The proper meaning of loans are that a person borrow money to other person. Loan are also a type of financial tools that allowed customers , individual, organization , business and other sectors to access funds for various types of proposes. In all total countries of the whole world all the total lending industry increasing their growth day by day. All total landing industries of the whole world offering wide range of many types of loan options for needs. Landing industries provides many types of loans to companies, organization, business and other sectors Home Loans, Gold Loans, Finance Loans, Cars Loans, Educational Loans, Agriculture Loans, Property Related Loans, and other various types of loans.
1. Agriculture Loans
Agriculture Loans are provided by banks, companies, and organization to fully support poor farmers and all other farmers and for other agriculture related works. The agricultural loans are provided to farmers to help in purchasing agriculture tools, equipments, machinery such as tractors, threshers, and cultivator and for purchasing good and high quality of seeds, fertilizers and other agriculture related things.
The application process for agriculture loans is such as he/she apply for agriculture loan through a government scheme or Banks scheme , there is compulsory need of required document related to agriculture loans, approval of loan and verification of loans.
There are various types of characteristic and features of agriculture loan such as the interest rate of agriculture than is depended on subsidized system, many farmers provide agriculture loan from many government schemes, government also gives free loans to small means pore farmers.
2. Business Loans
Business Loan are provided by banks, companies, and organisation to businessmen, businesses, entrepreneurs and other for other various types of proposes such as startup of a business, opening a company, supermarts, machinery purchasing, and big tools purchasing.
The application process for business loan such as: there is a need of moneylender, submit of financial types and business types plans, approval of loan and collateral verification of loan.
There are some characteristics and features of business loan such as, all the total option in business loans are secured, the interest rate totally based on business plan, credit worthiness, repayments terms options are not very hard, customer can decides installments according to their need these loans are good for our credit score.
3. Car Loans
Cars loan are mainly used to buy finance purchase of old and new vehicles such as cars, luxury cars, bikes, Tractors, trailers. Repayment method of this loan is according to monthly installments interest rate in car loans is fixed. The persons that have not more amount of money also used car loans for purchasing vehicles that types of a person.
The application process for car loan such as there is a need of moneylender, selection of car company and car model, documents are compulsory required, approval of loan and verification of loan, vehicle registration is also compulsory.
There are various types of characteristics and features of car loans such as the interest rate in car loan is competitive type, the repayment tenure of car loans is from 1 to 7 years of time, in car loans there is a need of collateral.
4. Educational Loans
Educational Loans are used to pay the school fees, coaching fees, books fees and living cost fees. Many types of banks, government institution and other finance institution also provides educational loan to student . Educational loans can be divided into federal and private loans. Government also provides federal type of loans on lower interest rate while banks and other private financial institution also provide loans. Students are pay their loan with interest rate after finishing their education.
The application process for educational loan such as there is a need of a moneylenders, educational program, degree type of documents and educational institution details are required, documents are compulsory required, approval of loans and verification of loans.
There are various types of characteristics and features of educational loan such as Repayment option in educational loan are not very hard , but also they are flexible, the tax rates on educational loans is very less in comparison of other loans.
5. Gold loans
The gold related all types of loans are secured loans where borrowers use their gold items and things to obtain money from a lender or gold banks. Gold banks are financial products offered by many banks and non financing, financial companies, (NBFCs) one of the most advantage of gold loan is that they are processed fast within a few hours of time period in comparison of other types of loans. People needs gold loans for various purposes such as in case of any emergency, medical emergency, in education, and in other types of purposes. The interest rate of gold loans is lower than unsecured loans like a personal loans because the main reason of this is that the lender act as the security gold.
The application process for gold loan such as first you need to visit a lender place like as companies, banks branches. The appraise of gold assets is necessary, submit your all types of KYC documents, approval of gold loans and verification of gold loan, the repayment of loan.
There are various types of characteristics and features of gold loan such as the interest rate of gold loan is lower than personal loan, the process of gold loan is very fast it done in few hours of time, repayment tenure of gold loan is from 1 to 3 years of time period.
6. Home Loans
Home loans are mainly used to purchase apartments or purchase and construction of house s, other real estate property, the tenure for repayment is from 15 to 30 years of time period. The principal amount and interest rate percent are also included in repayment. A home loan is typically secured by the property itself home loans also give the facilities off down payment.
The application process for home loan such as you need to choose a moneylender, check all the types of qualification and interest rates, all the total required documents are compulsory, approval of loans and cultural verification of loans, property registration is also compulsory.
There are various types of characteristics and features of home loan such as the interest rate of home loan is lower in comparison of a personal loans, Repayment tenure of home loan is from 15 to 30 years of time, banks also gives many benefits on home loan.
7. Personal Loans
Personal loans are secured loans. This type of loans people use for many purposes for buy a house vehicle, for wedding programs, homes making, for travel, in case of any medical emergency, and for other types of purpose. Credit score of a person plays an important role in personal loans. According to your credit score the banks also look at your income and other types of financial information to decide how much you can borrow and what you were the loan interest rate will be. Personal loan unsecured or secured because loans because if you don’t pay the loan on time then the lender can not take your property , but your credit score will be affected in negative by this.
The application process for personal loan such as you need to choose a moneylender , check all types of qualification and interest rates, documents are compulsory required , approval of loans and collateral verification of loans.
Various types of characteristics and features of personal loans such as the interest rate of this type of loan are higher in comparison of other loans, the tenure for repayment is from 1 to 5 years of time period. There is not any requirement of collateral.
8. Loans Against Property
Loan against property (LAP) is that type of loan where you use your property as collateral to money these types of loans are secured loans. Repayment method for this type of loan is ranging from 10 to 15 years of time. People use these types of loans for many purpose such as for business, business expansion or for personal needs.
The application process for these types of loans against property types of loans such as there is a need of moneylender, property legal verification is also required, related documents are compulsory, approval of loans and verification of loans.
There are various types of characteristics and features of loan against property such as the loan amount of these types of loans is high, the repayment tenure is more in comparison of others, the interest rate is competitive type in this type of loans.
9. Loans Against Security
Loan against security is that type of loan in which a borrower pledges financial asset as collateral to the lender in exchange for borrowing money. The Assets used as collateral can include such as stocks, mutual fund bonds or other types of security.
The application process for loan against security such as there is need to open an account against security account, eligible security is also required, there is a need of required documents, approval of loans and verification of loans.
There are various types of characteristics and functions of loan against security such as the interest rate of these types of loans is lower in comparison of others, the processing system of these types of loans is fast , the continuous ownership of security is also compulsory.