Things You Should Consider While Taking a Personal Loan for Doctors

personal loan for doctors

By 2024, the population of India is anticipated to cross 144.75 crores. Alongside this, the doctor to population ratio will be 1.03 medical professionals per 1,000 individuals. This number is an indicator that, with the passing years, doctors will be burdened with more number of patients. Thereby, they also need to be better equipped to provide the required medical services adequately. 

In this regard, it is quite apparent that they will need more working capital to expand their clinic, purchase new medical equipment, hire assistants, and other recurring expenses. They may also need to upgrade themselves with concurrent technological advancement in medical science. Personal expenditure is another aspect that may require additional funding.

In such a scenario, a personal loan for doctors can prove to be beneficial. For instance, they can avail of this loan to go abroad to earn advanced degrees in medicine, finance their children’s education, and several other personal or business purposes.

Points to remember before availing a personal loan for doctors

As a borrowing option with no end-use restrictions, a personal loan is available for any eligible individual. However, keeping the needs of individuals from different professions, top lending institutions in India offer customized personal loans for doctors, chartered accountants, and engineers as well. While these loans offer a plethora of benefits, they also come with different terms and conditions. Before availing such a loan, borrowers need to be aware of accompanying features to maximize the benefits. 

The following are the factors that healthcare professionals should keep in mind before opting for a personal loan for doctors.

  1. Consider your repayment capacity

Before deciding on the amount of personal loan for doctors, healthcare individuals need to determine how much loan amount they can afford as per their repayment capacity. As a matter of fact, the repayment of loan requires a steady source of income. Along with that, borrowers should also determine the repayment tenure and assess the EMIs payable before applying for one. 

2. Negotiation for interest rate and other terms

A personal loan can be an excellent option that provides doctor finance with the best advances in the market, maximizing borrower benefits. Thus, to gain the upper hand at negotiation, you need to maintain a good credit history so that the lenders ascertain a positive repayment capacity. A credit score of 750 or above allows lenders to provide you with a loan at competitive rates and other facilities.

Financial institutions like Bajaj Finserv also offer Personal Loan for Doctors up to Rs.25 lakh at nominal interest rates and flexible tenure. 

They further provide pre-approved loan offers that make loan processing less complicated and more time-saving. Such offers are available for several financial products, like personal loans, business loans, etc. You can check your pre-approved offer simply by entering your name and phone number. 

3. Calculate EMIs beforehand

Such loan repayment involves payment via equated monthly installments that include both the principal and interest components. The EMIs further depend on the tenure, interest rates, and loan amount applied for. Estimating the EMIs beforehand helps individuals make an informed decision. You can use an online EMI calculator to gain an idea regarding the EMIs payable towards your personal loan for doctors and apply accordingly. 

4. Check your eligibility 

Lenders lay down specific eligibility criteria for a personal loan for doctors that healthcare individuals must fulfill before applying. Hence, it is of utmost importance to check the eligibility requirements of your lender and also to know how to be eligible for a doctor loan. For instance, the eligibility criteria for an MBBS doctor and a specialized MS doctor won’t be the same.  

Along with understanding the nitty-gritty of availing a personal loan for doctors, medical practitioners should also learn about some essential tips for better patient engagement that would help improve their services. It will not only increase patient footfall but will also ensure easy practice expansion to new locations. 

Over the years, the population in India has increased drastically, while the number of doctors remained comparatively low, resulting in a stinted doctor to population ratio. It is anticipated that by 2024, there will be approximately 1 doctor per 1,000 individuals. Therefore to compensate for this lack, doctors need to be more efficient with the healthcare services they provide.