The convenience of flexible personal loan

Personal loans offer a very convenient means to raise money at short notice. All banks and finance companies vie with each other to attract customers by offering personal loans at competitive rates, minimum documentation and formalities. Personal loan is like money that can be obtained urgently in times of need.

Now, personal loans are getting better by the day. Some of the finance companies are now offering customers flexible personal loans that offer flexibility in terms of withdrawal and repayment of the loan amount. This is a unique facility available for customers availing flexible personal loan and such a facility is usually not available on other types of loans.

Firstly, flexible personal loans offer customers the flexibility of withdrawing the exact amount of money needed to meet the customer’s requirements within the assigned limit of the loan. Thus, the customer pays interest on only the withdrawn amount and not on the entire sanctioned limit of the loan and, therefore, this facility helps the customer save on the interest outgo.

Secondly, flexible personal loans offer the facility of repaying the loan amount as per the convenience of the customer. So, for a person availing a flexible personal loan, there is no fixed amount of EMI to be repaid on or before a particular date every month. The customer can repay as much of the loan amount as his financial situation allows him to as and when he/she funds are available with him/her. This is a fantastic facility as the customer need not worry about the next EMI amount or the EMI payment date as the customer can choose the amount of repayment and the date of repayment date as per the availability of cash. In fact, if the cash flow allows the customer to prepay the entire loan amount, he/she can do so without paying any prepayment charges. Then again, if the borrower needs to re-avail the prepaid amount, he/she can do so without incurring any additional charges.

Lastly, the borrower can convert the personal loan amount into a term loan at any stage of the tenure of the loan. Hence, this facility enables the customer to convert the balance loan amount into a term loan for the remaining tenure of the loan and repay it through monthly EMIs.