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Best Diesel Cars under 10 Lakhs (August 2020)

Fuel efficiency is an important purchase consideration for the average Indian car owner. Over the long term, running costs contribute significantly to the overall cost of owning a car. It is the reason why many Indians prefer to opt for the diesel variant of a car, even though it tends to be expensive to purchase up-front compared to a petrol variant.

Diesel car mileage, on average, is 25% higher than that of a petrol car, and the improved fuel efficiency more than covers the extra cost of the car paid. 

If you are looking for the best diesel car under 10 lakhs, here are some options to consider:

Honda Amaze

  • Type: Sedan
  • Diesel Variants: 4 manual and 3 automatic
  • Engine capacity: 1.5 liters/98bhp 
  • Mileage: 21 kmpl
  • Price: Rs. 7.58 lakh to Rs. 9.97 lakh

Among these diesel variants, the top one is the Amaze VX Diesel. It has additional features like speed sensing auto door lock, touch screen, height adjustable driver seat, and more, making it one of the best diesel cars under 10 lakhs.

Hyundai Aura

  • Type: Sedan
  • Diesel Variants: 2 manual and 2 automatic
  • Engine capacity: 1.2 liters/75bhp 
  • Mileage: 16-18 kmpl
  • Price: Rs. 7.74 lakh to Rs. 9.23 lakh

Hyundai Grand i10 NIOS

  • Type: Hatchback
  • Diesel Variants: 3 manual and 1 automatic
  • Engine capacity: 1.2 liters CRDI/74bhp 
  • Mileage: 26 kmpl
  • Price: Rs. 7 lakh to Rs. 8.3 lakh

Other features include fully automatic climate control, touchscreen infotainment, wireless charger, and more. The BS6 diesel variant is available in three variants – Magna, Astra, and Sportz.

Tata Altroz

  • Type: Hatchback
  • Diesel Variants: 11 manual and no automatic
  • Engine capacity: 1.5 liters Revotorq/90bhp 
  • Mileage: 20 kmpl
  • Price: Rs. 6.99 lakh to Rs. 9.34 lakh

The refinement and smoothness of its engine are features the car is famous for, which is considered noteworthy for a diesel.

Kia Sonet

  • Type: SUV
  • Diesel Variants: 7 manual and 3 automatic
  • Engine capacity:  1.5 liters/98.63bhp
  • Mileage: 18.2-24.1 kmpl
  • Price: Rs. 7.15 lakh to Rs. 13.79 lakh

User reviews state that the car is efficient and boasts a solid build and high safety rating. It provides value for money with additional features like led lights, cruise control, bose speakers, and more. Thus, you can see its name in diesel cars under Rs. 10 lakhs.

Ford Aspire

  • Type: Sedan
  • Diesel Variants: 3 manual and no automatic
  • Engine capacity: 1.5 liters DTCi/99bhp 
  • Mileage: 24-26 kmpl
  • Price: Rs. 7.79 lakh to Rs. 8.64 lakh

Ford Figo

  • Type: Hatchback
  • Diesel Variants: 3 manual and no automatic
  • Engine capacity: 1.5 liters DTCi/99bhp 
  • Mileage: 24 kmpl
  • Price: Rs. 7.16 lakh to Rs. 8.15 lakh

Individuals prefer Ford Figo for its performance, being fun to drive, and light on the wallet at the same time. The most common variant is Ford Figo sports.

Honda WR-V

  • Type: SUV
  • Diesel Variants: 2 manual and no automatic
  • Engine capacity: 1.5 liters I-DTEC/98bhp 
  • Mileage: 24 kmpl
  • Price: Rs. 9.93 lakh (only one variant sub Rs. 10 lakh)

Mahindra XUV300

  • Type: SUV
  • Diesel Variants: 5 manual and 3 automatic
  • Engine capacity:  1.5 liters/115bhp
  • Mileage: 20 kmpl
  • Price: Rs. 9.60 to Rs. 12 lakhs

People know the car as efficient and quiet for a diesel. It has good features and mileage and is spacious. Thus, the 5-seater car is called the best diesel car in India within 10 lakhs.

Hyundai Venue

  • Type: SUV
  • Diesel Variants: 5 manual and no automatic
  • Engine capacity: 1.4 liters CRDi/99bhp 
  • Mileage: 23 kmpl
  • Price: Rs. 8.10 lakh and Rs. 9.01 lakh (only two out of five variants sub Rs 10 lakh)

The Hyundai Venue is more fuel efficient and handles long drives at a good pace with powerful torque output.

Making the right choice

These are among the bestdiesel cars under Rs. 10 lakhs that come in a range of variants with several comforts and convenience features. Do keep in mind that these are ex-showroom prices; the on-road prices will be higher with insurance and taxes. Hence, budget accordingly.

Whatever your choice, you can easily get a new or used car loan across any price point with Tata Capital. A higher new or used car loan eligibility means that you can also extend your budget. Customizable repayment schedules and flexible EMI options allow you to enjoy your car while going easy on the pocket.

Realme V5 5G with Dimensity 720 Soc, 5000 mAh Battery, Quad Cameras: Get full specs

With the market for smartphones growing by the day, Realme has decided to seize the day by launching Realme V5, its brand new smartphone with 5G technology enabled in it, so that the market sees the rise of a smartphone that can prove its mettle.

After having successfully launched many phones in the past, the new Realme smartphone takes the game up by several notches while it stays loyal to the salient features, which differentiate the phone and make it unique.

Pricing:

The Realme V5 has 2 variants with different specifications for the RAM. The cheaper variant with 128GB storage and 6GB RAM is priced at around CNY 1,499 (close to Rs 16,000) and the version with 8GB/128GB capacity comes for around CNY 1,899 (approximately Rs 20,500). The various e-commerce websites based in China are allegedly taking orders for this device, though a variant of this phone is yet to be officially launched worldwide.

The company is yet to confirm whether the new Realme smartphone will come to India. However, the customers are waiting for it to be launched. If the financial aspect of buying this phone is causing you concern, then the Consumer Durable Loan issued by Tata Capital would help you to buy this smartphone on EMI.

Core features:

The Realme V5 is all set to appear as the brand’s maiden smartphone with 5G technology that is all set for its release in China. The possible colours for this device are Green, Blue, and Silver, and the sales are supposed to start on August 7, primarily in China. The processor is the surprisingly fast MediaTek Dimensity 720 SoC, which allows the phone to boost up really fast and set the ball rolling. It has a 6.5-inch full HD display with a pixel ratio of 1080X2400.

The new Realme smartphone has a RAM of 8GB in the higher end version, and 6GB for the lower range version, while for its internal storage, there is 128GB of internal memory, which can be expanded using a microSD card to the limit of 256GB. It runs on the common and well-accepted operating system of Android 10, with a User-interface that is made by Realme itself.

Additional Read: Realme 6 Pro with 64-Megapixel Camera & 128GB Internal Storage

Realme V5 features

Camera:

In addition to its primary features, the new Realme V5 brings a setup of quad-camera with itself. It boasts of 4 cameras at the rear, and there is a selfie camera in the front as well. The combination it has with the main sensor of 48-megapixel, an ultrawide sensor of 8 MP, 2 MP macro sensor, plus a depth sensor of 2-megapixel really puts the smartphone on the top as far as the camera is concerned. The Realme V5 cameras are supposed to support features, which are standard to all phones, such as the Super Nightscape mode and Chroma Boost

These core features, along with the stunning combination of cameras and options available in the new realme smartphone should take away any doubt that you might have had about getting one for yourself. Even if you are compromising on your choice because you cannot afford it, then Tata Capital is here for you. Their consumer durable loan allows anyone to buy a smartphone on EMI payments.

Other features:

Realme V5 runs on a battery with 5000mAh capacity. The usual 3.5mm earphone jack is also there for your perusal. The options for connectivity on the smartphone are stunning, with the latest 5G technology. However, it would also function perfectly with a 4G SIM Card. Bluetooth and the USB cord complete the set, giving it a perfect outlook.

Additional Read: Planning To Buy a New Smartphone? Find out How To Choose The Right Smartphone in 2020

Conclusion:

It is no surprise that this phone packs quite a punch. Once you get your hands on it, you will not need to worry about the battery, the quality of your photos, or about the security of your data. This all-in-one deal is really something, which cannot be missed.

If you are looking for options to buy this smartphone on EMI, then Tata Capital’s Consumer Durable Loan gives you the option of a flexible tenure, as well as minimum requirements for documentation. Hopefully, that would take away the last hindrance in the way of obtaining this stunning device.

Nokia 8.2 5G Smartphone: Check Price, Specifications

Nokia 8.2 is the latest smartphone that is going to be released by Nokia. With its years of experience at making durable and trendy phones, the new Nokia smartphone is all set to win the hearts of its customers when it arrives in the market.

After the dynamic success of the earlier models in this series, namely Nokia 7.2 and Nokia 8.1, this brand new smartphone is expected to take the game up by quite a few notches when it is launched. It is rumoured to be launched in August, so here is everything that you can expect from this device.

Price:

The new Nokia smartphone is supposed to cost around Rs 34,900/-in India, and compared to the features that it provides, it can be said with certainty that it would be worth the money. However, the Nokia 8.2 might look a little expensive to some. There is no need to worry, as the Consumer durable loan by Tata Capitals provides the customers with easily accessible options to buy the mobile on EMI.

Core features:

Nokia 8.2 smartphone runs on the operating system of Android, version 10. The screen is a standard 6.2 inch one, with full touch screen and backlight. This would surely be a relief to those who are accustomed to the familiar ways of Android as compared to the new Oxygen operating system in other phones of this range. The phone is powered by an Octa core processor whose best frequency is 1.8 HZ. A Qualcomm Snapdragon 765G Chipset is the heart of this device, ensuring that it would never slow down.

The RAM is a formidable 8 GB RAM , with the internal memory a whopping 256 GB. The new Nokia smartphone has a display with an inbuilt IPS LCD facility and the screen boasts of a resolution of 1080 x 2340 pixels and a really high pixel density of 416 ppi.

Additional Read: Nokia Edge with 5.2-inch full HD display and 1080×1920 pixels screen resolution

Nokia 8.2 features

Camera:

The users can expect a 32 MP Primary Camera on the front and on the rear, there are three cameras if 48, 5 and 2 Megapixel in this new Nokia smartphone. In addition to this, there are stunning features like Auto Flash, Digital Zoom, Touch to focus and Face detection in the cameras. The videos are recorded in the resolution of 1080 pixels with 30 frames per second. There are supposed to be flashes on both the front and the rear cameras.

After hearing about the features of Nokia 8.2, it might seem surprising to you that the company is launching this product at such a cheap price. To make things even easier for you, there is always the trusted option of Tata Capitals who are ready to provide you with a Consumer Durable Loan to buy this mobile on EMI payments.

Additional Read: Top Camera phones of 2020 by Nokia

Other features:

The device supports 5G network, but that utility can be opted out, as well. It is powered by a stable 4000 mAh battery which allows fast charging with the USB type C port and cable that comes with the new Nokia smartphone. The other Connectivity features which this smartphone boasts of are WiFi, Bluetooth, GPS, and more. The censors of light, proximity, accelerometer, compass and gyroscope make sure that the phone is up to date with its competitors in the market. The phone offers the secure method of fingerprint unlock, in addition to the standard pattern, pin and password unlock systems to give additional security.

Conclusion:

The speculated specifications of this device are sure to turn all the heads upon its release. The brand name of Nokia could only do you good, as the company is pretty well known for products which last longer than the average smartphone. With almost no backlog, this phone would prove to be the perfect company for anyone. Even after so many advantages, if the price range of the new Nokia smartphone is a deterrent, there is an easy way to purchase it. The Consumer Durable loan by Tata Capitals offers the customer easy installments, minimum amount of documents, and a flexible duration to buy the mobile on EMI payments. This should solve all the financial hindrances that you might be facing while opting to buy this new smartphone by Nokia.

How to get a Startup Business Loan without Collateral

Having a brilliant idea for a startup is not enough. One of the biggest challenges entrepreneurs face is the lack of funding or capital to turn their idea into reality. Taking a business loan then becomes a viable option for them. 

However, most new startups do not have assets such as property or shares to offer as collateral to get a loan from a bank or NBFC. However, this does not mean they cannot get a loan. Entrepreneurs can get a loan even without collateral. 

There are a few things they can do to improve their chances, though. Here’s how to get a startup business loan without collateral:

Improve your credit score

If you want to get a startup business loan, you will need to have a decent credit score. A score of 750 and above is considered healthy and greatly improves your chances of getting a business loan approved, as well as negotiating lower interest rates. You can do so by using your credit cards to pay your bills, settling your dues in full before the due date, avoid taking too much credit at a time and not closing unused credit cards, among other things.

Additional Read: Credit Score for Business Loan: Know why it is important while availing a Business Loan

Clear other pending debts

If you are repaying multiple loans at the same time, chances are a new loan request by you will be denied. For example, if you already are repaying a car loan and a home loan, lenders will be less inclined to service a loan for business, as they would not be confident in your ability to pay back the money on time.

Create a strong business plan

Business Plan to get a business loan without collateral

You need to make a strong case for your business plan to get a business loan without collateral. You must present a comprehensive plan that describes your idea, market opportunity, process, financial projections, and more. This helps instill confidence in lenders; they note that you have done your research, which helps create a positive impression.

Additional Read: Startup Business Loan: Know how to get a business loan for startup in India?

Thoroughly evaluate requirement

Ask for only as much as you need. Though you may want to get your hands on as much capital as you can to give flight to your ambitious plans, think about how you plan to repay a big amount. Estimate right and apply for a loan that you can service. Asking for a huge amount without justifying the need is a sure way to have your application rejected. 

Take an unsecured business loan

Taking an unsecured loan is the easiest way to finance business because they are easy to get and require no collateral. Keeping in mind the challenges a startup has to face, Tata Capital offers customized, hassle-free, unsecured business loans to fledgling businesses. The easy and swift application process, coupled with a higher threshold for eligibility, starting at Rs 5 lakh and going all the way up to Rs 75 lakh to supplement any and every business need.  You can service the loan via stress-free, structured business loan EMI options. This means you can stop worrying about finance and focus on growing your business.

How to Get a Loan to Start a Business in India

Think you have a great business idea but are struggling to find the funds to set the ball rolling? Funding a business is one of the most critical decisions any business owner has to make. Once you have determined the amount of funding needed for the business, taking a business loan is one of the options you can consider. 

Several banks offer quick business loans to startups at affordable interest rates and flexible repayment options. Business loans tend to be of three types – working capital loan, machinery loan and MSME & SME loan.

• Working Capital Loan:

This is a loan that helps you cover your funding needs so you can run your daily operations seamlessly.

• Machinery Loan:

A machinery loan helps you update your existing equipment or buy the latest machines that can help your business.

• MSME & SME Loan:

These loans help MSME and SME business owners with money that can give their ventures the boost they deserve.

Additional Read: What Are the Different Types of Secured Business Loans?

SME Business Loan

To avail a business loan, you must meet the following eligibility criteria:

  • You must be between 25 to 65 years of age.
  • You must have a CIBIL score of 750 or above.
  • You should own a business that must be profitable for three consecutive financial years.
  • Your business turnover must reflect an upward trend.
  • Your balance sheet must be audited by a registered Chartered Accountant.

Additional Read: When You Need to Opt for Business Loan

The documentation required for applying for a business loan is as follows:

  1. Duly filled application form (physical or virtual, depending on how you apply)
  2. Company bank statements for the last six months
  3. Income Tax Returns for the last two years
  4. KYC documents of the company that includes the Partnership Deed, Registration of Incorporation, PAN Card, Memorandum & Articles of Association
  5. Business owners’ KYC documents
  6. Details of how the business loan will be used

Conclusion

Each business has different requirements. As a business owner, you will have to understand what is best suited for your enterprise and choose the financing option that works well with your long-term vision.

If you already have a business plan ready and are wondering how to get a business loan, you can reach out to Tata Capital for all your loan-related needs and queries. Tata Capital offers a maximum business loan of up to Rs 75 lakh, although it largely depends on each borrower’s eligibility and business returns. You can also use the business loan EMI calculator to get an exact picture of the EMI you’d be paying each month.

How to calculate CIBIL score for personal loan?

CIBIL is one of the authorized bureaus in the country that calculates the credit score of each individual. Other authorized bureaus being Equifax, Experian and Highmark. A CIBIL score is a three-digit number ranging between 300 and 900 that acts as a benchmark for lenders to assess your credit health.

When you apply for personal loan, the CIBIL score becomes the most significant factor that determines your personal loan eligibility

A CIBIL score is derived from a combination of details relevant to your credit profile like your account’s outstanding balance and credit card payments. If you have been able to maintain a record of timely payments without any instances of default, your CIBIL score would be high. Alternatively, if you have missed a few monthly EMIs, it would hamper your credit score.

Additional Read: How Does a CIBIL Score Impact Your Personal Loan Eligibility?

As a preliminary step, lenders look for a minimum CIBIL score of 750 before a loan application is approved or rejected.

Calculating personal loan CIBIL score

The calculation of CIBIL score is done using a complex mathematical formula that includes several factors. Below are some of the most important of them that together lead to the CIBIL score being arrived at:

1. Credit History

Personal Loan Credit History

Carrying the highest weightage of about 30%, your credit score is calculated based on your credit history. Banks and other financial institutions send their credit-related information to the authorized credit bureaus in the country. Subsequently, the bureau compiles the information in the form of a detailed credit report and calculates your credit score. They have a month-on-month record of the previous three years of your monthly payments towards EMIs and credit card bills. It also includes all past records of EMI default, if any. 

2. Credit Utilization

This is another essential factor that has a weightage of 25% in your overall credit score. It is essentially the amount of money you owe to a lender as a percentage of the total personal loan amount you are entitled to taking. To arrive at this number, you need to divide the total outstanding loan with your total credit limit. A rising credit utilization over a period lends a negative impression on your credit score.

Additional Read: Top 5 Myths About Cibil Score for Personal Loan

3. Credit Mix

Your CIBIL score is also dependent on the composition of your loan portfolio. In simple words, it depends on how your total loans are distributed between secured and unsecured loans. A credit mix also has a significant weightage of around 25% in your personal loan CIBIL score.

4. No. of Credit Applications

The number of credit applications you have made in the past account for the remaining 20% of the CIBIL score calculation. A large number of credit applications makes a wrong impression with the credit bureau. 

Additional Read: How much CIBIL Score Required for Personal Loan?

Conclusion

These four factors contribute to the calculation of CIBIL score. Though you can’t calculate your CIBIL score yourself; keeping an eye on it ensures a good score that lets yoAdditional Read: How much CIBIL Score Required for Personal Loan?u borrow money from genuine lenders, such as Tata Capital. If you need a personal loan and boast a high CIBIL score, Tata Capital has a lot to offer. Reach out to them today!

How much home loan can I get on my salary?

We all dream of owning a home. As we progress in our professional lives, the dream seems more of a possibility. With a home loan, things become even easier. However, real estate doesn’t come cheap. Depending on the part of the country you live in, real estate prices for a modest 800 square feet apartment can range from Rs 30 lakh to Rs 5 crore.

Budgeting and long-term planning are key to managing your housing dreams. If you have been wondering, ‘how much home loan can I get’, do know that the primary consideration of your repayment capacity depends on your monthly salary.

Financial institutions can offer a mortgage to salaried professionals up to a maximum of 60 times their net monthly salary. This is based on the Fixed Obligation to Income Ratio (FOIR).

Keep in mind that the eligibility is calculated on the take-home salary and not Cost-to-Company (CTC), as the CTC includes non-cash benefits such as HRA, travel allowances, perquisites, contribution to Provident Fund, etc.

Here is an example of a home loan eligibility based on salary package (CTC) of Rs 7,00,000 per annum:

Assume the contribution to PF and perquisites totals Rs 85,000 a year. This means the net salary is Rs 6,15,000 per year or Rs 51,250 a month.

In such a scenario, an applicant’s home loan eligibility is estimated at around Rs 51,250 x 60 (max FOIR) = Rs 30,75,000

Additional Read: Is It Possible to Increase Your Home Loan Eligibility?

Check your salary slip and make a similar calculation. However, this calculation only helps estimate a ballpark figure of what the loan amount could be. Various other factors will impact your actual eligibility. Some of these are mentioned below:

Existing debt

Having other ongoing loans such as an educational loan, car loan or large credit card debt can proportionately reduce your eligibility as well.

Credit score

Credit Score For Home Loan

Financial institutions usually consider a minimum credit score of 750/900. Having a sub-par credit score can reduce your home loan eligibility. You can boost your credit score by settling your credit card dues and debts and paying your bills on time.

Additional Read: How Does Credit Score For Home Loan Work?

Co-applicant

You can enhance your eligibility by jointly applying with a working spouse, parent or sibling. 

​Loan tenure

If you opt for a longer tenure, you can reduce your monthly EMIs and increase your eligibility.

Other sources of income

If you have some income from other sources such as rent or investment, submitting proof of such income can increase your eligibility for a higher loan amount.

In addition to factoring your income, the best way to estimate your eligibility is by using a home loan EMI calculator such as the one offered by Tata Capital. The calculator allows you to understand all variables that will impact your home loan commitment.

For a simple, swift and transparent experience, Tata Capital home loan is your ideal partner to help fulfill your dream of owning a home.

How Much CIBIL Score Required For Personal Loan

If you are looking for a personal loan to finance some immediate expenses, you must know about one of the most crucial determinants of your loan approval – the CIBIL score.

CIBIL is an authorised bureau in India that provides every individual with a credit score. A credit score is a 3-digit number ranging between 300 and 900 that acts as a benchmark for lenders to gauge your credit health. Hence, you require a decent CIBIL score for personal loan approval.

A CIBIL score includes all the information related to your EMI payments, your account’s outstanding balance, credit card payments, any alterations to your credit limit and other details associated with your credit profile. Subsequently, a mathematical formula is devised to calculate your final credit score. If you have made all your EMI payments in time without any defaults in the past, your CIBIL score would be high. Conversely, if you have a history of defaulting, it will adversely impact your credit score.

Besides your monthly income, the CIBIL score is one of the most critical parameters that decide your personal loan eligibility. The higher your CIBIL score, the better are the chances of your getting a loan approved. But the question is- how much CIBIL score is required for a personal loan?

As a preliminary step, lenders look for a minimum CIBIL score of 750 before they take a call on your loan application.

What do different CIBIL scores mean?

Let us now look at three cases, each of which details the CIBIL score range for a personal loan.

Case 1: Your CIBIL score lies between 300 and 599

Wondering whether you can qualify for a personal loan for a CIBIL score of 550? Well, the chances are that you will not qualify for a personal loan. This is because a score between 300 and 600 warns the lenders about the bad credit behaviour of the borrower. Thus, most banks will disapprove of your personal loan application immediately if you fall under this CIBIL score range for a personal loan.

Case 2: Your CIBIL score lies between 600 and 749

With a credit score in this range, there is a relatively moderate chance of your loan application being approved by lenders. Financial institutions would usually look for other factors to gauge your personal loan eligibility, such as your monthly income, other existing loans, employment stability, etc.

Case 3: You have a CIBIL score of 750 or above

If you have a score of 750 or above, your loan application is very likely to be approved. Besides, there are other advantages of maintaining a high credit score for a personal loan. For instance, you may be able to negotiate a lower interest rate with the lender.

While there is no minimum CIBIL score required for personal loan approval, it is safe to say that a low score will lead to the rejection of your application. So, make sure you maintain a healthy CIBIL score.

Ways to improve your CIBIL score

Is your CIBIL score on the lower side? If yes, you will find it challenging to get your loan approved. But, don’t worry! You can increase your CIBIL score over time by taking the following measures:

1. Pay your bills on time:

Paying your credit card bills and other outstanding debts on time can significantly improve your CIBIL score. On the other hand, even a single missed payment can negatively impact your score.

2. Limit your spending to 50% of your credit card’s approved limit:

If the approved limit of your card is Rs 2 lakh, try to restrict your spending to less than half of the amount. It represents a good spending discipline.

3. Avoid applying for multiple loans simultaneously:

Remember, when you apply for a loan or credit card with multiple lenders, you appear ‘greedy’ for credit, making a lender more likely to reject your application. Multiple loan applications also adversely impact your credit score.

4. Regularly monitor your credit health:

Check your credit score regularly. You can check your credit score and credit report online for free. Keep an eye on any changes and see your progress. If you find any errors or discrepancies, get them removed immediately. This will help you achieve your desired CIBIL score required for a personal loan.

How long does it take to improve CIBIL score?

The good news is that you can take as long as you want to rebuild your credit, so be patient with your efforts.

First, identify the extent to which your credit score is hurt. Then, you can explore what immediate steps you can take. The credit score recovery process can take anywhere between 6 months to a year, depending upon your credit health.

For instance, suppose you are in the process of repaying a home loan, and you miss a payment. A missed payment will negatively affect your score for a while. However, you can still rebuild it quickly by making payments timely in the future. However, if you continuously miss payments or default on loans, it will damage your score considerably. Therefore, it will take you a long time to recover.

Final thoughts

Now that you know the answer to how much CIBIL score is required for a personal loan, you can start taking steps to increase your score and apply for a loan.

Searching for a reliable lender to borrow a loan? Look no further than Tata Capital. Faster approval, quick disbursal, affordable personal loan interest rates, and customised solutions are some unique features that make Tata Capital a leader in the industry. Lastly, you can check your free credit score on our website within a few minutes!

How to reduce a Home Loan Tenure

A home loan is a long-term commitment. The tenure could be as short as 10 years, going all the way up to 30 years. The loan tenure you choose plays a huge role in deciding your EMI and resultantly, your overall cost of purchasing a house.

The more time you take to repay the loan, higher will be the interest you will have to pay. Managing the home loan tenure is critical not only from a financial perspective but also considering that there is a higher risk in servicing a loan over longer periods. 

Changes in the economic scenario, income earning potential, age-related health risks or accidents – even though a rare likelihood – are factors to consider.

As a homeowner, you should be looking at how to reduce home loan tenure.

Make a large down payment

Financial institutions now provide home loans up to 95% of the property value. This offers the advantage of not having to use much of your own money. However, it also means that your loan amount, tenure and interest cost rise significantly. 

A home loan EMI calculator will give you a detailed breakdown of the principal and interest you will pay during the term of the loan.

By making a large down payment – through savings or sale of other assets – you can bring down your home loan EMI and tenure.

Additional Read: How to Reduce Home Loan EMI – Tips and Tricks

Make lump sum instalments often

Large Down Payment reduces Home Loan Tenure

Through the course of the loan, if you have additional savings or chance upon windfall gains through bonus, commission, gifts, etc., you can use the funds to make an add-on contribution to your home loan besides the standard EMI. This lump sum injection will bring down the outstanding amount and shorten the tenure.

Switch between fixed and floating interest rate

Irrespective of your initial choice, many financial institutions allow you to switch between fixed and floating interest rates through the term of the loan for a small fee. You may not be able to switch often, though. Hence, evaluate the economic scenario and take a call only if your savings are going to be substantial due to a switch.

Take advantage of a Flexi EMI option

As you progress in your professional life, your income potential rises. Some financial institutions offer a Step-Up Flexi EMI option that allows you to pay more as your income grows. In such a scenario, you have the option of progressively increasing your EMI. As the EMI goes up, the overall loan amount and tenure reduce at a faster rate.

Foreclose the loan

If you receive a large sum of money by way of inheritance, sale of an asset, liquidating an investment, windfall gains, etc. you could pay off the entire home loan before the tenure. Some foreclosure charges might be applicable based on the outstanding principal amount in addition to government taxes. However, Tata Capital does not levy any foreclosure fee if you use your own funds to prepay the loan. Be smart; choose a flexible loan partner that helps you fulfil your dreams on your own terms.

Additional Read: Home Loan Prepayment: Top Things to keep in mind before prepaying

Benefits of the Udyog Aadhar Loan

The Udyog Aadhaar is a registration certificate for Micro, Small, and Medium Enterprises (MSME). Not only does the Udyog Aadhar provide recognition and legitimacy to small and medium businesses, but it also offers a host of additional services and benefits that were previously difficult to secure.

The process of registering for Udyog Aadhar is simple and quick. Minimal documentation and a speedy online registration process ensure your business is up and running and ready to make the most of the benefits the government offers to fledgling businesses.

Capital for small businesses

The biggest pain point for small businesses is the availability of capital. They need critical financing without which start-ups cannot take off. The lack of business experience and assets make it difficult to source capital. And without capital, businesses cannot grow and build credibility. The vicious cycle thus continues. 

In a bid to provide impetus to the MSME industry that contributes to about 45% of India’s GDP, the Central and State governments, through various public and private agencies, have made it much easier to secure a business loan with the help of Udyog Aadhaar.

Here are some of the Udyog Aadhar benefits, with a particular focus on business loans:

Collateral-free loans

This is one of the biggest advantages of getting a Udyog Aadhaar loan. As mentioned before, new businesses have few assets to provide as collateral for a loan. Getting traditionally structured loans hence becomes difficult. 

With Udyog Aadhaar, based on the personal details of the promoter, his/her educational qualifications, the type of industry and business, the business loan eligibility is assessed for a collateral-free loan.

Additional Read: Detailed Guide for Udyog Aadhar Registration Process

Subsidized interest rates

Udyog Aadhar Loan Interest Rate

Udyog Aadhar loans aim at promoting MSME businesses. The government provides funds at discounted rates to financial institutions specifically earmarked for these businesses. In turn, the financing agency can pass on the benefit to the borrowers. The interest rate on most Udyog Aadhar loans is about 1.5% lower than interest on regular loans.

Vast network for loans

As businesses thrive in every nook and corner of the country, it is difficult to fulfil the financing needs through a central agency. Therefore, Udyog Aadhar loans have been made available through public and private banks, non-banking financial institutions, Micro Units Development and Refinance Agency (MUDRA), small scale industries, Small Industries Development Bank of India (SIDBI), and many more such financial partners.

By leveraging this wide network of service providers, the government can fulfil the needs of millions of small businesses across the country.

Funding specific to industry and scalability

The need of every business is different. Based on the sector and the size of the business, entrepreneurs can approach the relevant agency for financing. This improves the chances of securing a higher loan.

For example, a business operating in the textile sector can directly approach Khadi and Village Industries Commission (KVIC) and based on its business loan eligibility, secure funding up to Rs 25 lakh for a new manufacturing set-up.

Additional Read: When You Need to Opt for Business Loan

In closing

The availability of affordable, quick and adequate capital can fast track the success of a business. To further fuel the entrepreneurial zeal and participate in nation building, Tata Capital also offers collateral-free business loan at affordable rates to MSMEs of all sizes.