How To Loan Online LIC Policy Apply How To A Loan Form LIC

  Hit the Bell icon as well for instant notification before we see the procedure. How to Apply for the loan against your LLC Policy Let me explain to you the advantages and disadvantages of availing of this loan. The advantages of availing of the loan against Lac policies are you will get very cheap interest rates when compared to the personal loans which you apply in banks. The personal loans which you apply in banks come at 15% and if you use a credit card then it comes at 40% approximately also for applying for loans in the bank you need the sibling score to be good.

 Otherwise, you may not be able to get the loan. But in case of a loan against your Lilac policy, the Civil score may not be considered by Lac. The reason for this is that Lac will be able to recover this from maturity proceeds or surrender value if you don't pay this loan. But remember, even though the Civil score is not considered for giving this loan, if you don't pay this loan on time or if you default this loan, then your C bill score will be impacted. The chances of success of this loan application are very high when compared to the other bank loans because there may be rejections in the case of bank loans if you don't have proper documents or proper eligibility and Civil score.

 And now there is a disadvantage also when you allow this loan from Lilac. If the interest is not paid regularly it would be added to the loan principal and if it exceeds the surrender value then your policy will be terminated. So you should be careful after you apply for this loan so you should be regular in repayment of this loan. What are the updated loan interest rates from this May 2020 on different policies on Juan Shikar you get the lowest interest rate at 9% and all the regular premium endowment plans and money-back policies launched after April 1? The interest rate is 9.5% for all other Llic policies like G One Rd, G One Vibe, G One Sugar, G One Shaggun, G One Sungam, and G One Utkarsh. 

 For all these LLC policies, the interest rate offered is 10%. These revised rates are applicable only on the new loans and it's not applicable for the existing loans that you may already have on your policies. The interest rates may be revised annually and may or may not be applicable to the existing policies at that time. So what are the documents that you may need to submit for availing of this loan? You need to submit your original insurance policy document, income proof, and bank statement.  The loan processing fees are around Rupees 250 and the processing time is two to seven days. The loan tenure as of now is only six months. What is the loan amount? Eligibility the amount that you may be eligible to apply? Maybe based on the surrender value. 

 It is usually 90% of the surrender value. What is the surrender value? Surrender value is basically the amount that the policyholder will get if he or she decides to close the insurance policy before maturity. Normally it is 30% of the total premium paid so far plus any bonus accrued. Another factor that is considered for eligibility is the premium should have been paid for consecutively three years without any break.  The policy type should be an endowment, whole life, or money back. The term plan and Eulips are not eligible for availing of this loan. Now let us see how you can apply for this loan on your LIC policy online. From your browser, visit licindia in you will go to the home page of Lice. 

On the left-hand side, you will see an option called Customer Portal.  Click on that. This will pop up a message saying that it's taking you to the external site. Click okay for that. Now you'll get a page where you have an option for logging in using the button called Registered User. Click on Registered User. Fill up your username password and the date of birth and sign in. After you log in inside you will see a dashboard. Click on the individual policy details from this page and Select Service Requests. If you are already registered for premium services then you will find an option for applying for the loan online on this page. If you have not already registered for these premium services then you will not find the option for applying for the loan online.

Click on the drop-down and Select Premier Services Registration. This will bring you to this page where you will have three steps to complete. Select step one and click on Proceed. You'll see the policy details here. Click on Generate Registration Form. This will give you a message saying the registration request has been generated successfully and a service Request ID is provided to you for tracking purposes. Now click on the download form to see the service request that is generated. Once you print the service request form and fill up the details, sign Scan, and when you're ready to upload click the Upload and Submit Documents button. On the next page, you will get the option to upload your documents.

The first document that you need to upload here is the registration form and the second document is your ID proof. From the drop-down, you can either select the Pan card or the passport and then click on Upload. Once you upload your forms you can come to the track Request status and see the status of the request. After a few days, you will see that the status will become validated, and then you will find the option to apply for the loan online. This is how you see the option for applying for the loan online. Click on this you need to agree to the customer consent. Check the I Agree on the box and click on Proceed. Enter the OTP here and click on Submit. In the second step, you have to select the policy. 

 Once you select the policy, you will be able to see the total loan eligibility as per the policy. You have two options. Either you can avail of the full loan or you can also go for a partial amount out of this. Once you select the option, click yes to Proceed and now you are done. Your loan application is submitted online.  You may have to submit some of the documents to the nearest LIC agent office and then your loan will be processed. Now that you have understood how to apply for this loan online through your Llic website, let me give you some of the information on the loan payback. Also, in these loans which you avail of against your insurance policy, you may have to pay only the interest every month so that's a great relief. 

You will have to pay only a very less amount every month because you are not paying the principal. The principal will be settled at maturity.  In cases of policies where the pension or annuity is given, the interest will be deducted from that monthly. But if you default on the loan then the policy will be foreclosed to recover the dues. So how does LLC decide whether to foreclose or terminate this policy? If the principal and the interest outstanding are greater than the surrender value, then the policy will be terminated. So make sure that you pay the interest every month regularly. 

There are also other things that you should remember. When you allow this loan against a license policy, you will have a sizable surrender value only if you have paid the insurance premium for at least ten years, else your loan amount may be very small and may not help you much. The meditation period of three months that the government has announced recently is not applicable for these types of loans. After the loan payment is completed, the insurance provider or the bank will reassign the policy to the policyholder by an endorsement in the policy. The other insurers who offer the loan against insurance policy are ICSA, Prudential, HDFC, and Life.  It always Stokes your life insurance and many you can just Google and finds out what is the process to be followed for that insurance.

 You may also take a loan from the bank as well on your insurance policy, but the interest rate may be higher when it comes to choosing a bank or insurance provider to get this loan against your policy to choose an insurance provider because the interest charged by them is lesser and also you have the option to pay only the interest monthly but in case of banks you may have to pay the EMI which includes both interest and principal and the final piece of advice to you insurance should be treated only as protection and hence avoid this option only during an emergency when there is a critical need of cash.