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Personal loan is the quickest solution for the urgent need of cash. The need could be for marriage, travel, purchase of certain high budget personal items or sudden medical or other emergencies. Union Bank offers personal loan for all these purposes. However, the eligibility criteria need to be met for these types of high risk loans and Union Bank follows the stringent guideline to determine eligibility before approving any personal loan.
The most important eligibility criterion is the CIBIL score. It is the credit score of the customer that indicates the borrowing pattern, spending habits, personal finance management and overall creditworthiness of the borrower. A good CIBIL score of 700 - 750 and above gives higher chance of Union Bank Personal loan approval while a lower credit score might pose a negative impact on the credit behaviour and reduce the chance of availing personal loan from Union Bank.
CIBIL Score is developed based on the diverse financial aspects of the person. CIBIL score captures both short term and long term financial activities and behaviour of the person. While approving a personal loan, Union Bank puts high emphasis on CIBIL score. Following parameters affect the loan decision by the bank.
Union Bank of India is one of the largest nationalised banks in India and offers personal loans to diverse group of customers for their diverse needs like home improvement, travel, wedding, education or medical treatment. It offers certain advantages like:
Any one or the combination of two or more reasons from the following list could lead to the rejection of personal loan by Union Bank of India. These are:
If certain steps are adopted, those can help to improve the CIBIL score and the approval of personal loan from Union Bank will be easier. These are:
What are the Personal loan rates of Union Bank?
It is 14.40% for salaried and self-employed persons and 12.90% for the pensioners
What is the eligibility criteria for getting Union Bank personal loan?
There are different parameters for eligibility. And these are as follows:
Income – A steady income is required and established with relevant documents to the bank and minimum income requirement as per Union Bank guideline has to be met
Job stability is required
What if I have low CIBIL Score? Will Union Bank still give me a personal loan?
Union Bank keeps minimum CIBIL score as 700 for loan eligibility of the applicant. Therefore, it is unlikely to get a loan approved with a low CIBIL score. Before applying for the personal loan, the applicant should check the credit score and then apply, because rejection due to a low CIBIL score will have a further negative impact on the credit history
Does skipping Union Bank personal loan payment affect my CIBIL score?
Yes, missing to pay a loan instalment or being late in payment after the due date has passed, will indicate a negative payment capacity of the borrower and affect the CIBIL score
Had a loan settlement with Union Bank, Will it affect my CIBIL score?
A loan settlement interprets as insolvency of the borrower and if there is a ‘loan settlement’ in credit report, it will affect the CIBIL score heavily and it is very likely that the future lenders will reject any loan approval
Can I get more than 3 Union Bank personal loans if I have a good CIBIL score?
It is a good idea to check your eligibility for Union Bank personal loan using your CIBIL score. And if the score is good, you are eligible for personal loan. However, getting multiple personal loans is as per the guideline and discretion of the bank and you have to approach personally to check that. Applying multiple unsecured loans might affect the credit score adversely
How can someone apply for Union Bank Personal Loan?
One can walk to the nearest branch of Union Bank or apply online.
How is Union Bank Personal loan better than other bank personal loans?
Can the income of the spouse be included for taking the loan?
Yes. In that case the loan could be taken jointly or the spouse can guarantee the loan