5 Best Tips to Help Employees Qualify for an Instant Personal Loan
New Delhi: Modern lenders have made it easy for salaried professionals to get a personal loan. As a result, you can conveniently get an instant personal loan to cover your planned expenses or emergency expenses. The purpose of availing a personal loan for employed applicants can be anything from funding college education, paying for medical procedures, funding a large wedding, preparing for your dream vacation, renovating your home and more. A personal loan also allows you to consolidate all of your existing debt into a single, low-interest loan.
Therefore, availing an instant personal loan is usually a viable choice as the end uses are unlimited. Moreover, you can get a penalty of up to Rs with such loans. 25 lakh which you can repay affordably. This ensures that you never have to draw on your savings when you need to make a big expense. However, you must first qualify for a loan to access these funds. There are certain factors that you should consider as an employee and this can help you get approval quickly.
Read on to learn how employees can qualify for an instant loan.
Meet the lender’s eligibility requirements for personal loans
Personal loan eligibility criteria vary by lender and you must meet all of them to qualify. In general, these are the conditions you may need to meet in order to get a permit.
- You must be an Indian citizen residing in India
- You must be between the ages of 21 and 67*
- You must be in permanent employment with a reputable organization
- You must have an excellent CIBIL score and a good credit history
- You must meet the annual income requirements for the city in which you reside
These are the basic criteria and to prove your eligibility you will need to submit the relevant documentation. Personal loan documents are important to your application and you must collect them before applying to minimize delays. In general, you may need to submit:
- KYC documents
- Payslips for the last 3 months
- Bank statements for the last 3 months
- Submitted ITR
- proof of address
Have a permanent job with a reputable employer
An immediate personal loan is usually an unsecured loan and as such you must give every assurance that you can be confident that you will not default on your payments. One way to do this is to work with a reputable employer or MNC. A stable job means you can make payments on time. Some lenders may also require you to meet a work experience criterion, which can be at least 1-2 years.
Build a decent CIBIL score
Top lenders typically require applicants to have a CIBIL score of 750 to qualify for a loan. If you have a credit card and have previously serviced debt, building your CIBIL score is relatively easy. Make sure you pay your credit card fees on time and keep track of your credit usage. By doing this consistently, you should maintain a high CIBIL score and ensure hassle-free approval of your loan application.
Do not apply for multiple loans at the same time
Recording multiple loan applications on your credit report can negatively impact your CIBIL score. In such cases, lenders may consider you a credit-hungry person and reject your application. It is advisable to apply for a loan only from a lender that you consider most suitable to avoid such situations. Even if you have applied for a loan in the last 3-6 months, wait a few months before applying again.
Reduce your debt to income ratio
A large amount of outstanding debt can negatively impact your chances of getting an instant personal loan. A DTI ratio above 43% is a red flag and may result in your loan application being rejected. Anything just under 43% still makes you a high-risk borrower. Typically, lenders prefer applicants with a DTI ratio of less than 36%. Therefore, it is important to pay off existing credit card bills or other minor debts in order to maintain a healthy credit profile and gain easy approval for new loans.
With these tips, you now have the information to make the right decisions. Make sure to choose Bajaj Finserv as your lender to enjoy all the benefits Immediate Personal Loan. As a hired borrower, you can just get started and just worry about it apply online. The process is quick and easy, and you can also cash out the approved penalty in less than 24 hours*. For an individual offer, Review your pre-approved offer by sharing basic details.
*Terms and Conditions apply
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