A personal loan is sponsored as an easy loan as you can get it without submitting any collateral. With no collateral requirement, the formalities for customers restrict to just submitting the required KYC and income documents. This makes the loan sanction and disbursement quicker compared to loans that require collateral or mortgage for sanction. If all goes well, the personal loan can be sanctioned instantly and disbursed to your account in about 3-4 working days. However, some lenders can disburse even quicker. This makes it important for you to look at the table below showing the loan sanction time of different lenders. Do check it!
Lenders That Sanction & Disburse Personal Loans Quickly
|Lenders||Sanction & Disbursal Time|
|HDFC Bank||As quickly as in 4 hours to a maximum of 3-4 working days|
|ICICI Bank||As quickly as in 3 seconds to a maximum of 3-4 working days|
|Bajaj Finserv||Instant approval and sanction, with the disbursement likey in a maximum of 24 hours post the approval|
|Fullerton India||Instant approval and sanction, with the disbursement to be made within 30 minutes of approval|
|Tata Capital||Online Application - Instant Approval|
Offline Application - Approval in a Few Business Days
Disbursal - Within 72 Hours of the receipt of the application
|IndusInd Bank||The loan gets disbursed within 4-7 working days from the receipt of the loan application|
|YES BANK||Approval & Sanction within 5 days of applying. Disbursal within a few hours post the sanction|
Factors on Which a Quick Sanction is Based
The quick sanction is dependent on several factors that you can see below.
Accurate Furnishing of Information – You can fill the personal loan application form either online or offline. But what matters is the accuracy of the information you furnish. If the information is correct and gets validated with the documents you submit, the loan can be approved and sanctioned quickly.
Must Meet the Basic Eligibility Criteria – Lenders place different conditions regarding age, residence & employment stability, minimum income, etc. If you meet all that, instant approval will come true in your case. Only when you deviate in one or more criteria does the bank delay sanctioning you the loan.
Must Have a Good Credit Score – As a personal loan comes with a greater risk for lenders, they look for individuals having a credit score of 750 and above. So, if you have such a score, a quick sanction is more of a formality. Loans are sanctioned even when the score reads between 700 and 750. But the terms and conditions would be much better when having a credit score of 750 and more.
Impeccable Repayment History Needed – A good credit score is elementary, but it is not all that lenders seek. They go beyond by checking your entire repayment history like your payment schedule, the number of credit accounts you have, history of late payments, if any, etc. Having a spotless credit history with no default and effective utilization of credit limits can convince the lender to sanction your loan application quickly.
This was about the time that lenders take to sanction a fresh personal loan application. But, in the case of pre-approved personal loans, the sanction and disbursal is just a consent way. Yes, you just need to say ‘Yes’ to the pre-approved personal loan offers that you might get on your email address or mobile number from your existing lender. Interestingly, the rates can be much more attractive in case you have a good credit score and are working in the top companies in India.