Personal Loan for Low Salary

Salary slip acts as proof of your employment. It also helps lenders to assess your repayment capacity. So if you are unable to furnish your salary slip, the bank may request for other documents as a proof of income such as your bank statements reflecting your salary, ITR filed previously and Form 16. Some lenders also have various surrogate programs to arrive at the loan eligibility for applicants not having salary slip and/or other income proof documents.

Yes. Personal loans are collateral-free loans and can be availed if you meet the minimum salary criteria and other eligibility parameters as defined by the lender.

As high credit score or CIBIL score reflect financial discipline; therefore, lenders prefer lending personal loans to applicants with CIBIL scores of 750 or above. Those having CIBIL scores below 750 might be rejected for the loan or charged higher interest rates on the loan. However, there are some NBFCs and fintech lenders that offer personal loans to individuals with low CIBIL score/credit score but at interest rates higher than banks and large NBFCs.

The maximum personal loan that an individual can get on his salary would depend on his monthly income but also on his existing loan repayment obligations (including the EMI of the proposed loan) and the loan tenure. Moreover, lenders generally require the total EMI of an applicant (including the EMI of the new loan) to not exceed 50-55% of his monthly income.