Lakshmi Vilas Bank Personal Loan Eligibility

Lakshmi Vilas Bank takes security in the form of NSCs, KVPs and LIC policies for their personal loans. In addition to these, the bank will also consider your:

1. City of residence - From the point of view of the lender, personal loans are easier to approve in cities like Bangalore, Delhi, Chennai, Mumbai, Kolkata, etc.
2. Income - Lenders don't approve loans whose EMIs will be more than 50% of your take home salary, per month. The more you earn, the more you'll be able to pay back in the form of EMIs.
3. Age - If you're too young, you're a risky candidate as young salaried people shift jobs often to exploit opportunities. Older applicants between the ages of 26 - 40 who've been working steadily for a few years are more eligible, as they're more stable.
4. Duration of stay in current 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. Lakshmi Vilas Bank will give more preference to applicants who've lived in the city for over 1 year.
5. Employment status - Just having a job doesn't make one eligible for a loan from Lakshmi Vilas Bank. A few years of work experience from the same employer shows stability and reliability, increasing your eligibility for Personal loan. But this may not always be the case, depending on the value of your NSCs, KVPs or insurance policy.
6. Residence type - It's easier for a person living in a rented place to abscond in case they feel they cannot keep up with EMI payments. Hence, applicants who live in a residence that's owned by them are more likely to get a loan approved, and on better terms. Also, there's no part of their income being spent on rent. People living in rented houses must pay an amount of their salary as rent, lowering the disposable income left over to pay EMIs.

How to Increase Lakshmi Vilas Bank Personal Loan Eligibility?

1. Maintain a clean credit history - Ensure that you always clear your debt, on time and on the terms you've agreed on with the lender. This will reflect in your CIBIL report.
2. Maintain a good mix of secured and unsecured loans - Secured loans are looked at more favourably.
3. Don't over leverage yourself - Over leveraging is when you take on more loans than you can repay. If you have 2 - 3 EMIs being deducted from your account, Lakshmi Vilas Bank will not help you to add one more, until you've finished honouring all your payments.
4. Lower EMIs on existing loans - Taking loans for longer tenures reduces the amount on EMIs being paid monthly, thus showing that you have more funds to pay back your Lakshmi Vilas Bank personal loan with.
5. Prepayment - Paying off your existing loans before taking a new one is highly advised. A lump sum prepayment will settle your existing loan, increasing your eligibility for your new Lakshmi Vilas Bank personal loan

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