As we near the end of July, there's reason to smile for all of us. After all, who doesn't like a good bargain? That's what's in store, literally, as many of the popular e-commerce outlets will be having mega online sales.

Finally, after weeks and months of curating a wishlist of desirable items, you can look forward to actually buying some of them during the many discount sales that will be running.

Of course, for those of you who might not have a wishlist ready but don't want to miss out on a good deal either, fret not. We have put together a small but practical list of things that you're likely to consider purchasing at some point in the not too distant future anyway. Be it the Amazon sale, Nykaa sale, or any other sale of your choice, you're sure to find these items at a discount price:

Power bank

For better or worse, our mobile phones have almost become as essential today as the clothes we wear. You probably cannot imagine stepping out of the house without your mobile in your pocket. What used to be a simple calling device has now become indispensable to the smooth functioning of our work, relationships, and even leisure.

All that use leads to quick depletion of the phone's battery, however. How often have you found yourself freaking out about running out of juice at inopportune moments? Not to mention how inconvenient some charging locations can be while outside your home. That's why we recommend considering a decent fast-charging power bank. It's one of the most popular items during any sale and you're sure to find a solid deal. You can carry it in your bag wherever you go and rest assured that you won't run out of power when you need it the most.

Also read: 5 common credit card mistakes and how to avoid them

Dumbbells

With the second wave of the dreaded COVID-19 pandemic beginning to recede, gymnasiums across the country are opening up again. However, with the on-again, off-again nature of the lockdowns and restrictions, an expensive gym membership might not be of much use until things settle down for good.

But you can't put a pause on your daily exercise. If you're afraid to step out for a daily walk, you could consider buying an affordable home workout kit. And nothing's more basic than a pair of dumbbells. They are quite affordable if you look around a bit, and during a sale, you're sure to find a good deal.

Formal clothes

Sure, formal clothes might not be the first thing that comes to your mind when you think about shopping during a sale! Usually, we're more focused on the 'fun' and 'snazzy' things. However, being responsible and mature adults, we're often forced to set aside our hard-earned money for more important things in life and wait for a sale instead.

But here's the thing; the next time you go for a job interview, you'll be glad you spent on some good formal wear. Not to mention, having a fuller formal wardrobe will also reflect well on you and your work at the workplace. And at the end of the day, what's good for your career is usually good for your bank balance that will fund your purchases during a sale!

Cheap earphones and earbuds

Like most young people these days, you likely enjoy listening to your favourite tunes on the go. And if not the latest hit songs, many love to soak in information about their favourite topics by listening to podcasts.

It's nearly impossible to spot college students or young professionals without some kind of listening apparatus on their person, be it headphones wrapped over their heads or earbuds plugged into their ears. 

After being subjected to such frequent use and travel, a sale is a good time to consider going for an upgrade. You'll find solid deals on some of the best budget earbuds. Particularly during the Amazon upcoming sale, you'll find limited-time discounts that are an absolute steal. So much so that you could even consider going a grade higher instead of restricting yourself to cheap earphones.

Also read: No cost EMIs – Merits & Demerits

Why use mPokket during the July sale? 

During a sale, finding the best deals is a task unto itself. However, sometimes, there are limited-time discounts or flash sales that only last for a few hours or less. Adding to the tension, these deals are often limited by stock availability or percentage claimed.

In such situations, a quick and timely cash infusion could prove very helpful. At mPokket, the 'instant' in instant loan is a very real thing. From applying for a loan to completion of direct cash transfer to your bank or Paytm Account is done within 10 minutes, leaving you with enough breathing space to complete your purchase.

Also, If you are seeking an instant student loan or salaried loan and wondering where to turn for obtaining loans online, simply download the app, register by uploading a handful of documents, and post-approval, borrow instant personal loans of up to Rs. 50,000! mPokket instant loans for students online and loans for salaried are credited straight to your bank.

So don't wait, add mPokket to your arsenal and get ready to gun for some great deals!

There used to be a time when obtaining a loan was quite an arduous process. Even then, you didn't have any assurance of getting it. Many were forced to turn to shady loan sharks to get some much-needed credit.

Thankfully, those days are in the past. Obtaining a loan today is considerably easier and streamlined. Competitive plans ensure you are spoilt for choice when it comes to borrowing money.

When quick and effortless financing is the order of the day, instant loans can be quite helpful. 

Especially for those times when a cause for unexpected expense crops up, we might not always be in possession of funds to pay for it. For such occasions, an instant loan is the need of the hour. They can be easily applied for online and are processed quickly, with minimal documentation and fast disbursement.

Instant Loan Eligibility Criteria

But you must be well-versed with the ways in which they work. This includes being aware of any eligibility requirements that are in place. Here are the eligibility criteria:

Credit Score: In order to obtain an instant personal loan at an affordable interest rate, a healthy credit score goes a long way. A credit score of over 750 is ideal for this.

Age: Meeting the age requirements set by the lender is imperative in order to be eligible for an instant personal loan. Depending on whether you're a student, salaried employee or a self-employed entrepreneur, there may be different age limits in place. So ensure you check out the age requirements stipulated by the concerned bank or NBFC from whom you're looking to borrow from.

Also read: What is CIBIL score? All you need to know about CIBIL score and how to check it using your PAN

Now, let's take a look at the different types of instant loans available:

Personal Loans: Offered by numerous banks and non-banking financial companies (NBFC), personal loans are by far the most widely availed unsecured loan when it comes to dealing with financial shortcomings. Your eligibility determines how high of an amount you can borrow. Compared to secured loans, the interest rates are usually on the steep side when it comes to personal loans. On the flip side, however, you get a flexible tenure and convenient repayment terms.

Short Term Personal Loans: A short-term personal (STPL) loan can be for an amount as low as Rs 1000 and are mainly being offered by digital lenders and NBFCs such as mPokket. It's a relatively nascent concept in India but catching on quickly among the youth in particular. It's a convenient solution to meet end-of-the-month cash crunches and unexpected expenses that may crop up. In order to avail an STPL, you can usually just apply online — usually through an app of the lender — then upload the necessary documents and the cash is usually disbursed straight to your bank account instantly.

Loan Against Credit Card: If you happen to be a credit card user, you could be eligible for a loan against your credit card. Your repayment history and credit card limit will determine your eligibility, of course, but once approved, funds are disbursed swiftly after minimal processing. If you wish to find out more, simply head over to your credit card provider's website.

Loans Against Savings and Insurance: If you have invested in small savings instruments such as fixed deposits, car insurance, and health insurance policies at your bank, you could be eligible to apply for a loan against savings and insurance, also known as a demand loan. It's offered by plenty of banks and NBFCs these days. Do note that your loan amount, which could go as high as 90 per cent of your savings value, will be determined by your policy's maturity value and repayment record as well.

Topup Loan: As the name indicates, topup loans let you avail extra funds on top of your existing loans. Since your personal details are already known to the lender, processing of the top-up loan is done quickly with a quick form fill-up.

Whether you're a student or salaried professional, when it comes to instant loans, you cannot go wrong with mPokket. We offer cash loan, easy loan, quick loan, and short term loans. 

To begin, simply download the app and register by uploading a handful of documents. Post-approval, you can borrow instant personal loans of up to Rs. 50,000, depending on your credit score and repayment history. We credit the amount straight to your bank account!

Life throws a lot at you sometimes. However, there's no denying that even a modicum of financial stability goes a long way towards assuaging some of those woes.

That's why it's imperative to have a financial plan at the ready. It will allow you to sleep at night with the knowledge that, come what may, at least financially, you have a strategy for most situations.

Whether you're on the verge of entering the working life or a grizzled veteran of the rat race, a sound financial plan is something you should not skimp on.

It's important to assess your cash inflows and outflows, and know where to invest your money. Not all of us are cut from the same cloth. Knowing how to manage your funds according to your needs is important.

Why should I bother with a financial plan?

Here are some of the main reasons why it's important to have a financial plan:

• You can maintain an optimum balance between income and expenses
• It helps you manage your cash flows and cut down on any unnecessary expenditures
• Helps you avert any potential tax liability
• Helps you pick the best investment and earn the highest possible return 
• Facilitates better wealth management
• Secures retirement life financially
• Solidifies insurance planning to ensure the needs of dependents are adequately taken care of

Where do I start with a financial plan?

Before you go about formulating your financial plan, you need to get a firm grasp of where you stand financially. This means taking a good hard look at your cash inflow and outflow on a monthly and yearly basis.

Leave out any one-time expenditure such as expenses incurred during an emergency, as these do not reflect the norm. Focus on the essentials, such as income, rent, insurance payments, groceries, travel, among other things.

This will leave you with a good idea of your net disposable income that you can put towards investments. 

Next, take stock of all your assets, by valuating any land or property you may own, gold, and existing investments such as fixed deposits and mutual funds. Experts recommend subtracting the value of your residence and gold, in order to obtain a more realistic picture.

Ok, now how to make a financial plan?

What are your goals?

First off, pinpoint and prioritize your life goals. Then figure out the kind of funds you'll need to cover the financial component of those goals. Say you're looking to own your own home at some point. You'll need to be cognizant of the fact the price could be significantly higher by the time you get around to it.

Are you well covered?

Before you veer towards any sort of investment, first you have to ensure that you and your family are adequately covered for medical insurance. If you have dependents, ensure they have the necessary term life insurance coverage

Invest as per your needs

One-size-fits-all may apply to particular things but certainly not when it comes to investments. In the same way that an off-road vehicle is better suited to rocky terrain than a sleek sedan, certain investment types are more appropriate for the kind of goals you have. So balance the risk against reward, the rate of return, liquidity and other factors that pertain to you.

Once you're sure, don't veer

After careful consideration, you've finally put together a financial plan. Congratulations. But now comes the hard part; maintaining the discipline to avoid drastic changes to that plan.

Stay ahead of taxes

Always aim for optimal tax savings under the income tax laws of the land. Don't pay unnecessary taxes by investing in inefficient schemes. At the same time, don't run only after schemes that offer the best tax benefits.

Keep track and consolidate

Savings accounts, credit cards, lockers, debit cards, Demat accounts that you don't use anymore should be done away with. Don't hold on to them since many of them have certain criteria such as minimum balance or auto-renewal which could end up costing you unnecessarily.

Keeping debt in check

Always keep tabs on your existing loans and try to clear your debts at the earliest. After all, it doesn't make sense if your total return on investments is being far outpaced by repaying loans at a high interest rate.

Taking stock

Even when you have checked all the boxes when it comes to putting together your financial plan, you need to ensure it keeps humming along nicely. Timely reviews and subsequent action, if any, will ensure that the performance of your financial instruments is running in line with your long-term goals.

Whether you're a college student or a young professional, for those occasions when a bit of quick credit could go a long way, nothing fills the void quite like the mPokket online loan app.

If you are seeking an instant cash loan or salaried loan and wondering where to turn, simply download the mPokket app. Register by uploading a handful of documents, and post-approval, borrow instant personal loans of up to Rs. 50,000! mPokket instant loans for students online and loans for salaried are credited straight to your bank account within 10 minutes.

You might also like: 6 ways to deal with self doubt at work

In today's world of instant loans and credit cards, it's no surprise that credit scores are more important than ever. A healthy credit score makes it that much easier to obtain loans or access higher credit limits at competitive rates of interest whenever needed. Lenders are less likely to hassle a potential borrower who has a good credit score.

But have you ever wondered what goes on behind the calculation of those all-important scores? For that, we need to know about credit bureaus.

What exactly is a credit bureau?

Credit bureaus are agencies that collect and analyse data pertaining to the credit transactions of an individual or business. These credit transactions include information such as which credit cards were used, loans that were taken, and their repayments. Timely payment of bills and income tax data also fall under their purview.

Where do they get all this information from? It's sourced from agencies that specialise in data collection, money collection, as well as lending companies, among various other entities and outlets.

Once all this information is collected and analysed, a credit bureau can begin to put together a profile of the person. His or her creditworthiness factors in traits like default history and repayment behaviour, among other things.

Ok, now what's a credit score?

Based on the financial information collected about a person or entity by the credit bureau, it assigns them a credit score. They can be broken down as follows:

750 or more: An excellent credit score and attests to highly responsible financial behaviour

600-750: A medium score. It attests to a financial behaviour that's not averse to the occasional risk or two. The score could be down to factors such as missed payments, missed or late filing of income tax reports, or a considerable amount of debt. Timely payments of any outstanding equated monthly instalments (EMI) and cutting down on outstanding loans can easily raise the score back up.

Below 600: A poor credit score. Individuals with scores this low have to think quickly and make a few major decisions to improve their credit score. Not doing so could make them credit-ineligible in the future.

Which are the top credit bureaus in India?

There are four credit bureaus in India, and here's a detailed look at each one:

Experian

Experian was established in 2006. In 2010, they became the first credit bureau to secure a license under the Credit Information Companies Regulation Act of 2005. Aside from providing its own brand of credit report and credit score, Experian India also provides risk scores and portfolio scores. 

Experian's credit score rating lies between 300-900 and their reports are generally on the less expensive side.

TransUnion Credit Information Bureau

Another credit bureau to obtain a license in 2010 was the TransUnion Credit Information Bureau (India) Limited, or CIBIL. Founded in 2000, they cover analysis for both individuals and organisations. Their credit score rating ranges between 300-850. For companies and similar entities, CIBIL assigns what they call PERFORM score.

Also read: What is CIBIL score? All you need to know about CIBIL score and How to check it using your PAN

CIBIL is India's most well-known credit bureau and they maintain the information of over 1000m individuals and entities. It consists of three main divisions - Commercial Bureau, Consumer Bureau, and Micro Finance Institution Bureau - which collects all the information needed.

Aside from Credit Information Reports and CIBIL Scores for individuals, CIBIL also produces CIBIL Ranks and CIBIL Commercial Reports for enterprises. Their members include most major banks and NBFCs, as well as housing finance companies and institutions.

Equifax

As a company, Equifax dates back to 1899. However, Equifax India, headquartered in Mumbai, is a joint venture between Equifax Incorporated, USA and seven of India's top financial institutions. They have been registered as a Credit Information Company in India since 2010.

Equifax's credit score rating ranges between 1-999. Along with credit scores for individuals, they also provide risk scores and portfolio scores. And for companies, Equifax provides portfolio management, credit fraud reports, risk management reports, and overall industry diagnosis, among various other reports.

CRIF High Mark

Like the rest of the four credit bureaus, CRIF High Mark also obtained its license in 2010. However, what separates it from the rest is that it is the only one approved to operate by the Reserve Bank of India.

Also read: How is the Crif Score Calculated? Practices That Negatively Effect the CRIF Score

Both individuals and corporates are covered under CRIF High Mark's credit rating analysis and their credit score rating ranges between 300-850.

If you are seeking a student loan or salaried loan and wondering where to turn, don't hesitate to check out mPokket. When you take loans from mPokket, be it an education loan, a service loan, or a salary advance loan, timely repayments improve your CIBIL score, which will help you be eligible for larger loans and even improve your employment prospects.

Simply download the app, register by uploading a handful of documents, and post-approval, borrow instant personal loans of up to Rs. 50,000, based on your credit score and your repayment history. mPokket quick student loans and instant loan for salaried are credited straight to your bank account.

As we have previously discussed, debt consolidation is a handy way out when you've piled up a litany of debts. However, as we also noted, it has its own pitfalls. In this feature, we shall go into some detail about how you can avoid them:

Consider all your options

The prospects pitched by debt consolidation are tempting enough that many jump at the chance without taking time to evaluate all the options on offer to them. Given the high level of stress one faces after having piled up a stack of debts, this is understandable. However, it's worth considering the options because one of them will suit your situation better than the others.

Debt consolidation loan: Signing up for a secured debt consolidation loan or unsecured personal loan with the bank or other financial institutions.

Balance transfer: This involves transferring all your credit card debts onto a single low-interest (as low as zero per cent) credit card.

Personal line of credit: This requires you to open a line of credit to pay off the entirety of the debt that you have incurred

Isolating the primary reasons behind your debt

While debt consolidation might offer a linear path towards the first step of going fully debt-free, it is ultimately just a band-aid for a wound that you need to know how to avoid suffering in the future.

This means isolating the factors that led to the gradual swelling of your debt, change your ways and make the necessary changes to avert a similar outcome again.

Start off by studying your going over your past expenses with a fine toothcomb, such as your various bills, credit card statements, payment receipts. Then figure out where you're overspending and what you can cut down on. After you've pinpointed these things, start anew with a budget in mind, and ensure you maintain the necessary self-discipline to practice it.

You've still got to pay off the debt consolidated loan - Figure out how

Okay, so you've managed to consolidate your debt and are hopefully on your way to a debt-free existence soon. However, till then, there's the very real threat of not being able to pay off the loan consistently.

Merely making the minimum payments won't cut it this time around. It will only extend your repayment, during which you could stack up even more debt.

That's why you first need to decide what portion of your funds you can set aside for repaying the debt. For this, planning a budget revolving around set repayment amount would help. Apply the emergency brake on all non-essential expenditure and use any extra funds you may come into, such as bonuses, refunds, or even a secondary source of employment, towards paying the debt.

Avoid returning to uncontrolled spending

Consolidating all your debt frees up a fair bit of money. At least that's how it seems. But remember those funds are there to help pay off your loan and tide you over while you make changes to your spending habits.

The first step towards that new approach is curtailing your spending as much as possible. Hide your credit cards and avoid using them till your debt is paid off. However, do avoid closing out your credit cards altogether - especially your oldest cards - as the subsequent credit length reduction will impact your credit score adversely.

Avoid a long repayment tenure

We get it. When you've landed up in a sea of debt, funds are going to be tight. However, that doesn't mean a longer repayment tenure for your debt consolidation loan is a good idea. That's because you will end up paying more over time by way of interest. 

Before you settle on a debt consolidation loan, compare the repayment terms of each lender and pick the one with the shortest tenure.

Of course, if you're acutely short on funds, you may have no choice but to opt for a longer repayment tenure.

At mPokket, we firmly believe loans should be available at the drop of a hat, when you need it most, particularly students and young professionals whose dreams and aspirations are at a budding stage.

However, we also believe in fostering a sense of responsibility when it comes to paying off debts. To that end, we offer flexible repayment options that let you decide your own repayment schedule. We also offer incentives for timely settling of dues, such as raised credit limits and mCoins. This applies to both student loans as well as loans and salary advances for young professionals. So don't wait, download the app now and take an instant loans online after a quick, hassle-free and paperless process. 

In recent years, it has become easier than ever to obtain loans. Be it for buying a home or car or for emergencies and unforeseen expenses. The government too has encouraged citizens to take loans by reducing interest rates, and the continued move towards digitization has cut down on red tape and enabled quick loans with the click of a button, literally.

The higher accessibility of loans has encouraged people to hold higher aspirations and gun for greater glory. As a result, it has also increased expenditure and consumption across the board. Given the ease with which loans can be obtained compared to the olden days, many people get sucked into perilous debt traps following excessive spending. 

As a consequence, it has led to a dangerous piling up of debts for many individuals and put them in highly stressful situations. Having to track and pay off multiple loans and settle stacked up credit card debts while also having to set money aside for household expenses, travel costs, children's education can quickly overwhelm an individual.

This is where debt consolidation can be of some assistance. Put simply, it allows you to merge your loans. When you take a personal loan for debt consolidation, all your debts get merged into a single amount which can be paid off on a monthly basis. It essentially settles all your debts and leaves you with one loan to pay off, which you can do via a single EMI (Estimated Monthly Installment) if you wish.

Is debt consolidation a one-shot clearance of all debts?

It's worth noting that your debt obligation is not reduced by way of debt consolidation. Instead of getting rid of all your debts, it merely makes the process of paying them off considerably easier.

Remember that even after you're done paying off your pre-existing debts, there's still the task of repaying the consolidation loan itself. This will require you to keep making EMI payments for the duration of your tenure. The ultimate goal is to make you entirely free of all debt.

Debt consolidation requires you to sign a debt agreement

Like any debt agreement, debt consolidation loans too are contract agreements between the borrower and the lender of a financial entity. As such, the terms outlined by the contract dictate your eligibility to make further borrowings, rendering the consolidation loan ineligible for all but the repayment of your outstanding debts.

Additionally, it also commits you toward paying the debts within the passage of a fixed period of time, and delays could lead to fines.

Affordability

Thankfully, despite the seemingly binding nature of debt consolidation, it is deemed an attractive proposition. That's because of the higher overall flexibility that they offer as well as very marginal interest rates. Aside from that, they also offer the flexibility of letting you pay only the interest as EMI.

Debt consolidation not a substitute for unhealthy financial behaviour

As we've discussed, a debt consolidation loan is merely a way of streamlining your debts and not an easier way out. So when your spending habits put you in such dire straits that you need to consider a debt consolidation loan, it's a good time to step back and reassess your financial habits. Perhaps have a look at 10 money management tips you can take to the bank.

At mPokket, we firmly believe loans should be available at the drop of a hat, when you need it most, particularly students and young professionals whose dreams and aspirations are at a budding stage.

However, we also believe in fostering a sense of responsibility when it comes to paying off debts. To that end, we offer flexible repayment options that let you decide your own repayment schedule. We also offer incentives for timely settling of dues, such as raised credit limits and mCoins. This applies to both student loans as well as loans and salary advances for young professionals. So don't wait, download the app now and take an instant loan after a quick, hassle-free and paperless process. 

A credit card is undoubtedly one of the greatest inventions of our time. Being able to get around and take in everything the material world offers without having to fret about carrying cash on your person is a greatly relieving experience.

Aside from credit, it also offers you rewards and incentives that add more value to that experience.

However, despite being such a convenient asset, used improperly, a credit card could end up costing you. Sometimes, users let their credit balances spiral out of control and end up swimming in debt. But worry not. Every one of these situations can be brought under control or averted altogether, simply by changing some of your habits.

In this feature, we'll be looking at five of the most common credit card mistakes people make and how you can avoid them:

Don't stick to bare minimum payments

It's understandable that occasional cash flow slowdowns can force you to hold off on making a full repayment of your credit card bill and only pay the minimum due amount. However, while it's fine to do that once in a while, making a habit of it can snowball into a world of debt.

This is because the more balance you keep carrying forward each month, the more interest you eventually end up having to pay. Ideally, you should plan your credit card purchases in such a way that you can pay off the entire month's balance each time. But if you're unable to do that for some reason, at least do your best to clear off as much of the balance as possible.

Don't close your oldest credit card

A lot of people have multiple credit cards to their name. Aside from the basic convenience of having alternate cards to fall back on, credit card brands constantly tie-up with e-commerce outlets to offer enticing discounts and no cost emi deals if a purchase is made using their card. Having multiple options allows you to take advantage of the best credit card offers.

More importantly, however, maintaining multiple credit accounts over a long period of time boosts your credit score, since the average period over which you've held credit is one of the factors that go into calculating your credit score. Closing your oldest credit card also raises your credit utilization ratio, which hampers your score.

Too many cards in too little time

While there are some conveniences if you maintain multiple cards, as discussed in the previous point, adding up your card collection too fast can have negative consequences as well.

Keep in mind that every time you apply for a new credit card, your credit score goes down by a few points. And if you go berserk and fire off too many applications for new credit cards over a short span of time, you'll invite suspicion from your would-be lenders, who might even reject your applications.

Report a stolen card in time

Sure, it's invariably safer to carry a credit card instead of a fat stack of cash on your person. However, it's always worth remembering that your card holds the key to a large amount of money, which, in the wrong hands, could deprive you of a significant chunk of change.

Should you lose your credit card, it's imperative that you get on a call with your card provider as soon as possible and notify them of the theft. As soon as you've done so, you'll no longer be liable for any fraudulent charge made using your stolen card. However, every second you waste in reporting the loss buys valuable time for any would-be miscreants.

Don't take it to the max

We've all been in situations where the urge to splurge is high. Spend too much and you end up with a maxed-out credit limit. When this happens, your credit utilization ratio goes up and your credit score goes down!

And if you do it often and struggle to pay it back, it's likely that you're spending beyond your means. But if you're able to pay it back just fine, then perhaps, it's time to talk to your card provider about raising your credit limit.

As we've discussed above, punctual credit card usage can improve your credit score. Similarly, one of the many benefits of timely repayments after you take an instant loan from mPokket is a boost to your CIBIL score. This is because we have always encouraged responsible borrowing and to that end, we also offer incentives such as mCoins and higher borrowing limits.

So why not give it a try? mPokket offers instant loans for students online as well as instant loans for salaried of up to Rs. 50,000. Simply download the app from Google Play Store, register with a handful of documents, and avail instant loans that are transferred directly into your bank account. No fuss, no muss!

You might also like: What is CIBIL score? All you need to know about CIBIL score and How to check it using your PAN

We all love it when e-commerce platforms such as Amazon or Flipkart launch a sale. It's the perfect excuse for many of us to finally splurge on objects of desire that we had been curating on our wish lists for months.

The sellers realize this too. Besides the discounts on the products themselves, they also offer a plethora of convenient payment options so that you can take further advantage if you happen to be eligible for any of them.

Some examples of this include exchange offers, discounts specific to participating banks, and no-cost EMI. While the first two are self-explanatory and straightforward, there's a bit more to the latter than meets the eye. In this feature, we delve into the nitty-gritty of no-cost EMIs, including advantages and disadvantages that you ought to be aware of.

What is no cost EMI?

EMI, or Equated Monthly Installment, allows you to complete a purchase without having to pay the full payment at once. Instead, you can pay in smaller monthly installments that are calculated based on the tenure of your EMI; the lengthier the tenure, the higher the interest.

When should I opt for no-cost EMI?

Given that you'd even be considering paying by no cost EMI, it's apparent that the item you want to purchase is a pricey one. Therefore, It goes without saying that you should first affirm your decision to go ahead with the purchase only after assessing your financial situation. After all, there's no point in going ahead with an impulse buy using no-cost EMI and ending up paying more than what it would've cost to pay the whole amount upfront.

Only If you are certain that the item is something that you absolutely need, and you'll be capable of paying the monthly EMI on time during the entire course of the tenure, only then is no cost EMI a convenient mode of payment that you should consider.

Why it's not really ‘no cost'

If you're thinking that no-cost EMI implies getting to enjoy the best of both worlds, ie. not having to pay upfront and not having to pay interest, you'd be mistaken. This is because when you opt for no-cost EMI on a discounted product, you end up paying the original undiscounted price. And if the product isn't discounted, you will be paying interest.

Your favorite e-commerce sites offer no-cost EMIs with stipulated interest rates that are usually the equivalent of the discount being offered on the product. Depending on the seller and the financier of the loan, the interest rate can vary between 12 to 15 percent. Aside from this, the financier can also charge a processing fee, which is added to your total cost.

How no-cost EMI affects credit card users

Should you opt for no-cost EMI using a credit card, the amount payable gets deducted from your card's credit limit, which is then restored over the course of your tenure with each installment paid.

How no-cost EMI affects debit card users

If you're using a debit card, however, be aware that the whole amount is debited from your bank account and only credited back once the transaction is successfully converted to a loan after a few days. So you'll have to ensure your bank balance is enough to cover the full cost and also that you won't be in any temporary financial difficulty until the amount is credited back.

Merits of no-cost EMI

• You can purchase pricey items without needing to pay the entire amount in one go
• The amount can instead be paid over the next few months
• Over how many months you can stretch your installments depends on the length of your chosen tenure
• Not having to dish out a sizable chunk of money at one go and being able to pay a recurring installment instead helps you plan your monthly budget better

Demerits of no-cost EMI

• They are not supported by all financiers
• You end up paying more than you would have you paid the full amount upfront
• Some NBFCs only extend it to customers that have a credit score equal to or higher than a value specified by the offer
• In the event that you return the product and get a refund, you'll still lose the interest paid
• Not every product or brand is covered by no-cost EMI

When you absolutely need to purchase something that makes you want to opt for a no-cost EMI, you could also consider an instant loan instead. That way, you'd be able to purchase the item at the discounted rate itself. Also, as we've discussed above, a no-cost EMI via debit card requires you to have a bank balance equivalent or ideally, a bit more than the full price of the product. mPokket offers loans of up to Rs. 50,000 for students, instant loans for salaried of up to Rs. 50,000 and even salary advance loan, and it's transferred straight to your bank account after a fast, paperless approval process.

Whenever you seek a loan or apply for a credit card, one of the eligibility parameters set by the lender includes your CIBIL score, a three-digit number that measures your creditworthiness, and based on it, the loan or credit gets issued.

CIBIL, which stands for Credit Information Bureau (India) Limited – now renamed TransUnion CIBIL – is India's leading credit information company, and calculates the credit scores of individuals.

We have already discussed what a CIBIL score is and how to do a CIBIL score check. Today, we'll go over the ways in which you can resolve a CIBIL dispute.

Despite the best measures taken by TransUnion CIBIL as well as the lenders to maintain a high level of data accuracy, sometimes, errors still find their way into the system. Should your credit report be affected by incorrect information as a result of such errors, your credit score stands to be jeopardized.

First, it is important to know what types of CIBIL disputes there are:

1. Individual Dispute

Errors or inaccuracies in the CIBIL report of an individual can be down to incorrect personal details. An example of this would be the misspelling of a person's name, such as Rahul Mehta written as Rahul Mehra. It could also be down to the incorrect entry of details such as an address, company name or PAN number, or even an errant payment status.

It could even be a case of duplicate accounts, resulting in a single loan reflecting twice on the individual's CIBIL report and subsequently, the lowering of their score overall.

To resolve such disputes, the individual has to file a CIBIL dispute form.

2. Company Dispute

Company Disputes come about when there are discrepancies in a company's credit report. Just as with individual disputes, company disputes could also be down to the existence of a duplicate account or data discrepancies.

A company dispute can be filed via a CIBIL dispute form submitted by the company's authorized signatory.

However, keep in mind that company disputes can't resolve issues pertaining to account number, member name, enquiry date and control number.

How to raise a CIBIL dispute?

You can raise a CIBIL Dispute resolution request to resolve any issues that you have with the CIBIL report or the company's credit report. If you've already registered on CIBIL, you can raise a dispute simply by logging into your member account and following the steps listed below:

• Log in to ‘myCIBIL'
• Click on the ‘Raise a Dispute' tab
• Select the section that you want to dispute
• Select your account
• In the case of a dispute over duplicate information or ownership, choose that option under ‘Dispute Type' and enter the particulars of the dispute.
• In the case of a dispute arising due to inaccurate data, specify the correct value for the respective field and click ‘Submit'.

Should you not have an account, you'll have to fill out the CIBIL online dispute resolution form at the following URL:

Link to online dispute form (For individual disputes)

Link to commercial dispute resolution form (For company disputes)

While online dispute resolutions are your quickest bets to resolve any CIBIL report discrepancies, you also have the option to write and mail in a letter to their Mumbai office at the following address:

TransUnion CIBIL Limited

One World Center, 19th Floor, Tower 2A and 2B,

841, Jupiter Textile Mill Compound, Senapati Bapat Marg,

Lower Parel, Mumbai – 400013

CIBIL dispute resolution process

Once a CIBIL dispute is raised, discrepancies and errors found the following scrutiny are labeled ‘under dispute', following which CIBIL approaches the lender in question and corrects the mistakes. Meanwhile, you will be updated on the status of your CIBIL dispute by email every seven days, and once your report is corrected, you will be notified by SMS.

Keep in mind that this process could take around 30 days. This is because CIBIL doesn't make changes to your report before approaching the financial entity in question. Only following the necessary authorization from them does CIBIL go ahead with any amendments.

When you take loans from mPokket, be it an education loan, a service loan, or a salary advance loan, timely repayments improve your CIBIL score, which will help you be eligible for larger loans and even improve your employment prospects. Simply download and install the app, register by uploading a handful of documents, and post-approval, borrow instant personal loans of up to Rs. 50,000, based on your credit score and your repayment history. mPokket instant loans for students online and instant loans for salaried are both credited straight to your bank account.

Friends and family are the biggest pillars of support in our lives. They know how to cheer you up on the dullest day of the year. You tend to bank on them even during times of a financial crisis. Unplanned spending and irregular investments may lead you into a financial crunch during emergencies. But is borrowing money from family members and friends a good idea?

Asking your parents or a friend for a loan may sound normal and you may get benefits like flexibility for repayment, nominal or no interest, and no security to compensate non-payment. Though it sounds simple and easy, it may give rise to several undesirable issues.

5 Reasons why you must not borrow from family and friends

Here is a list of top 5 reasons why borrowing from friends and family is a bad idea:

1. Loss of income from interest:

Your loved ones would not charge you interest while lending you money, even if they agree to it, the rate of interest would be much lower than bank interest rates for a personal loan. It is beneficial for you, but the lender will be losing on interest income he could have earned on that money. To avoid such losses to your loved ones, it is advisable to approach a bank or financial institutions lending money.

2. Repayment may not be easy:

Your family and friends do not lend money for interest, so in most cases, there is no paperwork. In the absence of written repayment terms, it is hard to decide a timeline and they may ask you for the money soon after. In such a case, you may either be unable to pay the amount or will have to take further individual loans to repay the earlier one. When borrowing from a Bank your repayment terms are well laid out on paper and you can even improve your credit score with timely loan EMI payments.

3. Indebtedness:

Borrowing money from family and friends leaves you feeling indebted to them forever. In case you are unable to repay the loan amount, you will feel awkward facing the person each time you meet them. Even after the personal loan repayment you will remain obliged to them for helping you in your tough times. The scenario is entirely different when you apply for a bank loan online or offline. Since the organization deals in furnishing loans to those in need, you don't feel they have done a favor for you. Unlike your dear ones, you can freely visit the bank or financial institution for other services.

4. Landing into a stressful situation:

You borrow money from your loved ones with a strong intention to repay, but if your budgeting fails you may not be able to do so. This can be stressful for you and your dear ones. Also, in case the family member who lends you loan money needs it back urgently due to unavoidable reasons you cannot deny paying them. Borrowing money from family and friends is similar to taking an unsecured loan, and it might lead you into unexpected trouble. Banks however will not pressurize you to make an early payment and there won't be any issue if the loan EMI is paid on time.

5. Ruining relationships:

You owe your family or friends a favor once you borrow money from them. Even if you are able to repay the loan amount on time, you will feel guilty if you are not able to help them during their low time and return their favor. In case of an emergency, they may expect you to help them out, but you may not be in a position to support them. Such instances ruin even the closest relationships. Availing loans from a bank or financial institution ensures you don't land in such unpleasant situations.

Save Yourself

An important lesson in financial management is to ensure your savings are enough to allow you to survive through a minimum of 6 months. But still, sometimes you might end up in a financial fix. Save yourself from the guilt and humiliation arising from the above-mentioned issues during such phases. You must steer clear of involving financial matters in personal relationships. Keep the awkwardness of money discussions away from family chitchats and friendly gossips.

It is advisable to keep your financial situation discreet by applying for bank loans or trying online money lending options. Easy EMI arrangement makes repayment feasible and gives you more peace of mind.

Avoid risking the hard-earned money of your near and dear ones. Adopt money lending techniques that are low risk. mPokket offers low-rate loans for all your emergency needs. Our quick paperless process allows you to apply for an instant personal loan online. Download India's top-rated instant loan app for students and young professionals. Upload the required documents to support your loan application. Once approved, the loan amount is instantly transferred to your bank account.

Loans are an indispensable part of our lives at some point or the other. However, before taking a loan, it's important to be fully aware of the different types of loans, and their benefits or caveats.

When it comes to loans, there are two main types – Secured and Unsecured. You must be aware of the differences between the two types of loans so that you can avoid getting into an undesirable situation later on.

The key difference between a secured and unsecured loan is that you have to provide some type of collateral for the former. This one difference has a significant impact later on, as it affects your interest rate, borrowing limit and repayment terms, among other things.

Keeping that in mind, let's delve deeper into the two types of loans, beginning with secured loans.

What is a Secured Loan?

A secured loan requires the borrower to pledge an asset of roughly equal value as the loan amount, such as land, property, vehicle, and jewellery. This is known as collateral.

As a result of the collateral, the lender is at minimum risk since he can simply seize the asset in case of non-payment of the loan by the borrower.

Also, secured loans are usually more difficult to qualify for than unsecured loans, and feature high borrowing limits, and allow for long tenures of repayment.

Why you should consider a secured loan:

They are low-interest loans.

The borrowing limit is high

They allow for a long repayment period.

Why you shouldn't consider a secured loan

Despite the above-mentioned advantages such as lower interest rates and longer repayment tenure, should you still be unable to pay back your loan on time, the lender will seize or sell your collateral.

Your credit score will be affected negatively too, in case of non-repayment.

What are typical examples of secured loans?

Home Loans: This is one of the most popular types of loans from banks. In this case, the new home for which you are taking the loan is the collateral.

Gold Loan: Those in dire need of money can pledge their gold as collateral to obtain a bank loan that is around 75 percent of the gold's value.

Car Loan: After a home loan is paid off, the next step for many people on their way up in life is a car loan. The car is the collateral in this case.

Loan Against Property: When you mortgage your residential or commercial property as collateral, you're eligible for a secured loan at a considerably low-interest rate.

What is an Unsecured Loan?

Unsecured loans, as we mentioned earlier, are not backed up by any sort of collateral such as property, jewellery, etc. As a result of being loans with collateral not involved, it is the lender who bears the highest risk in the case of unsecured loans. Due to this, unsecured loans usually have significantly high-interest rates, much more so than secured loans.

Also, as a result, unsecured loans are for much smaller amounts than secured loans.

Why you should consider an unsecured loan

If you can make your loan repayments on time, you'll improve your credit score.

There are usually not too many terms and conditions in unsecured loans, and whatever criteria have been set are relatively simple.

In the event that you're unable to pay back your loan, there are no assets pledged to the lender which they can seize

Unlike secured loans such as home loans or car loans, for example, you have greater freedom to use an unsecured loan for any purpose that you see fit.

Why you shouldn't consider an unsecured loan

Interest rates on unsecured loans are very high

Repayment schedules are very short, and coupled with the high-interest rates, can be difficult to keep up with

In case you fail to make timely repayments on a loan, your credit score is at risk of taking a beating.

What are popular examples of unsecured loans?

Credit Cards: This is one of the oldest forms of unsecured loans, where you're billed once a month, and interest is charged on any outstanding balance.

Personal Line of Credit: While similar to credit cards, a line of credit loan usually comes with a far lower interest rate. Also, they come up with an approved credit limit that can be used any way you like.

Personal Loans: These are loans for personal use and can be used in a variety of ways, such as medical, phone bills, travel, studies, and based on your credit history, and the loan amount can range from a few thousand rupees up to a few lakhs.

One of the best ways to obtain personal loans is by using a instant loan app, and few in the industry can match mPokket's user-friendliness and convenience. Apply loan for up to Rs. 50,000 and repay with flexible repayment options. Just download the app and join the 7+ million users who have tried it before you and see for yourself!

Loans used to be a lot tougher to obtain in the olden days, but in recent years, obtaining quick loan money is a cinch. With the cost of living showing no signs of letting up, personal loans have begun to play an important role in our day-to-day lives.

Being able to afford daily necessities at the end of the month, or pay for a night out with friends, or even emergencies for which you need urgent money, is sometimes only made possible, thanks to the convenience of a personal loan service that loans money almost instantaneously.

However, while it feels good to get a personal loan easily, it is just as important to pay it back on time. This helps keep your financial standing in good shape and also saves you time and money in the long run.

With that in mind, we look at 5 ways to repay loans on time.

Foreclosure

As we have discussed, we usually need personal loans to pay for debts that are short-term in nature. However, repayment of these loans is a long-term process, as you have to pay back the principal amount with the interest levied on it, over a 12-month period (and sometimes up to 60 months).

If you don't want to have this hanging over you and possess the necessary savings in your kitty, you can get out of it by foreclosing your personal loan. Note that this only is possible once your loan's lock-in period is over, and also, you will have to pay a penalty charge.

Regardless, it's still cheaper in the long run, compared to paying the full interest over the originally stipulated tenure, and it eases your financial pressure.

Consider a Part-Time Job

A lot of students work part-time, in order to pull off their education loan repayment. This allows you to get an early start on the road towards settling your debt. While it can be stressful to juggle your studies and work, it's worth considering if don't see yourself coming into the kind of finances that you would need to foreclose.

You can also go one better and invest the money you earn from your part-time job and then pay off the loan upon finishing your course, with the cumulative sum derived upon investment maturity.

Prioritize From High to Low

It's important to keep in mind that the interest rate of a personal loan is higher than loans for a home or vehicle, for example. As a result, you could dig yourself into a hole if you let them pile up.

So, while you may have a bunch of loans on your plate, make sure to prioritize the personal loan repayment. Doing so will also ensure you pay it off faster.

Debt Consolidation

Another alternative for those with too many loans on their plate is to consider debt consolidation. With so many loans to repay, managing them could get out of hand as the interest rates stack up, making it an uphill task to even pay off your monthly EMIs on schedule.

Debt consolidation allows you to consolidate all your loans into a single entity, altogether removing the headache of paying off multiple loans on varying interest rates. You can make a single payment every month, at a fixed rate of interest. Not only that, when you go for a debt consolidation loan, you'll end up paying a lower interest rate, thus easing the burden of managing your finances.

Personal Loan Balance Transfer

Just like debt consolidation, another alternative which you can avail is a personal loan balance transfer. Say you are not entirely satisfied with your existing lender or your existing credit limit is too low, a personal loan balance transfer offers a quick out for you.

Put simply, it's a process where you transfer your entire outstanding personal loan from one bank to another, and the new bank extends a lower interest rate on the outstanding loan amount.

Do keep in mind, however, that you need to have a good credit score to avail a personal loan balance transfer.

A good credit score is just one of the many benefits of timely repayments when you take an instant loan from mPokket. We have always encouraged responsible borrowing and to that end, we offer incentives such as mCoins and higher borrowing limits.

Simply download and install the mPokket app from Google Play Store, register with a handful of documents, and avail of instant loans up to Rs. 50,000 directly into your bank account.