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03 Nov

Tamil Nadu Government fixed interest rates secured loans and unsecured loans

The Tamil Nadu Government has fixed maximum simple interest

The city police will conduct special grievance redressal meetings for victims of usury harassment on Thursday and Friday at the office of Commissioner of Police.

In a statement, the Commissioner of Police, Mahesh Kumar Aggarwal said that the Tamil Nadu Prohibition of Charging Exorbitant Interest Act 2003 prohibited charging of interest at a rate more than fixed by the government under the Tamil Nadu Money Lenders Act. The Government of Tamil Nadu has fixed maximum simple interest of 9% per annum for secured loans and 12% per annum for unsecured loans.

Source: Google Images

Any money lender using violence, intimidation or causing danger to person or property of debtor is liable to prosecution. Any persons aggrieved by the aforementioned action of money lenders can approach the Commissioner of Police on Thursday and Friday and present their complaints to him. Complainants are requested to bring copy of any loan related documents, if any, available with them. Suitable legal action on all such complaints will be taken in 10 days, the Commissioner said.

Source: thehindu

25 Oct

Eligibility to Qualify for a Personal Loan: Discover Lenders

Generally, people who apply for a personal loan encounter financial difficulty and do not benefit from the necessary money to fulfill certain obligations or they want to transform into reality old projects like starting a family business. However, in order to proceed with the application, they have to assess their eligibility and put things in order because when it comes to giving a loan, most lenders initiate a detailed research concerning the borrower’s background, personal and additional information. This helps them determine if the person is trustworthy and has the possibility to repay the loan otherwise, they will be taking a loss. Credit rating, employment history and repayment history, current financial situation, collateral and other eligibility considerations matter significantly in front of any lender so if you know that you do not meet one of the requirements you should rethink your application or find and approach other lenders that might accept you as an eligible candidate.

Credit Score
Logically, an excellent credit score will undoubtedly facilitate the process of receiving your much-desired loan and you can also beneficiate from a lower interest rate while poor credit will narrow your options drastically, if not even ruining any chance of getting a personal loan in the first place. If you have a credit score above 800, lenders will practically compete in providing you options meaning that you afford to be selective. A credit score below 700 is acceptable because you can apply for a loan, but you will no longer have the opportunity to choose a lender. With approximately 600 you will have a hard time finding someone who will approve a loan and with 500 you should kiss your loan goodbye or start improving your credit score.

Employment and Repayment History
Employment stability represents the second requirement that lenders impose because they have to make sure that you are a stable employee and that you do not have the habit to change jobs frequently in order to exude reliability. This does not mean that you have to work for the same company years in a row, but to remain in the same field. If you are self-employed then lenders might require further information in order to evaluate your income and reliability. Repayment history refers to the way you handled debts in the past. Lenders are able to see if you have unpaid debts by checking your credit score and this will definitely affect your eligibility. If you want to avoid causing a negative impact, you can erase late payments from your history by writing a letter to your creditors.

Income Information
Apart from establishing if you are a reliable employee, lenders must assess your monthly income in order to decide if you are able to repay the loan. Therefore, they might demand contact details of your employer or employers in the past. If you do not know exactly how much you make and spend each month, then you should start calculating the numbers and see if you afford the rate. The lenders can require additional information or proof concerning your income, such as utility bills or current bank statements.

Source: valuewalk

17 Oct

Amazing mutual fund investments that can make you very rich this Diwali 2017

Diwali is a good time to invest in mutual funds, and here is a list of MFs that can generate out-sized gains for you in the next 5 years.

Image Credit: forbes

Mutual funds have demonstrated a strong capability of generating wealth. Retail investors these days do not need to rely on hot stocks and tips to see their hard-earned money work harder for them. With mutual funds, investors can double their money in 5 years since it easy to get 15% returns annually by investing in good funds. Diwali is a good time to invest in mutual funds, and here is a list of MFs that can generate out-sized gains for you in the next 5 years.

Balance and beauty
Balanced funds are geared toward investors who are looking for a stable combination of safety, income and modest capital appreciation. Since they have shown a category average of 15% annual returns in the last 5 years, balanced funds can very well double your wealth in the next 5 years as well. “You should take the systematic investment plan route for balanced funds. We prefer Aditya Birla Sun Life 95 Balanced Fund, and DSP BlackRock Balanced Fund for a few reasons. Both these funds have a long track-record of over 15 years. They have beaten various benchmarks and even peers across time-periods, and have managed to double money in a safe way. Don’t forget to add a bit of balanced fund magic when you invest this Diwali,” says Anil Rego, Founder and CEO of Right Horizons.

Name Of The Fund	3-Year Return (%)	5-Year return (%)	10-Year return (%)
Aditya Birla Sun Life 95 Balanced Fund	14.92	17.73	12.42
DSP BlackRock Balanced Fund	14.96	15.82	11.26