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You require funding and approach ICICI Bank for a personal loan. All your eligibility criteria for personal loan matches with ICICI Bank requirements, still your loan application gets rejected. You wonder, what could have gone wrong? The answer is your CIBIL™ Score.

What is a good CIBIL™ score for getting ICICI personal loan?

CIBIL™ score is a 3-digit numeric synopsis of your credit history which tells about your creditworthiness.  The scores lie in the range between 300-900.

  • Any CIBIL™ score between 750 - 900 is considered a good credit score for availing ICICI Personal Loan.
  • A CIBIL™ score between 550 – 700 is of moderate value indicating that the bank will consider you as a slightly risky category and your chances of getting a personal loan is not high. Even if you get the loan, you may be offered unfavourable loan terms.
  • If you have a CIBIL™ score between 300 – 549, the ICICI Bank will just reject your loan application.

The CIBIL ™ score thus has a very important role to play in the personal loan getting approved easily, so always aim for a high CIBIL™ score by keeping your financial records clean.

What is the importance of CIBIL™ for availing ICICI Personal Loan?

Credit Information Bureau (India) Limited (CIBIL™), founded in 2000 is the first credit bureau of India which has a leading role to play in the country’s lending scenario. Being one of the few authorized credit bureaus in India, its main purpose is to collate customer data based on their past credit history and produce a comprehensive credit report and CIBIL™ score for lenders and customers.

This information is used by lenders, who are members of CIBIL™ to determine a potential borrower’s creditworthiness and financial diligence with respect to repayment of loans. It helps them to rule out any default borrowers.

Customers get benefit from the CIBIL™ credit report and CIBIL™ score through understanding how their CIBIL™ score will help in getting loans approved without any hassles. As such, your credit history denotes particulars with respect to your past dealings with banks and financial institutions like reflecting your capability of repayment patterns, total outstanding amount, secured vs unsecured loans, the rate at which you have applied for credit etc. These key elements which are provided by lenders to CIBIL™ are recorded, collated and analysed by CIBIL™ before drawing the final credit report and CIBIL™ score.

Why is your CIBIL™ Score considered so important for availing ICICI personal loan?

A personal loan which is an unsecured loan does not require collateral. As such, a personal loan is considered risky by lenders as compared to a secured loan. So, assessing your financial soundness in respect of your current and past loan repayment capacity is important for lenders to ensure you do not default on your debt repayments.

For availing ICICI Bank personal loan, the bank would firstly do stringent scrutiny of your credit information to ensure that you can be trusted with respect to your financial prudency for loan repayments. The CIBIL™ score is one of the main considerations in this lending process due to its ability to evaluate a borrower’s creditworthiness. The CIBIL™ score is generated by CIBIL™ after a careful compilation of all your past credit information of loans and credit cards. The CIBIL™ score thus protects lenders by helping them to make appropriate decisions on whether to grant you the loan or not.

Top Reasons for Personal Loans getting rejected by ICICI Bank

Key reasons why ICICI Bank may reject your personal loan application could be 

  • Over leveraged – When a huge portion of your income is applied towards paying current debt, then you are considered over-leveraged by the bank. As such, your chance of getting a personal loan approved becomes lower.
  • Defaulter – Your name appears as a defaulter on the lists maintained across banks, making you a potential high-risk case ending in your personal loan getting rejected.
  • Guarantor on a defaulted loan – If at any time, you have been a guarantor for a loan and that loan has defaulted, then your credit score will be low leading to rejection of your personal loan application by the bank.
  • Not paying regular taxes – Banks usually prefer borrowers who have been diligently filing their income tax returns for at least two years prior to the loan application, to view your application in a favourable manner.
  • Multiple loans – Multiple loans indicate a high debt appetite on the part of the borrower and decreased liquidity. This is a red flag for your financial dealings increasing your chances of getting a personal loan rejected.

What recommendations does ICICI Bank provide for increasing the CIBIL™ Score?

Key recommendations are

  • Paying credit cards dues or loan EMIs regularly in a timely manner
  • Having no outstanding balance
  • No over-utilization of credit limit sanctioned
  • Not having multiple loans at one time or applying for new loans only in moderation


1. What is the minimum CIBIL™ score for getting a personal loan from ICICI Bank?

A person should have a minimum CIBIL™ score of 700 for getting a personal loan from ICICI bank. CIBIL™ has a record of all your loans, EMIs, and credit card expenses.

2. What are the reasons for ICICI bank personal loan rejection?

  • Your credit history does not show timely repayment
  • Not opting for prepayment: when you use the prepayment option to close your current loans or reduce the EMIs, you can show the bank that you have more income in hand and a higher capability to repay a loan if approved.
  • Multiple loan applications: This suggests that you are desperate for credit and lenders will doubt your capacity to repay the loan. This is noted by CIBIL™ and each time your application is rejected, your score will go down.
  • Several Credit Cards: Many credit cards may bring down your credit score if you use up the credit limit of all the cards.

3. Will ICICI bank give me a personal loan even if I have a low CIBIL™ score?

While a low CIBIL™ score would decrease the probability of getting an approval for a personal loan, it is not impossible. Other parameters that affect your chances of getting a loan include your status of employment, income, job stability, and so on. The final decision to credit you depends upon the lender.


The 4 credit bureaus- CIBIL™, Equifax, Experian, and CRIF highmark offer credit scores in India. The points mentioned above are true for credit scores from any bureau, not just CIBIL™.

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