Medical Loan

Tata Capital Medical Loan

Benefits/Key Highlights:

1. Individuals who wish to apply for this loan can check their eligibility online within a matter of minutes.

1. Once your loan application is verified, you will receive instant approval.
2. The lender offers a Flexi EMI plan.
3. No collateral or security is required to avail a medical loan from Tata Capital.
4. Minimum paperwork is required to apply for this loan.
5. Part-payments can be made 6 months after availing the loan without having to pay an additional fee.

*Note: For the EMI and repayment calculation, it is assumed that a loan amount of Rs.5 lakh has been availed for a 3-year term at an interest of 10.99% p.a. In this illustration, it is also assumed that a processing fee of 2% of the loan amount has been levied by the lender.

**The repayment amount includes the principal borrowed, total interest, and the processing fee charged.

Penalties/Internal Charges:

1. Part-payment fee: 2.5% of the amount paid plus GST, if the amount paid amounts to over 25% of the principal loan amount
2. Penal Charges: 3% per month on the outstanding amount
3. Loan Cancellation Charges: 2% of the loan amount or Rs.5750 (whichever is higher)
4. Foreclosure Charges for top-up: 2.50% of the remaining principal balance on the existing loan in the future
5. Statement of Accounts: Rs.250  
6. Duplicate Repayment Schedule: Rs.550  

SMFG India Credit Medical Loans

Benefits/Key Highlights:

1. The lender gives prospective borrowers the option of checking their eligibility for this loan online.
2. Those who wish to apply for the loan can submit an online application form on the lender's website and upload the required documents. Once your application and documents are verified, the lender will give online approval to the applicant.
3. Money is disbursed into your account in a timely manner in order to ensure that you have immediate access to the required sum of money.
4. Fullerton India does not require loan applicants to submit any collateral when applying for this loan.

*Note: For the EMI and repayment calculation, it is assumed that a loan amount of Rs.5 lakh has been availed for a 2-year term at an interest of 11.99% p.a. In this illustration, it is also assumed that a processing fee of 5% of the loan amount has been levied by the lender.

*The repayment amount includes the principal borrowed, total interest, and the processing fee charged.

MoneyTap (Medical Loan)

Benefits/Key Highlights:

1. The lender offers real-time approval of the loan amount.
2. With this loan, you can withdraw as much you need, subject to a minimum loan amount of Rs.3,000 and a maximum of up to your approved loan limit.

1. Borrowers are only required to pay interest on the amount that they use.
2. When applying for this loan, applicants are only required to submit a proof of address and proof of identity.

*Note: For the EMI and repayment calculation, it is assumed that a loan amount of Rs.5 lakh has been availed for a?2-year term at an interest of 13% p.a.

**The repayment amount includes the principal borrowed and total interest charged.

Features and Benefits of Medical Loans

Listed below are a few features and benefits of medical loans:

1. Loans are approved quickly.
2. No security or collateral is required.
3. The loan can be repaid in installments.
4. Medical loans can be availed by both salaried and self-employed individuals, subject to the lender's terms and conditions.
5. Simple and minimal documentation is required to apply for a medical loan.
6. The loan money can be used for any sort of medical expense.
7. Flexible loan repayment terms are offered.
8. Many lenders give applicants the option of applying for medical loans online.

Things to Consider When Applying for a Medical Loan

Before you apply for a medical loan, here are a few things that you should take into consideration:

1. Disbursal Time: In a medical emergency, you will likely want to receive the funds immediately. Thus, it is vital that you check the disbursal time of the loan. For medical emergencies, it is best to opt for a medical loan with the least disbursal time. 

1. Interest Rate: There are several lenders that offer medical loans at varied interest rates, decided based on the lender's terms and conditions. Given this, it is in your best interest to check and compare the interest rates charged by different lenders. Although the interest rate should not be the only factor that you consider when applying for a medical loan, it is advisable to opt for a medical loan with a comparatively low interest rate to keep the overall cost of your loan low.
2. Other Charges: Lenders usually levy charges like the processing fee, pre-payment charge, pre-closure charge, dishonour charges, penalty charges, etc. Before you apply to a particular bank or financial institution for a medical loan, you should ensure that you compare the various fees charged by different lenders.
3. EMIs Payable: Make sure to use the EMI calculator, which you are likely to find on the official website of the lender or on a third-party financial services website, to check and compare the payable EMI for different lenders. The EMI payable will vary based on the loan amount that you choose, the interest rate charged on the loan amount, and the loan tenure. It is recommended that you avail a loan with affordable EMIs.
4. Credit Score: Your credit score will affect the interest rate that you are charged for a medical loan. If you have a good credit score, you will be charged a lower interest rate. Further, you may also be able to negotiate with the lender for a better interest rate. Thus, before applying for the loan, it is in your best interest to check your credit score.

How to Apply for a Medical Loan

Lenders, today, give prospective borrowers the option to apply for medical loans through online channels or by directly visiting their branch. Once you have checked your options and have decided which lender to apply to, you can apply for the loan online through the lender's website, if this option is available. In this case, you will need to visit the official website of the lenderand click on 'Medical Loan'.

Once you are on the medical loan webpage, you will need to click on 'Apply Online', which will redirect you to another webpage. Here, you will need to fill up the online application form, wherein you may be required to key in a few details such as your name, date of birth, mobile number, your city of residence, net monthly salary, etc. Once you fill up the required details, you will need to submit the online application form. Post this, you can expect representatives from the bank/financial institution to contact you.

If you wish to apply for the loan through offline channels, you will need to directly visit the lender's nearest branch and submit the application form and the required documents.

If you require funds to pay for your medical expenses, you can opt for a medical loan or a personal loan with quick disbursal. Make sure to compare the various loan options and apply for a loan that is well suited to your requirements.

Medical Equipment Loan

If you are a doctor who is planning on starting his own practice or someone who is about to open a hospital then you are going to need to get some equipment together and that is where medical equipment loans come in. The whole healthcare industry is quite expensive these days. Studying to be a doctor is expensive, availing the services of a doctor is expensive and so is the equipment that is used to treat people. For example the x-ray viewer can cost approximately Rs. 13,000 for the basic models, one 47 litre oxygen cylinder can cost about Rs. 16,000 and examinations tables could be as much as Rs. 12,000 and above. A single MRI machine could set you back by about Rs. 1 crore.

Now imagine ordering all this in vast quantities for a fully functioning hospital. Just the thought of the cost alone is enough to give you the shivers. These costs are the reason why many banks and financial establishments offer loans for medical equipment. These loans are extended to dentists too although the limits on the loans for dentists may be different from those offered to other doctors and hospitals.

Types of Medical Equipment Loans

Medical equipment loans are just one type of a loan offered under the umbrella of healthcare loans but they too can be categorised into 3 main types.

Loans for doctors

This is a loan that can be taken by doctors who intend to open their own medical facilities. The amount that you will be eligible to take would depend on the bank you approach. For example if you approach Dena Bank then you can borrow up to Rs. 2 crore with a maximum margin of 25%.

Loans for non-individuals

Saying non-individuals refers to partnership firms, private companies, trusts, proprietorships, etc. These loans are different from those meant for individuals because they tend to have higher limits on the amount that you can borrow.

Loans for dentists

These loans are designed specifically for dentists and the amount you can borrow is lesser than the loan for doctors.

Alternative Financing Options for Medical Expenses

Loans for medical equipment is just one aspect of the loans provided for the healthcare industry. Some of the other loans provided are:

1. Infrastructure loan: This is a loan that can be taken help pay for the construction of a hospital or the premises of clinic or any other facility engaged in health services.
2. Working capital finance: This is a loan that can be taken to ensure that you have funds to conduct your daily business and can be taken as a cash advance or as an overdraft.
3. Merchant establishment loan: This too is a form of Working Capital Loan which can be taken against the credit card swipes every month.

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