Debt Consolidation Loans For Credit Cards Settlement & Informal Debts

What is debt consolidation and credit card settlement?

Debt consolidation loan is a loan which can be taken in order to pay off other debts. Thus by consolidating many small debts with one debt, one gets favorable payment off terms and lower burden of EMI.

For example, let's assume there is someone who has many small informal debts or credit card dues (with very high monthly interest rate) causing him financial imbalance and trouble in budget management. In order to save himself from this trouble, he can take a loan through Lendbox and fully repay all these debts turning multiple monthly EMI's to a single EMI. These EMIs are usually cheaper than these multiple debts.

How Can Lendbox Help You Get Rid Of Your Debt?

Lendbox is an Indian peer-to-peer lending platform that provides loans to individuals through banks, non-banks and private lenders. Peer to peer lending is a process in which a borrower borrows capital from an individual or multiple lenders at negotiated interest rate through an online platform like Lendbox.

Whether it's an informal debt or credit card dues, you can take a loan with Lendbox for any personal matter. Debt consolidation through Lendbox or peer to peer (P2P) lending is a great way to manage all your loans and it enables you to combine all your outstanding dues into one easy payment system. It makes your life easier in several ways.

Unlike formal financial institutions like banks which give loan on the basis of just few factors, Lendbox give loans on the basis of borrower's personality, which is determined by his salary and 400 other parameters. So, even borrowers who do not qualify for banks can get a loan from Lendbox if they are financially capable and healthy to pay back the loan with interest.

Features of Lendbox debt consolidation loan:

Easy registration

Registering and applying for a personal loan on Lendbox is a very quick and hassle-free process. You can upload all the KYC documents online hence no physical paper work is needed. Apply instantly through your desktop, laptop or even mobile.

Reasonable interest rates

Interest rates depend on our credit assessment that includes understanding your financial stability. A borrower with a healthy credit rating can get a loan at an interest rate of as low as 11.49% per annum.

No pre-closure fees

Unlike banks and NBFC', here you can prepay the loan earlier than its age without any penalty or pre-closure fees.

How to apply for a debt consolidation loan?

As mentioned above, it is very easy to apply for a loan on Lendbox but before applying, make sure you are eligible and have all the necessary KYC documents ready. You can find eligibility criteria and required documents further below in the post. Also make sure you have a stable internet connection and mobile phone available for OTP verification.

Now, follow these steps:-

• Use the "Apply now" button on top of the page or open the https://app.lendbox.in/signup/borrower in a new tab of browser or click on this link.
• Fill out all the details as per your KYC Documents
• Make sure to choose "debt consolidation" or "Credit Card Consolidation" as your loan purpose
• Upload the copies of all the required documents

And you're good to go! After completing the process, we'll contact you with the further details.

If you're eligible for a loan then you'll get an activation mail and a call from our representatives within few hours. Sometimes, it can take up to 24 hours in activation and approval. Once activated, you will be able to access the interface of our state of art p2p lending platform.

Eligibility & Required Documents

In order to apply for a debt consolidation loan with Lendbox, you must meet the following eligibility criteria.

• You must be Indian resident.
• Minimum eligible age is 22 years
• You must have an Indian bank account
• You must a valid Indian ID proof
• Your monthly net income should be at least Rs. 25,000

If you meet all these criteria then you are eligible enough to apply for a personal loan through Lendbox. While applying, you'll have to upload copies of the following documents for verification and credit assessment.

Note: Documents with (*) are mandatory.

Repayment of loan

You can choose the repayment tenure from 3 to 60 months on the platform. You will have to start paying EMI's from the next month of disbursement and have to pay a processing fees of 2-6% of the loan amount.

A borrower has to pay his EMI between 1 to 10th of each month and if he is unable to pay the dues on time then a bounce charge is levied along with a penal interest of 2% p.m.

There are no charges for early payments. A borrower is allowed to pay his debt before the end of tenure without any additional charges.

Cancellation and Refunds

In case a borrower's credentials don't match the required parameters and he is not qualified to get a loan then Lendbox has all the rights to cancel his loan application. If at any time during the process any problem arises then Lendbox can terminate the account of concerned user.

If a person's account gets terminated after paying any fees then he will be given a refund of upto 50% depending on the circumstances of termination.

For any more queries regarding cancellation and refunds you can check the FAQ page of Lendbox.