There are various types of loans available, including personal loans, home loans, car loans, and business loans. The terms and eligibility criteria vary based on the type of loan, the lender, and your financial profile.

To apply for a loan, you generally need to fill out an application form with personal and financial details. Lenders may require documentation such as proof of income, employment details, credit history, and collateral (for secured loans).

Lenders assess factors such as credit score, income, existing debts, loan amount, and the purpose of the loan. A good credit score, stable income, and low debt-to-income ratio generally improve your chances of loan approval.

The interest rate on a loan is the cost of borrowing money, typically expressed as a percentage of the principal loan amount. Rates can be fixed or variable and depend on factors like creditworthiness, loan type, and the lender’s terms.