Get a personal loan from the best banks at a low CIBIL score

A personal loan is considered among the best financial tools to fight against unexpected fund requirements. You can find many personal loan lenders out in the market offering a great deal to benefit the loan seekers. Some of the best bank for a personal loan has been mentioned below:

ICICI Bank Personal Loan

A high loan amounts up to Rs.20 lakhs can be availed with ICICI Bank. Various customized offers are also provided by the ICICI bank to meet the diverse needs of the applicants.

Benefits of ICICI Personal Loan

• An ICICI personal loan can be considered among the best banks in India suited for emergencies such as medical expenses, unplanned travel expenses, and others.

• ICICI Bank personal loan can be acquired through online loan processing due to which an individual can avail it from anywhere at any time. 

• The online ICICI Bank online portal is so efficiently designed & developed that even the first-time visitor can also use it with complete ease and is hassle-free.

• It only requires basic KYC documents like ID proof, proof of residency, and income proof. 

Citibank Personal Loan

Citibank has started its operations in India more than a decade. 

Benefits of Citibank Personal Loan

• Citibank has various branches in the country and caters to a wide spectrum of customer’s needs.

• Some of the bank financial precuts are Citibank Suvidha Salary Account for professionals, investment products, sizable loans, and free worldwide ATM dispensation, and others.  

• Citibank offers the market-leading products and services such as NRE/NRO savings account, loans and overdraft, global investments, and easy money transfer. 

HDFC Bank Personal Loan

Online personal loan by HDFC work with the mission is to provide financial support with high ethical standards to make the personal loan process simpler. 

Benefits of HDFC Bank Personal Loan

• It is a multipurpose loan.

• HDFC personal loan interest rate starts at 11.49% (t&c apply).  

• Flexible repayment tenure of 60 months is offered in HDFC personal loan to the borrower.

• A borrower can easily apply online for the HDFC personal loan.

As mentioned above many banks offers loans in India which has made it difficult to choose the best bank for a personal loan. To help you out, here are some tips to choose the best bank for a personal loan. Do have a look:

• Compare lenders to get the best offer- Before you go for a loan, do some thorough researches for all the options available to you. Don’t be the soft target for the money lenders. Hunt around; maybe you come across a lender who offers a comparatively lower interest rate on the personal loan than others. Always, ensure that the loan you choose is best suited to your requirements.

• Credit Score- Credit Score is based on the credit history which shows applicant creditworthiness. It can make or break your chances of getting the best Personal Loan. A credit score of over 700 or 750 is considered to be good. Lenders favor the applicant with a good credit score. There are even some lenders who decide the loan amount, repayment terms, and interest rate based on credit score.

• Look for the offers- An applicant should keep a watch on the seasonal loan offers to have a more affordable Personal Loan. Usually, these types of offers come with a limited period. Loan offers are more likely available during the festive time or online.

• Say No to Multiple Loans- Applying for multiple loans in a short period could damage the credit score. Dipping the credit score is never a good option if you need a loan.

• Concentrate on the pre-payment clause- Before finalizing a lender review bank charges for prepayment policy, especially if a borrower has a plan to pay off the loan in lump sums in the future.

• Maintain professional credentials- If an applicant is working in a reputed company at a high salary, it acts as an added advantage. As it makes the applicant a stable candidate in the eyes of the lending institution. The company’s good reputation is an asset for the borrower to ask for a lower rate of interest. We’ll tell you why? As the lender will be assured that the borrower has the financial source to make timely payments.

• Check the Credit Report - Before applying for a Personal Loan, it is important to thoroughly check the credit report. A minor error in the calculation of the credit score can have a strong effect on it.

• Don’t Re-apply Immediately – In case, lending institution rejects the loan application, then wait for at least 6 months before reapplying.

A personal loan is one of the easiest loans that a person can get but what if you have a low CIBIL score? Whether you can get a personal loan or not??

So, the answer is yes, you can acquire a personal loan for a low CIBIL score as well. Many reputable NBFCs and banks are offering personal loans for low CIBIL scores. They provide credit to applicants based on other factors. Those who work with a reputable organization and have a stable income can grab a personal loan from the best bank.

But here’s a catch! These lenders may offer personal loans at a high rate of interest. 

Personal Loan for Low CIBIL Score

Below are a few ways for availing of a personal loan for a low CIBIL score. 

1. You can keep your property, equity, fixed deposits, gold as collateral with the bank. 

2. Try to ensure that the current monthly income is higher. With increased revenue, the probability of missing payments and default decreases. 

3. You can also apply for a joint personal loan with a member or spouse or any other close family member whose CIBIL score is good. Like, if the husband does not qualify for the personal loan eligibility. Then you can take a personal loan in the name of his wife. Only if his wife has a good repayment history with a good CIBIL score with the bank. This works as a compensating factor for your loan application.

4. Look for loans with a high-interest rate- Most of the banks and financial institutions and banks offer personal loans at a low CIBIL score but a high-interest rate. 

Improve your CIBIL score by doing these things

As a loan seeker, you must know that Banks and other financial institutions do not want to give loans to customers who have a history of missed or late credit repayments. If you have a low CIBIL score then you can follow the below-mentioned pointers to maintain and increase the credit score:

1. Examination of the Credit Report: Make a careful examination of the credit history, this will help you understand the mistakes and will also ensure that the details in the report are flawless and correct.

2. Clear Off the Dues: The best way to improve the credit report is to clear off all the outstanding credit. In case you have any financial limitation, you should contact the lenders in advance and make sure you have a way out. Once the bills are cleared, wait for a few months and then again check the credit report.

3. Timely Payment: A delay in the repayment of the loan installment harms the credit report. If you desire an improvement in the credit score or if you want to maintain a good score, you should start paying the monthly installment before the due date or on time.

4. Spend as Per the Credit Limit: Try to maintain the credit limit by not spending more than 30% of the allotted credit limit. This one habit will always keep the credit score healthy.

5. Take Loans One at a Time: If you apply for multiple personal loans at the same time, you will only show the credit hungriness. Therefore, you should apply only for one loan at a time. This also makes easy payments and presents a higher possibility of getting the loan application approved.

Conclusion:

Now days getting a personal loan is no big deal whether you are a CIBIL defaulter or have a low CIBIL score you still have quite options to choose from. What matters is that from where you avail a personal loan, how much at what rate of interest. Always do in-depth research before applying for a personal loan.

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Digital12345 Joined: January 19th, 2020