Loan Calls: Friend or Foe? Navigating Personal & Auto Loan Offers

• Banks, NBFCs, and loan aggregators aggressively push personal and auto loans through cold calls, WhatsApp, and app notifications as a cheap way to grow their retail loan books.
• The term "pre-approved" often misleads; it typically means basic eligibility is met, but interest rates, fees, and fine print are revealed later and can be costly.
• Personal loans are unsecured and costly, while auto loans can have hidden surprises like longer tenures increasing total interest or dealer-linked higher rates.
• Desperation due to financial vulnerability can lead borrowers to accept loans without careful review, making them susceptible to aggressive pricing and rigid recovery terms.
• Always compare rates from multiple lenders, understand total repayment, and check for hidden charges like foreclosure fees or compulsory insurance before accepting any loan offer.

Why It Matters: Approach unsolicited loan offers with caution; compare terms thoroughly to avoid expensive mistakes.