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CIBIL Score for Bank of Baroda Personal Loan

Bank of Baroda is one of the largest nationalised banks in India. Personal loans offered by Bank of Baroda are an ideal solution to meet your financial needs. With a Bank of Baroda personal loan, you can finance anything from a medical emergency, home renovation, overseas vacation, destination wedding, etc. Personal loans server a better purpose in comparison to untrustworthy money lenders, debt collectors, loan sharks and even a credit card. To begin with, a personal loan is an unsecured loan which does not require any guarantor or collateral and is easily provided online by different banks and non-banking financial institutions. A personal loan often comes with a high rate of interest and the entire risk is undertaken by the lending institution or bank. It benefits the potential borrower as it is a multipurpose loan which can be used for anything as long as it is within the legal framework. Both salaried and self-employed professionals can apply for a Bank of Baroda personal loan. But before you apply for a personal loan from Bank of Baroda, it is advisable to check your CIBIL credit rating. Read more to find out.

Importance of CIBIL Score for getting a Bank of Baroda Personal Loan

Just like all other banks and financial institutions, Bank of Baroda will definitely run a credit check on your behalf. This is done by looking into your CIBIL score. All of your recent and past credit history across lenders and credit cards is mapped in your CIBIL score. A CIBIL score will be the ultimate deciding factor when it comes to your personal loan application. A higher CIBIL score increases your chances of receiving a personal loan from Bank of Baroda, while a lower CIBIL credit score will decrease your chances of receiving a personal loan. The standard requirement across all banks for lending eligibility is a CIBIL score of 750 plus, Bank of Baroda requires a minimum CIBIL credit score of 650 to be eligible for a personal loan.

Bank of Baroda Personal Loan Information

Eligibility and Documentation

Age LimitMin - 21 years
Max - 60 years (salaried individual)
Max - 65 years (non-salaried individual)
Maximum Loan AmountMetro & Urban: Rs.1 Lakh
Semi-Urban & Rural: Rs. 50,000
Maximum Loan AmountMetro & Urban: Rs.10 Lakhs
Semi-Urban & Rural: Rs.5 Lakhs
Penal Interest2% on overdue amount
Charges for Processing2% of Loan amount Minimum: Rs.1000/- Maximum: Rs.10,000/- + Service Tax
Salary RequirementRs. 25,000/- minimum
Employment History Current - 6 months - Salary Slips/Bank Statement. Total Work Experience - 2 years minimum - Salary Slips/Bank Statement.
OR
Employment ID|Visiting Card|Offer or Application Letter.
Interest Rate- Approximately 11.60% to 14.35%
- Current customers who have account relationship of minimum -6- months: One year MCLR +SP+3.00% to One year MCLR +SP+ 6.00% (As per Risk Rating of the applicant/s.)
- Applicants who have account relationship with other Bank at least for -6- months: One year MCLR +SP+5.00% to One year MCLR +SP+ 8.00% (As per Risk Rating of the applicant/s.)
KYCProof of Identity
Proof of Address
Eligible Borrowers- Employees of Central / State Govt. / Autonomous Bodies/ Public / Joint Sector Undertakings, Public Limited Co. / MNCs & Educational Institutions - with minimum continuous service for 1 year
- Employees of Proprietorship, Partnership firms, Private Limited companies, Trust - with minimum continuous service for 1 year.
- Insurance Agents - doing business for minimum last -2- years.
- Self Employed Professionals (Doctor, Engineer, Architect, Interior Designers, Tech. and Management Consultants, Practicing Company secretaries etc.) - with minimum 1 year stable business.
- Self Employed business persons - with minimum 1 year stable business.

Features of Bank of Baroda Personal Loan

  • The rate of interest offered by Bank of Baroda for personal loan varies from 11.35% to 14.35%.
  • If you already have an existing relationship with the bank, you can avail a personal loan up to ₹2,00,000/-.
  • The maximum loan amount which can be availed is ₹10 Lakhs.
  • 5 years is the maximum tenure for the loan amount.
  • If you wish to close the account within a 6 month period, you will have to bear prepayment charges of 4% on the outstanding amount.

Benefits of Bank of Baroda Personal Loan

  • Instant Processing - Bank of Baroda Personal loan comes with the benefit of instant processing. The application will get processed instantly and the loan amount will be delivered to your bank account.
  • Zero Repayment Fees - You do not have to pay any fee on the rebate of the personal loan, if the amount has been has been cleared before the due date. You can simply clear off the loans and reduce your financial liability.
  • Multipurpose loan: Serves as a multi-purpose loan which can be utilized for anything.
  • Pay in EMIs: Option to payback the personal loan amount with predetermined EMIs as per your tenure.
  • Low interest rates" Bank of Baroda personal loans come with low interest rates 11.35% and 14.35% for salaried individuals and self-employed, respectively.

Probable reasons for Bank of Baroda Personal Loan Rejection

  • Low Credit Rating - A low or a poor CIBIL credit score is the most dominant reason for a personal loan rejection. Thus, you should make complete effort to revive and improve your credit score.
  • Income - Bank of Baroda takes the income earned of the potential borrower into consideration. If you do not meet the minimum monthly income requirement, your loan application will face rejection.
  • Industry Type - Bank of Baroda has listed a few industries where they do not disburse lending facilities. If you are working for a company listed in this category, your loan application will face rejection.
  • Employment Stability - Bank of Baroda seeks a minimum of 36 months of employment history as an eligibility criteria for personal loan. Job stability helps in evaluating your payback capacity. Too many job switches, and the bank will simply reject your loan.
  • Existing Loans - If you already have an existing EMI of another loan, Bank of Baroda may reject the new application as it will increase the overall debt liability on your hands.

Tips for improving CIBIL Score to get Bank of Baroda Personal Loan

  • Boost your credit rating and CIBIL score by making timely payments for all of your existing EMIs, credit card bills and loans. All of these activities will be captured in your updated credit information report and will increase your chances of improving your CIBIL score.
  • Availing multiple loans from different banks at the same time can reflect badly on your financial history. The banks will check on your payment capacity and creditworthiness. Therefore, go for only one loan at a time.
  • Banks will always prefer customers who select a long tenure for payment. This is beneficial for the bank as well as the potential borrower. With a longer tenure for loan repayment, you will get lower EMIs along with a longer space to pay back the money.
  • Prepayment of the remainder loan amount before the due date can increase your chance of getting a Bank of Baroda personal loan as prepayment indicates income stability.
  • Do not borrow a big loan amount. Pick the amount only if you can payback.

FAQs On CIBIL Score for Bank of Baroda Personal Loan

What if I have a low CIBIL score, will Bank of Baroda still give me a personal loan?

No, Bank of Baroda has the minimum CIBIL score requirement of 650 to be eligible for a personal loan.

Does skipping ICICI bank personal loan payment affect my CIBIL score?

Yes, it will have a negative impact on your CIBIL score. It is advisable that you do not miss out on any of your payments or EMIs for any of your loans and credit cards.

Had a loan settlement with Bank of Baroda, will it affect my CIBIL score?

Yes, it will have a negative impact on your CIBIL score, under settlement, you have paid only a partial amount and the remainder due amount is cleared off by the bank. Any un-cleared amount will further downgrade your CIBIL score.

Can I get more than 3 Bank of Baroda personal loans if I have a good CIBIL score

No, at any given time you can avail only a single personal loan from Bank of Baroda.