Author: Nisha Chawla

In today’s world, taking loans for various needs such as homes, cars, or personal expenses has become a common practice. Banks and financial institutions provide loans after assessing the borrower’s financial history and creditworthiness. The borrower then repays the loan through regular installments along with interest. But what happens if the borrower passes away before repaying the full loan amount? This can create a complex situation for both the borrower’s family and the bank. Let’s explore how banks recover loans in such cases and who bears the responsibility. What Does the Bank Do When the Borrower Dies? When a borrower…

Getting a personal loan can be challenging if you have a low credit score, but it’s not impossible. While lenders often look at your credit score to assess your loan eligibility, there are alternative ways to secure a loan even with poor credit. Here are practical methods to help you get the funds you need. 1. Check and Understand Your Credit Score Before applying for a loan, it’s essential to know your credit score. Knowing your score will help you identify areas for improvement and choose the right lender. 2. Explore Non-Bank Lenders Traditional banks are often strict about credit…

If you use a credit card, you receive a monthly statement detailing your transactions, payments, and charges. Unfortunately, many people neglect to thoroughly review their statements, which can lead to unnoticed errors, missed payments, and financial stress. Regularly checking your credit card statement is not just a good habit; it’s an essential step to maintain financial discipline and avoid unnecessary fees. Let’s dive into the 7 key aspects of a credit card statement that you must check every month to keep your finances in order. 1. Look for Suspicious Transactions The first and most critical step is to check for…

Traveling has become an integral part of life for many Indians. Whether it’s a quick getaway or an international trip, people are increasingly turning to travel loans to fund their journeys. According to reports, nearly 62% of Indians travel two to five times a year, making travel loans a popular financial tool. Banks and financial institutions offer travel loans with flexible terms, making it easier for people to fulfill their travel dreams without relying on credit cards. If you’re considering a travel loan, here are some crucial factors to keep in mind before applying. 1. Borrow Only What You Need…

Taking a loan has become a common practice in modern times. From purchasing a home to funding higher education, loans help individuals achieve financial goals that might not be immediately possible otherwise. However, a worrying trend has emerged: many people misreport their income when applying for loans. A recent survey conducted by global software firm FICO sheds light on this issue and reveals shocking statistics about the behavior of Indian borrowers compared to their global counterparts. Why Do People Misrepresent Their Income? For many, the temptation to inflate income figures on loan applications stems from the desire to secure higher…

The Reserve Bank of India (RBI) has introduced new guidelines to make it easier for home and car loan borrowers to manage their interest rates. These rules allow borrowers to switch between fixed and floating interest rates during their loan tenure, offering greater flexibility to manage costs based on repo rate changes. This move is part of RBI’s effort to enhance transparency and give borrowers more control over their loans. Let’s understand what these changes mean and how they impact borrowers. What Are Fixed and Floating Interest Rates? Fixed Interest Rate A fixed interest rate remains constant throughout the loan…

Indian banking giants HDFC Bank, ICICI Bank, and the State Bank of India (SBI) have achieved a remarkable milestone by securing spots in the list of the world’s top 25 banks by market capitalization. This achievement reflects the growing strength and global competitiveness of Indian banks in the financial sector. Indian Banks Make Their Mark Globally According to a data analytics firm Global Data report, HDFC Bank ranks 13th globally, followed by ICICI Bank at 19th and SBI at 24th. The market cap of these banks as of December 2024 underscores their significant growth: This remarkable growth positions these Indian…

Education is key to shaping a bright career, but financial hurdles can arise during higher studies. To address this, banks offer two main financial solutions: student personal loans and education loans. While both help students financially, they serve different purposes and come with unique features. Let’s dive deeper into how these loans differ and where to find the best deals. How Is a Student Personal Loan Different from an Education Loan? While both loan types aim to assist students financially, their usage, features, and requirements vary. Banks Offering Student Personal Loans in India Several banks provide attractive personal loan schemes…

Even in today’s age of UPI and online transactions, cheques hold significant importance for large payments and as proof of transactions. Cheques are issued to both savings and current account holders by banks, and they come in various types. Each type of cheque is designed for specific purposes, making it essential to understand their differences and uses. Here is a detailed breakdown of the 9 types of bank cheques and where they are used: 1. Bearer Cheque A bearer cheque is payable to the person presenting it at the bank. It can be encashed by anyone holding the cheque without…

The government is working on a groundbreaking plan to make home loans accessible to low and middle-income families without requiring any third-party guarantee or extensive paperwork. A new zero-collateral housing loan scheme is in development, aimed at benefiting people who often struggle to secure loans due to lack of proper income proof or property documents. Loans Up to Rs 20 Lakh Without Collateral According to sources, the scheme will offer loans up to Rs 20 lakh without the need for any third-party guarantee or collateral. This initiative could prove to be a game-changer for families who cannot meet the stringent…