Since personal loans are unsecured in nature, approval and terms of the loan don’t depend on the collateral. In fact, lenders offer npersonal loan purely based on your creditworthiness, repayment ability, age, income, existing debts, and other such factors. All these factors are of paramount importance as these factors help lenders in deciding whether they can give you the collateral-free loan. More specifically, the terms of a personal loan like amount, interest rate, and tenor are affected by this. Now that you have a fair idea about a personal loan, take a look at the right way to apply for one.