Can You Get Cash from a Personal Loan: What You Should Know?

A personal Loan is a form on unsecured credit that you can avail yourself to meet your emergency and aspirational financial needs. It gives you access to funds immediately and the flexibility to use the money for any legitimate purposes you want. It could be for paying medical bills, going on a dream vacation, debt consolidation, etc. And, you can have the surplus cash (if any) in hand. In this blog, we will take an in-depth look at Personal Loan and how they can be your financial ally in getting the cash you need.

Understanding the Possibility of Getting Cash from Personal Loans

Getting cash from a Personal Loan is more than just a possibility; it's a feasible and simple process. When you apply for a Personal Loan with Poonawalla Fincorp, you can get a higher amount as credit than you need, provided you meet our eligibility requirements. 

Once the loan is approved, the funds are directly credited to your bank account. Let us assume, you borrowed ? 5 Lakh, and used only ?4 Lakh for home renovation. Now, you can withdraw the remaining amount and have cash in hand.

Advantages of Accessing Cash via Personal Loans

• Flexibility: Personal Loans are incredibly versatile. You can use the cash for nearly any purpose you want. Also, you get the flexibility to choose the repayment tenure. You can repay the amount in smaller instalments, i.e., EMIs (Equated Monthly Instalments) over an extended period of up to 60 months. 
• Predictable Payments: Personal Loans often come with fixed interest rates, which means your monthly payments remain consistent throughout the loan term. This allows you to plan your finances well and manage the repay the amount without any hassles.
• No Collateral Required: Personal Loans are typically unsecured loans, so you won't need not provide any asset  as collateral. Your home, car, and other valuable possessions remain untouched and secure.
• Quick Approval and Disbursement: Our Personal Loan application process is fully online, allowing you to get the rapid approval and immediate disbursement. This is especially valuable in emergencies or time-sensitive situations.

Cons of Getting Personal Loan

The only drawback of getting a Personal Loan is that the interest payment may quicky add up if you don’t repay the EMIs on time. Also, you may have to pay the penalty charges if you delay the EMI payments. 

ALSO READ :- Can We Change the Tenure of a Personal Loan?

Considerations Before Taking Cash Out with Personal Loans

• Interest Costs: While Personal Loans offer an easy way to access cash, they come with associated costs in the form of interest. It's essential to know about the interest rate, and other charges. Make sure that you get a Personal Loan with lowest interest rate. With Poonawalla Fincorp, you can get the loan at the most competitive interest rate starting from 9.99% p.a. 
• Repayment Period: The duration for which you'll repay your loan should align with your financial goals and budget. While Personal Loans offer flexibility in this regard, it's essential to assess the loan term and choose one that best suits your circumstances.

Exploring Other Financial Resources for Your Cash Needs

• Emergency Funds: Maintaining an emergency fund is one of the best financial practices. Ideally, it should cover three to six months' worth of living expenses and provide a financial safety net for unexpected expenses that may arise anytime.
• Additional Income: Having a secondary source of income through freelance work or any other way, can be a viable option to supplement your income. It helps increase your savings and use that fund for future purposes. 
• Assistance from Family and Friends: You may seek financial help from family members or friends. This can be a viable option for your immediate financial needs. But make sure to repay the amount promptly to avoid straining your relationship. 

Conclusion

The answer to the question, "Can you get cash from a Personal Loan?" is a resounding yes. Personal Loans offer a versatile way to obtain cash, and with careful consideration, they can address a wide range of financial needs. But, like any financial decision, it's essential to weigh the pros and cons, consider the interest costs, and align your repayment period with your financial goals.

Disclaimer

We take utmost care to provide information based on internal data and reliable sources. However, this article and associated web pages provide generic information for reference purposes only. Readers must make an informed decision by reviewing the products offered and the terms and conditions. Personal Loan disbursal is at the sole discretion of Poonawalla Fincorp.
*Terms and Conditions apply