When it comes to availing higher amount of money for consolidating your debts, there is no match to the loan against property.
Yes, you may also go for personal loans to consolidate a high interest-based loan. But, you should be aware that the personal loan interest rates are higher. And it comes with a small tenor. Hence, you may find it tough to pay off the loan.
On the other hand, when you opt for the loan against property for debt consolidation, you get to manage a lower interest rate. You also get a longer tenor to repay the loan without hurting your monthly budget.
The loan against property is availed when you pledge your residential/commercial properties with a lender. It is done to get a higher loan amount. As per your loan against property eligibility, you may get up to Rs.1 crore and Rs.3.5 crore as the LAP.
Since your property is pledged or held as collateral with a lender, the loan against property interest rate is lower. Therefore, you can opt for the loan against property for debt consolidation and repay the loan in smaller EMIs and over a longer tenor.
If you are still unsure how the loan against property for debt consolidation can help you, then this article is for you. Read on and explore more:
Consolidate Debt with the Loan Against Property
The loan against property comes with a slew of benefits to assist you to consolidate your existing debts and help you pay just one EMI.
- Get access to a large amount of money
No matter how much debt you have, you can consolidate all when you apply for the loan against property facility. Salaried individuals can get up to Rs.1 crore, and self-employed individuals may gab up to Rs.3.5 crore.
2. Lower interest rates
The loan against property interest rate is lower as you get the loan when your property is pledged for the desired amount. Hence, it makes the LAP as the secured loan. Thus, you get to repay lower EMIs and save huge compared to personal loans.
3. Longer tenor
You are availing the loan against property facility to settle your debts. Hence, you may not like that the LAP tenor is smaller, making it tough to repay the loan. As a result, you get to avail the longer loan tenor ranging 2-20 years to repay the loan in smaller EMIs.
4. Online loan access
Once you have availed the LAP, it is up to you to know about its progress right from anywhere and round-the-clock. You can stay updated about the loan by accessing the loan details via the digital customer portals.
Some of the ways how the loan against property for debt consolidation can help you settle your debts are now made clear to you. You can go ahead and apply for LAP as per your needs and repayment capacity.
Additional Read: How To Manage Investments & Debt With Loan Against Property?
Bajaj Finserv offers pre-approved offers on loan against property, home loans, business loans, EMI finance, and personal loans and more. The objective of such offers is to make your loan application and processing easy and faster. You can check out your pre-approved loan offers right away after sharing your basic personal details like name and mobile number.