To get a personal loan, borrowers must fulfill certain eligibility criteria. A CIBILTM score is one of the most important criteria that a person must fulfill. A higher score will get you lower interest rates and easy loan approvals and vice versa. However, you can get a personal loan with a low CIBILTM score as well. Let us now get some tips on how to get one.
Tips to Get A Personal Loan With A Low CIBILTM Score?
- Check Your Score: A score of 750 and plus is considered excellent. It will help you to get personal loan easily. All lenders will be willing to lend and you will get preferential interest rates. If your score is below 700, it is not considered good, and you have to focus on improving it before you take a loan.
- Provide Collateral: If your CIBILTM score is low, many financial institutions may be willing to approve your application if you provide a collateral. By doing so, you are reducing the risk for the lender, and this will increase your chances of approval.
- Apply for a small loan amount: If your CIBILTM score is low, then you can borrow a small loan amount. Repay this loan without defaulting and demonstrate your ability to make timely repayments. This will improve your CIBILTM score.
- Build a relationship with the lender: Having a good existing relationship with the lender will help you get a loan with greater ease. Bank representatives may be more willing to consider your personal loan application even if your CIBILTM score is low.