Multiple banks. Different interest rates. Call it a "conflict of interest".
  • Personal Loan BYTES FROM OUR KITCHEN

    Doorstep Loans

    Doorstep loans, also known as home credit, are unsecured loans which can be taken for smaller sums of money. The borrower can get the money delivered at their doorstep by an agent who will come to collect the repayment instalments, usually on a weekly basis. Interest for these loans is calculated on pre-set rates and the loan amount is disbursed in one or two days. These loans have minimum eligibility requirements.

    How to get Doorstep Loans

    Doorstep loans are delivered by agents in your locality who provide a personal touch to the whole lending process. The agents are entrusted with analysing the customers’ requirements and offer credit as per their needs. All this is done as a ‘doorstep service’ where the borrower gets the money delivered comfortably to their residence. The credit agency will understand your particular requirements as well as your circumstances, allowing you to borrow only the amount you are certain you can repay without too much burden on your finances.

    Repayment of doorstep loans is done after you decide on the tenure for repaying the loan. Once you reach an understanding with the credit provider, an agent will come to your house every week to collect the pre-decided instalment for the repayment. What’s more, if you are unable to repay an instalment, the agent can help you with further financial planning and you may get leeway while missing a payment.

    The instalments are calculated for both the principal borrowed amount, as well as the accruing interests on the loan. The weekly instalment that you have to pay includes both interest and principal, where the interest is calculated on pre-decided fixed rates. This gives you a surety of the amount that you have to repay, so that you can accordingly borrow and repay the amount.

    Loan amounts in doorstep loans are generally low. For instance, in the UK first time doorstep loan applicants are offered credit up to £500. Repeat borrowers may be offered higher credit to the tune of £1,000. The smaller amount makes this loan an attractive choice for people simply looking to pay bills or go for a local holiday. Ideally, a doorstep loan should be opted only when you have exhausted other means of credits such as bank loans.

    Doorstep loan eligibility

    Doorstep loans have very few eligibility requirements. You have to be a resident of the country you are applying in. You have to be at least 18 years old. In general, you should have a steady source of income, preferably as a salaried employee. Self-employed people can also avail doorstep loans provided they can furnish proof of their income. Some providers may also ask for a minimum income requirement before disbursing doorstep loans to you. Some providers may also go for credit checks at the time of loan processing.

    Documents required for doorstep loan

    There are minimal documentation requirements when applying for a doorstep loan. In general, you have to submit the following documents to the credit agency:

    • Photographic ID such as driving license, passport etc.
    • Address proof such as utility bill, mortgage statement, credit card statement, pension statement etc.
    • Brief proof of income such as wage slips, bank statements etc.

    Some providers also seek information on your current account apart from a valid debit card. These documents should be enough to get you going with the doorstep loan application. Ideally, these should be enough for your application, but you may have to furnish other documents pertaining to your finances if your provider so seeks.

    Doorstep loan for unemployed

    There are a few companies that provide doorstep loans to unemployed people, however some companies may reject your application in such cases. This is because the loan provider does not see a viable option in disbursing loans to you as you are in a risk of defaulting for extended periods of time. You can still explain your current situation to the loan agent and they may consider your application. Doorstep loans are generally informal loans, and as unemployed people might also get their applications processed.

    Doorstep loan with no credit check

    The credit check process of a doorstep loan is very informal. These are amazingly flexible loans, wherein the decision to disburse a loan to you is not entirely based on your credit history. The final decision for the loan approval depends on your existing situation as well as your ability to make the regular repayments comfortably in future. As such, the lenders tend to focus on your future abilities for repaying rather than your past credit history, which can be a relief to a lot of people looking for unsecured personal loan of small amounts. At most, the loan agent will conduct a cursory evaluation of your past credit history.

    Doorstep loan for bad credit

    These loans are ideally suited for people with bad credit history. As discussed above, only a rudimentary check of your credit history is done by the lender. And this credit check is more of a standard procedure than a real issue when disbursing loans. The loans are provided on your ability to make regular repayments, rather than how you handled your finances or credits in the past. And being smaller loans, a credit history doesn’t make much of a difference in ascertaining your repayment capability.

    Doorstep loan interest rates

    The interest rates on these loans are rather high. The representative APRs are generally upwards of 100%, and in worst cases can be as high as 1,500%, which signals repaying a lot more than you actually borrowed. The repayment tenures generally range from 14 weeks to 52 weeks. APR stands for Annualized Percentage Rate, which is an indication of the overall interest you will pay to the lender in a year. However, APR does not necessarily provide an accurate description of the overall interest, as most of the doorstep loans are for smaller tenures. For instance if you repay the credit within 14 weeks, the overall interest that you paid will be lower than the APR, which is calculated if your extend the repayment tenure throughout the year.

    Doorstep loans also do not include any late charges or penalties on skipping a payment. Also, the extra interest won’t build up as with every repayment, the loan amount gets reduced by the amount you've repaid. These loans also include fixed rate interests to give you clear figures for repayment.

    Doorstep loan features and benefits

    The major feature and benefits of doorstep loans are as follows:

    • Instant approval: The whole process from when you make the first telephonic enquiry to the actual disbursement of loan takes between 2-4 days, making it a very quick option.
    • Personal touch: The personal doorstep service add comfort to the whole process, and in most cases the same representative will be collecting the repayments every week. This increases trust on your part.
    • High interest: These loans generally come with a high rate of interest, so you need to be careful when applying for a doorstep loan. The amount you borrowed may not be much, but the added interest can put a hole in your pockets in the long run.
    • Credit history non-issue: The credit history is just skimmed over in most cases as the actual quality the lender is looking is whether you will be able to repay the credit in the near future from earnings in the future.
    • Trading vouchers: Some doorstep lenders may offer you trading vouchers and cheques. The vouchers can be redeemed for good, primarily soft furnishings and clothing, and at specific outlets as defined by the lender.
    • No penalties: Late or missed repayments do not attract additional charges. The agency representative may also help you out with technicalities so that future payments are in order.
    • Affordability: The loans are generally provided for low amounts, and as such repaying them should not be too much of a problem. However, the interest rates are pretty high and you can get overwhelmed by the interest if you don’t repay the whole loan in time.
    • Convenience: The loans are disbursed and repayments collected right from your doorstep, making the whole process hassle-free and painless.
    • Transparent: The loan amount, interests and repayment figures are clearly outlined before the loan is disbursed so that you don’t get blindsided by hidden charges.
    • Choosing lender: Be sure that your chosen lender is adequately certified by authorities. An uncertified doorstep lender can be a loan shark, in which case you should report the lender immediately to relevant authorities.

    Doorstep loan application process

    The whole process can be completed within 3-5 days at most. Once you have made an inquiry on the phone or online, the lender will send a representative to your house. This person will ascertain your financial position, your requirements and collect all the required documents. The loan will be disbursed on the very next day if the process is complete and your documents are found to be in order. Moreover, when you have decided the frequency of repayments, the same representative may come every time to collect the money from your home.

    Banks offering doorstep loans in India

    Doorstep loans are currently not offered in India. However, you can opt for doorstep servicing from banks such as Axis Bank, HDFC Bank, ICICI Bank, IndusInd, Kotak Bank etc. who provide doorstep services wherein a representative from the bank can be called to your house to get information and complete formalities for various banking services. You can check out BankBazaar.com for a full list of banks in your area who provide easy banking services such as doorstep collection. Furthermore, you can also compare and apply for different products such as personal loans, home loans, car loans, fixed deposits, credit cards etc. online from the comfort of your home.

    Doorstep Loans Reviews

    • IndusInd Bank Personal Loan
      "The Rock PL Loan"
      0.5 5.0/5 "Blown Away!"
      Indusind bank provided a personal loan based on my Salary account . They provided me a Instant loan of 43 k within 4 minutes to my account in an emergency situation . That too without any documents submission . really good customer service in Indusin bank .
      Was this review helpful? 0
      , ahmedabad
      Reviewed on Feb 22, 2019
    • HDFC Bank Personal Loan
      "Very bad experience"
      0.5 2.0/5 "Expected more"
      I felt bad experience in HDFC by taking a personal loan . I totaly unliked it . They made me wait for a almost 20 days . In 2012 i took this amount for small emergency .I am 9 -10 years of HDFC customer , Provided a small loan amount with lot of procedures and documents .
      Was this review helpful? 0
      , ahmedabad
      Reviewed on Feb 22, 2019
    • ICICI Bank Personal Loan
      "EXCELLENT"
      0.5 5.0/5 "Blown Away!"
      I have taken the personal loan with the ICICI BANK where the loan amount is satisfactory also added on that the rate of interest is higher with them which is 11.45%. The documentation process was simple and easy to get the loan. There is a processing fee with this loan.
      Was this review helpful? 0
      , mumbai
      Reviewed on Feb 22, 2019
    • ICICI Bank Personal Loan
      "It can be better also need lot of improvement"
      0.5 2.5/5 "Just OK"
      I took the personal loan in ICICI Bank four years back and its ongoing. The interest rate is too high when compared to other banks even the processing charges are high. The customer service is okay when EMI get bounced that time they are chasing up the customer like anything.
      Was this review helpful? 0
      , bangalore
      Reviewed on Feb 22, 2019
    • review Personal Loan
      "Useful personal loan in emergency time"
      0.5 5.0/5 "Blown Away!"
      I got my Personal loan in TATA capitals within 20 days of that too without processing fees . They provided a Sum Assured of 4 lakh with 4 years of tenure with minimum Rate of interest . This loan highly helped me in the emergency time . I consider this as Useful personal loan in emergency time .
      Was this review helpful? 0
      , hyderabad
      Reviewed on Feb 22, 2019
    • HDFC Bank Personal Loan
      "EXCELLENT"
      0.5 5.0/5 "Blown Away!"
      I have taken the personal loan with the HDFC BANK where the documentation process is simple and easy to get the card. The documentation process was simple and easy to get the loan, they provided the satisfactory rate of interest. I am using since 2years.
      Was this review helpful? 1
      , chennai
      Reviewed on Feb 22, 2019
    • YES Bank Personal Loan
      "Post process should be improved"
      0.5 3.0/5 "Satisfactory"
      When I applied for YES Bank personal loan, the process was good on the initial stage. They kept calling each and every day for documents, after submitting all. I didn't get the response . post process should be improved. Overall banking system need to improve the response post rejection.
      Was this review helpful? 0
      , ghaziabad
      Reviewed on Feb 22, 2019
    • review Personal Loan
      "Good service"
      0.5 4.0/5 "Great!"
      I have taken my personal loan through BAJAJ FINANCE INSTITUTION , they provide high interest rate and processing fee is nominal . The banking process is very quick within week i got my loan amount . The tenure period is 5 year and overall experience is good .
      Was this review helpful? 0
      , pune
      Reviewed on Feb 22, 2019
    • HDFC Bank Personal Loan
      "Part payment feature should be enabled"
      0.5 5.0/5 "Blown Away!"
      I am happy with HDFC service on the personal loan part, I got 10.99% of corporate interest its quite attractive, the documentation was processed on time. They have foreclosure option, but there is no part payment option, it should be enabled.
      Was this review helpful? 0
      , ghaziabad
      Reviewed on Feb 22, 2019
    • HDFC Bank Personal Loan
      "Satisfactory"
      0.5 3.0/5 "Satisfactory"
      I am running a personal loan in HDFC BANK. The interest rate was okay. I have taken the loan before one year back and tenure is 24 months. I don't remember the processing fee. The loan process was pretty good and faster. The documentation procedure is simple.
      Was this review helpful? 0
      , bangalore
      Reviewed on Feb 22, 2019
    • Bajaj Finserv Personal Loan
      "Fake n useless"
      0.5 1.0/5 "Really Bad"
      Review: Useless At first the cust.rep called me n said u have a preapproved loan for 3.29 lakhs, so just submit your pan and address proof, loan amount will be credited to your account within 48 hrs. After submitting the documents along with payslips n all, they say the loan is not approved as my cibil is 724. Without checking my cibil how can you provide a preapproval for loan? Later a rep called me and said 3.29 is not psbl and we can provide upto 1.5lakh only. After accepting dat, now dey say even dat is rejected. Is this marketing strategy to fulfil your month end targets? Is this the way you cheat your customers? For any queris you can call me at 9494434242
      Was this review helpful? 1
      , hyderabad
      Reviewed on Feb 22, 2019
    • Axis Bank Personal Loan
      "Excellent"
      0.5 5.0/5 "Blown Away!"
      Axis does not have preclosure charges and have completed the personal loan before 2 years ago. The interest rate was around 11.99% and partial payment can be done anytime. The loan process was very quicker and got the loan within 4 to 5 days. Even the documentation procedure is very simple and completed within a day.
      Was this review helpful? 0
      , mumbai
      Reviewed on Feb 22, 2019
    • ICICI Bank Personal Loan
      "Better"
      0.5 4.0/5 "Great!"
      I had a personal loan in ICICI BANK and have closed the loan. . ICICI has foreclosure charges on outstanding payment of the personal loan which was not satisfactory. The rate of interest was 14.5% where Axis has offered lesser and other than that everything was fine with ICICI.
      Was this review helpful? 0
      , mumbai
      Reviewed on Feb 22, 2019
    • Bajaj Finserv Personal Loan
      "Interest should be reduced"
      0.5 4.0/5 "Great!"
      I took personal loan from Bajaj Finserv, the interest was high for Rs.80,000 loan amount. I believe its around 17 to 19% for one year its huge and there was processing fee of Rs. 9000. They can reduce the interest and other fee so many people can avail it. The documentation process was easy, the executive have collected minimal paper and done the process.
      Was this review helpful? 0
      , chennai
      Reviewed on Feb 22, 2019
    • Bajaj Finserv Personal Loan
      "Need to reduce the interest rate and charges"
      0.5 1.0/5 "Really Bad"
      I am not satisfied with the interest rate for the personal loan which was very high compared to other banks. Its been 2 years in Bajaj finserv. It was a pre approved loan and the amount was credited within a specified time. They have charged me a documentation fee and got 63K but overall amount was 71K.
      Was this review helpful? 0
      , coimbatore
      Reviewed on Feb 22, 2019
    • Bank Bazaar Personal Loan
      "Satisfactory"
      0.5 4.0/5 "Great!"
      I got a continuous followups from the executive and there was no issues at Bankbazaar. This is the first time, I have filled my details for personal loan and it went good. It was referred by my friends. I have checked the credit score on the website and its user friendly.
      Was this review helpful? 0
      , coimbatore
      Reviewed on Feb 22, 2019
    • HDFC Bank Personal Loan
      "Good"
      0.5 5.0/5 "Blown Away!"
      The process was good and response was prompt. I got a good followups from their executive. HDFC BANK has given me a reasonable interest rate and they have charged a processing fee. The documents are submitted online and also went to their branch and submitted few documents. The loan duration is 48months.
      Was this review helpful? 0
      , coimbatore
      Reviewed on Feb 22, 2019
    • HDFC Bank Personal Loan
      "GOOD"
      0.5 3.0/5 "Satisfactory"
      I am not satisfied with the personal loan with the HDFC BANK because they give the loan as per their wish. They have given the loan amount which is 30K, i am using it since from last few months. The rate of interest is good, there is a applicable processing fee.
      Was this review helpful? 0
      , new delhi
      Reviewed on Feb 22, 2019
    • Bank of Baroda Personal Loan
      "GOOD"
      0.5 5.0/5 "Blown Away!"
      I have taken the personal loan with the BANK OF BARODA they have processed the loan so which also the documentation process is simple and easy to get the loan. The loan amount is satisfactory added on that the rate of interest is nominal, processing fee is applicable.
      Was this review helpful? 0
      , new delhi
      Reviewed on Feb 22, 2019
    • HDFC Bank Personal Loan
      "Excellent service"
      0.5 5.0/5 "Blown Away!"
      I have been using my personal loan with HDFC bank, the rate of interest they have charged me was nominal and the loan amount which they have given me was good it was sufficient for me , and the processing fee they have charge me was nominal,Still this loan is running.
      Was this review helpful? 0
      , kochi
      Reviewed on Feb 21, 2019
    Common Loader Icon

    Display of any trademarks, tradenames, logos and other subject matters of intellectual property belong to their respective intellectual property owners. Display of such IP along with the related product information does not imply BankBazaar's partnership with the owner of the Intellectual Property or issuer/manufacturer of such products.

  • reTH65gcmBgCJ7k
    This Page is BLOCKED as it is using Iframes.