Overview about Axis Bank
Whether you want to fund your vacation, pay your child’s tuition fees or renovate your home, personal loans offered by Axis Bank may help you achieve your objectives. With a repayment tenure ranging from 12 to 60 months with competitive interest rates, Axis Bank offers personal loans for up to a maximum of Rs. 15,00,000. What’s more, Axis Bank allows transfer of loans from other banks as well which can come to the rescue of customers who would want to change banks to avail of the benefits offered by Axis Bank. Axis Bank also has a simple approval process with minimal documentation to increase its clientele.
Axis Bank Personal Loan Eligibility
Axis Bank offer personal loans to salaried doctors, engineers, architects, chartered accountants, company secretaries and other working professionals in addition to employees of private and public limited companies, public sector undertakings and central and local bodies.
The basic eligibility criteria for salaried individuals and salaried professionals are the following:
- Minimum Age: 21
- Maximum Age: 60
- Minimum Income (monthly): Rs. 15,000
- Maximum Loan Amount: Rs. 15 lakh
- Work Experience: Permanent full time employees with not less than three months of continuous employment with the current company
- CIBIL score: 750 and above is desirable
The basic eligibility criteria for self-employed persons are the following:
- Minimum Age: 24
- Maximum Age: 65
- Minimum Income: Rs. 2 lakh p.a
- Maximum Loan Amount: Rs. 15 lakh
- Work Experience: Customer must be in his or her current business for at least three years and should preferably own an office.
- CIBIL score: 750 and above
Factors affecting Axis Bank Personal Loan Eligibility
Some of the factors which have a bearing on personal loan eligibility are as follows:
- Age criteria: The age profile of customers is one of the important factors considered for approval of personal loans. Banks, typically, offer loans to candidates who have productive years before them and can, therefore, have an active professional or working life to be able to not only take the burden of a loan but also repay it on time. To avail of personal loans provided by Axis Bank, salaried customers have to be within the age bracket of 21 to 60 years.
- Type of company/organization: Given that personal loans are unsecured loans, the type of employer the customer is working for becomes important. Consequently, employees of public sector employees and those working for established, well-known private firms stand a better chance of availing of personal loans.
- Stability: Stability of employment and income play a seminal role in determining the approval of loans by Axis Bank. A salaried person with three months of continuous employment with the current company and a self-employed person with a minimum of 3 years of experience in business is eligible for personal loans by Axis Bank. Customers should, however, bear in mind that the bank may decide to change the eligibility criteria at its discretion.
- Financial health: The financial health of a customer will determine the amount of loan he or she is capable of acquiring from Axis Bank. It is, therefore, one of the most important factors which affect a customer’s eligibility in terms of acquiring a personal loan. Axis Bank has a set criteria in terms of a minimum net income an individual must earn to get a personal loan.
- Multiple loans:A customer’s eligibility to avail of personal loan will be adversely affected if he or she has several loans at a given point of time. Banks will be vary of individuals who have multiple loans and are paying large EMIs.
- Credit History: All banks, including Axis Bank, review an individual’s credit history before approving or rejecting a loan application. Bank will review the track record of EMI payments and credit card bills, if any, to ensure that a customer has a robust track record in terms of payments and credit history to determine if he or she is credit worthy.
How CIBIL Score affects your Axis Bank Personal Loan Eligibility
- CIBIL score:The CIBIL Score plays a pivotal role in the approval of personal loans. Banks check the credit score and credit report of customers. If the credit score of a customer is low, banks, in most cases, will not consider providing loan to a customer. The credit score will, therefore, act as a substantive indicator of the creditworthiness of a customer.
- Repayment history: Poor track record of payments will invariably dent the credit score of an applicant. Repayment history of a customer constitutes about 35% of the credit score. Customers, therefore, need to ensure that bills are cleared on time so as to avoid their CIBIL score getting affected. Banks will examine the repayment history of a customer before approving a loan.
- Loans and more loans: Any individual who applies for more and more credit cards and loans will expose himself to more risks. Every time a customer applies for a new credit card, banks enquire into his or her Cibil report. As a result, credit score of an individual will take a beating if there are several inquiries.
How to increase Axis Bank Personal Loan Eligibility
- Increase in loan tenure: According to experts, increase in tenure will result in reduction of EMIs, effectively increasing an individual’s ability to pay. The tenure of a loan, therefore, has a bearing on the loan eligibility of an individual.
- Defaults: Customers have to ensure that they have a clean repayment history without any major defaults and late payments which will have an adverse impact on their CIBIL score. Also, banks will take serious note of any defaults by the customer in the recent past.
- Creditworthiness: Timely payment is an important determinant of the creditworthiness of a customer. CIBIL Score of 750 score and above shows creditworthiness of a customer. In most cases, banks easily approve loans for customers who have a CIBIL score of over 700. Customers should ensure that they have robust track record in terms of repayments to increase their eligibility to avail of personal loans.
FAQs on Axis Bank Personal Loan Eligibility
- What is the maximum loan amount sanctioned by Axis Bank?
The maximum loan amount sanctioned is Rs. 15 lakh.
- What is the age criteria for salaried persons to avail of personal loans?
The minimum age is 21 years and the maximum is 60 years.
- What is the CIBIL score required for salaried persons?
While Axis Bank does not specify the exact CIBIL score required, a score of 750 and above is considered desirable in most cases.