How to Improve Your Chances of Getting a Personal Loan Approved?

A personal loan is one of the most popular forms of credit to get immediate financial assistance, and numerous lenders offer attractive rates and flexible loan terms to loan seekers. Individuals who wish to apply for a personal loan in 2021 need to ensure that they have made timely payments towards their last three EMIs on existing loans and credit card dues. Having a steady flow of income is important to be eligible for a loan, and a history of frequent job-hopping can indicate an unstable career. Also, you need to make sure that you qualify for the loan criteria set by the lender. Let’s look at three things that can improve your chances of getting a personal loan application approved.

• Applicant’s Credit Profile

When an individual applies for a loan, the lender goes through their credit profile to determine their creditworthiness as a borrower. Hence, it is crucial to have a healthy credit history and credit score to get your loan approved. If you have a poor score, you need to adopt healthy financial habits that will help improve it. You first need to ensure you’re making timely EMI payments towards your loans and credit card bills. Keep a low credit utilization ratio, have a healthy credit mix, and be watchful of the transactions on co-signed loans.

• Loan Repayment Capability

When you require financial assistance, you might plan on taking out a personal loan. However, you need to keep in mind that these are debts you need to repay throughout the tenure of the loan. Apply for a personal loan amount that you are sure to service and repay on time. If you struggle with your finances, you might default on your loan EMIs and end up in debt, harming your credit score in the process.

• Explore Other Options and Loan Offers

There are numerous banks and NBFCs in the financial marketplace that offer attractive personal loan features and service terms. However, avoid making multiple loan applications within a short period or lenders might view you as a desperate borrower.

Eligibility Criteria

The following are the basic loan personal loan eligibility criteria for salaried as well as self-employed individuals.

For Salaried Individuals

• The applicant must be between the ages of 21 and 60 years.
• Only Indian residents are eligible for the loan.
• You must be an employee at an MNC, private, or a public limited company with a work experience of at least 2 years.

For Self-Employed Individuals

• The applicant must be an Indian resident.
• Their age must be between 22 and 65 years.
• Eligible applicants must have a business vintage of at least 4 years.

Documents Required

• Identity Proof: PAN card/voter ID/Aadhaar card/passport/driving license, etc.
• Proof of Residence: Voter ID/Aadhaar card/passport/driving license/electricity bill/telephone bill, etc.
• Income Proof: Bank statement or salary slips for the last three months.
• Passport size photographs of the applicant.

In today’s world, a personal loan app is a great way to make your financial life less stressful. With the help of a finance app, the borrower can keep track of their loans online and manage their finances accordingly. The Finserv MARKETS app is one such mobile app that is designed to cater to all your financial needs, such as money management, online transactions, and making investments.

More importantly, with the Finserv MARKETS app, you can avail a Bajaj Finserv personal loan of up to Rs. 25 lakh at attractive rates. The interest rate on Bajaj Finserv Personal Loans starts from 12.99% per annum. The loan repayment tenure for a personal loan is flexible and usually ranges from 1 to 5 years. Thus, you can choose your loan tenure and repay the outstanding dues over that period. Moreover, you can easily track the status of your loan online with the Finserv MARKETS app on your smartphone and get access to your financial information, anytime and anywhere.