Getting a bank loan is not the easiest thing! Banks are getting strict when it comes to approving loan applications. They check out a number of factors like salary, assets like homes before approving your loan application. If you are young and earning less, or running a small business not covered by banks, how do you get a loan?
Worry not, besides food, fashion and the likes, you can get loans through apps. Yes, we came across two apps which have the authority to give you loans without the hassle of applying to a bank. Have a look and decide if these are good enough and safe for you.
Early Salary
Pune based NBFC, Early Salary helps individuals avail loans up to Rs.1,00,000 within minutes using their app. Surprising, isn’t it? Read on.
This method of short-term unsecured loans at higher interest rates are extremely popular in the US and UK. The target group of such loans is youngsters in the age group of 22-30 who are on their first job and may need sudden loans to meet their expenses especially towards the end of the month.
How to apply for an Early Salary Loan
- Download the Early salary app and you can use the EarlySalary referral code as you do so.
- Login to the Early Salary app through your Facebook and LinkedIn account and answer a few questions about yourself.
- Upload your PAN number and bank statements and within a few minutes, get your credit digitally.
How do they make sure you will not default?
Through the PAN Card and bank account details, the company will access the person’s credit history. And interestingly, the company says Facebook will play a role here. If someone defaults on a loan payment, chances are their Facebook friends wouldn’t be able to get loans.
Thus using Facebook, Twitter and the like to evaluate a customer they find it easier to give out loans and are also in talk with MNC’s to offer loans to their employees.
Lending Kart
Businessmen not covered by traditional banks, especially in tier-II and tier-III cities, find it difficult to secure loans and here’s where Lending Kart comes to their rescue. They have acquired their NBFC license and have started giving loans anywhere between Rs.50,000 to Rs.10,00,000.
How are they different from other banks?
They use technology to find out a customer’s credit worthiness. So for businessmen, they check out payment history and credit score of entrepreneurs. They are also working on a real-time fraud detection mechanism and hence have the backing of banks.
How do you apply for a Lending Kart Loan?
- Application process takes just 15 minutes and requires minimum documentation. Apply online through their site or app giving a few details about yourself
- Credit evaluation is done in four hours and loan is disbursed in 72 hours through their affiliate NBFCs.
- This is available for retailers, e-commerce sellers and commercial vehicle owners.
Thus these digital players are reaching out to a section of Indians who need quick loans and are unable to get them through banks. Everything, right from how you apply to the processing of loan applications is different and there’s no doubt that these payday loans have a niche market in India.