Personal Loans – Joint Application and Prepayment
You can apply jointly with your spouse to increase the eligibility of your loan amount. The personal loans can be applied together along with a co-applicant. The co-applicant can either be your spouse or your parents. It will assist you in increasing your income eligibility and helps you in availing a bigger amount of personal loan. In such as case, the income of your co-applicant gets added to your income and the total sum is considered for the calculation of the loan amount for which you can be eligible. Thus, it is recommended to apply for a personal loan jointly with a co-applicant in case you want a higher personal loan.
You can also take the advantages of the relationship discounts. The lenders provide relationship discounts in case you are already into a good relationship with them. Thus, if you are already involved in banking with the lender then you can negotiate for relationship discounts while taking a personal loan from such a lender. The discounts are available in the form of reduction in personal loan interest rates or reduction of other charges. Some of the other benefits available include free credit card with charges waived for the first year or other additional services.
In case you have a good inflow of money, you may decide to make the pre- payment of your loan. The prepayment is the option for repaying your loan before the end of the contracted period of the repaying your personal loan. There are many banks that charge a heavy prepayment penalty of about 2% to 5% on the principal outstanding amount. In spite of this heavy prepayment penalty, it is recommended to prepay your loan amount, if you possess the money with you. It is advised to read the complete loan buying guide along with the fine prints of terms and conditions before purchasing a personal loan.
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