How to get a Personal Loan for Festive Shopping

personal loanIn the festive season, there is almost always an increase in household expenditures. People spend on gifts for their family, house decoration and revamping, new clothes that match the occasion and sometimes even a family holiday. However these expenses can quickly pile up and become a significant drain on one’s savings.

A personal loan can help protect against this and still allow you to splurge amidst the festivities.

When to apply for a personal loan

A personal loan is used to fund personal expenses without requiring you to pledge any asset as collateral. For big purchases such as jewelry or appliances that cannot be bought with your income alone, a personal loan then comes in handy.

Loans in the festive season are also offered at lower personal interest rates and discounted processing fees, making them a good option for those interested. These personal loan interest rates range between 11-20% and have a borrowing limit up to Rs. 1 lakh. The benefit is that there is no cap on what the loan is used for.

Personal Loan Eligibility

Once you have compared a variety of options and chosen the institution offering the best option for a personal loan for your festive needs, ensure you meet the conditions to qualify for the loan. There are four basic requirements:

1. A citizen of India within the age 23 to 55 years.

2. A steady income from a public or private sector company

3. A minimum income based on your location

4. A good credit score normally 700 or above

Most institutions offer a personal loan eligibility calculator on their online portals to determine whether the personal loan is a good fit for you and if you meet the criteria. Once you meet the criteria, keep the following documents in place to receive a quick approval and fast disbursement of funds to begin shopping:

1. ID Proof

2. Residential proof

3. Salary slips from the last 2 months

4. Bank statements from the salary account from the last 3 months

Applying for a loan is as easy as visiting the branch of the bank you chose, closest to you or even by speaking to a representative to complete the application formalities.

Points of caution

1. Ensure you have good credit health and if not, a good way to start is by clearing any past dues before availing a new loan.

2. Read the fine print of your offer and the terms and conditions of the same before finalizing the loan of your choice.

3. Plan your EMI and tenure for the loan based on your ability to repay the loan, an easy way to map the same out is through a personal loan EMI calculator which is available on most banks’ websites.

4. Festivities may be for a short while but the personal loan lasts for longer. Even once the festive season comes to an end, you will need to continue to plan for your monthly payments, keep this in mind before diving in.

5. Compare multiple options before landing on the final one, the discounts may be catchy and appealing but it is best to know the ins and outs of the policy so you can plan your financial future.


Don’t compromise on your festivities, apply for a personal loan but do so in a well-informed way. If you have planned in advance, a personal loan during the festive season can help you meet your financial needs, without compromising your ability to repay.

Shift Frequency © 2020 – How to get a Personal Loan
for Festive Shopping

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