Personal Loans Aren’t Always a Sure Thing, Bring Plan B
Dreams of own home, a luxury car, a commercial venture – everything kickstarts only when your loan is approved! Yes, approval of your loan is the biggest condition to get the ball rolling on your new business, project, or whatever it may be. Now many of you would promptly interrupt – ‘my loan would get approved in any case so why worry?!’
Well, let us correct you – your application for loan gets rejected when you fail to provide substantial income proof or authentic documents or for lack of security. Your personal borrowing credibility or liquidity position may also jeopardize your loan approval. Your CIBIL score might not be sufficient. It could be any number of things…So are you ready with a Plan B?
Plan B is all about the options that you can leverage in case your loan application is rejected. Take a look –
- Borrow from friends/family – Well, we are not suggesting you to BEG BORROW STEAL! No No No. The only word you can focus on in your Plan B is ‘Borrow’. Meet up with your friends and family who are rich enough to sponsor your dreams. Explain them your idea and show your sincere dedication in making your dreams come true. Sign a bond if necessary about the redemption of this friendly loan. And yes, work out some interest percentage also mutually; this would make your friend or relative shell out good money easily.
- Use your Savings – Well, if the bank says NO, savings is the way to go! You must be having some Fixed Deposits or Capital Assets accumulated with your earning of previous times. So now is the time to bank upon those savings. If your loan is rejected, do not make your dreams die. Rather invest your savings and save the interest amount that you might have to pay to the bank had the loan been sanctioned.
- Try some other bank – Some banks are soft at heart, pun intended! Well, not all banks have crazy obnoxious strict managers. If your loan application gets rejected in one bank, lose no time and prepare a fresh application to be submitted to another bank. Make sure you complete all the paper work in time. Banks are very particular about documents and securities; so if your application is complete in this context… you may sooner or later get the loan from one of the so many banks in your locality. Of course, don’t go too crazy with applications as each one causes a credit pull on your CIBIL report, and too many inquiries will bring your score down.
- Look for a venture capitalist – There are many venture capitalists who love to invest in brilliant ideas provided you have a strong innovative plan of action ready and an even stronger zeal to impress him or her. So in case of a commercial idea, you can always approach a venture capitalist! All the successful digital ventures of our times have seen the daylight thanks to Venture Capitalists!
- Don’t lose hope – Do whatever, but don’t give up! Rejection of a personal loan is not the end of the world. Meet a financial expert rather than looking for an Aladdin’s Lamp!