personal loan

Why Is Personal Loan Eligibility Important To Get Approval?

Finance

It’s an unsecured product with no assurance, which is provided by most banks and non-financial banking company. It’s a high risk for the bank that’s why interest rates on these products would be higher than secured one. It’s an important thing that unsecured product can use for multipurpose ways when you don’t have enough cash or don’t have cash. You can use it for home renovation, sister marriage or own, for holiday or anything which is personal you can take.

Before you can apply for that, have to check and know personal loan eligibility factor. When we talk about age, you should be between 21 to 58 years with a satisfactory credit score. The range starts from 300 to 900 and out of that, you have to score 750 not less than that.

Your minimum income should be Rs 5,000 and employment type should be salaried or self-employed. You need to share your work experience which should be more than two years and present experience minimum one- year. And get maximum amount approval up to Rs 30 lakhs. If we can talk your tenure section then minimum six month and maximum 60 months you should have.

What Are The Factors That Affecting In Eligibility?

Apart from eligibility factor, few things affecting for personal loan eligibility application like minimum salary expectation and amount eligibility.

Location: Your location is focused part because this factor can decide your management tricks. You are staying in a rented house or own home if rented then within minimum salary amount you can handle all the things smoothly your rent, expenses, and other responsibilities. The minimum salary is higher in the cities and more so in the case of metropolitan cities.

Source Of Income: The higher the income, the more chances to repayment on time. Yes, if your source of income is sufficient, as per your desire then it’s good for themselves.

Organization: Your organization matters a lot. If you are working in a reputed company and rating of the company is higher, it shows you can get instant approval. Your stable job indicates you can get higher interest rate because your stable income shows your payback credibility.

Previous Credit History: Your clear previous credit record gives you chances to get instant approval. The better your credit history is, the quality your CIBIL score then automatically the bank can provide approval. That’s why always try to maintain your CIBIL score high. The range starts from, 300 to 900 and more than 750 points can give you satisfactory interest rate.

Age Factor: Age factor is the area where you can follow as per bank’s norm. The bank can focus on your eligibility because it shows the payback credibility. Most of the lender’s age range is between 21 to 58 however some lenders have the upper limit of 68 years.

Relationship With Bank: To maintain a good relationship with the banks or non financial fund companies is very important to get the immediate answer. It increases the chances of yours to get the higher amount of low-interest rates.

Banty Chakraborty is a professional Finance writer who has introduced the reader about various credit card products like how to apply for credit card, different types of cards, home loans, personal loan and mutual fund investment etc. She believes in delivering best of her knowledge to the readers.

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