Planning for Personal loan for Doctor: First Know How Much You Can Borrow

Posted by Anuj Pandey on June 28th, 2018

The medical profession is not just one of the most highly respected to be in, it is definitely a very lucrative one as well, considering the large amounts of money the doctors make. However, doctors do not always become rich at the very onset of their careers and one has to way for a considerable amount of time to gain money and fame. It is quite possible that a doctor too would be in need of a personal loan to fulfil his own requirements and the reason could either be personal or professional, like setting up a clinic. There are many banks and NBFCs like Bajaj Finserv who understand this and hence, they have very good options when it comes to providing personal loan for doctors.

However, the problem is that some doctors complain that their loan application has been rejected but it is not always because of the rules and regulations of the bank or NBFC. Some doctors go ahead with the application without doing the preliminary research and they have no groundwork whatsoever regarding how much they can borrow, based on their present income. A bank or an NBFC will only lend that much which they think the doctor would be able to pay back, based on his income. Thanks to online tools like EMI calculators, a doctor does not have to wait for the bank to tell them so. By using the tool themselves, the doctors will be able to figure out by themselves, exactly how much can they borrow.

The EMI calculators will ask for a few specific information like the present income of the doctor, any additional sources of income they he might have, the loan tenure, the expected loan principal amount, the interest rate of the personal loan, and the tool also makes adjustment for inflation. Taking into account all these factors, the EMI calculator will instantly show an amount and the doctor will be able to decide for himself whether or not it is possible for him to set aside that amount each month for repayment. If not, he could either wait for his income to go up to apply for the same amount of loan, or reduce the amount of loan that he wants to apply for. Either way, there would be far less chances of loan rejection.

On the other hand, apart from knowing how much one can borrow, one should also be sure about how much they need to borrow. It is true that not all doctors are very aware of financial matters and this is where hiring a financial advisor might help. The thing is that some doctors tend to over- borrow or under- borrow and this kind of throws all calculations out of balance. Figuring out how much one needs to borrow while applying for personal loan for doctors is as crucial a point and this should be decided on carefully at the very beginning.

Banks and NBFCs like Bajaj Finserv usually have personal loan for doctors that can go up to Rs 35 lakhs. They also have a flexi- loan system in place which makes it far easier to repay the loan than other form of conventional loans. Even if one only has an approximate idea of the loan amount they want, they can only withdraw the amount they require at a given point of time and then pay interest on that amount only. These loans are unsecured loans and the repayment tenor is quite flexible- ranging from 12 to 96 months and with an interest rate of 14% to 16%. Hence, based on these factors, a doctor will be able to form an idea about how much they can borrow.