How to handle personal loan with less interest

[leojack]

Hi, I need to know how to handle my personal loan with less interest rates. Interesting rates are becoming a big headache. Is floating interest rates better than normal ones. Please guide me.

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[alvinaclair]

It depends on the type of the loan you are taking. If your personal loan is for short period then opt for fixed interest rate. If you opt any loan for long term then take floating rate, because floating rates may increase or decrease. Nowadays banks are becoming customer friendly so the interest rates may decrease gradually.

[alvinaclair]

It depends on the type of the loan you are taking. If your personal loan is for short period then opt for fixed interest rate. If you opt any loan for long term then take floating rate, because floating rates may increase or decrease. Nowadays banks are becoming customer friendly so the interest rates may decrease gradually.

[Raghu Singh]

Personal loans with low interest rates are a boon for your urgent monetary needs. Here's a few points you can consider to lower your interest rate.
1. Compare multiple lenders- Compare many lenders and their interest rates. Select the one that offers the lowest.
2. Good credit score- Maintaining a healthy credit score will help you lower your interest rates. Lenders often refer to credit score to decide loan amount, repayment terms and interest rate. A credit score of over 700 or 750 makes you an ideal candidate.
3. Seasonal offers- Companies usually offer loan at low interest rates during special occasions like festivals, company's anniversary celebrations etc. Apply for loan during such times.

Floating interest and fixed interest have their own pros and cons.
While floating interest is lower than fixed interest, it can bring variations in your EMI as the interest amount is not fixed.
On the other hand, fixed interest remains constant irrespective of market conditions thus giving you a clear picture of your interest amount.
i borrowed gold loan from Shri Ram City Union Finance after finding out that they offer lowest interest rate.