Personal Loan Income Required by 27 Banks in India

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Your income is the most important criteria checked by the lender when approving personal loan application. Every lender has minimum income requirement below which loans are straight away rejected.

Here’s the table showing income required for personal loan by over 27 banks/financial services companies in India:

Name of BankMinimum Monthly Salary Required
City Union BankRs. 6,500
Jammu and Kashmir BankRs. 6,500
Abhyudaya Co-operative BankRs. 8,000
The Andaman and Nicobar State Co-operative Bank Ltd.Rs. 5,000
The West Bengal State Co-operative Bank Ltd.Rs. 2,000
Karnataka BankRs. 10,000
Karur Vysya BankRs. 10,000
Indian Overseas BankMore than Rs. 5000
Oriental Bank of CommerceMore than Rs. 6000
State Bank of IndiaRs. 24,000 - Urban
Rs. 10,000 - Rural and semi-urban
HDFC BankRs. 20,000 - Urban
Rs. 15,000 - Rural and semi-urban
Axis BankRs. 15,000
YES BankRs. 25,000
ICICI BankRs. 20,000-25,000 - Urban
Rs. 17,500 - Rural and semi-urban
Allahabad BankRs. 20,000
Canara BankRs. 25,000
Dena BankRs. 15,000
Punjab National BankRs. 30,000
Dhanlaxmi BankRs. 35,000
Federal BankRs. 50,000
Nainital BankRs. 25,000
Ratnakar BankRs. 25,000
South Indian BankRs. 25,000
Kotak Mahindra BankRs. 25,000
IndusInd BankRs. 25,000
Deutsche BankRs. 25,000
Bajaj Finance LimitedRs. 30,000 - Rs. 40,000 (Depending on the city)

Apart from the salary; banks or financial service providers also look for following eligibility criteria:

CIBIL score: This is a score given out of 900 to every borrower depending on the credit history. A good score is typically above 750. Anything below that increases the chances of loan application rejection. In order to get high CIBIL score, few of the solutions are –

  1. You should never keep credit balance
  2. No late or missed payments
  3. Pay EMIs fully. No minimum balance to be paid.
  4. Limited loan/credit card applications
  5. Not spending above the credit limit i.e. credit utilisation should be low.

Type of income: Whether you have a regular or irregular income matters a lot. Even if you have a high income but if it is irregular, then chances of personal loan disapproval increases.

Read on getting personal loan from co-operative bank.

Company you work for: The market reputation of the company you work for carries importance.

How many years you have been in the present job? Lenders also look for the applicant’s job stability. And if the applicant is self- employed then years in the business is considered. Although this criteria is considered by very few lenders.

Age: Most lenders do not offer loan to applicants below the age of 21 years. This is because, it is assumed that such individuals will not have repayment capacity due to no income.

Qualification: If the applicant is not a graduate then getting a loan becomes difficult. However if such individuals have a steady income, then banks can consider such applications.

Other options to get personal loan, if you are denied because of low income are:

Against fixed deposit: It’s a big money saver as the rate of interest charged by the bank is low compared to traditional personal loan. Moreover banks typically skip criteria such as monthly salary, CIBIL score etc. as mentioned above.

You can also get personal loan against LIC policy, securities such as mutual funds, shares, gold. Peer to peer lending is another good option to get loan.

So for a low income earning person, there are multiple options to get personal loan. But always remember to pay-off your EMIs before every due date.

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