6 Best Debt Consolidation Loans in India 2020

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oi-Vipul Das

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Managing multiple debts can be overwhelming. Take a loan to consolidate all the others. A single debt consolidation loan makes it easy to make monthly payments. It allows you to repay the capital quickly because the interest rate applied is relatively low. A debt consolidation could give you the opportunity of a simple monthly payment to consolidate your debts.

This loan is used to repay any type of loan, so it is mandated to choose the perfect loan for debt consolidation. This will help you save the interest on your loan. Choosing the right loan for you includes various factors such as interest rate, finance charges, prepayment charges, and minimum credit scores. In this article, you will learn about the best debt consolidation loan.

6 Best Debt Consolidation Loans in India

Best loan for debt consolidation in 2020

Benefits of debt consolidation loan

  • For many customers, debt consolidation loans can be a smart way to save money on interest, monthly payments that improve your credit card score. Here are the benefits of a debt consolidation loan.
  • If you have many sources of high annual percentage debt, you can save on total interest if you get a lower rate debt consolidation loan. The rates can be considerably lower than the interest rates of credit cards, so you will save money on the interest rates with the debt consolidation loan.
  • Even if you choose a longer term for the loan, the debt consolidation loan will help you avoid missed payments. You’ll pay more in total, but have more manageable payments, with a debt consolidation loan that cuts your monthly payments but not your interest.
  • Your credit card score can increase with a debt consolidation loan. With the debt consolidation loan, you will convert the damaging score of revolving debt into virtually benign installment debt.

Choose the best loan for debt consolidation

Below are the best lenders in India offering debt consolidation loans with attractive interest rates.

SBI Xpress Credit personal loan

  • Loan amount – Up to Rs 20 lakes
  • Interest rate – 11.90% to 17%
  • Loan term – Up to 6 years
  • Minimum income – Rs 15000 monthly
  • Processing fee – 1% of loan amount

Bajaj Finserv Debt Consolidation Loan

  • Interest rate – 12.99% per annum
  • Get the loan amount up to Rs 25 lakes
  • Minimum documentation for loan approval
  • Get a loan within 24 hours on your account
  • Loan term – 2 years to 5 years
    6 Best Debt Consolidation Loans in India

    Best loan for debt consolidation in 2020

Citibank personal loan

  • Loan amount – Up to Rs 30 lakes
  • Get the loan amount on your account within 2 days
  • Loan term – 2 years to 5 years
  • Interest rate from – 10.50% to 17.99%
  • Loan processing fee – 2% to 3% of the loan amount
  • Get a loan with minimal documentation and easy processing

Axis Bank personal loan

  • Get your loan amount with easy documentation and at no additional cost
  • Get the loan amount from Rs 50,000 up to a maximum of Rs 15 lakes
  • Get interest rates from 16% pa to 24% pa
  • Get a loan term of 1 to 5 years

ICICI Bank personal loan

  • Get a loan up to Rs 20 lakes
  • Get a loan term of 1 to 5 years
  • Get interest rates from 11.25% to 22% pa
  • Existing bank customers can get a loan instantly
  • Apply for a loan online with minimal documentation

    Best loan for debt consolidation in 2020

HDFC Bank Personal Loan

  • Get the loan amount up to Rs 40 lakes
  • Get interest rates from 11.25% to 21.50% per annum
  • Loan processing fee – 2.50% of loan amount
  • Get a loan term of up to 7 years
  • Get loan amount with minimum income criteria of Rs 15000 pm
  • Apply for a loan through the online and offline process.

Conclusion

Getting another loan to merge all the other loans means you have reduced your debt load. It only means that you have restructured the loan in a practical way and the debt is still the same until you pay it off in full. A debt consolidation loan is important and beneficial for those who have multiple debts with bad credit. So, a debt consolidation loan allows us to better manage our finances with the same amount of payment each month.


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