A savings or current account with no customer-induced transaction for more than 24 months is classified as inoperative.
Under bullet repayment, the principal remains outstanding and unpaid interest raises the liability over time. This makes the LTV ratio more vulnerable to a sharp fall in gold prices.
Education loan defaults carry serious consequences. Credit bureaus record missed payments against both the student and the co-borrower, usually a parent.
Students and families must stress test repayment capacity based on Indian salary standards.
'First-time applicants may witness longer approval times or higher rejection rates and requests for more documentation.'
The RBI has flagged concerns over rising volatility in gold prices and advised lenders to exercise caution in the gold loan segment.
'Pick a sum insured that realistically covers major hospitalisation costs in your city.'
Before signing up for a BNPL plan, read the fine print carefully and watch for red flags like unclear repayment terms, vague information on interest or late fees, and marketing that downplays the cost of default.
'Do exhaustive research and then select the one that best fits your budget and requirements.'
Those who have binged on credit must spend less, cut discretionary expenses, and focus on repayment.
'Buy early and review the sum insured regularly.'
'Combining individual or family policies with corporate cover, along with top-ups and wellness programmes, can help maintain strong health protection throughout life.'
Investors can meet cash needs without selling their securities.
In just two years, Bank Bazaar.com was chosen as one of the 'Hottest Startups' in India.
Use these loans to meet emergency needs, and not to fund holidays or luxury purchases.
'Some buyers get carried away by festival offers and purchase higher variants or larger vehicles than they truly need, which impacts running cost and long-term affordability.'
File a written complaint with the bank's grievance redressal officer and secure an acknowledgement.
'Revolving credit without full repayment causes interest to outpace repayment capacity, and leads to financial distress.'
'LAP is suited for borrowers with a steady income, sound repayment discipline, and a clear repayment plan.'
Some products offer terrorism cover as part of the base offering, while in others it is an optional cover.
'Some part could be used for consumption purposes, and the rest could be used to meet important financial goals.' 'The split can be 30:70 to 50:50, depending on one's situation.'
'If you are not prudent, you may exceed your budget, and if it happens too often, you may end up in debt.'
While festive offers can reduce costs, borrowers should also consider the lender's transparency and service quality. Customers need to be mindful of their repayment capacity.
In addition to interest rates, review the fine print for penalties and repayment terms, and select a reputable lender to avoid harsh recovery practices.
'Credit card debt comes with high interest cost and stringent penalties.' 'If you do not repay on time, the costs balloon.'
Experts say you should be certain of living in a city and locality for a long time before purchasing a home.
'Lack of self-control over spending leads to a credit card debt trap.' 'People think they have money and spend using a credit card, but when it's time to pay, they realise they don't have the money.'
Customers who possess gold jewellery but are either being denied a personal loan or are being asked for a high interest rate due to their poor credit profile may consider a gold loan.
Enhancing your credit score is the key to improving loan eligibility and securing a favourable interest rate.
Nominations and addresses are of paramount importance in bank accounts, insurance policies, mutual funds, etc.
Longer-tenure FDs generally give higher returns. Nonetheless, going for a tenure higher than two to three years is not advisable.
'Try to obtain a secured personal loan or credit card by offering some collateral, such as a fixed deposit or gold.' 'Not only will this improve your eligibility, but the lender may even offer a lower interest rate.'
Personal loans and credit card loans provide quick access to money when it is urgently needed, but they also carry risks for borrowers.
'Banks will continue to increase FD rates to attract more deposits and meet the increasing demand for credit.'
Going through the credit report regularly will make you aware of a number of issues. One is identity theft.
Make sure that the person you are buying the plot from is the rightful owner.
The advantage of leasing is that you can get a new car every few years. You can also get to drive a high-end car without paying its entire price.
Avoid discontinuing your SIPs. Persist for at least 7-10 years.
Avoid discontinuing your SIPs. Persist for at least 7-10 years.
Improved credit profile may make you eligible to transfer your existing home loan to another lender at a much lower rate.
If you opt for a term-life cover, buy separate policies to cover the loan for all the co-borrowers in a home loan for a sum assured equal to the home loan amount.
