Applying for a Home Loan – Online vs Offline
Buying a home is an important financial decision as it requires you to make a big investment. Although many financial institutions in India offer home loans at affordable interest rates, choosing the right loan may not be easy. There are many factors that you must consider and compare the different offers from different lenders before you make the final borrowing decision.
Traditionally, if you had to get a home loan, you had to personally visit the lender’s office, meet the representative, and know about the different loan options they offer. However, today, the process has become much easier as lenders offer online services. You can apply for a home loan online and get the sanction from the comfort of your home.
If you are apprehensive about applying for a home loan online and feel the offline method is much better and secure, knowing the difference between the modes will help you make the right decision.
Online vs offline home loan application – which is better?
Whether you apply for a home loan online or offline, the first step is submitting an application form along with the necessary KYC (know your customer) documents to the lender. In online mode, you can visit the lender’s website or mobile application and easily fill the form with relevant details. It usually takes only a few minutes to complete the process.
The offline application process is similar, but it can be more tedious. You must personally visit the lender’s office, fill the form, carry the physical copies of the documents, etc. This can be time consuming, and sometimes you may need to visit the office multiple times.
Knowing the eligibility
One of the most significant benefits of applying for a home loan online is that you can use various tools like the home loan EMI calculator. It allows you to know the maximum amount you are eligible to borrow based on your financial profile. It also lets you know the exact EMI payable for the amount you wish to borrow.
In offline mode, the insurance representative will determine your eligibility based on factors like age, income, repayment capacity, profession, and other details. However, this process can be time-consuming, which may delay the loan approval and disbursal process. This can be a huge hindrance if you are looking to close the deal at the earliest.
One of the critical aspects of a home loan application process is documents submission. When you apply for a loan online, you can easily know about the documents required as it is clearly listed on the lender’s website. This helps you to keep the necessary papers beforehand during the application process. You can upload the paper on the lender’s portal or send it through an email.
In contrast, the offline home loan application process requires you to physically carry the papers to the lender’s office. This greatly increases the risk of losing the important documents.
Thus, it is quite evident from the above comparison that online application is easier and safer. Also, it facilitates informed decision making. So, if you are looking to apply for a home loan, apply for it online and have a peaceful borrowing experience.