About IndusInd Bank Personal Loan
IndusInd Bank personal loans are ideal for large expenses that your savings can’t meet. Acquiring that expensive product or renovating your home, paying for child’s marriage or education has never been easier. Personal loans from IndusInd Bank can be acquired with a very easy application process, they come at low interest rates and can be paid off in tenures from 1 to 5 years depending on your personal requirement.
IndusInd Bank Personal Loan Eligibility
The basic eligibility criteria for a personal loan from IndusInd Bank is as follows:
For salaried individuals and salaried professionals (like doctors, CAs, etc.):
- Age: Between 21 years and 60 years of age.
- Work experience: Minimum of 1 year in the current company, with a minimum of 2 years total.
- Income requirement: Minimum net monthly income should be Rs.25,000.
- Rental stay requirement: Minimum of 1 year completed stay in the rented residence.
- CIBIL Score: 750.
For self-employed professionals and self-employed individuals (non-professionals):
- Age: Between 25 years and 65 years of age.
- Income requirement: Minimum net income (per annum, after tax) of Rs.4,80,000.
- Experience: Minimum 4 years of post-qualification experience, 5 years for self-employed non-professionals.
- CIBIL Score: 750.
Factors affecting Eligibility of IndusInd Bank Personal Loans
IndusInd Bank, like other banks, gauge eligibility on the basis of applicants’ ability to repay the loan. Some factors that affect a person’s eligibility are:
- City of residence. Getting loan sanctioned in a metro city like Bangalore, Chennai, Mumbai or Delhi is easier than in other cities.
- Income. The more you earn, the more you can repay. Hence, the higher your income, the higher the amount that can be budgeted towards EMI for repayment.
- Your age. Younger applicants are risky candidates, as young salaried people shift jobs often to exploit opportunities. Older and more experienced applicants are viewed as safer bets.
- Type of employment. Salaried people get regular incomes on fixed dates and can have EMIs due deducted directly from their salary accounts as and when they get paid. Self-employed people rely on the demand for their products or services in order to earn an income. This income is usually inconsistent and seasonal, and may not be enough to pay off the EMIs.
- Employment status. It takes a while for young salaried people to find a comfortable job that takes care of all their needs – once you find that stable job, you’re most eligible for an IndusInd Bank personal loan. It helps if you’ve been employed for a few years in the same company.
- Residence type. Applicants living in rented houses must pay an amount of their salary as rent, lowering the disposable income left over to pay EMIs. Also, it’s easier for a person living in a rented place to abscond in case they feel they cannot keep up with EMI payments. Applicants living in owned properties are more likely to get loans approved, and on better terms as they pay no rent, and have a greater amount of idle income to divert towards EMIs. The bank will also have the security of a definite location to find them in case they default.
- Duration of residence in application location. The longer you’ve been living in a certain place, the higher are the chances of getting a personal loan approved on your terms. IndusInd Bank gives more preference to applicants who’ve lived in the city for longer, as it’s a sign of stability.
How does CIBIL score affect your IndusInd Bank Personal Loan Eligibility?
- Score: When taking a personal loan from IndusInd Bank, a CIBIL score over 750 will ensure your eligibility. But if you want to increase your eligibility, scores closer to 900 will increase IndusInd Banks confidence in your ability to repay your loan.
- Loan ratio and borrowing pattern: A ratio that shows you’ve taken more secured loans than unsecured loans will work in your favour.
- Repayment history: Your previous loan and credit card repayment history will also play an important role in instilling confidence in IndusInd Bank that you will repay your personal loan.
- Settlement history: If you’ve been unable to repay your debts / loans and have arranged for a settlements with lenders, IndusInd and other lenders will consider this behaviour and will reduce your Personal loan eligibility.
How to increase INDUSIND Bank Personal Loan Eligibility?
- Maintain a good mix of secured and unsecured loans. Secured loans are looked at more favourably than unsecured ones. More secured loans in your borrowing history increases your eligibility.
- Maintain a clean credit history. Clearing your debt on time and on the terms you’ve agreed on with the lender increases your CIBIL score – and eligibility.
- Prepayment. Settling existing loans before taking on new ones is the way to go – and banks see it this way too, as it directly increases your eligibility.
- Don’t overleverage yourself. Taking multiple loans and paying off multiple EMIs can be troubling and will leave you with no adequate funds to take care of your livelihood. Banks will not lend to those who already have 2 – 3 loans being paid off with monthly EMIs. Having more than two active loans lowers your eligibility considerably.
- Lower EMIs on exiting loans. Reducing EMIs on existing loans by extending the term is a way to free up more money on a monthly basis, which can be redirected towards paying off EMIs on your new IndusInd personal loan.
FAQs on IndusInd Bank Personal Loan Eligibility
Q. What are the age limits for individuals who wish to get a personal loan from IndusInd Bank?
A. For salaried individuals and professionals: Between 21 years and 60 years of age.
For self-employed people: Between 25 years and 65 years of age.
Q. What is the level of work experience required for salaried individuals who wish to take an IndusInd Bank personal loan?
A. Applicants must have been employed for a minimum total of 2 years and at least 1 year with the current employer.
Q. What is the income requirement for people who wish to take an IndusInd Bank personal loan?
A. For salaried individuals and professionals: Minimum net monthly income should be Rs.25,000.
For self-employed individuals: Minimum annual income of Rs.4,80,000 (after tax).
Q. Is there any collateral or guarantor required for IndusInd Bank personal loans?
A. No, there is no security, collateral or guarantor required to avail a personal loan from IndusInd Bank.
Q. What is the maximum loan amount that can be sanctioned through INDUSIND Bank personal loans? h3>
A. Loans are sanctioned up to Rs.15,00,000.