If you urgently need money, the best solution provider is your bank. You may visit your bank or check its website and can apply for a personal loan. Every bank, be it public sector lenders or private sector banks, can extend you a loan if you fulfil the required eligibility criteria. It is always advisable to check the current rate of interest before going to a bank.
The rate of interest may vary at different banks. Now-a-days, you don’t need to visit a branch in person for a personal loan application. Everything can be done at home by a click of a mouse. Many banks have extended their online personal loan portal through which you can apply for a loan. However, a person, who wants to avail loan, should keep in mind that the final interest rate offered to him may depend on factors such as personal credit score, loan amount, repayment tenure, and relationship with the bank. A good CIBIL score can always help you in availing a personal loan.
In the following we will discuss the process for applying for a personal loan.
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CIBIL score
The minimum CIBIL score for a personal loan is between 720 and 750. A good CIBIL score means you are creditworthy and banks will approve your personal loan application quickly with a nominal interest.
Eligibility criteria
The eligibility criteria of personal loan may vary based on several factors such as your income, age, employment status, and credit score.
If you are aged between 21 and 58, you can apply for a personal loan. A good credit history and stable job/service can propel your chance of getting a personal loan.
Before visiting any bank, you must choose a lender and check its eligibility criteria on their website. A loan applicant can also visit a branch of a bank and can ask in details.
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Check bank websites
You can visit the official website of a bank. Go to the loan section and search for ‘personal loan’.
An applicant should always study and compare before applying for a personal loan. Factors like interest rates, loan amounts, repayment tenure, and processing fees could vary at bank-to-bank. This will help you make an informed decision and choose the loan that suits you better.
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Uploading documents
You are required to furnish original documents such as PAN card, Aadhaar card, and residential proof while applying for a loan.
If you have identified the loan option that suits you online, click on the ‘Apply’ button. You need to fill in all the details such as your personal information, income details, employment details, and the loan amount.
While processing online, you have to upload the documents usually in JPEG or PDF format.
After filling out the form and uploading the documents required, carefully go through the uploaded documents before finally submitting the application. Always double-check before applying.
