Diwali is not just a festival; it is a celebration of all the good things in life. It's that time of the year when we loosen the strings of our tight budget and give in to the whims and fancies of the festive vibes. Luxury items, household products, and exclusive gifts for loved ones—everything finds mentioned on the Diwali shopping list. But this is also the time when going with the flow can cause serious financial repercussions for the rest of the year. This is where personal loans for festivals come to the rescue. With a personal loan for Diwali and some planning, you can easily manage your budget without compromising on your Diwali Wishlist. After all, there are so many things to do with a
personal loan during this Diwali season.
Things to Do with a Personal Loan
Have you ever wondered why Diwali is referred to as a season more often than as a festival? This is because many other festivals such as Dhanteras, Bhai Dooj and Govardhan Puja are celebrated around the same time, thus, prolonging the festivities and stretching the budget. There is always so much to do in preparation for Diwali. Some things that a personal loan can help you with include:
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Home Decor
Just before Diwali is the perfect time to revamp and prep the home for celebrations. People do home makeovers including renovation and painting around this time. With the help of a personal loan for Diwali, you can easily renovate your home interiors and paint your walls and replace your old furniture for new ones. Since the festive season is loaded with deals and discounts, including best interest rate deals, opting for a personal loan for home décor around the festive time makes sense.
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Gold Purchase
No Dhanteras is complete without buying gold. If you too are planning to buy gold this Dhanteras, be clear about the purpose of buying it. You may choose to buy gold as a luxury item such as jewellery, or want to invest in it by buying gold coins and bars. Either way, present gold prices will not be a hindrance to your plans if you get a personal loan for festivals. This way you can continue following your traditions while making some solid investments in gold.
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Indulge in Electronics
Were your eyes riveted to a brand-new gaming laptop during your last visit to the mall? Or, have you fallen in love with your friend's new DSLR? If you have been postponing these purchases due to a lack of funds, then think no more. Make the best of the Diwali offers and sales and start ticking off your list of must-have electronics items and gadgets with the help of personal loan festival offers.
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Vehicle Purchase
Have you been planning to buy a vehicle for some time now? If yes, then this is the best time to go for it. Almost every vehicle company is offering Diwali bonanza deals to attract customers. So, what is stopping you from going ahead and buying your dream car? Funds? Worry not. Just opt for a personal loan for festivals and drive your dream car home.
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Vacation
Ask any working professional, when is the best time to pack bags and travel. Mostly, the answer will be during the Diwali holidays. The festive vibes and days of celebration along with back-to-back holidays—what more can you ask for to plan a trip? Take your family along and let this be an unconventional Diwali celebration nestled in hills or making sandcastles at some beach destination—the perfect way to bond with family and unwind. By applying for personal loan festival offers, you can travel to your favorite destination without stressing over your stretched budget .
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Designer Wear
Right after Diwali, the wedding season arrives. If you are a bride or groom-to-be, you may have a wish list of designer outfits to purchase. The best part about this festival is the huge discounts on designer clothing. The bridal lehenga that would normally cost around Rs 70,000 will be well within your budget during Diwali. So, what is stopping you? Get a personal loan now and complete your wedding dress shopping.
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Smart Home Installation
Gone are the days when you had to manually operate different electronics at your home. The voice-enabled system has changed the way of living. Now you can control lighting, command music, perform shopping, and many more with smart home devices. Although this device is a bit costly, with a personal loan and a lucrative discount available during Diwali, you can easily get this device installed at your home.
Also Read: Personal Loans: Applying Online vs Applying Offline Why a Personal Loan for Diwali Season a Prudent Decision?
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Competitive Interest Rates
Although personal loan interest rates are determined by a borrower's profile, if you have a good credit history and a good relationship with your lender, you may be able to receive a good deal on your loan. Most financial institutions offer their existing customers a pre-approved loan or a personal loan with low-interest rates around Diwali time.
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Instant Approval
Buying things throughout the year and purchasing something during a festive season are very different experiences. Given this, most financial institutions include instant approval as part of a personal loan festival offer. They ensure you receive immediate approval and prompt processing of your funds. Furthermore, the number of documents necessary for a personal loan is limited to a bare minimum so that borrowers do not experience any difficulties when applying for a personal loan for the Diwali season.
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Collateral Free
This loan product allows you to obtain funds without putting up collateral. A personal loan is ideal for purchasing a two-wheeler or a budgeted four-wheeler during Diwali. If you intend to finance a vehicle with a vehicle-specific loan, such as a bike loan or car loan, the lender will require a 10-20% down payment, and even more if your credit is average. Furthermore, the vehicle you purchase is hypothecated with the lender until the loan is fully repaid.
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Simplified Application Process
Personal loan applications are now much easier to obtain than one might expect. Every lender now has a digital lending arm. Simply download the app from the Google Play Store or App Store, enter your basic information, upload your KYC, and you will receive funds into your account quickly. However, if this process seems tiresome, you can directly apply from the lender's website.
Things to keep in mind before taking a personal loan for Diwali
Avoid applying for a personal loan on the spur of the moment during Diwali. Before proceeding with your loan application, consider the following factors.
- Check your creditworthiness. Examine your credit report to see if there are any loan settlements, multiple hard inquiries, or EMI skips. If so, try to remove any negative remarks from your credit report before proceeding with the Diwali loan offer.
- Calculate your debt-to-income ratio. You can calculate it by dividing your total monthly EMI by your gross monthly income. If the result is greater than 50, you should first try to pay off several debts to reduce this ratio.
- Personal loans do not require collateral. Hence, the interest rates applicable to them are slightly higher than the secured form of financing. If you are on a tight budget, avoid impulsive shopping during Diwali with this loan product, as it will only add to your financial woes.
- Always have a backup repayment plan in place. Because failing to repay your personal loan EMI in the event of financial uncertainty will result in a drop in your credit score.
To Conclude
Diwali, the celebration of lights, is almost here. And, almost every financial institution is offering to brighten up your celebrations with their personal loan festival offers. Research and choose the best personal loan options available in the market and make this Diwali a memorable one.
