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28 DECEMBER, 2021
Personal loans have become a go-to option to fund your various needs. It does not have end-use and so can be used for multiple purposes. The ease of availability and quick disbursal add to its benefit, making it a preferred option whenever someone needs funds. However, as it is quickly approved, often people end up miscalculating things and avail a wrong tenure.
You know that your choice of tenure can affect your EMI amount. Typically, a personal loan is offered for 1 to 5 years. The longer your tenure, the lower your EMI and vice versa. However, a longer tenure means you spend more time under the debt. Lenders allow you to choose the tenure as per your financial comfort. Unless you know which one is better, short tenure or long tenure, it could be challenging to make the right choice. For better understanding, go through the details below.
What Is a Short-term Personal Loan?
Long-term Personal Loan
The best way to choose between a short and long tenure is to assess your finances and needs. If you can pay a higher EMI comfortably, you can opt for a short tenure, and save on interest costs. However, if you have other commitments and want time to repay, you can opt for a longer tenure. Whatever tenure you choose, ensure that you check your affordability and eligibility before you apply for an instant personal loan.
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