Personal loans are one of the most preferred and popular loan options for many decades. And with rising financial awareness amongst people coupled with steps being taken towards financial inclusion in the country, more & more people are becoming aware of the importance of personal loans in meeting financial needs for funds. Thus, personal loan offers of top banks such as ICICI personal loan are definitely amongst the favored loan option and lenders for those in need of quick funds for mitigating financial shortfalls or exigencies.
Here are top money moves that can help skyrocket your personal loan approval chances:
Review your credit profile to increase eligibility and approval chances
Credit score has gradually been becoming a vital parameter for lenders to assess applicant’s personal loan eligibility. A credit score is no less than a reflection of your creditworthiness as well as your past repayment history. Basis the information mentioned in the credit report, credit bureaus go-ahead to compute your credit score. Upon checking your credit score, you can take the necessary steps to better it and then go ahead to apply for an ICICI personal loan with a boosted credit profile to make sure you have higher chances of having the personal loan application accepted and even avail low and attractive ICICI Personal Loan Interest Rates.
And, developing the habit of time to time reviewing your credit report at regular intervals of around once every three months is equally important. This habit allows you enough time period to make corrective efforts to boost your credit score before you choose to submit an application for ICICI personal loan. How this helps is it enables you to n=identify and get rectification for any wrong information which has been harming and adversely impacting your credit score. By quickly contacting the bureau and/or lender for such corrections, in return, you get a rectified credit report, which will reflect an increase in your credit score. Also, remember to compare the rates of lenders offering you a personal loan with those of ICICI Personal Loan Interest Rates, and then go ahead with the lender offering the best deal as per your requirement.
Ensure to qualify for the minimum income eligibility criterion
Many lenders set minimum income criteria for loan applicants when evaluating their applications. Income is often the first filter that lenders put in when an applicant applies for ICICI personal loan. These income criteria may also vary as per the applicant’s location. For a person living in metro areas, the minimum income requirement might be more than that required for someone residing in rural or semi-urban areas. Those who do not meet this criterion usually face outright rejection of an application.
Also, do not ignore the age factor in eligibility when planning for ICICI Personal Loan. Check whether your current age fits the criterion set by prospective lenders. And not only the current age, but lenders may also factor in the applicant’s expected age at the end of personal loan tenure while assessing loan eligibility. Applicants who fail to qualify into the minimum and maximum age bracket are usually denied a loan.
Check the offers of your existing lenders
Lots of personal loan lenders in recent times tend to offer pre-approved personal loans at preferential ICICI Personal Loan Interest Rates to their existing and/or even highly prospective customers. The presence of existing relationships in varying forms like current, savings, salary or fixed/recurring deposit accounts, or existing loans or credit cards, can thus fetch you better deals on your loan or other credit requirements. Hence, those looking for ICICI personal loan should first start their process of finalizing the lender by contacting the ICICI bank and/or other banks and NBFCs with whom they share existing banking and/or lending relationship. Personal Loan Interest Rates and other loan features can then be used as a benchmark to compare the competitive rates and offers of other lenders.
Be wise when finalizing loan tenure
When applying for ICICI Personal Loan, remember that most lenders factor in applicant’s repayment capacity while evaluating their loan applications. The requirement in terms of eligibility here is that the applicant’s monthly EMI obligations (including new EMI) should be as per the eligibility set by different lenders. Therefore, applicants should ensure to choose the personal loan tenure that keeps their monthly repayment obligations within the stipulated range. Keep in mind that applicants already having higher repayment obligations can have lower chances of getting their personal loan application approved with favourable service terms.
Compare offers and features of as many lenders as possible
Given that many lenders such as ICICI Personal Loan offer a wide range of offers and products pertaining to personal loans, their interest rates tend to a wide range, making it imperative for prospective borrowers to compare the personal loans offered by as many lenders as possible before selecting any. Hence, start your loan search by contacting the fintech, bank, and/or NBFCs with whom they have existing consumer relationships for their personal loan features. Do not restrict your lender comparison to just the rates of top lenders like ICICI Personal Loan Interest rates, but factor in other features, including repayment tenure, processing fees, loan amount, etc.
Only borrow the required amount as a loan
Another step that can turn into a grave financial blunder is borrowing more than the actual requirement of funds. This is true especially for those having higher repayment capacity, as they are the ones who get enticed to avail a larger amount of personal loan upon knowing their high loan eligibility. These people tend to forget that availing loans, especially relatively costlier ones like personal loans, involve interest cost just like the one levied in the form of ICICI Personal loan interest rates, which needs to be paid back with the principal borrowed. The higher amount you borrow, especially more than the actual requirements, the more additional interest cost you incur, thereby taking away a higher amount of money from your pocket. Over-borrowing can even push you towards deeply straining your financial health to repay the borrowed loan, thus causing a possible threat of increasing the risk of default. Hence, when taking ICICI Personal Loan, ensure to borrow only the amount you require and would be able to repay comfortably in the form of monthly personal loan EMIs.