Before applying for a Loan for Doctors, you need to ask some questions to understand the offering completely and plan your finances accordingly.
1. What can I use the loan amount for?
For a business loan, the end outcome can be any business-related investment or expense for your practice. You could use a Business Loan for Doctors for upgrading or purchasing medical equipment, investing in electronic health records (EHR), engaging with your patients, adopting telemedicine, maintaining a hospital management system, having medical billing software, offering mHealth, hiring specialists and much more. Match your monetary requirements with the end uses of the loan.
2. What are your monetary requirements?
An important question to ask yourself is what is the purpose of your borrowing and the exact amount of money that you require? Different banks offer varied loan amounts and a lender who meets your monetary requirements and offers you several features is one you should pick. For example, going for a regular business loan instead of a business loan for doctors might not give you the best interest and loan application experience that would best suit your needs as medical practitioner.
3. Does my loan offer me flexibility?
Sometimes, ascertaining the exact amount of your borrowing can be difficult. There could be times when you need immediate funds and your finances are blocked. For such unanticipated cash needs a facility like Flexi Loan is the solution. A Flexi Loan gives you the choice to withdraw as and when you have a financing need and gives you an option repay multiple times as per the availability of your funds. With a Flexi Loan, you pay interest only on the amount borrowed by you and not on the entire loan sanctioned. You have the choice to repay EMIs comprising only the interest and pay the principal at the end of the tenor. Most importantly, this facility charges interest only on the sum actually used. Look for a lender that gives you this facility with your loan for doctors.
4. What is the difference between a Flexi Business Loan for Doctors and regular term loan?
|Flexi Term Loans||flexi loans|
|Amount given||A pre-approved loan limit||A fixed lump-sum|
|Interest charged||Only on the funds used||On the whole loan amount, irrespective of usage|
|EMIs||Option to pay only interest, with principal payable at the end of the tenor=> Smaller EMIs||Interest + Principal=> Greater EMIs|
|EMI Savings||High (Saves you upto 45% on Term Loans)||Low|
|Withdrawal Option||As and when you want||Not available; in case additional funds are needed, you can opt for a top-up loan|
5. Do I have a good credit score?
Before selecting a loan, check your CIBIL score. Your credit score is one of the criteria basis which a lender grants you a Doctor Loan. Having a good credit score is essential before you apply for a loan as it increases your chances of getting the loan, gives you approval faster and a better interest rate. If your score is low, you can improve it by timely repaying your debts and credit card outstandings and not having too many debts on you in the very first place.
6. Can I make part prepayments on my doctor loans?
Yes, you can make part prepayments and foreclose your loan. The only thing you need to ensure is that your part prepayment is equivalent to 3 EMIs.
7. What are the interest rates, fees & charges associated with doctor loans?
The fees and charges on your doctor loan could vary from lender-to-lender.
CRR charges an affordable interest rate for your business loans for doctors between 14-16%. Processing fees and penal interest could go upto 2% of your loan amount with EMI bounce charges being Rs.2500 per default. All other charges like part prepayment charges, loan statement charges, interest & principal statement charges, POC swap charges, etc. are NIL.
8. How easy is the loan application process?
Being a doctor, you are always on-the-go. This necessitates the loan that you are applying for, to be hassle-free and convenient. A loan that you can apply for online with basic steps, makes the loan application process is easy for you.
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