Pre-Approved Personal Loans: 5 Questions to Uncover Hidden Costs

• Always check the type of interest rate (fixed/variable) and the actual rate you'll receive, not just the advertised one.
• Determine the exact amount credited to your account after all fees, insurance, and charges are deducted.
• Understand prepayment and foreclosure rules, including part-prepayment options, lock-in periods, and associated charges.
• Evaluate EMI, tenure, and loan flexibility, focusing on the total repayment amount and options for managing cash flow.
• Review all potential penalties, such as late payment charges and bounce fees, and assess the lender's customer service.

Why It Matters: It helps you avoid hidden costs and make smart personal loan decisions.