What is a Flexi Loan?
A Flexi Loan is a unique variant which allows you to withdraw funds from your available loan limit and easily part-prepay when you have the additional funds. It also extends other benefits such as:
- Withdraw money from your loan account as per your requirement at no extra cost.
- Pay interest only on the amount you have utilised and not on the sanction as a whole.
- Make multiple part-prepayments on your loan at zero additional cost.
- Access your loan account details anywhere and anytime.
What are the different types of Flexi Loans?
Bajaj Finance offers its Flexi Loans in two variants – Flexi Term Loan and Flexi Hybrid Loan. Here’s a brief overview of what each variant has to offer.
Flexi Term Loan
A Flexi Term Loan is like a regular term loan, you have the flexibility to part pre-pay and withdraw from your loan account as many times as you like during the loan tenure. Interest is only charged on the amount withdrawn and not on the entire sanctioned limit.
Flexi Hybrid Loan
A Flexi Hybrid Loan is more or less similar to a Flexi Term Loan, except for the added benefit of interest-only EMIs for the initial part of the tenure. Just like a Flexi Term Loan, a Flexi Hybrid Loan too offers the flexibility to borrow money from your available loan limit as often as you want and allows you to prepay the loan whenever you have extra funds.
With the Flexi Hybrid Loan, the interest on EMIs can be payable in two ways as follows:
- Initial Tenure: During the initial tenure, your EMIs will include only the interest component of the amount you have utilised.
- Subsequent Tenure: During the subsequent tenure, your EMIs will include both principal and the interest on the amount you have utilised. The subsequent tenure commences after the end of the initial tenure.