With more than 70 lenders and over 100 products on offer, a home loan seeker finds comparison difficult and a feels cheated even after he gets the loan. Making life simpler is technology with comparison shopping and loan facilitating portals making a strong entry into India. There are three services on offer.
First, a search and choose facility. Apnaloan.com, Deals4loans.com and Rupeetalk.com will allow you to fill in your basic needs and will display the best deal available in the market. You can compare products on parameters such as interest rates, eligibility, processing fees and EMIs. After this. the loan process gets offline with the portal passing on your details to the bank you choose.
Second, choose a lender and do part of the loan process online. Portals such as Bankbazar.com help you apply for the loan and submit basic documents online. The portal then passes on your application and documents to the lender and then it’s business as usual between the lender and you.
Third, planning firms such as iTrust offer you a one-stop solution and hand hold you through the entire process.
These guys are on your side and work to get you the best deal. Says Harsh Roongta, CEO, Apnapaisa.com, “We give a comprehensive comparison of more than 60-65 banks and hundreds of loan products.”
Save on time: The biggest takeaway is that it saves time. The entire loan process is expedited and the loan is approved faster. Adhil Shetty, CEO, Bankbazar.com says, “Traditional banking channels take a good two weeks. But, with us, the time duration reduces. For instance, a car loan can be availed in four days flat through us.”
Better deals: If you approach the lenders directly, your bargaining power decreases due to lack of experience and ignorance. Taking help of an online loan portal with their expertise automatically puts you in a position of advantage. Shetty says, “Since we handle so many customers, we can actually advise the user to get best deals. With us, the customer gets a bargaining power.” There are cases where a customer has saved up to Rs50,000 on a loan by using such services.
Approval and cost: The chances of getting an approval are higher if you have somebody working on your behalf. Offline services help you prepare your file with all documentation and other details. They also help improve your eligibility and could help you get a higher loan amount or better terms.
Most online and offline services are free and are compensated by the banks for bringing business to them.
Who should use
Portals work for personal, auto and educational loans very well since there is no legal verification of property involved. However, a large number of people are applying for home loans, too, through online portals.