What should senior citizens do if they need a loan? These 4 options can be 'troubleshooters'...take note.

If the elderly ever face a situation where they need money very badly and are not able to get any work done, then what will they do? From where will they fulfill their need for money? Here know about 4 such options which can be helpful.

Senior citizens do not have any solid source of income, so after the age of 60, banks avoid giving loans or credit cards, etc. to senior citizens. But suppose that the elderly ever face a situation where they need money very badly and are not able to get any work done, then what will they do? From where will they fulfill their need of money? Here know about some such loan options which can be 'troubleshooters' for senior citizens in such difficult times.

Pension Loan Scheme

If an elderly person gets pension after retirement, then he has the option of taking a loan from the bank. Loan options are available for pensioners in all banks including PNB, SBI. Pension scheme for the elderly is run in the name of 'Personal Loan Scheme For Pensioners' in PNB and State Bank of India Pension Loan Scheme in SBI. This loan given in the name of pension loan is a kind of personal loan, which they can use according to their need. People up to 75 years of age are eligible for this. However, some other conditions are also attached to it.

Gold Loan

Gold is a property along with being an ornament. If you suddenly need money, then you can take a loan by pledging the gold deposited with you. Gold loan is cheaper than personal loan, property loan, corporate loan. The loan amount is given according to the value of your gold. Credit score etc. does not matter much in this. Usually people between the age of 18 years to 75 years can easily get gold loan.

Loan on FD

Most of the elderly people do invest in FD. If senior citizens want to take loan on FD, they can take it. This is also a secured loan which depends on the amount of FD. Usually 90 to 95 percent of the FD amount is available to you as a loan. While taking this, the bank mortgages your FD as security/guarantee. Usually this loan is cheaper than a personal loan. In this, generally 1% to 2% more interest is charged than the interest rate of FD.

You can also take loan from NBFC

If you are not able to get a loan from the bank, then you can take a loan from NBFC. Even if your credit score is low and age is also high, NBFC gives loan. However, they charge more interest than the bank.