07 May 2019 | 4 min read
Imagine……you applied for the personal loan….and within few hours you received an email for your loan approval. Congratulations! So and so money is credited into your savings account. Yes, you can get the same happiness; adhere to the personal loan eligibility criteria specified by the banks and non-banking financial institutions. Along with that, let us bring forth some valuable suggestions to help you make winning personal loan application.
Check your credit score. Banks are very particular about the credit score. A poor score reflects your inability to repay the loan, whereas a good credit score showcases your likelihood to repay the loan. A score which is 650 or below indicates a poor credit score whereas a score above 720 is considered good. You must make sure to review your credit report and credit score for the same. Still, if you have poor credit score, come to Afinoz. We help you get even bad credit personal loans.
Most of the lenders have a minimum income requirement. If you cannot find this information on the lender’s website, you can do so by calling up the bank if they have any such parameter. Most of the lenders have a minimum monthly income requirement to assure that you can repay the EMIs. Have a few clicks on the personal loan emi calculator, you will get some good idea.
Personal loans are for the short term. Apply for the amount that a lender can approve easily. Take help of personal loan calculator, and you will get a fair idea about eligibility. The calculator works on the following formula –
EMI = [P x R x (1+R)^N]/[(1+R)^N-1]
Even if you are in a hurry to get the loan, make sure that you don’t apply to many lenders at the same time. This might create an uncertain situation for the lenders. They might think that you are in need of huge funds. Moreover, too many personal loan applications may also affect your credit score.
You must make sure that there is a gap between the two loan applications. For example, you must have not applied for the personal loan in the last six months from the date of recent application.
If you are applying for a personal loan or any other type of loan, it is important that you must complete all the paperwork. Although personal loans have a simplified application and approval process, it is important that you must run through the paperwork so that there is no delay or hurdle in the way of loan approval.
Well, we all know that personal loans are multi-purpose and you can use them for sponsoring your holidays to education to buying gadgets. But, it is always advisable to check with the lender the purpose which the bank approves for the personal loan to be used. You can talk to the bank about the same or check their website. Make sure that the purpose for which you want the unsecured personal loan is listed with the bank.
If you follow all these tips and adhere to them, your loan personal loans applications stand a fair chance to get your application approved. The key lies in your past behavior with your finances. Ask for a loan amount that meets your requirement and you can pay the same with ease.