You found the perfect loan, low interest, quick approval — but wait! Suddenly you're paying ₹5,000–₹15,000 more than expected. Why?
Hidden charges.
These often-overlooked costs can eat into your budget fast. In this blog, we break down the common hidden loan charges in India, and how Vizzve ensures full transparency before you borrow.
💸 Common Hidden Loan Charges in India
Here are the top hidden costs most borrowers miss:
1. 🧾 Processing Fees
What it is: A one-time fee charged for processing your loan application.
Typical Range: 1%–3% of the loan amount
Reality: Can be non-refundable even if the loan is rejected!
✅ Vizzve Solution: Processing fees are clearly shown upfront, with some lenders offering zero processing charges for select customers.
2. 📝 Documentation Charges
Charged for physical paperwork, verification, and legal agreements.
Often clubbed in silently
₹500–₹2,000 depending on the lender
✅ Vizzve Solution: All charges itemized and digitally signed. No surprises later.
3. 🔁 Prepayment or Foreclosure Charges
Want to close your loan early? You might have to pay up to 4% of the outstanding loan!
✅ Vizzve Solution: We highlight lenders with zero or minimal prepayment charges. Plus, we tell you when prepayment actually makes sense.
4. ⏰ Late Payment Penalty
Missed an EMI? Penalty ranges from ₹300 to ₹1,000 per EMI or 2% per month!
✅ Vizzve Solution: Real-time EMI alerts, due date reminders, and auto-pay options help you avoid penalties altogether.
5. 📉 Bounce Charges
If your EMI bounces, expect an extra ₹500–₹750 per instance.
✅ Vizzve Solution: We help you link stable accounts and set safe EMI dates to avoid bounces.
6. 🔄 Loan Cancellation Charges
Changing your mind? Cancelling a loan may still cost you up to ₹2,500 even without disbursal.
✅ Vizzve Solution: Easy to cancel pre-approved loans before final signature. No extra penalty on select partners.
✅ Why Vizzve is Different – 100% Transparent Loans
Most platforms focus only on the interest rate — we go beyond.
With Vizzve, you get:
| Transparency Feature | What You Get |
|---|---|
| 📊 Full Fee Breakdown | All charges displayed before you apply |
| ✅ Clear Comparisons | Side-by-side fee comparisons across lenders |
| 🛡️ Trusted Lenders Only | We screen for hidden charges so you don’t have to |
| 📲 Digital Agreements | See every clause before signing, in simple terms |
| 🔄 Flexibility Insights | Prepayment, bounce, and foreclosure terms explained clearly |
💬 “No more fine print drama. Vizzve makes every rupee visible.”
🤝 How Vizzve Protects You From Fee Traps
✔️ Built-in filters to avoid hidden-fee lenders
✔️ Auto-calculated total loan cost (not just interest!)
✔️ AI-based suggestion engine that flags high-cost clauses
✔️ EMI Planner + Loan Tracker with real-time alerts
🔁 Quick Comparison – Hidden Charges vs Vizzve Way
| Charge Type | Typical Loan | With Vizzve |
|---|---|---|
| Processing Fee | ₹3,000 | ₹0–₹1,000 |
| Prepayment Fee | 2–4% | 0–1% or waived |
| Bounce Penalty | ₹500+ | Avoided with reminders |
| Foreclosure Conditions | Confusing | Clearly explained |
| Total Surprise Charges | ₹5,000–₹15,000 | ₹0 Surprise |
📌 Final Word
If you’ve ever felt cheated after taking a loan — it’s probably because hidden charges weren’t disclosed. That’s where Vizzve changes the game.
With us, you know what you pay, when you pay, and why you pay — right from Day 1.
published on 1st july
Publisher : SMITA
www.vizzve.com || www.vizzveservices.com
Follow us on social media: Facebook || Linkedin || Instagram
🛡 Powered by Vizzve Financial
RBI-Registered Loan Partner | 10 Lakh+ Customers | ₹600 Cr+ Disbursed.