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Reshma Singh wanted to avail a personal loan to fund a vacation, but wasn’t too sure if her application would get accepted. She decided to do a little bit of research before sending out her application to banks. Here is what she found out about getting your personal loans approved easily:
Check your credit score: If you apply for a personal loan without knowing what your credit score is you are running a risk of rejection due to an insufficient score. You might believe that you have an idea of how your credit score is based on your bill payments but there are other factors that could reduce your score such as being the guarantor of a loan that has been defaulted on etc.
Avoid multiple applications: It is always very tempting to apply to various lenders, for a loan. It may seem like this will increase the chances of your application getting accepted. But in reality, it just reduces your credit score and make your lenders believe that you are desperate for credit. So, the wise thing to do would be to apply only at the bank / NBFC that is most likely to approve your loan.
No inaccurate information: Your lender wants to know if you are capable of repaying the loan. So, they will ask you for certain documents and information for verification purposes. Make sure all the information you submit is accurate to reduce the chance of your application getting rejected.
Only borrow as much as you need: Aiming for a ridiculously high amount is not going to help your case. Your lender needs to believe that you have identified your needs and are borrowing an amount that you can repay. So, don’t get carried away and borrow more than you actually need.
Job stability: A lender would never accept your loan application unless he / she believes that you can make the repayments on time. To make sure that your lender has this assurance, you must have a stable job and preferably some amount of work experience behind you.
Getting your application for a personal loan approved can be extremely easy if you keep the above factors in mind and make your application look the best that it can.