Personal loans are short duration loans extending to a period of maximum of five years. These are non-mortgage loans requiring nothing to mortgage against the loaning amount. These loans are available at certain higher interest rates as compared to mortgage loans which may extend to a long period like 30 years.
Almost all emergency needs are covered up in this type of loan and even extreme requirements in routine may become eligible cause for loaning. Loan may be made available up to $50,000 depending upon its genuineness and loan repayment capacity of the individuals. Repairing or purchasing a car, renovating or repairing house, travel expenses for a holiday trip, expenditure in marriage celebrations & graduation ceremonies and purchases of home appliances are covered under eligibility list of this loan.
One major advantage of personal loan is that it can be taken to repay all debts which you owe to different lending agencies. Access the total amount which is to be returned as EMIs and take loan against this amount to clear all previous loans. Advantage is that you will pay only one EMI against the new loan against a number of EMIs against previous loans.
Never forget to access the economy of taking personal loans to repay the mortgage loans. As interest rate is higher in this case but time schedule to repay is less while in mortgage loans time schedule is spread in several years with less interest rate. With certain calculation, you will be able to arrive at the right decision.
Option to take loan for personal needs is with you. Compare the offers made by different lending agencies for easiness, economy and amount of EMIs to suit paying capacity. Whichever agency is convenient for you in dealings, should be made choice without hesitation in taking personal loans.