If you are planning to take a personal loan then your CIBIL score can prove to be a decisive factor. If an applicant has a high CIBIL score then the chances of getting a personal loan are better. Now there may be some of you who may not have any CIBIL score or you may be having a low CIBIL score. Now is it possible for such people to get a personal loan?
Explore the chances of getting a personal loan with a low credit score:
If you have a low credit score or if you do not have any CIBIL score even then there are some ways that you can explore to apply for a personal loan.
- Proof of income can do the trick:
- To repay the loan you need to have a regular source of income and so if you can prove to the financial institution that you have regular income then you may get a personal loan.
- So, if you have a low credit score but have a steady source of income then you can approach a financial institution for a personal loan.
- The amount that is being borrowed matters:
- For higher loan amounts the interest rate is higher as the risk factor for the lender is on the higher side.
- If an applicant has a low credit score then it may not be possible to get a high loan amount as the lender may feel that the borrower has low creditworthiness.
- So, if you have a low credit score and want a personal loan then it is always better to opt for a lower loan amount.
- Have you tried applying with a co-applicant?
- Individuals with a low credit score can apply for a loan along with a co-applicant who has a good credit score.
- If the co-applicant has a good income and the lender feels that the co-applicant can repay the loan then your loan application along with the co-applicant shall get approved.
- Getting a guarantor might just prove to be helpful:
- If you have a low credit score and you want to apply for a loan then you must try to find a guarantor who has a good credit score.
- If you manage to find such a guarantor then despite the low credit score there are chances that your loan amount gets approved.
- Does your credit report have NA or NH remarks?
- If there is a NA or NH remark in your credit report then it indicates that there has been no credit activity in the last 36 months and in such cases, it may be difficult to get a personal loan from a financial institution.
- In such a scenario the applicant has to explain the reasons why there has been the inactivity. There are chances that the lender may approve the loan application of such an applicant but the interest that the lender shall charge is going to be on the higher side.
- You can always try for collateral loans:
- In the case of applicants who have a low credit score and due to this is not getting the loan approval there is the option of collateral loans.
- In the case of collateral loans, the applicant can take the loan by using collateral which can be an asset like jewelry or gold, etc. This is a secured loan that the applicant can get even if he has a low credit score but in case the applicant does not repay the loan then the lender can sell the asset that the applicant has given as collateral and can recover the loan amount.
It is always better to try and improve your credit score:
- If you do not want to go through the above hassles for getting a personal loan then it is better to try and improve your credit score at the earliest.
- To have a good credit history you mustn’t come on the defaulter list and for this, you must clear your debts in time,
- It is important that you do not ask for a lot of credit and you must avoid applying for more credit cards.
- Avoid taking only unsecured loans and you must always try to take a combination of secured and unsecured loans.
With these few tips, you can have a healthy CIBIL score and once you have a high credit score then you can easily get a personal loan from a financial institution.
Have you tried applying for a personal loan from Moneyview?
If you have a low credit score and require a personal loan then you can connect with Money View. This is one financial institution that has its credit rating system and so even if you have a low credit score there are chances that you can get a personal loan from Money View. There are some important steps that you have to follow to get a personal loan from this financial institution.
- First, you have to check if you are eligible to apply for a personal loan from Money View. You can do this online on the company’s website or by using the app of Money View.
- Next, if you are eligible then you have to submit your online personal loan application form on the website of Money View and along with the form you also have to submit the soft copies of the photo id proof, address proof, and income proof.
- The officials of Money View check if all the details are correct and verify the application and if everything is fine then the loan agreement details are sent to the applicant.
- Once the applicant accepts the terms and conditions then the loan is disbursed immediately and the money is transferred to the bank account of the applicant in the next few hours.
Have you checked the advantages of taking a personal loan from Money View?
- There are chances of getting a personal loan from Money View even if the applicant has a low credit score.
- The interest rate applied by Money View is very competent as compared to some other financial institutions.
- The loan application and loan disbursal process are very easy and it takes a few hours for the eligible applicant to get the personal loan from Money View.
- Even checking the eligibility of the candidate on the website of Money View takes just a couple of minutes.
- Money View is one financial institution from which one can get a personal loan with minimal documentation.
Conclusion:
In case you do not have a high CIBIL score then that does not mean that you cannot get a personal loan. There are some options that you can explore to get a personal loan with a low credit score.
But it is always better to maintain a healthy credit score because individuals with a high CIBIL score can always get a personal loan with ease. One financial institution from which it is possible to get a personal loan even with a low credit score is Money View. This financial institution has its internal credit rating system which makes it possible to get a personal loan with a low credit score.
So, go to the website of Money View i.e. https://moneyview.in/ and check if you are eligible to get a personal loan from this leading financial institution.
