Becoming a doctor is a noble profession, from dedicating their lives to helping better the lives of countless people to even saving numerous individuals. Becoming a doctor takes years of dedicated studies, determination, and perseverance.
nnnnBut along with that, it also requires significant financial investment. From setting up a private clinic to expanding your business, from buying expensive medical equipment to paying off student loans, there are a lot of costs attributed to doctors.
nnnnThis is why a specialized loan for doctors is offered to us in the form of a doctor’s loan. But what is it, how to get one, and what factors affect doctor loan interest rates? Let’s explore.
nnnnWhat is a doctor’s loan?
nnnnA doctor’s loan is also referred to as a physician’s loan. It is a specialized loan offered to medical professionals with government or self-owned private clinics or hospitals and doctors who work as consultants to help expand their business.
nnnnThis is typically different from a doctor’s personal loan, which is a personal loan offered to doctors for general purposes, or a medical equipment loan, which is offered to doctors to purchase expensive medical equipment to set up their business and provide better care to their patients.
nnnnWhat are the factors that influence interest rates?
nnnnSeveral factors influence doctor loan interest rate, and ones you can tweak slightly to get better interest rates when repaying the loan.
nnnn1. Loan Amount
nnnn2. Loan Duration
nnnnHow much loan amount an individual is seeking can result in a difference in interest rates. For example, if a renovation is for 30 Lakhs and you request a loan of 25 lakhs, the interest rate might be higher than if you took a loan for 20 lakhs.
nnnnLoan duration also impacts the interest rate, with longer duration resulting in higher interest rates.
nnnn3. Interest type
nnnnThere are also different types of interest rates for home loans, which are usually fixed and floating rates. This can result in a difference in doctor loan interest rates in India.
nnnn4. Credit Score and History
nnnnA good credit score and history can lead to favorable terms for a home loan with better interest rates and repayment options.
nnnn5. Income and employment stability
nnnnA stable income and job stability offer lenders better confidence, resulting in lower interest rates.
nnnn6. Loan purpose
nnnnThe purpose of the loan can also impact interest rates in terms of secured or unsecured loans. For example, purchasing a property using that loan can have lower interest rates.
nnnnHow to get a doctor’s loan?
nnnnI have been a practicing physician for several years and wanted to expand my clinic as I hired new doctors to offer more holistic care to our patients.
nnnnThis, however, required a lot of additional investment as the costs increased exponentially. After consulting with my fellow practitioners, I landed on Bajaj Finserv as my loan provider. Bajaj Finserv Doctor Loan offered preferable terms, allowing me to expand my business and help more patients.
nnnnAfter referring to their website, I just downloaded the app and found everything nicely listed there, including a loan calculator to help me assess how much this loan would cost me and which is the best option for my finances.
nnnnConclusion
nnnnWith this, you would know what affects the doctor loan interest rate in India and can optimize your repayment accordingly to get favorable terms.
nnnnWith the help of this loan, you can start helping even more people and expand your business along the way.
n