Rs. 10 Lakh Loan

A Rs. 10 lakh loan can help individuals meet various financial needs, such as business expansion, medical emergencies, education, or home renovation. Many lenders in India offer different types of loans, including personal loans, loans against assets, and investment-backed loans.

Choosing the right loan depends on interest rates, tenure, and eligibility criteria. Secured loans, such as loans against mutual funds or shares, generally have lower interest rates. Unsecured personal loans, on the other hand, may require a strong credit profile.

This article explores six ways to obtain a Rs. 10 lakh loan, eligibility criteria, required documents, benefits, and EMI calculations.

6 ways to get 10 lakh loans

The table below provides details on different loan options:

Loan product	Interest rate	Loan tenure	Details and application link
ESOP Financing	up to 15% p.a.	Up to 36 months	Learn more and apply for ESOP Financing
Loan Against Bonds	Up to20% per annum	Up to 36 months	Learn more and apply for Loan Against Bonds
Loan Against Insurance Policy	Up to 24% p.a.(In case of lock-in policies, compounding interest will be chargedIn case of lock-in free policies, simple interest will be charged)	Up to 96 months	Learn more and apply for Loan Against Insurance Policy
Loan Against Mutual Funds	8-15% per annum	Up to 36 months	Learn more and apply for Loan Against Mutual Funds
Loan Against Shares	8-15% per annum	Up to 36 months	Learn more and apply for Loan Against Shares

Eligibility criteria for a Rs. 10 lakh loan

Lenders set specific eligibility criteria based on loan type. Common requirements include:

• Age: 18 to 65 years
• Income: Stable income source from salary, business, or investments
• Employment status: Salaried or self-employed professionals/business owners
• Asset ownership: Existing investments in bonds, shares, or insurance

Lenders may have additional criteria depending on the loan type and security offered. This is based on Bajaj Finance loan against securities.

Documents required for Rs. 10 lakh loan

Applying for a high-value loan requires specific documents. These generally differ by loan variant and:

Official Valid Documents (OVDs) for KYC:

• Identity proof: Aadhaar, PAN, Passport, Driving License or Voter ID
• Address proof: Utility bills, Passport, Driving License, or Aadhaar card

Other documents:

• Income proof: Salary slips, IT returns, or business financial statements
• Bank statements: Last six months’ statements
• Investment proof: Ownership documents for shares, bonds, mutual funds, or insurance policies
• Loan application form: Completed and signed form as per lender’s requirement

Additional documents may be needed based on the type of loan applied for.

How to apply for a Rs. 10 lakh loan?

Follow these steps to apply for a Rs. 10 lakh loan:

1. Choose a suitable loan type – Compare ESOP financing, loans against bonds, or shares to find the right option.
2. Check eligibility criteria – Ensure you meet the lender’s requirements, including credit score and asset ownership.
3. Gather necessary documents – Keep ID proof, income proof, and investment details ready for faster processing.
4. Apply online or offline – Visit the lender’s website (if applicable) and/ or branch to submit your loan application.
5. Get loan approval – The lender will verify documents, check credit history, and approve the loan if all conditions are met.
6. Disbursement – Once the loan is approved, funds are transferred to your bank account within a stipulated period.
7. Loan to Value (LTV)- Lenders offer 50% to 80% of the investment’s value as a loan, ensuring substantial borrowing capacity.

Benefits of Rs. 10 lakh loans against investments

Opting for a Rs. 10 lakh loan against investments has several advantages:

• Lower interest rates: Loans against mutual funds, or shares have lower interest rates compared to unsecured personal loans.
• No need to liquidate investments: Borrowers can access funds without selling their investments, ensuring long-term financial growth.
• Flexible repayment options: Lenders offer custom repayment plans, including interest-only EMIs or bullet repayment at the end of tenure.
• Quick processing: Since investments serve as collateral, lenders approve these loans faster than unsecured options.
• High loan amounts: Depending on the investment value, lenders offer high loan amounts, sometimes up to 75% of the asset’s worth.

Conclusion

A Rs. 10 lakh loan can be obtained through various secured and unsecured financing options. Choosing the right loan type depends on interest rates, repayment flexibility, and eligibility criteria.

Loans against investments offer lower interest rates and quick approval with minimal documentation. However, unsecured personal loans remain a good choice for individuals without assets to pledge.

Before applying, compare lenders, check loan terms, and calculate EMIs to ensure smooth repayment.

Explore Loan Against securities by Bajaj Finance Limited.