Who doesn’t want to trend with what’s trending! Today, everyone with the internet can easily find out the global trending designs for households and look for means to upgrade. Whether you are shifting to a new home or wish to renovate your old home, you need finance to back up your dreams.
With electronics and furniture getting extensively costly and the longevity of products declining, the significance of changing durable goods has become unavoidable. However, you can renovate your home or change the durable goods without burning holes in your pocket with the help of an instant consumer durable loan.
The Indian appliance and consumer durable market were valued at INR 2.05 trillion. People want to choose the latest consumer goods because of their dependence on digital devices like TV’s, Electronic Music Systems, and Mobile phones. Life has become more chaotic with no time left, making people depend on such durable goods for simplicity. If you want to convert your home into a smart home and wish to invest in the latest consumer durable goods, opt for a consumer durable loan to ease your life.
What is a consumer durable loan?
A consumer durable loan can be used to purchase household appliances, products, and devices. The loan includes everything from a modular kitchen, theatre system, refrigerator, laptops, air-conditioners, etc. Usually, you can avail of this loan for any amount, ranging from INR 8,000 to INR 5 lakh. They come with a 0% interest rate and no-cost EMI.
Features of consumer durable loan:
- Affordable interest rates as low as INR 9 per day
- 100% financing on the goods
- Repayment duration from 90 days to 730 days
- Unsecured loan types
- Easy documentation
- Instant loan approval from INR 8000- INR 5,00,000
Eligibility criteria:
- Most banks offer consumer durable loans to self-employed and salaried people. The eligibility criteria depend on the applicant’s profile, credit history, loan amount, income, and repayment history.
- If you are a salaried person, you should have a salary of INR 18000 in hand if you are from a metropolitan city and INR 15000 in hand if you are from a non-metropolitan city.
- The applicant must be above 21 years and below 55 years.
- The documentation needed is a PAN card, Address proof, ID proof, and three-month salary slip.
- You can use our personal loan EMI calculator to know the repayment amounts, interest charges, and other details.
Types of consumer durable loans
- Installment loans
They are a consumer durable loan, paid back in weeks or months. The interest rates differ according to time.
- Fixed-rate consumer durable loans
They are consumer loans charged at a fixed interest rate. The same interest rate is charged throughout the duration of the loan.
- Variable-rate consumer durable loans
The interest rates differ on the remaining balance, leading to different interest payouts.
- Secured consumer durable loans
They are secured against collateral security. The interest rates for these loans are lower than other types of loans. If the borrower fails to repay the loan, the lender can claim ‘security’ to compensate the loss.
- Unsecured consumer durable loans
They are the most common loans availed by borrowers. The interest rates of unsecured loans are higher than secured loans.
Factors affecting the interest rates of consumer durable loan
Though most lenders offer consumer durable loans at a 0% interest rate, some charge interest. The interest differs with different banks, depending on the applicant’s profile. A few factors that impact the interest rate are:
- Credit score: Your credit report summary ranges from 300 to 900. A number near 900 means your CIBIL score is relatively high, and it helps you secure a consumer durable loan with ease as it suggests higher creditworthiness.
- Loan amount: Higher loan amounts lead to higher interest rates. This is because a bigger loan amount means higher EMI payouts, which adds to the financial institution’s risk of default.
- Loan tenure: Longer repayment involves higher interest rates.
- Outstanding debt: Applicants with higher debts are charged higher interest rates.
Wrapping Up
Consumer durables save your time by making your daily work simple. It can help you save your precious time. The latest consumer durables and spend time on other activities. Use the best personal loans to buy all consumer durables and make your life simple. Avail of a loan online from Early Salary now.
