Welcome to the Liquiloans Reviews – an easy guide to understanding a special place where people who need money can connect with those who want to lend it. Liquiloans is not like regular banks. It’s a cool platform that helps borrowers and lenders without any middlemen. You will explore how it works and how it’s the best place for you to borrow or lend money.
What is Liquiloans?
Liquiloans is not your regular bank or financial institution. It is a unique platform that provides direct connections between borrowers and money lenders. This is called Peer-to-peer financing and this is innovative method of lending and borrowing. The benefit is that it can speed up processes and reduce costs while increasing flexibility for all parties.
Liquiloans was created in 2017 by Rajiv Raj and Abhishek Garg who also started CreditVidya a company that helps lenders check how trustworthy borrowers are. Liquiloans has a unique way of doing things. They offer something called zero-cost EMI loans which means they don’t charge interest to the people borrowing the money. Instead, they profit from the dealers who sell goods to the borrowers. As a thank you for providing loans to their customers, these dealers pay a portion of the loan amount to the lenders.
Liquiloans can give you a loan that’s as small as Rs. 10,000 or as big as Rs. 5 lakhs and you can take your enough time to pay it back up to 36 months. Typically, these loans are used for construction home, medical services and education. These loans are only available to those with annual incomes greater than Rs. 8 lakh and credit scores greater than 700.
One more thing to know about Liquiloans is that they say they have given out more than Rs. 800 crore in loans and no one’s lost any money. That’s pretty impressive!
But Liquiloans isn’t just about helping people who need money. It is also good for people who have some extra money to lend. Lenders on Liquiloans can earn up to 10% interest every year on their investments. And guess what? They don’t charge any fees to the people borrowing the money or the people lending it. Instead they pass on the costs to the dealers who sell the stuff.
If you need money quickly, Liquiloans is here to help. You can withdraw your money whenever you want, no questions asked. No penalties or waiting periods. It is like an instant money machine!
But hold on they are not just handing out money to anyone who asks. Liquiloans has a clever way of making sure only the folks who can really pay back the loans get them. They also put their own money into the loans, alongside the lenders’ money. So, they are in it together with the lenders.
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How Does Liquiloans Compare to Others?
- Faircent: It is another popular P2P lending platform in India. They offer loans for different purposes like personal, business, education and vehicles. They have a wide range of borrowers from with regular jobs to self-employed people and small businesses. Faircent does charge some fees to borrowers and lenders but they claim to have given out more than Rs. 1000 crore in loans with an average return of 18% to investors.
- LendenClub: LendenClub is all about short-term personal loans for people who need cash fast. They give out loans starting from Rs. 5000 and going up to Rs. 2 lakhs with a repayment time of up to 12 months. Their interest rates can go up to 30% and they have some fees for borrowers and lenders. They say they have given out more than Rs. 300 crores in loans with an average return of 20% to investors.
- RupeeCircle: It is a platform that is useful for both people with jobs and those who run their own businesses. They provide loans from 25,000 to 10 lakhs rupees with interest rates of 36% and repayment terms of 36 months. They have some fees for borrowers and lenders but they say they have given out more than Rs. 150 crore in loans with an average return of 24% to investors.
What Are the Pros and Cons of Liquiloans?
- Low Interest Rates: Liquiloans gives out zero-cost EMI loans which means borrowers don’t have to pay interest. That can save them a lot of money compared to other P2P platforms.
- High Returns: Lenders on Liquiloans can make up to 10% interest on their investments. That’s better than most bank deposits.
- Instant Liquidity: You can get your money in and out of Liquiloans whenever you want without any penalties or waiting.
- No Fees: Liquiloans doesn’t charge any fees to borrowers or lenders. They pass the costs on to the dealers. That makes things simple and clear.
- Risk Control: Liquiloans makes sure only people who can pay back loans get them. They also invest their own money in every loan alongside the lenders. That means they are in it together with the different lenders.
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But, of course there are some not-so-great things too:
- Limited Loan Amount: The most you can get from Liquiloans is Rs. 5 lakhs, which might not be enough for some borrowers. Other platforms can give you more if you are eligible.
- Limited Loan Types: Liquiloans mainly offers loans for education, healthcare and home decor. So, if you want money for something else you might need to look elsewhere.
- Limited Borrower Criteria: Liquiloans is just for people with good jobs, high incomes and great credit scores. If that’s not you, you might need to try a different platform.
- Limited Lender Options: Only individual lenders with at least Rs. 50,000 to invest can play in Liquiloans. If you’re a smaller investor or a big institution you might have to go somewhere else.
Tips for Borrowing with Liquiloans
If you’re thinking about borrowing money from Liquiloans, here’s what you should do:
- Check if You Qualify: You must have a credit score of at least 700 you need earning at least 25,000 rupees per month and have been employed for at least two years. Important documents such as your PAN card, Aadhar card, bank statement and proof of address are also required.
- Compare Your Options: Don’t jump into the first offer you see. Select a dealer that suits your needs by comparing what others dealers are offering on the platform. Consider factors like how much money you need, how long it will take to repay it, interest rate and the dealer’s margin.
- Share Your Docs: You will need to send your documents through the Liquiloans website or app. Make sure everything is clear and correct. They might also check your identity and address with an OTP or a video call.
- Get Your Money: Once your loan is good to go, you will get the money sent to the dealer’s account within 24 hours. You will receive all the information in an email and an SMS from them. After that you can begin making online or auto-debit payments to repay it.
Is Liquiloans Safe Financing Platform?
- RBI Regulated: The Reserve Bank of India keeps an eye on what they do. The money flows through an Escrow Account managed by a bank-sponsored trustee. That’s like having extra security.
- Rated by Experts: Rating agencies like ICRA and CRISIL have checked them out and given them the thumbs up.
- Spread the Wealth: Your money isn’t put all in one place. They spread it out among lots of different borrowers so even if one person can’t pay back it’s not a big deal.
- No Hidden Costs: They don’t charge sneaky fees like other financial products do.
- Aligned with You: Liquiloans only makes money when you do. They therefore don’t get paid if you don’t get a good deal.
- Protecting Your Investment: Even if things go wrong and people can’t pay back their loans, they’ll still make sure you get your money back.
User Review of Liquiloans
I have to say that Liquiloans is an excellent choice for those in need of a loan or who have extra money to invest. The fact that they don’t charge borrowers interest makes them my favourite feature—it’s like getting a loan for 0 interest! In addition, compared to conventional bank options they offer lenders the opportunity to earn up to 10% interest on their investments.
The best part is that you can take out your money anytime without any trouble. It is super transparent too with no hidden fees. The only drawback is that the loan amount might be a bit limited for some people but if it suits your needs Liquiloans is a great choice. And it is safe which is a big relief. So, I would definitely recommend checking it out if you are in need of funds or looking to invest.
Liquiloans is an ideal choice for those wishing to lend or borrow money, particularly if you are searching for good returns and affordable EMI loans. But always remember to make sure that it suits your needs and needs exactly. Safety is key and it looks like Liquiloans has some solid safeguards in place.
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FAQs related to Liquiloans Reviews
Q.1 Who can use LiquiLoans?
Liquiloans is open to salaried individuals with an average annual income of over Rs. 8 lakhs and a credit score exceeding 700. Lenders on the platform need a minimum investment of Rs. 50,000.
Q.2 How does LiquiLoans compare to other peer-to-peer lending platforms?
Liquiloans is focused on high-quality prime borrowers and offers zero-cost EMI loans. It stands out in the market by providing attractive returns for lenders, instant liquidity, and a robust risk management system. However, it may have limitations compared to other platforms, such as loan amounts, loan purposes, and borrower and lender eligibility criteria.
Q.3 What are the benefits of using Liquiloans?
– Low-interest rates with zero-cost EMI loans.
– Attractive returns for lenders, up to 10% per annum.
– Instant liquidity for both borrowers and lenders.
– No fees for borrowers or lenders.
– Strong risk management and alignment of interest with investors.
Q.4 How does LiquiLoans ensure the safety of investments for lenders?
Liquiloans take safety seriously by spreading investments across multiple borrowers and reducing exposure to individual loans. They also operate through an Escrow Account managed by a bank-sponsored trustee, ensuring funds flow securely. In addition, they earn fees only when investors receive their full principal and interest, aligning their interests with investors.
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