Taking a loan is a big financial decision. Whether it’s for a personal need or a business emergency, here are seven essential things to consider before applying for any loan in India.

1. Know Your Credit Score

A CIBIL score above 700 increases your chances of approval and better interest rates. Check your score for free online.

2. Compare Loan Offers

Every lender has different eligibility criteria and pricing. Use comparison platforms like Rupi247 to make informed decisions.

3. Understand the Full Cost

Look beyond interest rates. Calculate processing fees, GST, insurance, prepayment charges, and penalties for missed EMIs.

4. Choose the Right Tenure

Shorter tenures reduce interest cost but increase EMI. Longer tenures offer lower EMI but higher total outgo.

5. Borrow Only What You Need

Overborrowing can lead to debt traps. Apply for an amount you’re confident you can repay without financial stress.

6. Read the Fine Print

Check for hidden clauses, foreclosure conditions, and interest type (fixed or reducing balance).

7. Plan Your EMIs

Use online EMI calculators to plan your monthly finances and avoid missed payments.

Being loan-smart can save you thousands of rupees and future stress. Preparation and knowledge are key

💡 Rupi247 Tip
Our dashboard offers automatic reminders, EMI calculators, and loan health reports to help you stay on top of your finances