Apart from easy accessibility and application, a personal loan gives you complete freedom to use the amount you wish. However, whether your needs are planned or unplanned, it’s important to know the amount of time you must wait for approval. Personal loan approval time can take anywhere between a few days to a few weeks and is dependent on the type of lender you choose and their lending policy. Additionally, how diligent you are with abiding by loan application rules also counts. While you can ensure that there are no delays from your side, consider the personal loan approval time for different types of lenders.
Peer-to-peer lending offers the advantage of dealing directly with the person who is willing to fund your need. It cuts out any middlemen and lets you avail yourself of a personal loan online at a competitive rate, even with a low CIBIL score. This is because these lenders don’t have a defined set of application requirements. Similarly, the processing time is a lot quicker in comparison to a bank. Typically, you can get finance within a few business days.
Online direct lenders
Online direct lenders are common today, and reputed ones are easy to access too. Usually, approval takes only minutes if you have all the documents on hand and fill up the form carefully. A delay only occurs when there is a mismatch, and the lender has to review your application and supporting documents manually.
Additional Read: Personal Loan with Bad CIBIL Score
Banks, by far, have the most extended personal loan approval times simply because of the strict lending protocols and higher credit standards. Typically, when you apply for a personal loan from a bank, it takes at least a few days to a week to get approved.
As a thumb rule, to have a speedy borrowing experience, meet all the eligibility requirements carefully and have the documents that support your eligibility ready. Also, follow these special measures to improve further your chances of getting speedy approval.
Maintain a Healthy CIBIL Score
Even though the required credit score for personal loan approval is 700, try and maintain over 750 as this is the ideal credit score for loan approval on favourable terms. This will expedite the process, letting the lender know that you’re responsible for credit and do not pose a risk. In turn, the lender does not need to closely examine every aspect of your finances to determine whether you’re a good candidate or not.
Opt for a lender with a quick loan approval policy
When you’re looking for funding in a hurry, it helps to pick a lender that specialises in speedy disbursals. For example, the Bajaj Finserv Personal Loan offers instant approval, in some cases, within 5 minutes of application. Further, Bajaj Finserv also offers quick disbursals, and you can have the entire sanction in your bank account within 24 hours of approval.
Additional Read: How Much Personal Loan You Get on Salary?
This loan requires minimal documentation and has basic eligibility requirements too, and to hasten things further; you can apply via a pre-approved offer. Once you check your pre-approved offer, select an option that’s customised for you and apply. This is another way in which you can get instant personal loan approval online.
As you can tell, the personal loan approval process, while simple; requires you to take certain measures. Make sure that you prepare beforehand to avoid any unpleasant surprises!
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