Published on: 4 May 2023
Modified on: 10 May 2023
Flexi loan is a type of loan that gives you access to finances when you need it and the flexibility to repay when you can. Instead of getting a lump sum all at once, you get access to a pre-approved credit limit that you can draw from whenever you want.
Overall, this type of loan can give you more control over borrowing and helps you save money on interest charges. The benefit of a flexi loan is that you only pay interest on what you borrow and not the entire credit limit.
Now that you are aware of the flexi loan meaning, make sure that you read the terms and conditions carefully. By understanding the fees and charges associated with this type of loan, you can make smarter choices.
This type of online personal loan allows you to pay interest only on the amount of money that you actually withdraw and for the time you use it. This helps you borrow cost-effectively.
A credit facility like this is a great option if you have recurring expenses such as tuition fees, so you can borrow only what you need and save on interest payments on the whole loan amount.
Further, if you need varying amounts of finance at different times, such as for a home renovation, this personal loan is ideal.
Here are some general steps you can follow to apply for this type of loan.
Step 1: Choose a lender by comparing the interest rates, fees, and terms.
Step 2: Check if you meet the lender’s eligibility criteria, such as age, credit score, and income.
Step 3: Submit your loan application by providing necessary details like your name, address, employment, and income. Upload the required documents and await approval.
You can also walk into any branch of a bank or NBFC that you are planning on taking a loan from. The representatives can help you complete this process offline.
This loan can be a convenient and flexible way of funding your needs. However, if you need instant cash, you can get it in under 10 minutes from Fibe. Simply download the Fibe Personal Loan App on your smartphone to apply for a personal loan today.
The main difference between them is in the way the funds are disbursed and repaid. With a personal loan, you receive a lump sum loan amount that you repay in fixed monthly instalments over a set loan term. On the other hand, flexi financing gives you a pre-approved credit limit that you can withdraw from as needed and repay when you can.
Its main benefit is that you get a pre-approved credit limit and pay interest only on the funds that you actually withdraw. This makes repayment easier.
Yes, taking this loan can affect your credit score, just like any other type of loan or credit facility. If you make timely payments, your credit score can increase. On the other hand, if you miss payments or default on the loan, it can negatively affect your credit score.
You can repay this loan by making timely interest payments every month and paying off the loan amount by the due date.
Category : Personal Loan
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