How To Get a Medical Loan: The Secret to Quick Approval

Knowing how to get a medical loan can help you address ongoing treatment or an upcoming surgery without compromising your savings. Be it for elective procedures, chronic diseases or emergencies, you can do away with financial burdens with such a loan.  

To boost your chances of getting a medical loan and quality treatment, you can use certain key strategies. To know more about these loans and best practices, read on.

What are Medical Loans?

These financial products allow you to borrow funds to pay your medical expenses, planned or unplanned. You can utilise the funding for varied purposes, such as:

• Medical bills
• Surgeries 
• Special procedures/treatments

These come with flexible repayment tenure and competitive rates. So, you can manage your medical bills in one shot and repay in monthly instalments – all without depleting your savings. 

How to Boost Chances of Loan Approval?

Financial companies approve your loan applications quickly, and you can apply conveniently online. Follow certain strategies to improve your chances of getting a medical loan. 

Showcase All Income Sources

Your income influences the possibility of getting the funds and the loan amount. This is because it displays a higher repayment capacity, which improves your eligibility. Depending on the lender, you can disclose the following sources of income: 

• Dividends
• Rent
• Freelance earnings
• Salary/business earnings

Maintain Good Creditworthiness

Although the credit score requirement varies depending on the financial institution, you should aim for 750+. This is considered good because it showcases responsible repayment behaviour, which makes you a low-risk borrower. To improve your score, try following these habits:

• Repaying on time and in full
• Keeping your credit utilisation ratio under 30%
• Borrowing both secured and unsecured loans
• Not applying for loans frequently
• Checking your score and report regularly

Keep Debt-to-Income (DTI) Ratio Low

This indicates how much of your monthly income goes towards paying off your existing debts. If it is high, it implies a higher possibility of non-payment and overreliance on loans and credit. As such, the lenders may not approve your application. 

Ideally, you should maintain a ratio under 40%. Here are a few tips to lower your monthly debt amount:

• Consolidate your debt
• Use the snowball or avalanche method
• Increase your income
• Negotiate for a better repayment plan

Also Read: What is Debt-to-Income Ratio?

Check Your Eligibility

Another tip on how to get approved for a medical loan is to know whether you qualify for it. Different lenders have different terms and if you don’t satisfy all of them, your application may not pass the initial approval stage. You can check the criteria on their website and ensure you apply only if you meet them.

You also need to make sure that you submit a complete application with all the necessary documents. Doing this will ensure that your application is processed seamlessly and quickly. Here are some general documents you will have to provide:

• Identity and residence proof
• Bank statement
• Income Tax Return (ITR) 
• Salary slips or proof of business and turnover 

Get Instant Cash Loan

In addition to the above tips, you can improve your chances of getting a medical loan by choosing the right lender. If you are unsure about your eligibility, apply with a lender that has minimal and lenient requirements. This is where you can rely on Fibe.

You can easily secure up to ₹10 lakhs for all your medical needs with Fibe’s Healthcare Finance. It allows you to select a repayment tenure that best suits your financial capability and pay your loan off in no-cost and low-cost EMIs. Download our Personal Loan App or log in to our website to get a medical loan at competitive rates and minimal paperwork. 

FAQs on How to Get a Medical Loan

How do you increase your chances of getting a loan?

Here are some easy tips to ensure a higher possibility of approval:

• Understand the eligibility requirements 
• Keep your credit score over 750
• Disclose all sources of income
• Ensure proper documentation 

Who is eligible for a medical loan?

This depends on the requirements set by the lender you choose. Given below are the basic criteria to get Healthcare Finance from Fibe:

• You must be between 18 and 60 years old
• You must either be a salaried or a self-employed individual, with a minimum monthly income of ₹15,000 or ₹20,000, respectively
• You must reside in a city where Fibe services are available

What is an example of a medical loan?

Fibe’s Healthcare Finance is one of the examples of a medical loan. You can apply for it and get up to ₹10 lakhs at competitive rates and flexible tenures.

How to get money for treatment?

To get funds for medical treatment, you can use the following strategies:

• Use your medical insurance policy
• Take a secured loan
• Get a medical loan
• Raise money through crowdfunding