Medical Practice Loan: A Complete Guide for Physicians to Avail of This Loan

India’s healthcare market is anticipated to flourish at a 22% CAGR in FY22. Moreover, according to the Economic Survey of 2022, India’s healthcare public expenses rest at 2.1% of GDP in 2022. This was at 1.8% in 2021. This robust growth ensures untapped opportunities for physicians to lay out their medical practices. 

In this regard, they can opt for a medical practice loan to finance their needs and advance their medical careers. Individuals can avail of this credit option to fund various financial requirements like extending and improving their establishments, purchasing advanced inventories, equipment, operational costs, etc.

Before opting for this line of credit, individuals should have a well-rounded idea regarding the particularities of the medical practice loan.

Features of a medical practice loan 

Here are the salient features of a medical practice loan:

1. Substantial loan amount: Borrowers can get a loan of up to Rs.50 lakh, helping them fund several financial expenses and establish their medical practices. 
2. Minimal documentation: Borrowers can avail a lump sum loan amount under a physician loan without involving in a long documentation process. Providing basic documents like KYC papers, medical registration certificates, income proof, etc., are sufficient for lenders to give instant disbursal. 
3. Easy to meet eligibility criteria: Physicians need to have any of the following degrees mentioned below to be eligible for availing loans for doctors:

• Individuals must be residing Indians.
• Physicians should hold a medical council registered degree of super specialist doctor or MBBS graduate.
• He or she must be a Dentist (BDS/ MDS) with five years of experience. 
• Homoeopathic and Ayurvedic (BAMS/ BHMS) are eligible for physician loans.

4. Flexible loan tenor: A doctor loan comes with an extended loan tenor of up to 96 months. Borrowers should choose the right loan tenor wisely as it helps doctors manage personal finances better and dodge defaulting on EMI payments.

Furthermore, physicians can reap the benefits of the Flexi loan facility and lower their monthly instalments. In this context, they should know the ways Flexi loans can help doctors take their medical practice to the next level. 

Benefits of availing of a doctor loan

A medical practice loan offers physicians, consultants, clinicians or any other medical practitioner with the following benefits:

• Expand clinic: Planning to set up a new clinic or expanding the existing one can demand strong financial backup. With professional loans for doctors, individuals can work towards improving the infrastructure, helping them set clinics in suitable locations with vital amenities.
• Purchase equipment: The cost of medical equipment can set medical professionals back. However, with the easy accessibility of medical practice loans, it has become for doctors to install advanced equipment and devices. 
• Hire staff: A doctor loan helps physicians hire potential staff, maintain the payroll, ensure the best service to the patients and establish their medical practices in no time. 

Know how to apply for a medical practice loan

The following steps will guide individuals in applying for a medical practice loan: 

Step 1: Visit the preferred lender’s official website and select professional loan from the product page. 

Step 2: Click on apply online and get redirected to the online application form.

Step 3: Enter personal and professional information to fill out the form. 

Step 4: Enter desired loan amount and submit the application form.

However, doctors must abide by the checklist before applying for a doctor loan to receive instant approval.

Additionally, physicians can reap the lucrative benefits of the exclusive pre-approved offers extended by leading financial institutions like Bajaj Finserv. These offers are available on financial products like business loans, personal loans, etc., and helps streamline the loan application process. Willing individuals can check their pre-approved offers by submitting their names and contact details. 

To sum up, a medical practice loan is a specialized credit option that helps physicians with external financial assistance to enhance their establishment and extend advanced service to patients.