If your health insurance runs out or if you don’t have one in the first place, you can avail a medical loan to ensure you or your loved ones get the best possible treatment without you having to worry about the finances. It can also be leveraged as a medical loan for doctors to set up their practice.
While a medical loan is easy to get, here are a few things you need to take care of to improve your chances of being granted one:
Maintain an excellent credit score
Your credit or CIBIL score is the first thing a lender will check to see if you are eligible for a loan as it determines your ability to repay on time. A score of 750 and above is considered ideal to get an unsecured loan such as an instant medical loan. You can improve your credit score by always settling your entire credit card bill before the due date and keeping the credit utilization limited. You can also build your score by paying all EMIs on time.
Use a medical loan eligibility calculator before applying
Knowing how much you are eligible for and applying within that particular limit will ensure your loan request doesn’t get rejected. So, how do you determine that? You can do so by using a medical loan calculator that is readily available online. All you have to do is enter your monthly income and expenses to know how much you can borrow.
Additional Read:- Guide for Availing Medical Loan Online
Keep debt-to-income ratio to the minimum
Your credit report has a consolidated account of all outstanding loans you may have. This includes mortgage, car loan, credit card dues, business loan, etc. A debt-to-income ratio (DTIR) indicates the portion of your monthly salary that goes towards paying these existing loans. Lenders usually do not take on additional risk if the DTIR exceeds 40% of the monthly income. Hence, lower the DTIR, greater will be the chances of you securing a personal loan for medical emergency.
Submit all the required documents
Check the list of documents required by the lender. A medical loan is just like a personal loan that can be utilized for medical needs. You will need to provide standard documents such as identity proof, bank statement, income tax returns, salary slips for salaried individuals, and proof of business and turnover for self-employed people. Ensure all the required documents are in place when you apply. This will help your loan get approved and processed faster.
When looking for a loan for medical treatment, time is of the essence. You do not want to waste time going through lengthy paperwork and time-consuming approvals. Tata Capital’s loan for medical emergencies has been designed keeping this need in mind.
Easy documentation and swift processing ensure that funds reach you quickly and in time. Additionally, the medical loan interest rates are extremely competitive with flexible repayment options.
Additional Read:- Here Are the Things You Should Know While Applying for a Medical Loan
In case of a medical emergency, trusted healthcare providers and a trusted financial partner can make a world of difference.