Are you pre-approved for a consumer durable loan? Here’s how to check. | Mint

How can I check if I’m pre-approved for a consumer durable loan, and does it save time in the application process?

-Name withheld on request

Pre-approved consumer durable loans are a fast and hassle-free way to finance big-ticket purchases. These loans are typically offered by banks and non-bank lenders to existing customers based on their credit profile. Here’s how you can check your eligibility and why pre-approval can simplify the process.

Steps to check pre-approval

Online platforms: Many lenders allow customers to check pre-approved loan offers on their websites or mobile apps. Log in to your account or provide basic details like your phone number or email ID to access the information.

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Customer support: Reach out to your lender’s customer care service to confirm if you have a pre-approved offer. Speaking to a representative can be helpful if you prefer a direct interaction.

Notifications: Banks and NBFCs often notify eligible customers via SMS or email about pre-approved offers. Look out for these alerts, especially during festive seasons or sales events when special terms may be available.

Retail store inquiries: At partner stores, you can ask the billing staff to check for pre-approved loan options. Retailers often have integrated systems with lenders for instant eligibility checks at the point of sale.

Advantages of pre-approved loans

Time-saving: Pre-approved loans are processed quickly since lenders have already reviewed your eligibility. Approval is often instant, especially at retail counters.

Minimal documentation: With pre-approved loans, paperwork is usually minimal and limited to essential documents like identity and address proof.

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Tailored offers: These loans often come with attractive benefits like lower interest rates, higher loan amounts, or flexible repayment options, making them more appealing than regular loans.

Key considerations

Review the terms: Even with pre-approval, ensure you review the loan terms, including the interest rate and repayment tenure, to confirm they align with your financial goals.

Impact on credit score: Checking your pre-approval status does not affect your credit score. However, proceeding with the application and loan disbursement will reflect on your credit history.

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Pre-approved consumer durable loans are ideal for purchasing essential items like appliances and electronics without delay. They simplify financing, helping you manage purchases without immediate cash flow constraints. Whether you’re upgrading your home or investing in better gadgets, checking for pre-approval before you shop can save valuable time and effort.

Akash Bararia is head, sales and finance, HDB Financial Services.