You may be running a small business, but your dreams are larger than life, you are a salaried employee and want to send your son abroad for his higher studies or you dream of a grand wedding for your daughter, Micro-Loan Against Property (LAP) enables you to do it all.
As the name suggests, you can avail a loan for your needs against your property by keeping it mortgage with the lender/financial institute. The loan is given as a certain percentage of the current market value of your property whether it is commercial once or a residential one.
With this Micro LAP, you can get quick and easy financing for all kinds of urgent needs and has various benefits. So, here are various features & benefits of Micro Loan Against Property (LAP):
Easy to Get: It is an easy-to-get secured loan since you are mortgaging your property. You will not find any difficulties in availing this loan. In fact, due to its secure nature, many financial institutes are more than willing to provide these loans.
Lower Interest Rates: The Rate of Interest in Micro LAP is always lower than a personal loan as it is taken keeping the property as collateral. Interest rates for Loan Against Property generally range between 12% and 15% while in case of personal loan for various financial needs, the interest rate range is 15% to 25%.
Quick Loan Disbursal: Since the property is at mortgage, after the initial document check it takes as little as 72 to 96 hours for the disbursal post-approval. Unlike other loans, you do not need to submit too many supporting documents and income proofs.
Longer Tenure: Micro LAPs typically has longer tenure as compared to personal loans. It can be available for longer tenure up to 15 years, whereas the tenure of personal loans varies between 5 to 7 years.
Lower to No Pre-payment Charges: Unlike other personal loans, you can do the foreclosure of Micro LAPs at almost nil charges. Lenders typically do not charge any prepayment charges in these types of loans.
In nutshell, Micro Loan Against Property (LAP) gives access to the higher loan amounts at lower interest rates to both salaried individuals as well as self-employed individuals. It offers various advantages and flexibilities to achieve your financial goals.
Poonawalla Fincorp makes your loan application experience effortless, easy and convenient. Thus, it helps you fulfill your Micro Loan Against Property (LAP) requirements and rejoice with your family without holding back.