Personal loans are multipurpose loans which are available for meeting any financial need that you have. Whether your needs are personal or commercial, you can avail personal loans and fulfill them. Moreover, the loans come both as secured loans and unsecured loans though unsecured loans are more popular as they do not require any collateral. for the loan. You need to have an occupation and a minimum income to get the loan..
Since personal loans are mostly unsecured in nature, the lenders have specific eligibility parameters before offering the loan. Borrowers who fulfill the eligibility parameters prescribed by the lenders can only apply for the loan. Common criteria include the following –
- Age – you should be aged between 21 years and 65 years to avail the loan
- Income – Your net monthly income should be INR 15,000 or above if you live in a semi-urban area else INR 20,000 and above
- Occupation – you should either be a salaried employee or a self-employed businessman
- Stability – you should have a total work experience of 1 to 3 years depending on the lender and should be employed in the current job for the last 6-12 months. In the case of self-employed borrowers, a business vintage of 3 years or above is required
- Credit score – your credit score should be at least 650 and above
These are the basic eligibility parameters for availing a personal loan. The actual parameters might vary across different lenders. Based on eligibility parameters, the loan amount is decided. If you want to check your personal loan eligibility, here are the ways that you can go about it –
- Offline – you can visit the branch of the bank or financial institution from where you are seeking a loan. At the bank branch, you can get in touch with the loan representative of the financial institution who would inform you about the exact eligibility criteria of the bank and would also work out the loan amount that you can avail.
- Online – the online medium is a much easier alternative of checking your personal loan eligibility. You can check your eligibility online in either of the two ways –
- Through the lender’s website – banks and non-banking financial institutions have personal loan eligibility calculators on their websites. You can visit the website of the financial institution from where you want the loan, enter in your details and the calculator would calculate whether you are eligible for the loan or not and if you are how much credit would be available to you based on your profile.
- Through loan aggregator’s website – another alternative is to visit a loan aggregator for checking your eligibility across multiple lenders at once. Loan aggregators also have online eligibility calculators which calculate your personal loan eligibility for different lenders and show you multiple loan offers. You can then compare the offers and select the best personal loan.
When you know your eligibility, you can know exactly how much loan you can avail, which would avoid unnecessary rejection of your application. So, understand the personal loan eligibility requirements and check your eligibility before applying for the loan.