Whether it be ordering a pizza or shopping online, there has been a drastic change in how technology has struck the core. Technology has made many things simpler and easier; you can get many things done with just one click on your mobile phone. Making payments online and availing of a loan are some of the other things that add to the list.
Yes, that’s right, you can avail of a personal loan from the comfort of your home. It’s not like the old days when you had to physically visit a bank and carry on with the documentation and loan process. You can choose from a wide range of lenders in the market that can fit according to your financial requirements.
So, let us understand the difference between an online and offline loan process.
Offline, personal loans
The offline process is the traditional way of applying for a loan. It’s the usual process of visiting the bank and getting done with the verification physically. You will also have to provide hard copies of documents required for a personal loan. This process is generally slower than the online loan process.
Online personal loans
This process lets you go completely digital. You can straightaway apply for a personal loan online and clear your way through all the loan processes with ease. The personal loan documentation process is quite convenient. You can get started with the loan process from the comfort of your home. Moreover, online loan providers also offer services like the personal loan EMI calculator to calculate personal loan EMI. With this tool’s help, you can get to know how much you will be paying every month.
Some online loan institutions have offers for new applicants. They also provide additional offers during the festive season; it may be a drop in interest rates or 0% personal loan EMI for a few months. However, this is not the case for offline lenders. This benefit is only applicable for an online loan.
For offline, banks you need to physically submit any hard copies of the required documents in the bank. Also, you have to wait for some days for confirmation. On the other hand, the online loan requires minimal documentation. You need to upload the scanned copies of the documents on the portal, and you are done.
Loan processing time
For online personal loan applications, the loan gets approved in no time. In the case of an offline, personal loan application, the processing is done manually, which consumes a lot of time. Hence an offline, personal loan will take longer than an online personal loan.
Organized Information of Requirements
All banks and financial institutions have an online portal that contains all the information regarding personal loans, their features, eligibility criteria, documentation, charges, policies, and terms and conditions. But the same information won’t be provided by offline lenders if you apply for an offline loan.
You can now see and understand that opting for an online personal loan is much convenient and easier. Choosing one will be a personal choice, but why not go with a convenient and hassle-free process when it is readily available.