Medical emergencies can knock at anyone’s door at any time. If a loved one falls ill, you want to provide them with the best medical treatment. Sometimes, your savings may not be sufficient to cover the cost of the treatment. Additionally, some illnesses may require prolonged treatment at the hospital or home. Even if you have medical insurance, it may be insufficient to cover the costs.
Personal Loans are the ideal choice to meet medical emergencies in such situations.
What are Personal Loans for a Medical Emergency?
Personal Loans for a medical emergency are loans a borrower takes to meet medical expenses. These can include consultation fees and treatment costs (surgery, OPDs, medicine, etc.)
What are the Defining Features of a Personal Loan?
Personal Loans have several benefits like quick, hassle-free processing, minimal documentation, and instant disbursals. Some other defining features are
- Not sharing the end-usage with the loan provider. For example, if you get an x amount approved as Personal Loan, you can use it without worrying about sharing the details or bills with the loan provider.
- No need to provide collateral when taking the loan. Personal Loans are unsecured loans, which means you are not required to put up any property as a collateral against the loan.
What are the Steps Involved in Getting a Personal Loan?
The Personal Loan process involves the following simple steps:
- Choosing the right loan
- Filling out the form (online or offline)
- Submitting the required documents
When it comes to a Personal Loan, the application process is uncomplicated. So, it does not come as an additional burden when you are already dealing with a stressful situation.
Choosing the Right Loan
When you apply for personal loan, you are required to keep a lot of factors in mind. What is the applicable interest rate? Do you meet the credit score requirement? Do you have all the documents the loan provider will ask you to submit? It is important to study interest rates as they impact your monthly installments and the overall cost of the loan.
Knowing your credit score is also important. An Experian Credit Score of 630 is required for a new-age loan provider like Clix Capital. It is an important eligibility criterion.
Check out the other eligibility criteria and apply for the loan only if you meet the requirements.
In an emergency, you would not like your loan application rejected, as it can harm your credit score.
Apart from the interest, there are other expenses like the processing cost, late fee penalty and pre-payment charges. Make sure you factor it in to enable the right decision.
Check Required Documents
Visit the loan provider’s website or office to get the list of the required documents before applying for the loan. Minimum documents when applying for a Personal Loan for medical treatment. But it is a good idea to check beforehand and keep them ready. It will save time and reduce errors.
Banks and NBFCs require KYC documents, address proof, PAN card, and income proof to sanction a loan. When uploading on the website, ensure that the correct format is used.
Apply for The Loan
Most lenders allow applicants to apply for a loan online or by visiting a branch. If you apply for a Personal Loan for medical emergency, you can complete the application online and upload the required documents. It is also possible to visit a branch, fill out a physical form, and provide the documents needed to complete the application process.
The loan provider will scrutinise your application and verify your documents before approving the loan. After the loan approval, you will get a loan offer. It is a document with all details and terms and conditions for your loan.
After reading the offer, you accept it and choose the payment method. You can choose to activate the e-mandate for paying EMIs or give post-dated cheques.
Benefits of Personal Loan For Medical Emergency
A Personal loan for a medical emergency offers the following benefits to you:
Quick Loan Processing
The loan processing is fast. It is helpful in times of a medical emergency when you do not have the luxury of time to access funds. Many loan providers like Clix Capital promise instant processing. But, it is prudent to check the turnaround time before applying.
Hassle-Free Processing
The process for a Personal Loan application is uncomplicated, requiring a few documents. You can complete an online process at home, office, hospital, cab, etc.
Flexibility to Use Funds as Required
You have the flexibility to use the loan amount as per your requirements. In a medical situation, you can use a Personal Loan for hospitalisation expenses, post-hospitalisation care, and hiring medical assistance for prolonged illness or medicines.
Collateral Free Loan
A Personal Loan for medical treatment does not require any collateral. You do not have to pledge your house, land, or gold for a loan. It is a boon for individuals without an asset or those unwilling to mortgage an asset.
Customised Repayment Plans
Loan tenures for a Personal Loan range12 to 60 months. The loan provider’s representative will help you choose the right tenure based on the loan amount, interest rate, and other criteria. Use a Personal Loan EMI calculator to choose the most suitable loan tenure.
Conclusion
A Personal Loan for a medical emergency can help you meet some medical expenses. Before you apply for a loan, research well to pick a lender whose terms and conditions seem the most favourable to your requirements and choose the loan amount and loan tenure carefully.
A healthy credit score will help you to improve your chances of getting quick Personal Loan approvals and lower rates.
