Are you looking for an instant personal loan that acts like a credit card? Check out MoneyTap personal loan online! Being one of India’s leading online lenders, MoneyTap provides quick online cash loans for a variety of needs. Let’s face it, financial emergencies arise without notice, and they can leave you completely broke. In dire circumstances, you have to rely on loans. However, if you have ever tried borrowing from the traditional lending institutions such as banks, you know how difficult it is to get the approval. Not only do banks have strict eligibility criteria, but they also take a long time to process applications. If you cannot afford to wait that long to get the funds, try personal loan apps such as MoneyTap that provides instant approval.
When you need an external financial injection, you have two options – you can either take out a loan or you can opt for a line of credit. Loan and line of credit are terms that are often thrown around interchangeably. However, there is a significant difference between the two. Though each refers to a financial product, some key features set them apart from one another. Understanding the distinction is crucial to identifying the pros of MoneyTap personal loans.
Simply put, when it comes to personal loans, lenders provide you with a lump sum amount of money at once. This is a fixed amount, which means you cannot borrow from the same loan account again. In most cases, personal loans are unsecured and you do not need to provide any collateral to obtain the money. Personal loans also carry a longer repayment tenure consisting of 12 months or more. You need to repay the loan in fixed monthly instalments until the amount is fully paid off. Personal loans are versatile and can be used for a variety of purposes such as debt consolidation, bill payment, medical emergency, home improvement, wedding, vacation and much more.
Personal line of credit, on the other hand, provides you with a credit limit and allows you to withdraw funds until you reach that limit. Unlike a personal loan, a personal line of credit does not provide you the entire approved credit limit in a lump sum. Rather, it lets you borrow money as and when you need. These loans are perfect for when you determine exactly how much you need and want to keep some wiggle room. When you apply for such a loan, you get approved for a certain credit limit and you need to repay only as much as you will borrow from that line of credit.
For example, if you get approved for a personal line of credit worth of Rs. 1 lakh, you can withdraw funds as long as you stay within that credit limit. If you use only Rs. 10,000, you would have to repay Rs. 10,000 plus interest (on the amount withdrawn).
Now that you know the difference between a loan and a line of credit, you would understand that MoneyTap personal loans are actually personal lines of credit. Such a personal loan acts as a credit card that allows you to spend within your credit limit. However, credit cards usually bear higher interest rates than personal lines of credit. That is why it may be wiser to take out a personal line of credit than a new credit card. MoneyTap personal loans are also easy to obtain. All you have to do is download the company’s app, register, fulfil the KYC documentation and other formalities and get ready to apply for a loan. Here are some of the crucial features and benefits of applying for MoneyTap personal loan online:
MoneyTap personal loans are highly beneficial if you are looking for a low salary personal loan that is easy to repay. Most banks and NBFCs have high eligibility requirements when it comes to personal loans. You need to have a high income and excellent credit scores to obtain such a loan. However, MoneyTap personal loans are also suitable for low to average earners who do not want a huge debt burden. You can borrow only as much as you need and then repay the sum as quickly as possible to avoid accumulating a lot of interest. Also, once you get approved, you can choose to keep this line of credit open for future financial needs. Here are some of the popular types of MoneyTap personal loan online schemes that you will find:
Want to apply for the MoneyTap personal loan online today? First, you need to check eligibility & interest rates online. It will help you determine whether you qualify for this loan product and will also let you calculate the possible cost of the loan. Visit Loan Sumo and apply for an instant loan today!