PL, LAP, or OD—each solves a different problem. Compare cost, collateral, flexibility, and timelines, then use our quick decision path to choose the product that fits your use-case.
A Personal Loan (PL) is unsecured and fast, but typically pricier and capped lower—best for short-term needs or salaried borrowers. A Loan Against Property (LAP) is secured, larger ticket, lower rates, and longer tenure—suited for business expansion or consolidation, but requires clean property documents and time for valuation/legal. An Overdraft (OD) offers flexible drawdown and interest on utilization—great for working capital with fluctuating cashflows, but needs collateral or strong banking profile. Your decision hinges on urgency, ticket size, collateral comfort, cash-flow pattern, and total cost of funds. A DSA-guided eligibility check and documentation review can prevent rework and improve your odds.
Quick takeaways:
- PL = speed, no collateral, higher rate
- LAP = large ticket, collateral, lower rate
- OD = flexible usage, interest on draw
Decide by urgency, cash flow, collateral
