Rema Finserve

FACTORS DECIDING MY LOAN APPROVAL

1.My obligations (EMI which I pay for borrowing) should not exceed 50% of your NET PAY.
2. Minimum Net income prescribed by Banks and NBFC’s. Minimum salary criteria might differ from one institution to other. Average Minimum prescribed would be around 25 K Net per month.
3. Previous Loan History should be good. What is defined as is there should not be any delay in payment of any of your EMI’s /Credit Card dues ( Minimum due) every month without any delay beyond the due date for the latest 24 months credit history.
4. Company – The company which your employed is a vital component in providing you the loan which is dominating factor in case of personal loan. The better rated companies and which are listed in the stock exchanges will have a higher chance. The better rated company would be financially sound and profit making large entities. If you are employed in these type of companies the changes of approval is more.
5.Stability of employment – Your stability of employment in an organisation gives you better chances of approval. The more your stability in the current company and more the years of your total employment the better the chances.
6.Credit Score – The credit score is vital entry barrier to your application. It is GO/NO GO for your loan application. Any score of 700+ would give you a better chances of approval.
7.PF Deductions – Most of the companies do this check as an entry point along with credit score for a GO/NO GO criteria in terms of processing the applications. PF deductions give the comfort to verify your data and of the company in terms of payments and provides comfort to the funder.
8. Age & Banking – If you are in the age group of 25- 55 your chances of approval is higher as it provides comfort in terms of your work experience to the banker/financier.You should maintain average bank balance to service your future instalments and no adverse remarks should be observed in your bank statements like Cheque returns . Preferably atleast 1 time of your proposed EMI after meeting your existing loan EMI. This might be higher with respect each bank and NBFC.
9. Contactabiity – This is very vital information and validation mandated as in case of any default whether your address is verified and you are staying with your family or not. In case of Bachelor accomadation or shared accommodation the chances would be less unless your permanent address is verified and validated.Your official Email ID confirmation is also a valid check bankers and financier look at validating your employment.
10.End use – End use of the funds should be clearly spelt out during the personal discussions over telephone or in person clearly. The end use should be for any personal usage like marriage, education,debt consolidation ,hospital expenses or any other purpose which is justified and not for any speculative purpose or any purpose prohibited by the regulator.