How to get Personal Loan approved easily
A personal loan is an unsecured loan which is utilized to meet “All-Purpose” requirements.
It consists of meeting your current financial needs like medical expenses, wedding expenses, home renovation expenses, travelling expenses, credit card bills, buying gadgets, etc.
A personal loan application process can get delayed or rejected, if your credit score doesn’t meet the bank’s requirement. The personal loan approval process can also be delayed because of the following ifs.
- If all the required documents are not submitted.
- If you don’t qualify for the minimum income requirements.
- If you don’t qualify for the employment requirements.
- If you don’t check whether the bank allows the personal loan amount to be used for everything or not, because, not all the banks allow the personal loan to be used for everything, so it’s better to mention for what purpose you want the personal loan.
- If your entered details in the application form are incorrect. Hence, you must check all the details thoroughly before clicking the submit button or submitting the application offline, otherwise, your personal loan application will get rejected.
Following Are The Ways To Get The Personal Loan Approved Easily
Meet Eligibility Criteria
Before applying for the personal loan, please see if all the eligibility criteria are met by you or not. The eligibility criteria are based on age, income, employment, location, credit score, etc.
The age of the salaried employee should be between 21-60 years and so on, Make sure you met each and every criterion before you apply for the personal loan.
The criteria’s are different for a self-employed individual and a salaried individual Read our detailed guide for the personal loan to know more about eligibility criteria in detail.
Maintain A Good Credit Score
A good credit score is of utmost importance for getting the personal loan approved quickly. A credit score is based on the following points.
- The payment history of the existing loan.
- Utilization fo you’re previous loan amount as compared to the credit limit. You should use only up to 40% of your credit limit. If you don’t do this then your credit score will get affected and as a result, it will go down.
- How well you have handled the payments of both secured and unsecured loans in the past on time.
- On the number of the basis of your application being accepted in the past. If the lenders in the past rejected your personal loan application, then this will affect your credit score.
A credit score is given from the range of 300-900. The personal loan will be only approved if the score is greater than 700. Generally, the greater the score, the good chance of getting the personal loan with many benefits like low-interest rates is possible for you. Hence, it is very much necessary to maintain a good credit score.
Don’t Apply For The New Personal Loan Before Clearing the Pending Loans
If you already have so many loans, then generally the lenders reject your personal loan application. You should not have a loan in your credit history report for at least 6 months before you apply for the new persoanl loan.
Be Prepared With Documents Required to Get a Loan
Be ready with all the documents that will be asked by the bank. If you forget to submit even one document, then your personal loan approval process will be halted. This will lead in delaying of getting the personal loan amount from the lender.
Be Reasonable While Deciding the Required Loan Amount
Approval of the personal loan amount is depended on your income statement. If your repayment capacity is less as compared to the personal loan you asked for, then there are chances of your personal loan application getting rejected by the lenders.
So it is very much necessary to analyze your repayment capacity before applying for the personal loan.
Do Not Send Out Multiple Personal Loan Applications
If you send multiple personal loan applications, then that will affect your credit score. Remember this, the number of times your personal loan application is rejected, the number of times your credit score will go down. Also, the banks will be suspicious whether you will select their bank or another bank, thus this will ultimately lead to rejection of your personal loan application.
Make A Perfect Personal Loan Application With LoansXpert
The personal loan approval process can be complicated if you go by doing it by yourself. So, LoansXpert has a team of experts that will help you in getting a personal loan with a low-interest rate very easily and quickly.
To get the personal loan easily you have to have a good credit score, repayment history, and good financial planning. Also, just don’t go rushing to apply for the personal loan, do check the eligibility criteria thoroughly. You must also keep all the required documents ready.
Apply only for the loan amount that will qualify your repayment capacity and have at least 6 months gap before applying for a new personal loan. Also, be patient and don’t apply to multiple lenders at a time as it will only increase the chances of your personal loan application getting rejected.