An instant small cash loan is a financial product offered by fin-tech companies and other digital players who have taken the lenders’ market space by a storm. It is a short-term, unsecured loan where borrowers can be sure of a quick disbursal. Also, the application to the approval process is not a cumbersome one which means loan applicants do not have to wait for too long.
These small cash loans happen to be unsecured loans which can be used for multiple purposes like paying off wedding expenses, renovating your house, meeting expenses during a festival, etc. Lenders do not ask applicants to specify the reason for borrowing the loan amount.
Small cash loans over the past five years have grown in popularity among the youth and the rest alike. The major reasons for the same have been outlined below. At a time when we are surrounded by too many things to do and buy, lack of funds is not an option.
Youths with no mouths to feed are not likely to hold themselves back when they are in need of money. That said, the middle-aged group of people is also taking quite positively to this financial service.
Here are 7 Reasons Why Small Cash loans have become so popular:
When it comes to any loan, the main cause of concern remains the time taken by the lending company to disburse the amount. Small cash loans score an advantage here over the other loans as the time taken for disbursal is the least in this type of loan. Trained executives and credit managers of lending companies work towards ensuring that you get funds as quickly as possible.
The process of applying a loan requires one to furnish a lot of documents for proof and in some cases even provide a security deposit. But small cash loans are unsecured loans with simple paper-work that needs to be taken care of at the outset. There is no need for pledging any asset as security. This ensures that none of your investments, assets or deposit is disturbed for securing the loan amount.
Companies offering this financial service have been able to garner trust and goodwill among its user-base in quick time. This is majorly because of the consistency and predictability of affairs when one borrows loan amounts under this service. Over the years, quite a few lending companies have made a name for themselves in the fin-tech space
Easy EMI policy
Repayment policy is clearly defined while an applicant signs up for a mini cash loan and this gives potential loan applicants an idea of their risk-bearing ability. EMIs are arranged over a period of months so that there is not too much pressure on the pocket for borrowers. Repayment does not play too heavily on the minds on the loan borrowers as there are no extra charges levied apart from the interest rate like processing fees or prepayment fees.
Fulfills Urgent Requirement
A small cash loan will meet any urgent need for funds for an individual in case of an emergency. Its procedures are simple and easy to follow for first-timers. The customer support offered in these lending companies ensures that their representatives hand-hold loan applicants through each step. Small cash loans fulfill the financial need of the individual perfectly well.
Another crucial reason why instant cash loans have risen in popularity is that the application for these loans can be done from the comfort of your home. Paperwork is not as cumbersome as is the case with the other loans. Documents can be scanned online and there is no need to visit any branch for verification process
Repeat Customer Preference
A small cash loan is a product which may be required from time to time. Companies offering this type of loan understand this phenomenon and offer more benefits to repeat customers like instant loan approval and lower interest rates. This is understandable as the trust factor is established in such circumstances.
As compared to personal loans, a small cash loan is much easier to avail with respect to approval and the application process. Individuals with salaries can avail small cash loans with ease and replenish their bank accounts for emergencies.
It has become an important go-to financial tool for so many working professionals around the country. Its accessibility and availability have also spread wider, not limiting this financial tool to only the metros of India.
A mini cash loan has come to the rescue of not only urban dwellers but also people living in smaller cities in the interiors in the past few years. Because of its availability and reliability, a trust factor has developed among the people towards fast cash loans.
Loanbaba is a direct lender of this product. Currently, Small Cash Loan/Instant Personal Loan is available in Delhi, Chennai, Kolkata, Mumbai, Pune, Gurgaon, Noida, Bangalore, Hyderabad, Jaipur, Indore amongst other major cities.