What Are Top-Up Loans?

Loans are generally availed during a financial crisis. Individuals apply and avail of a particular amount to cover their expenses. However, there may come when the available funds are not enough. An extension on the current loan can be availed at times like these. This extension is known as a top-up loan. A top-up personal loan allows borrowers to ‘top up’ their existing personal loans with additional funds, without the need for a new loan application.

Features of Top-Up Loans

Loan amount: The loan amount for the top-up depends on the value of the existing loan. In most cases, the top-up value is up to a particular percentage of the ongoing loan. Other factors, like the individual’s income, may also be considered for approval. 

Instant disbursal: A loan top-up process is quick and hassle-free. There is no lengthy documentation required, and the funds are disbursed instantly.

No security/collateral required: A top-up loan taken over a personal loan is a collateral-free loan. There is no need for collateral or security when applying for such an additional loan amount.

Low-interest rates: The interest rate on a top-up loan may be the same or slightly higher than the existing loan. This can differ for every lender.

Fast and convenient: This loan can be availed online. Individuals can apply for it from the comfort of their homes or offices and get quick disbursals without any unnecessary steps.

Long tenure: This type of a loan is not considered a new loan, just an extension, this increases the overall tenure of the loan. This may help in reducing the financial burden on the borrower.

Easy approval: Borrowers do not need to wait for weeks to get approved for the additional loan amount. Since the top-up loan eligibility is similar to the terms required for the original loan amount, the loan application is approved quickly after document verification. 

Eligibility Criteria for Personal Loan Top-Up

  • The borrower must work in a private ltd, a limited liability partnership, a public ltd, or a government enterprise.


  • The borrower should have work experience of more than six months and more than three months in the current company.

  • The borrower should have a salary of more than Rs. 20,000 per month.


  • The borrower must receive the salary in the bank account and share the income slip with the lender.
Top up Loan Eligibility

Required Documents for Loan Top-Up

  • Bank statement of salary account: The borrower must submit bank statements to the lender as proof. This shows the borrower’s ability to repay the loan. 
  • Aadhar card and PAN card:  The borrower must submit their Aadhar card and PAN card as proof of identity to the lender.

Why Should You Opt For A Top-Up Loan?

A top-up loan offers a quick and easy solution to an urgent financial need. Individuals can get instant disbursals without having to go through lengthy procedures. Moreover, additional loans availed as a top-up taken on existing personal loans do not require collateral. All in all, several benefits o this loan make them a valuable financial option for anyone in need of additional funds over and above an ongoing loan.

How Does a Top-Up Loan Work?

Individuals can apply for a top-up loan with the lender if they need more funds than initially disbursed. The lender may typically ask for income slips and identity proofs of the borrower.

Once these have been verified, the additional loan amount will be disbursed. The rate of interest, repayment term, the value of EMIs, etc. will be altered depending on the additional amount of loan required.

When individuals take a personal loan, they expect that the loan amount will be sufficient to tide over a particular expense or situation. Sometimes this may not hold true and additional expenses may come up. This is where a top-up loan can be of great help to avoid a crisis. Such loans have straightforward eligibility criteria and a quick and easy disbursal process. Moreover, there are several types of top-up loans you can avail like a top-up personal loan, a top-up travel loan, and more.


We, at Finnable, understand this. This is why we offer online personal loans which can be further augmented with these loans ranging from Rs. 50,000 to Rs. 10 lakhs with an interest rate ranging between 16% and 26%. Individuals between the ages of 25 and 45 can avail a personal loan with simple documentation such as a PAN card, Aadhar card, and two months’ payslips. 

The entire process of availing a personal loan from Finnable is digital and can be done through Finnable’s personal loan app. Once the documents are uploaded, funds are disbursed within 6 hours of document verification.

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