Several lenders offer simple eligibility requirements when it comes to personal loan for doctor. The reasons include a variety of factors like a high-income level, greater chances of repayment without default, etc. So, if you are a medical professional, getting a personal loan would be easy for you. Besides easy eligibility requirements, you may also get a longer and customisable repayment tenure.
You can apply for personal loans if you have plans to open or renovate your clinic, buy expensive medical equipment or simple for a personal financial requirement. Since this loan is unsecured, you need not keep any security or collateral with the lender. Read on to know more this loan in detail.
Apply for doctor loan to get advantages that include:
Low interest rates and processing fees
Certain lenders may charge lower interest rates on personal loans for doctors compared to other types of loans. You may even get an interest rate less than 10%. Lenders usually charge a one-time nominal processing fee, that may not be more than 2- 3% and would include GST. This charge may depend on your eligibility and vary between lenders but it would usually be a low amount.
Zero foreclosure charges
You will get a free pre-payment facility or you can repay your entire loan at zero foreclosure charges if you plan to close it before the repayment period. The lender would not charge any penalty or charge only a nominal fee in some cases. The charges would also vary depending on your loan eligibility and lender policies. There is a minimum period of time before which you cannot repay back the entire loan amount with interest.
No collateral or security
For getting a personal loan for doctor, you do not need to keep any mortgage or security with the lender. A high CIBIL score and stable income are sufficient for approval in most cases. As a doctor, these loan terms may be easy for you. Also, this is an advantage if you want to save your assets or do not have any asset for secured loans.
If the loan EMI (Equated Monthly Instalment) is financially stressful for you during the initial years of repayment, you can ask your lender for overdraft facilities. Some lenders allow this, where you need to pay only the interest amount on the loan for a few years. After this duration, you can start repaying the complete EMI, that is the principal + interest for the rest of the repayment period.
Flexible repayment period/tenure
You can request your lender for longer tenures to reduce the burden of repayment. A long repayment tenure means that you can pay off the loan comfortably and carry on your regular expenses. You need not cut down on certain costs or change your lifestyle to pay your EMIs.
There are certain conditions that you have to fulfil to be eligible for a loan. The conditions may differ according to lenders but some standard requirements are:
- You should be a citizen of India
- You should have a CIBIL score above 750. CIBIL score is a proof of your creditworthiness and repayment capability and lenders may ask for a high credit score for approving a loan without collateral
- You should be any of the following:
- Super specialist doctor (MD/DM/MS) with the MBBS degree registered with the medical council
- Graduate doctor (MBBS) and the degree should be registered with the medical council
- Dentists (BDS/MDS) with a minimum 5 years of post-qualification experience
- Ayurvedic and homeopathic doctor (BHMS/BAMS) with a minimum of 2 years of post-qualification experience
- KYC documents like photo identity proof, address proof, income proof
- Salary slips and employment certificate
- Your recent bank statements consisting of the savings and current account statements for the last one year
- A minimum cut-off age for application, usually 21years
- Certain minimum monthly income
- Minimum work experience of one or two years
- Proof of medical practice like tax registration copy or establishment Proof
- Residence proof like a passport/Aadhar Card/utility Bill/ration card
- Identity proof like passport/voter’s ID/Pan Card/Driving license
- Latest Income Tax Returns (ITRs)
Getting a personal loan for doctor if you are a medical professional as there is no requirement of any security or collateral from you. You can use the loan for any purpose you want as there are no end-use restrictions.