Take Loan against Your Means, Living as Surety

Instant approval, No documents required! Zero p.c. interest. Terms up to 20 years.

These are all catchphrases of different loan schemes that an average person of Kerala faces everyday. The only qualification you require – to be able to prove that need no loans.

Ironical but true, loans are sold to persons who don’t just want a loan at the time. Persons who badly require a loan have to make in excess of hundred trips to his/her bank to prove he/she has or will have the facilities to repay the loan.

Imagine the following situations

A farmer/small scale business man: “Sir, I am in a bad financial condition and I need a loan”
Banker: “Really, come back with the documents proving the ownership of your home and walk around in knees.”

Financially well settled person: “Hey, I don’t have new projects and need no loans now.”
Loan sales person: “Sir, you are a VIP Customer of ours for years and you have pre-approved loan. You can use the money to buy a new car or import a Chihuahua from Italy”

The unsuspecting VIP customer, mostly against his/her better judgment decides to take the money for time being.

What is the interest rate? Oh, it is just 2 %. Wow, wonderful are you sure my dear financier? Yeah, it is true, our interest rate is only two percent for a month.

A month? That is 24% a year.

It can be said that way too, a head-scratch by the banker but quickly regain posture.

Sir, we have special offers for our VIP loan customers – special privilege gold credit card, chances to participate in lucky draws…

Finally the VIP customer decides to take the money.

After a while the VIP customer loses his means to repay the money, what happens next? Read about loan re-collection techniques adopted by banks and financial institutes.