Medical loans are a type of personal loan that many banks and NBFCs provide to customers who are experiencing medical emergencies. These loans are issued mostly based on the loan applicant’s repayment capacity, credit score, employment profile, employer profile, etc., and don’t demand any security or collateral. On the other hand, applicants may also take into account the standard personal loan that lenders who do not offer specific medical emergency loans give.
What constitutes an emergency in medicine?
If you could lose your life or the life of a body part while you wait for care, it is an emergency. An emergency can be a terrible sickness that strikes suddenly or a bad injury. Emergencies include severe pain and active labour.
What is the minimal monthly income needed to qualify for a loan for medical emergencies?
A minimum monthly income of Rs 15,000–25,000 is typically required by lenders to qualify for a medical emergency loan. For medical emergency loans, several lenders have raised the minimum monthly income demand.
What are the basic requirements for those seeking personal loans for emergencies in medicine?
Those who apply for a personal loan for medical expenses must be self-employed or have a steady job.
When applying for a loan, the person must be at least 21 years old.
The borrower must be sixty years of age when the loan matures.
Employees of public-sector organizations or private limited firms
Applicants for medical loans should have a minimum monthly income of Rs 15,000.
A personal loan for a medical emergency at a reduced interest rate is more likely to be available to applicants with credit scores of 750 and higher.
What documents are needed for this loan?
ID documentation (passport, driver’s license, voter ID, Aadhar card, PAN card, etc.)
Proof of address (passport, phone, electricity, Aadhar card, voter ID, driver’s license, PAN card)
Pay stub for the last three months
Form 16 ITR with the previous two years’ income computations
Advantages of Taking Out a Personal Loan for Emergency Medical Care
Simple Application Process: All loan applications can be completed online without difficulty on the banks’ official websites. Both loan approval and disbursement happen quickly.
Collateral not needed: To receive a personal loan for unexpected medical expenses, you are not required to present any collateral or security.
Flexible loan repayment terms: You can choose to repay the loan in equal monthly installments (EMIs) based on what works best for your spending plan.
Little paperwork: To apply for a personal loan, you don’t need to submit a lot of paperwork. Your Know-Your-Customer (KYC) documents, pay stubs, bank statements, etc. are all that are required.
Conclusion: Applicants can also obtain regular personal loans to cover a range of medical expenses, such as hospital bills, treatment costs, medication costs, costs associated with surgeries and operations, etc. since lenders do not impose end usage restrictions on personal loans (except for speculative purposes). Certain lenders additionally provide applicants with immediate personal loans for emergency medical care or medical costs.
