Personal loans are loans that do not require collateral meaning you don’t have to put up any property as security and are great for when you need the money immediately (e.g., medical expenses, weddings, travel, education, and debt consolidation). The lack of collateral usually means that you will get approved much quicker than with other types of loans. 

Interest rates are typically between 10 and 24 percent per year again, the interest rate is based on several factors including your credit rating, monthly income, length of employment, and your monthly debt payments (EMIs). Therefore, if you have a high credit rating (at least 750), and you are employed and have a stable income, then you will more than likely receive a lower rate. 

A majority of lenders use your income to determine your loan amount and will usually allow you to borrow between 10-24 times your gross monthly income. However, if you are self-employed, lenders use various measures (such as proof of income, net profit, and bank account activity) in order to calculate how much you can borrow.

When applying for and being approved for a personal loan, the lender will look at several key aspects of your financial profile, such as your credit score, employment history, income stability, existing financial obligations, and history (or lack of) of loan repayment. Having a strong financial profile gives you the best possible chance of getting approved quickly and with favorable loan terms.