Personal Loan is granted to the individual or group of individuals for meeting immediate cash requirement to observe social functions and rituals and personal cash management of the borrower. Such loan is allowed to those who have established base of regular cash flows.
Personal Loan, by nature is granted for short period and are repayable in lump sum or  on installment basis. Personal loan are not usually avail of on revolving basis but it may be allowed as revolving credit as well.