How To Check Your Eligibility For Personal Loans

Banks and other financial institutions issue personal loans. These loans offer you a fixed amount of money at a fixed interest rate for a set period. Are you wondering if you can apply for a personal loan? Check your eligibility for personal loans first!

Eligibility for personal loans depends on the bank. However, some factors are common for all lenders. Examples of these are your credit score, income, and other factors indicating if you can repay the loan on time. Before moving ahead with your loan application process, check your eligibility for personal loans.

You can do this in a lot of ways. The methods include researching different banks’ eligibility criteria online or visiting your nearest branch. You can also use a free personal loan eligibility calculator online.

What Is a Personal Loan?

Financial institutions offer a range of loans, including personal loans, to people meeting a set of criteria. A personal loan is unsecured. This means you do need collateral or security to secure the amount. You can use personal loans for various purposes, including paying for medical procedures, weddings, and other large expenses.

You can apply for the loan online or in person at the bank. The approval process is quick; it takes just a few hours for the bank to credit the money.

Key Features of Personal Loans

These are the features of personal loans that you should be familiar with before you make an application:

●     Less documentation

●     Quick approval and immediate disbursement

●     Loans ranging from Rs. 1 lakh to Rs. 10 lakh

●     Repayments in EMIs

●     Flexible repayment terms ranging from 12 to 60 months

●     Income pooling for increased loan eligibility

Eligibility For Personal Loans

You can find out your eligibility for personal loans in the following ways:

• Visit the bank’s website. On the site, look for the eligibility requirements.
• Go to the nearest branch offering loans. There, you can talk to bank personnel about the eligibility for personal loans. You can also clear all your doubts with their help.

Usually, to apply for a personal loan, you must:

• Be an Indian citizen
• Be a salaried individual
• Be aged between 21 to 60.
• Have a minimum salary of Rs. 15,000 per month
• Have a CIBIL score of at least 750

How to Use Eligibility Calculators Online

Check your eligibility for personal loans by entering these details into a free online personal loan eligibility calculator:

• Location
• Age
• Employer
• Monthly income
• Monthly expenses

Based on these, the calculator will indicate your eligibility.

Documents Required To Be Eligible For Personal Loans

You need these documents to be eligible for the best personal loan offers:

• Identity Proof Documents: PAN card, driving license, Aadhaar card, voter ID, etc.
• Address Proof Documents: Passport, utility bills, driving license, Aadhaar card, etc.
• Income Proof Documents: Documents stating your recent earnings, like salary slips or bank statements for the last 3 months

You need a co-applicant while applying for increased eligibility. Your parents, spouse, or adult children can be co-applicants. They will also have to provide the same documents.

How To Apply For Personal Loans

After confirming your eligibility for personal loans, look for the best personal loan offers. Review the terms and conditions of the loans, such as the interest rate and tenure, before applying. This process will help you zero in on a lender.

After choosing a lender, visit the bank’s official website. Go to the personal loans section. Enter all the information needed, upload the supporting documents, and submit. If you are applying in person, you must fill out a hard copy of the application form. Along with that, you need to share photocopies of the documents required.

After submitting the form, the bank will start processing your application. The bank will process the loan without delay if all your details are satisfactory. After that, the loan amount will be in your bank account within a few days.

Conclusion

It is crucial to check your eligibility for personal loans before applying for a loan. Usually, people visit a bank in person or check the bank’s website for this information. However, you can also use a personal loan eligibility calculator online. This makes the process a lot easier and more accessible for you.

After confirming your eligibility, search for the best personal loan offers. Finally, gather all your application documents and apply for a personal loan.

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