Given below are some of the factors that impacts your personal loan eligibility -
Your credit score is a numerical measure of your credit worthiness. If you have a high credit score (>700) then you are considered to be less risky in terms of defaulting on your repayments and can therefore avail a higher amount of loan at lower interest rates.
Lower the risk associated with repayment, lower is the interest rate imposed. This is why salaried applicants generally get loans at lower interest rates as this type of employment poses less risk compared to self-employment.
Higher the income, higher is the repayment ability as long as there aren’t multiple loans active at the same time, i.e., as long as your debt-to-income ratio is low. At Money View, we require applicants to have a minimum monthly in-hand income of Rs. 13,500 for those who are salaried and Rs. 15,000 or more for those who are self-employed.
Another factor that determines eligibility is your age. Usually those currently in the earning bracket can avail loans easily while those closer to retirement will not be able to and even if they do, it will be at higher interest rates. At Money View, you must be between 21 to 57 years old in order to avail personal loans.
Those in Tier - I cities usually have a higher income and credit score requirement as compared to those living in Tier -II and Tier -III cities as the income as well as expenses may be higher making the repayment a little more riskier.