India, Nov. 3 -- justify;">A personal loan can be a fast and effective way to accommodate unexpected expenses, consolidate debts, or pay for necessary expenses such as home repairs or higher education. Today, these loans are available at the push of a button as most lenders provide applications online, and this has made the entire process easy. However, a few points should be considered before applying for a personal loan to improve the chances of borrowing sensibly and avoiding stress in the future years to come.

Before anything else, be clear about why you need the money. A personal loan is an unsecured loan, which means you don't need to give any assets as security. Because of that, interest rates are usually higher than for secured l...