Don't let those low CIBIL score to be a reason for loan rejection.

Loans for CIBIL defaulters

CIBIL stands for Credit Information Bureau (India) Limited.  It can be referred to as a certain database which bears complete credit details and information about the borrower. Now the entire procedure, when a borrower applies for a bank loan, the bank first checks out his/her credit history by getting a CIR (Credit Information report) which is generated by CIBIL. After going through the report, the bank then broods over the decision to grant a certain borrower loan or not. CIBIL prevents the risk of sick loans for banks. A Personal Loan is a loan which is borrowed for one’s personal requirements. These types of loan are unsecured as the bank doesn't provide any kind of collateral against this loan. Now coming towards the CIBIL score, this score shows your credit valuation and that decides loan for CIBIL defaulters. The score usually ranges from 300 - 900. The higher, your CIBIL score is brighter the chances of loan approval. Lesser the score is the greater chances for loan rejection.

How does low Score affect Loan for CIBIL defaulters?

The low CIBIL score can be because of multitude reasons such as irresponsible payment behavior- your past payment lays quite a great impact on your score. It is important to pay your credit card bills and loan EMIs regularly. Outstanding Debt- When you have unpaid dues reflected on your credit report, it drags your score down. Making a multitude of credit applications-When you apply for a loan, lenders go through your credit report by inquiring in the places you already applied for. These inquiries may adversely affect your CIBIL report. Error in CIBIL report. Your CIBIL report has a detailed record of your current as well as past credit accounts, making you a CIBIL defaulter. If there are any errors in your report, it can hamper your score. So, if you have any divergence in your report, amend it. Not having credit mix-It is important to have a mix of both secured and unsecured loans which may come as an obstacle while applying for loans. These points should be kept in mind while applying for a loan for CIBIL defaulters.

Where CIBIL is not required?

Therefore, we are providing all the CIBIL defaulters a few instances where CIBIL is not required at all and you can get Loan for CIBIL defaulters at ease. A good earning capacity surely increases the chances of getting a loan without much hassle. Loans can also be taken as a joint holder; if your partner/ spouse have a good CIBIL score then you may get the loan easily. There are certain Housing Finance Companies who provide CIBIL free loans, but the interest on repayment may be higher. You can also take collateral loans, in which you provide assets, FDs as collateral. Banks generally don’t ask for CIBIL report in these cases. Now you don’t need to fret over your CIBIL score anymore. Loan for CIBIL defaulters can be acquired through the aforementioned ways.