With Personal loan – Fund Your Home Gym Without Burning Your Investments/Savings
With the rising trend of fitness and healthy living, the gym is one place that is witnessing a flood of clients. Today, a new gym is being launched in every big and small town of the country and the demand just continues to rise. But one thing that is still holding back many people from hitting the gym is the ongoing cost and non-flexible schedule that comes with it. As such, many people are opting for home gyms. Though the concept of home gyms was popular among rich celebrities, today many fitness enthusiasts are opting for it. Today, with easy personal loans anyone can start a home gym without burning their investments or savings.
You can also get the necessary funding easily through a loan app.
5 Reasons to apply for a loan for a home gym
- Easy to apply: The biggest advantage of a personal loan over any other kind of loan is that it is much easier to apply. Getting money out of savings can be complicated because you might have to break long-term deposits or liquidate stocks. On the other hand, if you get a loan app for a personal loan, the process is simplified and can be done with just a few clicks.
- Minimal documentation: When you apply for a personal loan from a new loan app, you do not need to worry about tons of paperwork because the required documentation is minimal. A personal loan is an unsecured loan, so there is no need for submitting collateral papers or any other form of guarantee. All you have to do is submit your KYC documents, income proof, and your bank statement. If you have an existing relationship with the lender, then the process becomes even more simplified.
- Apply from an app and get quick disbursal: Liquidating your savings can be slow and clunky even if you look away from the fact that any attempt to quickly liquidate assets always means you get lesser value out of them. The process may take weeks and can even stretch into months. Most of the application work is done in paper format, and there will be multiple checks on all documentation that you have submitted. This can lead to delay and can even create a risk of you missing the early mover advantage in new areas where no gym is open yet. When you choose a new loan app, the process can be done in a matter of minutes or a few hours.
- Tax liability on savings you liquidate: When you take a loan, the money you are getting is not treated as an income but a liability. As a result, if you build your home gym by taking a loan, you will not be increasing your tax liability in any manner. On the other hand, when you get money from your savings, you will have to be ready to pay extra income tax. Any deposit you break early and take a payout, the interest component from that is counted as your income then and there and you are liable to pay income tax on that. This can be particularly problematic if you are already on the edge of your current tax bracket and taking out money from savings will send you into the higher tax bracket. You will end up paying a lot more money as tax and no one wants to pay extra tax.
- Keep your savings with you for emergencies: This is another factor that you can consider why a loan app makes a better choice for funding your home gym over your savings. See, it took you years to build your savings. You do not want to wipe them all out in one fell swoop because rebuilding the same will take as long a time and you will be left without any financial cushion in the meantime. Taking a loan means you can continue to repay your loan as per a set schedule. Should an emergency occur, you can tide that off using your savings without having to dig a financial hole.
The biggest factor why a loan app is a better choice to fund your capital requirements to build your home gym is the interest you are earning on your savings. When you use up your savings to set up your personal gym, it becomes a one-shot thing. You use up your savings, and that is it! If you take a loan, you can actually divert the interest on your savings to pay off the loan EMIs. This way, your base savings remain safe. You do not need to worry about loan installments because the interest on your saving is taking care of that and you can divert your focus on getting back in shape.