HDFC Personal Loan Eligibility

• The bank offers highly competitive interest rates on its personal loans.
• If you are an existing HDFC Bank account holder, then the bank offers attractive benefits, offers and interest rates on the loan for you based on your relationship history with the bank.
• The bank offers special personal loan offers for women customers.
• The HDFC Bank personal loan is also referred to as a walk-in loan. You just have to walk into one of the bank branches with the necessary documents to meet the HDFC personal loan eligibility criteria and get personal loan in a day.
• HDFC Bank offers personal loans for various needs so that the customer can meet their requirements with ease.
• The bank also provides its customers with the convenience of contacting the bank or its customer care representative through SMS, web chat, or Click2Talk facility, and phone banking in addition to its branches to get their queries addressed.
• The process of availing a personal loan from HDFC Bank is quick. Faster loan processing, easy documentation, quick disbursal and doorstep service are some of the features offered by the bank which makes it unique among its competitors.

The bank has certain eligibility requirements that customers have to meet when they apply for the personal loan. The HDFC personal loan eligibility criteria for individuals who want to avail the loan from HDFC Bank are mentioned here:

Category	Self-employed Individuals	Salaried Professionals
Age (Maximum and Minimum)	From 25 years to 65 years	From 21 years to 60 years
Minimum Income	Rs. 1 lakh per annum	Rs. 15,000 per month (net income) in Delhi, Mumbai, Chennai, Bangalore, Calcutta, Hyderabad, Ahmedabad, Pune and Cochin Rs. 12,000 per month (net income) in rest of India
Loan Tenure	12 – 60 months	12 – 60 months
Maximum Loan Amount	Rs. 20 lakh (up to Rs. 50 lakh in selected locations)	Rs. 15 lakh
Co-applicant	Not applicable	Not applicable
Employment/Business Continuity	4 years post qualification experience for Doctors or Chartered Accountants. 5 years post qualification experience for Company Secretaries and Architects	Have had a job for at least 2 years, and a minimum of 1 year with the current employer
CIBIL Score	Preferably 750 and above	Preferably 750 and above

Apart from age and monthly income, a lot of others factors affect HDFC personal loan eligibility. Banks and Non-Banking Financial Companies (NBFCs) consider a lot of other facets before granting approval to a loan application. With banks and NBFCs making conscious efforts to rope in a wide and diversified customer base apart from focusing on the salaried segment only, there is a sudden growth in personal loan application forms. However, the factors affecting HDFC personal loan eligibility need to be understood and kept in mind before submitting any application. Some of the factors are mentioned below:

• Borrowing Capacity: There is an old proverb that goes “to get a loan you need to prove you do not need one in the first place”. This is true to an extent because the first thing most banks check before giving a personal loan is whether or not you can repay the loan amount in time. This is examined through your monthly income and credit history. This starts by showing your net monthly salary and your tentative loan amount will be decided according to this. Banks usually approve a loan amount for which the EMIs payable would not be more than 40-45% of the monthly income. However, monthly salary may not be the only factor as they may even consider regular bonuses, incentives, etc. or any other source of income you may have which has been stable over a period of time and raise your loan amount.

• Existing Loans or Monthly Outflows: After you have completed the process of testing your borrowing capacity with the lender bank, the next HDFC personal loan eligibility criteria is checking the monthly outflow as compared to the income. This includes further scrutiny of your bank statements and savings account, which reveal your monthly expenses and any other outflow towards any loans or other regular outflows. Usually, expenses and other loan payments or outflows should not be over 55-60% of your monthly income. If this is higher, your loan HDFC personal loan eligibility will decrease and there are lesser chances of you getting the approval from the bank.

• Number of Dependents: Banks not only verifies your monthly income, age and borrowing capacity but also checks the number of dependents you have. This is mainly because with more people dependent on you–like your children, spouse, retired parents, etc., will correspond to a fixed reason for outflow from your earnings towards them. The banks will consider this too while deciding eligibility for a personal loan. You may, however, prove that they have their own income or investments that offer them interest income, to prove your financial burden is not as high as it seems. For this, the banks may demand to see their income or investment for verification. Not being able to show this can lower your chance of getting the loan.

• Educational Qualifications: Educational qualification is extremely important in deciding the eligibility factor for a personal loan. Your qualification decides the chances of longevity of your career or the prospects of higher positions and promotions, and thus, higher income in the future. This will assure the bank that you will be easily able to repay the loan monthly. If you are from an unconventional field like media or arts, your relevant set of skill will also pay a significant factor in deciding your HDFC personal loan eligibility.

• Nature of Business / Profession: Whether you are salaried or self-employed, the nature of your profession or business plays a crucial role in determining your HDFC personal loan eligibility. If you are a salaried individual and work with a recognized corporate brand or with banks, finance or private limited companies, then your loan eligibility will be higher than that of people coming from unconventional fields, such as those working in proprietorship firms, media production houses, etc, even if the level of income is same. Similarly, if you are a self-employed individual in the field of medicine, law, accounting or architecture, then your chances of getting the loan will be more than others.

• Security of Income: If you have been switching jobs frequently in the past, then the bank might not grant you a higher loan amount as they will consider the fact that in case of layoffs, you, being a newer employee, will be asked to leave first. The other thing is that your tendency to switch companies frequently will give them a bad impression and they would want to know the reason. They feel that since you lack sincerity in your current job and your increments and promotions will be affected due to this. If you have been with the same company for over 2 to 3 years, then the bank may grant a higher loan amount.

• Credit Score: Your credit score determines two things – your HDFC personal loan eligibility and your loan rate. This is perhaps the most crucial factor as banks will check your credit ratings on CIBIL and assess your repayment habits. Check for mistakes on your credit report and try and improve your score by paying off a portion of debt, while also asking for a credit increase on current cards. A bad credit score will not only reduce your chances  for loan approval from your lender bank or with any other bank for that matter. It is advisable to be safe than sorry, so check the CIBIL before applying for a personal loan.

The application process of HDFC Bank personal loan is simple and easy. All you need to do is go to the official website of HDFC Bank and click on “Apply” section. Choose from the host of loan options available there and apply by filling in the necessary details. If you are not comfortable applying online then you can visit any of the HDFC Bank branches and apply there. Just make sure you  are carrying all the necessary documents. These include:

• Latest salary slip
• Salary certificate from employer
• Bank statement of the last 3 months or the passbook for the last 6 months
• Copy of ID proof
• Copy of address proof
• Latest Form 16