Reasons Behind Doctor Loans are Financially Beneficial for Medical Professionals

Approximately 3%-4% of the total GDP of India is spent on meeting all government-funded medical expenses in the country. 


Nonetheless, there is a shortage of such medical professional in the country, as the total doctor-population ratio is 0.77:1000. 


To increase the availability of quality healthcare in the country, medical professionals can avail a doctors’ loan in India and expand or initiate their healthcare setups to serve a larger pool of the demography.


Why avail of a loan for doctors in India?


Such loans have the following associated benefits, making them a preferred option among individuals –


  • Varied uses


Professional loans for doctors are extended to fulfil both business and personal requirements of individuals. From a business perspective, both secured and unsecured loans can be availed to fund start-up costs, equipment purchases, or expansion projects. 


High-end state-of-the-art machinery such as MRI scanners, EKG machines, etc. can also be purchased or rented with the help of such finances. 


Loans for the dental clinic can also be availed to purchase essential equipment such as compressor, motorised suction, Airotor handpiece, etc.


Various types of doctor loans are offered by Bajaj Finserv, including secured and unsecured advances. Unsecured credits can be used for home purchase, travelling, education or marriage, etc. 


Secured loans for medical professionals come with a relatively lower interest rate, as they are backed by a collateral guarantee.


Home loans are a prime example of such credits. Loans against properties for doctors offer high loan amounts without any end-use restriction.


  • Attractive interest rates


Professional loans such as loans for doctors are tailor-made as per the eligibility of such medical professionals. Cost of borrowing from major lenders who provide such loans are also low as well courtesy the customised features and eligibility.


  • Hassle-free loan approval


Approval of doctors’ loan in India is instantaneous and hassle-free, provided applicants meet the stipulated eligibility criteria. For unsecured professional loans, borrowers need to have the following qualifications –


  1. Doctors possessing an MBBS or MD degree should have relevant documents verifying the same, as well as a registration certificate in their name issued by the Medical Council of India.
  2. For doctors practising dental surgery, a loan for the dental clinic can be obtained only if they have 2-year work experience.
  3. For individuals having a BHMS or BAMS degree, 2-year work experience along with registration certificate has to be submitted.


Secured loans against property or equipment can only be availed if an applicant satisfies the following criteria –


  1. Doctors having an MBBS or MD degree need to have 3 years of work experience in their field.
  2. Dentists should possess 5 years of work experience.
  3. Doctors practising Ayurvedic or Homeopathic medicine need to prove at least 6 years of work experience.


Funds acquired through such professional loans can be used to meet expenses essential to clinic management, as well as other associated costs.


  • Foreclosure and part prepayment facilities


Professional loans can be foreclosed before the due date at nominal associated charges. This allows doctors to reduce their interest burden, provided they have access to a substantial amount of funds. 


Most financial institutions offer this benefit at negligible processing charges. Nonetheless, in case of part prepayment of such loans, the total repayment should be at least equivalent to 3 EMIs due monthly.


Doctors’ loan in India has these following benefits, making it an attractive method to raise finance for medical professionals. 


Business loans can help generate higher revenues for borrowers by facilitating an existing clinic or funding a start-up medical centre, thereby effectively increasing the overall set of services provided and the prospective revenues.



Seema Gupta is a well-known financial and tech advisor with the abilities to keep a track and predict the market trends with the utmost accuracy. Her extensive knowledge in finance and tech is remarkable as she has worked on different financial and sectors dealing with the entire range of loans. She is also an expert in writing many finances and tech related articles and blogs, so she is a renowned finance blogger too.