With a personal loan, you can bridge financial gaps without having to pledge a valuable asset. While you have many personal loan offers and lenders to choose from, you may have one persistent question in mind before you apply, ‘How can I get the lowest interest rate on a personal loan?’ As personal loan interest rates affect how affordable the borrowing experience is for you, this is an important question. The first thing to know is that personal loan interest rates hinge on your quick personal loans eligibility. Here’s what you need to do to increase your eligibility for a personal loan and enjoy the most nominal interest rates.
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Make Debt Repayments On Time
With timely repayments, you assure lenders of your creditworthiness. You show lenders that you are financially responsible and are fully capable of repaying debt on time. This way you build up your credit score and lenders aren’t wary of your ability to repay any loan offered to you. Thus, they lend you credit at an affordable rate of interest.
Keep a Check On and Maintain Your Credit Score
Lenders consider a good credit score as one of the most important eligibility criteria for unsecured loans like a personal loan. So, request for your credit report from time to time and check to ensure there are no discrepancies. If you notice a discrepancy, raise a dispute to resolve it and see your credit score jump. With a higher credit score, you can avail affordable personal loan interest rates.
Have a Stable Source of Income and Steady Earnings
A stable income source tells the lender that you receive regular income and will have money each month to make timely repayments on your personal loan. Further, seeing you employed with a reputed employer provides the lender with a guarantee of your income.
Practice Being Financially Independent
Consumer credit only to the extent that you can repay. While it can be easy to be carried away by the availability of credit, remember that excess credit consumption shows the lender you aren’t able to survive within your own means. Ideally, keep your overall credit usage to 30%. Further, avoid making too many credit applications lest you come across as credit-hungry.
Check Personal Loan Eligibility Criteria Before Applying
Understanding the yardstick that you will be measured by ensures that you steer clear of rejection. The best way to ensure that your application is not rejected based on eligibility is to check lender-specific eligibility personal loan eligibility criteria related to your age, income, and other particulars. Some lenders provide calculators that make this task easy. Click here to calculate your eligibility for a Bajaj Finserv Personal Loan.
Taking these steps can affect your personal loan approval in a positive manner and allow you to benefit from nominal personal loan interest rates. If you are looking for an affordable and substantial personal loan online, borrow one from Bajaj Finserv. Here, you can get a loan online for up to Rs.25 lakh at nominal interest rates. Further, you can opt for the flex loan facility to borrow from your sanction multiple times and pay interest only on the used amount. You can also choose to pay interest-only EMIs and repay your principal at the end of your tenor and manage your cash flow better. To know your customized loan deal and get a loan online, check your pre-approved offer. This way you can speed up financing and enjoy instant approval on your personal loan.