Yes. Government employees can get personal loans from Citibank.Individuals can apply Citibank Personal loan for various purposes, such as home construction, medical emergencies, wedding, home refurbishment, buying gadgets, and so on. Interest rates on personal loans offered by Citibank range from 10.50% - 17.99%. The bank charges you with a processing fee based on the loan amount, and it ranges from 0.50% - 3.00%. Government employees can get a loan amount of up to Rs. 30 Lakhs. Citibank offers flexible loan tenures of around 1 to 5 years.
What are the parameters based on which government employees can negotiate?
Government employees can negotiate based on
- Credit score : If they have an excellent credit history, they can use it to their advantage to get better personal loan interest rates.
- Their monthly income
- Repayment capacity
- The relationship they enjoy with Citibank
When Will the Bank Consider Giving A Lower Interest Rate For Government Employees?
Some of the major factors are as follows:
- The repayment capability
- The nature of their profession (self-employed or salaried).
- The organization type that they are employed in
- Financial robustness
- The number of years remaining in their career life.
- The credit score. If they have an excellent credit score, they can use it to their benefit to get a lower interest rate.
What steps should government employees do to improve their chances of bargaining for the best interest rate?
They should do the following:
- Maintain a good credit score (750 and above). They have higher chances of loan sanction when the score is higher.
- The EMIS should be within 40 to 50% of the pay that they are taking home. Otherwise, it may not be feasible, and queries will come up as to whether or not one can repay the loan.
- They should avoid applying for multiple personal loans and make sure that they are in a debt that they have not applied for just recently.
- Make sure that they are not having any credit card debts (ensure that they pay the credit card bills on time)