Best Ways to Get Additional Funds For Emergency Medical Expenses in India
According to a survey done by lendingpoint.com, 12% of the US citizens who take out personal loans do so for medical expenses – making it one of the prime reasons for procurement alongside credit card refinancing, credit consolidation and home renovation costs.
We are confident this percentage is much larger in India, since the government in the country doesn’t provide any sorts of medical insurances.
1. Personal Loan from banks
Personal loans from banks do make a lot of sense in times of medical emergencies, as you can obtain the money that you need almost immediately.
However, each bank offering personal loans has different terms, conditions and fees attached to the loan that have to be carefully studied before a decision is made. A determination of which personal loan fits best with your current needs and means of repayment has to be undertaken before you sign up for one. This process takes weeks or even months to complete.
In a time of medical emergency, however, these are heavy demands on someone who is desperate to obtain the money by any means necessary.
2.Digital lending platforms like MoneyTap
Digital money lending platforms like MoneyTap are coming to the fore as preferred avenues for obtaining loans in times of duress, as they allow the user access to funds immediately without having to bear the burden of making informed, financially responsible decisions.
When you apply via their personal loan app, entire process is digital and you get money disbursed in your bank account without even a single visit to the bank.
A MoneyTap agent will visit you at your house as part of the KYC process to speed up the application, so that you can give your undivided attention to your medical emergency.
And you also know exactly what you’re signing up for too. There are no hidden fees and all the details of the credit line you’re signing up for will be made crystal clear before you agree to it.
The best part? You are charged interest only for the amount you withdraw and once you repay the withdrawn amount, you again have the entire credit limit available to you.
Peer-to-peer or social lending allows you to obtain your loan without going through an intermediary. As a result, you don’t end up wasting precious time with formalities and all the red tape surrounding bank loans in your moment of dire need.
However, the main drawbacks to this approach are that the interest rates are generally pretty high (up to 30%) and that private lenders generally have their own set of rules while lending money which may not be the standardized ones that the banks impose.
It’s a convenient way to obtain money quickly, but may also end up being a can of worms that you wish you hadn’t opened, later on.