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CIBIL score for IDBI personal loan

Industrial development Bank of India popularly known as IDBI, is undoubtedly one of the most renowned banks in our country. It has over 1400 branches, around 2000 ATMs and it is one of the most trusted financial service companies in India. IDBI has a unique commercial flare and it always tries to generate schemes that will be of service to consumers. This bank provides various services such as car loan, home loan, educational loan and so on. However, one of the most striking features displayed by IDBI bank is that of a personal loan. Personal loans are extremely beneficial as there can be many reasons that put people in need of a large amount of money. Situations like weddings, travel expenses, emergency hospital expenses, educational requirements, or even needing a lump sum amount to invest in a certain business; at such times getting a personal loan from a trusted financial service company is the best option.

Importance of CIBIL score

The foremost aspect to keep in mind is to have a good CIBIL score. This is imperative for receiving a loan from any bank. CIBIL score is basically your credit score that evaluates your previous loans and credit cards which will then determine your eligibility for the loan. You will be eligible for a personal loan based on various criteria’s of CIBIL score which directly depend on factors like delayed payment of past loans, rise in the number of unsecured loans, usage of credit limit and excess loan applications. For obtaining a personal loan, factors like residence, profession, salary and stability are also of keen importance. Your CIBIL score represents your credit score which is a record that is generated from previous credit card providers and lenders. While checking your eligibility for the loan, IDBI bank will take into consideration the entire CIBIL report which also consists of pervious loan records, previous credit cards and payment schedules on the same. A minimum of 750 credit score is required by IDBI bank for applicants of personal loans. If you have a good credit score that meets this requirement, then your loan is likely to get approved. However, if your credit score falls short to the prescribed requirement, then you will not be eligible for a personal loan.

IDBI bank personal loan information

With its advanced technology, consumer-oriented services and products, IDBI bank is a pioneering financial service company in India. It has many trusted costumers and strives to make it easier for them in ways that reduces the stress and promotes a more fulfilling life by assisting customers and turning their dreams to reality. Unfortunate happenings, family events, dream house, medical expenses, career leaps or even study purposes; a personal loan comes along with a wide range of usage possibilities and you have the complete freedom to decide. It solely depends on your choice, which is why getting a personal loan can be so liberating. IDBI bank products and service comply to all kinds of individuals. The bank offers personal loans to self-employed professionals, salaried individuals, pensioners, salaried account with inbuilt overdraft facility and pension account with inbuilt overdraft facility to pensioners of IDBI Bank ltd.

  • Their personal loan service is offered in three groups, they are as follows:

    • Salaried individuals that have a salary account
    • Pensioners maintaining pension account
    • Salaried customers and self-employed professional with or without existing liability association with IDBI bank

Possible reasons for personal loan rejection

To apply for a personal loan, you must just fill up basic details and submit all your documents. As easy as the application process is, you need to really be vigilant when taking steps to get a loan.

There can be various reasons that your loan gets declined, a few are mentioned below to make you aware while you go through the process.

  • Low credit score- A good credit score is extremely necessary in getting a personal loan. Your past loans and credit cards must have a stable pattern of you returning the amount. Delayed payment also serves as a drawback in your CIBIL score. Your credit history is something that clearly gives the bank an impression, as this is a definite way of understanding if the applicant is eligible of their loan or not.
  • Employment unsteadiness- Employment stability is of utmost importance, since the bank needs to be assured that you can pay off your loan on a regular basis. When considering your eligibility, if the bank notices that you have been inconsistent with various jobs and do not have a considerable steady term of experience workwise, they will reject your loan as this will lead to an uncertainty for them receiving their money back.

  • Financial instability- Financial stability is considered significantly by the bank when deciding if you are eligible for a personal loan. This basically determines your repayment ability; thus, banks are very cautious and vigilant while lending a loan to an applicant. Your monthly and annual income also must be of a certain amount. Different banks have different minimum income requirements. For IDBI bank, minimum monthly income needs to be Rs. 20,000.

  • Other eligibility requirements- The age criteria is 22 years to 60 years. So, if your above 60 or below 22 you are not eligible for a personal loan from IDBI bank. Residency also is an important aspect. You must show stability in the place you have been living.

Tips for improving CIBIL score

  • Timely payment- Regular payment of your dues, debts and other bills will portray a disciplined stability in your credit report.
  • Wise use of credit cards- Credit cards can prove to be beneficial, if used wisely. They have many added benefits too, but its necessary to use one when needed and not for unnecessary purposes. Use how much you can afford to repay at the end of the month.
  • Refrain from applying for too many loans- Nowadays, it’s very common to get emails and calls from different banks offering free credit cards. Though this seems like an easily available option to avail more credit cards and waive off pending loans, you must also keep in mind that this only adds another debt to you. Using many credit cards also gives an impression to banks checking your eligibility for a personal loan that you are in frequent need of money. This will cause a drawback immensely.
  • Check your credit score- If you notice any inaccuracies or errors, make sure you bring it to their notice on www.CIBIL.com. They will do the necessary changes, this will bring an increase in your credit score.
  • Keep all your credit cards- You must keep all your credit cards, especially the oldest ones. A good repayment history is a boon. It will reflect your stability and increase your CIBIL score greatly.

FAQS On CIBIL score for IDBI personal loan

What if I have a low CIBIL score, will IDBI bank still give a loan?

No, a minimum of 750 credit score is required. If your credit score is lower than that, you will not be granted the loan.

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

Yes. Your CIBIL score includes data that is submitted regularly from various banks and financial departments. Hence, it keeps track of all the credit cards you’ve used.

Had a loan settlement with IDBI bank, will it affect my credit score?

Yes, this will affect your credit score immensely. A loan settlement is a bad sign, and this reduces your score by 75-100 points. It will affect your future chances of getting a loan.

Can I get more than 3 IDBI bank personal loans if I have a good credit score?

Yes, you can you can get 3 IDBI bank personal loans if you have a good credit score.

What are Personal Loan Interest Rates of ICICI Bank?

Currently, being the 10th largest development bank in the world, IDBI bank always offers considerable services, at maximised benefit of the customer.

The following rate of interest is currently applicable- For salaried customers that are offered personal loans, the rate of interest at one-year MCLR is 12. 55% onwards, whereas for customers who are retired IDBI staff individuals that possess a pension account with overdraft facility, the rate of interest offered is 9. 80% onwards.

The marginal cost of fund-based lending rate (MCLR) is currently from 8. 00% to 8. 90% depending upon the tenor.

What is the required eligibility Criteria for Getting IDBI Bank Personal Loan?

  • Good credit score- A good credit score is the most essential to grant you a loan. If your credit score is good, you will get a loan. Your score must be above 650 points.
  • Age- Age is an important factor that affects your eligibility in getting a loan. Minimum age for an individual applying for a loan needs to be 22, whereas the maximum age eligibility is 60 years.
  • Income and stability- An individual applying for a personal loan needs to have an income of minimum Rs.20,000 For a self-employed individual, the income needs to be minimum Rs.25, 000 A consistent income over a long period of time proves your stability and capacity to repay.
  • Financial stability- A good financial history is likely to get you a personal loan. It displays your discipline and ability to repay amount efficiently. To conclude, your CIBIL score plays a significant role in getting a personal loan. A need for a personal loan can arise at any moment, hence keep your credit score good by cleaning off all your bills and debts on time. If you do, nothing can stop you from obtaining a loan and fulfilling your dreams!