Finance Blog


Here is How a CA Loan Can Prove Beneficial

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Becoming a CA is no easy task. But neither is starting a business. And it takes considerable efforts and discipline to start your own company as a CA. But when it comes to your finances, a CA Loan can certainly help ease your worries.

Here is how you a CA loan can prove to be beneficial:

Prevents You From Using All Your Savings

You are certain to need some savings for your personal expenses and any possible emergencies. A CA loan makes it easier to fulfil your dream while also easing financial stress.

No collateral or Guarantors Required

You are not required to submit any collateral or to have a guarantor in order to secure a CA loan. Moreover, some financial institutions even give loans for amounts as much as INR 35 lakhs with an approval process of around 24 hours.

Part Prepayments Allowed

When you have excess funds available you may want to use them to pay the loan amounts earlier. With the help of the part prepayment facility offered by some financial institutions, you can now ensure to do so.

Flexible Tenure

Various financial institutions offer flexible tenures for a CA loan. This can be from around 12 to 60 months.

Flexi Loans

This facility provided by some financial institutions such as Bajaj Finserv helps you manage your finances better. As per this facility, you are allowed to deposit or withdraw money from the flexi loan account, within a certain credit limit, during the tenor of a loan. On withdrawing an amount, you have to pay an interest rate of CA loan only on the amount that was used. In this way, you end up saving considerably on the interest paid.

Moreover, you can also use this facility to prepay the CA loan. And the amount prepaid can again be re-availed within the loan tenor and credit limit. This can involve really minimal documentation.

Additionally, with an online portal to manage your transactions, it becomes easier to make prepayments or withdrawals from your flexi loan account.

Preapproved Offers

Certain banks and financial institutions also offer preapproved loans to their existing customers. This can include a top-up loan, or on other occasions a reduction in interest rate offered.

Helps With Your Working Capital

If you are looking for funds to better manage your cash flow, then business loans such as a CA loan can prove helpful. They help provide you with the funds necessary for your daily operations. In fact, such a loan can be really important in ensuring that your business gets off the ground and keeps growing without lack of funds being a cause of concern.

Once your business has grown and is earning money, it can be easier to repay the loan taken.

Expanding Your Business

When your business is doing well and you have a positive cash flow, it can be a good time to actively finding ways of expanding the operations of your firm. For this, a business loan can help you rent a new office, increase marketing expenses and so on.

Thus, with the help of a business loan, you are able to expand your business in a manner that is in line with your vision.

When you start running your own business, you become your own boss. You are no longer following the rules, you are writing them. Truly, this can make your life a lot more fulfilling and meaningful. But you have to be prepared to bear the responsibility that comes with this position.

Remember that a CA loan can prove useful in many ways. But it always requires your careful planning and execution. Ensure that all the funds are used in the best possible way to bring success to your company.


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