See Why Chartered Accountant Loans are Availed Frequently ?
In today's scenario, when we aspire to lead a comfortable life and reach the crest of success, we need money for every single thing whether it's about acquiring a higher education degree, expansion of business or going for a vacation.
For instance, a CA may relocate to a more prominent location which would offer him/her more opportunities to cater better his professional services and grow financially and intellectually. For this, a CA needs to buy a new property or take it on lease. Further new equipment purchase & employment hiring are other inevitable requirements if someone starts afresh.
Many financial institutions offer personalized financial credits i.e. chartered accountants loan to help CAs meet these huge expenses which are incurred for personal and professional requirements.
There are four types of professional loans for CAs which are as follows:
- Personal Loans
- Business Loans
- Home Loans
- Loans against Property
These loans can be availed easily if you have all the verified documents ready and you are in good books of government. Different loans are readily available for different needs.
The reasons why these loans are easily available and availed frequently are as follows:
#1 - Providing Ample Financing Based on Your Needs
Loans such as personal and business loans are unsecured loans which offer financial help up to Rs. 35 Lakh. A personal loan can help a CA in many ways like for meeting the financial requirements for higher education, home renovation, for creating a squad of the expert team by hiring professionals for CA firm expansion.
In the same way, home loans are particularly helpful in buying a new home and loan against property can be used for huge expenses for long-term needs.
#2 - Swift Processing And Cash Disbursal
NBFCs can allocate an unsecured CA loan and sanction a secured one within 24 hours of period.
#3 - Cramped Eligibility Criteria
The eligibility criteria for the CA loan :
- A Certificate of Practice that is active for at least 4 years.
- A house or office where the company works.
Note: Lenders may include in the eligibility - The holding a credit score of a minimum of 750+ when you behest for an unsecured loan.
#4 - Collateral Is Not A Requirement
Business loans and Personal loan for self-employed are unsecured loans or we can say they are collateral-free. So the lenders need not seek security to sanction these loans. Whereas the home loans and loans against property come under the category of secured loans which can be availed by mortgaging property.
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#5 - Customer-convenient repayment tenors
For the Chartered Accountants loan, NBFCs like Bajaj Finserv generally give the following repayment tenors :
- Tenure of 12 to 60 months for Personal loans and business loans.
- Tenure of up to 20 years for Home loans and loans against propert
Following documents are the inevitable documents which are required for CA loan
- Certificate of Practice
- KYC documents – Aadhar, PAN, Voter ID, Driving License, Passport and so on.
For Unsecured CA loan
Financial institutions may ask for your bank account statement along with the above-mentioned documents when the application is made for an unsecured loan.
For Secured CA loan
Documents required for secured CA loan:
1. Income tax returns and
2. Balance Sheet and Profit & Loss Account
3. Statement of the last 2 years along with the above mentioned two indispensable documents.
#6 - Property Quest And Dossier Facility
A facility such as property quest/search is available with secured loans which helps you find a home you are looking for. Another facility offered by NBFCs includes dossier services that help the homeowner understand and fulfil the financial and legal obligations.
#7 - Balance Transfer And Top-Up Facility
NBFCs offer the option of transferring an ongoing home loan from another loaner at a lesser rate of interest. One can also receive a high-value top-up loan while availing this facility.
Some of the things like the interest rate on CA loan, the credibility of the lender, etc should always be kept in mind while availing for a loan and loan charges should always be compared before making a final decision. You can also google some important tips to get the lowest rate of interest on CA loan.