Can a person have a personal loan and a home loan simultaneously

Here are some factors to take into consideration that will increase the chances of multiple loan approvals at once

Balanced debt to income ratio

Borrowers should keep a track on their monthly EMIs and other debts, if any. The percentage of liability you hold should not exceed 50% of your monthly income. A higher debt to income ratio will reflect a risky candidate profile and reduce your chances of multiple loan approval.

Hold a Good Credit Score

Borrower’s credit score is assessed before giving a loan approval. This is reflected in the credit report and gives clarity on the repayment ability of the borrower. An excellent credit score is significant while taking approval for a couple of loans simultaneously.

Flexible Personal Loan

A personal loan is an unsecured loan that is collateral-free in most cases. Hence, borrowers can opt for personal loans with flexible repayment terms. A flexible personal loan facility eases off the interest and charges only on the withdrawn amount.

Apply for Joint Loans

Yes, it is possible to apply for two separate loans together with your partner or parent. This increases the ability to repay EMIs on time as a second person’s income is also a part of the loan repayment process.

Plan your Finances

The decision of taking a personal loan and home loan at one time is risky, if you don’t have a backup plan to pay EMIs timely. It is advisable to clear all the debts before applying for additional loans. Also, compare the pros and cons of taking two loans simultaneously, so that you don’t have to face adverse consequences later.

Using the EMI calculator on credit websites or instant loan apps is a good idea to check whether you will be able to handle the instalment burden every month for two loans or not. Once all the terms are checked thoroughly, applying for a home loan and personal loan is easy through online credit portals and instant loan apps.

Herofincorp is a reliable instant loan app for speedy personal loan approval within 24hours. It is a reliable source for personal loans launched by HeroFinCorp and easily available on Google Play Store for download.