to cater to diverse borrower needs. Whether it’s a short-term loan, a specific-purpose loan, or a larger sum for a significant financial goal, you can meet all your diverse needs with these loans. This flexibility allows you to choose loan terms and conditions that align with your unique requirements and preferences. In this landscape, getting a line of credit as an alternative to a personal loan from NBFCs is also possible.

How To Get A Personal Loan from NBFC Alternative With Us

• Apply: Answer a few questions about yourself and get approved in less than 5 minutes. Add your PAN, Phone number, address and employment details.
• Verify: Verify your details on a quick Video KYC call on the app. You will only need these; Identity proof (PAN), Address proof (Aadhaar, Driving License etc.), and A good network.
• Activate: Activate your lifetime credit line by digitally signing the agreement using your Aadhaar-linked phone number. No paperwork is needed.

Why FlexPay?

It is a loan offering from Vivifi India Finance Private Limited, a non-banking finance company (NBFC) registered with the Reserve Bank of India (RBI).

Since 2017, Vivifi India Finance Private Limited has been instrumental in helping Indians cover their cash crunches, using its product FlexPay.  It is a line of credit that provides flexibility during disbursement and repayments keeping in mind the challenges faced by salaried professionals.

It offers a convenient digital experience offering instant credit ranging from Rs. 500 to Rs. 3,00,000 with flexible repayment terms. The paperless credit journey makes your loan approval much faster in an end-to-end encrypted digital environment.

This works as an ultimate credit option to meet your different, multiple and discrete monetary needs – from making merchant payments to sending money in times of need to your loved ones.

Being a line of credit and an unsecured credit option sets it apart from any traditional loan. Here, interest accrues only on the amount utilized. It eliminates the burden of lump-sum interest payments irrelevant to usage. You can use this as a funding cushion. Utilize, repay and improve your credit score while eliminating any fund shortages.