With the professional loan meaning expanding to both secured and unsecured advances, doctors, CAs, engineers, and others eligible now have a plethora of financing options to choose from.
One must, however, consider a few essential factors before finalizing on a suitable professional loan to apply for. First and foremost, one needs to be aware of the type of financing sought depending on his/her profession.
The options range from personal loans, business loans, and loans against property to home loans. These are a mix of unsecured and secured loan options, whereby one can select a suitable loan based on his/her utility requirement.
For instance, a loan for doctors would be suitable if a healthcare professional seeks to establish or expand a hospital. Next, loan quantum selection is equally important, with financial institutions extending financing of up to Rs.50 lakh as professional loans. One also needs to check the credit score and history to ensure suitable creditworthiness for convenient financing.
Further important considerations when availing of a professional loan include interest rates and other charges applicable on these advances, whereby comparing lenders would allow one to arrive at competitive financing rates. Last but not the least, considering one’s repayment capacity is critical to making affordable financing decision. Use dedicated financial tools like EMI calculators to estimate the installments payable for a wise borrowing decision.