Types of LOAN

A Home Loan is a secured loan offered by banks or financial institutions to help individuals purchase, construct, or renovate a residential property. It is provided against the mortgage of the property being bought and comes with competitive interest rates and longer repayment tenures, usually ranging from 10 to 30 years. Home loans are ideal for those looking to become homeowners without bearing the full cost upfront. Approval depends on factors like income, credit score, property value, and repayment ability. These loans also offer tax benefits under applicable sections of the Income Tax Act.

A Business Loan is a financial product offered by banks and financial institutions to help entrepreneurs and businesses meet their working capital needs, expand operations, purchase equipment or inventory, or manage cash flow. These loans can be secured or unsecured depending on the lender and loan amount. Business loans offer flexible repayment options, quick disbursal, and can be customized to suit the specific needs of small, medium, or large enterprises. Eligibility is typically based on the business’s financial health, credit score, turnover, and years of operation.

An Education Loan is a financial aid provided by banks and financial institutions to help students cover the cost of higher education in India or abroad. It typically includes tuition fees, accommodation, books, travel expenses, and other academic costs. Education loans can be secured or unsecured, depending on the loan amount and institution. They usually come with low interest rates, flexible repayment options, and a moratorium period during the study duration. Eligibility depends on the academic performance of the student, admission status, and the creditworthiness of the co-applicant.

A Mortgage Loan is a type of secured loan where the borrower pledges an immovable asset—such as a house, commercial property, or land—as collateral to obtain funds from a bank or financial institution. These loans are typically used for business expansion, debt consolidation, medical emergencies, or other high-value financial needs. Mortgage loans offer lower interest rates compared to unsecured loans, with longer repayment tenures ranging from 5 to 20 years. The loan amount is generally sanctioned based on the market value of the property, borrower's income, and repayment capacity.

A Property Loan, also known as a Loan Against Property (LAP), is a type of secured loan where individuals pledge their residential, commercial, or industrial property as collateral to raise funds. These loans can be used for business needs, education, medical expenses, or personal use. Property loans offer lower interest rates and higher loan amounts based on the market value of the property. They come with flexible repayment tenures and are ideal for those seeking large sums with longer repayment periods. Approval depends on the property’s title, borrower's income, and credit history.

A Vehicle Loan is a type of secured loan offered by banks and financial institutions to help individuals purchase a new or used vehicle, including cars, bikes, or commercial vehicles. The vehicle itself acts as collateral until the loan is fully repaid. Vehicle loans come with attractive interest rates, easy documentation, and flexible repayment tenures, usually ranging from 1 to 7 years. Eligibility depends on the applicant’s income, credit score, and repayment capacity. These loans make vehicle ownership affordable by spreading the cost over manageable EMIs.