​​​​​​​The need for collaterals depends solely upon the financial institution. The general requirement of collateral is mentioned below:
No collaterals and third party guarantee are required for loans up to 4 Lakhs INR
No collaterals but a third party guarantee are required for loans in the range of 4 Lakhs to 7.5 Lakhs INR
Collaterals are required for loans higher than 7.5 Lakhs.