My CIBIL Score is 690, Am I Eligible for an Instant Loan?

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My CIBIL Score is 690, Am I Eligible for an
Instant Loan?
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A very important factor for personal loan
eligibility is having a healthy credit score.
However, having a low credit score is not the end
of the world. Yes, with a CIBIL score of 690 you
can avail of an instant loan. Good CIBIL score is
not the only deciding factor for the approval or
rejection of the loan. Its more likely that
availing a personal loan with a low credit score
will have challenges.  Try not to get discouraged
if your score is below the set benchmark in
getting a competitive interest rate for a
personal loan. Youll find lenders who are
willing to work with borrowers who have less than
perfect credit score. Its vital to remember that
the number reflected on the credit score isnt
permanent, so use it as a motivation to make a
positive change that will give it a much-needed
boost
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Why the CIBIL score is important for availing a
Personal Loan?
A personal loan is an unsecured loan, requiring
no collateral of any kind to be pledged as
security. Lenders approving personal loans are
highly concerned about their repayment from
borrowers. Hence, before sanctioning the loan to
the applicant, the credit history of the
applicant is scrutinized critically to avoid any
kind of loan default in the future. This is where
the CIBIL score plays a role.  A CIBIL score is a
3-digit number ranging from 300 to 900 that
speaks for the credit history of the borrower.
The loan sanction amount greatly depends on how
good your CIBIL score is.
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Ways to get through the loan approval with a low
CIBIL score?
Getting a loan approval with a low CIBIL score
will require creativity on your part to get
through it. Securing a personal loan at an
affordable rate of interest, using the
traditional route might not be possible. So,
heres a few alternative ideas Shop around  It
is wise to not fall for the first offer that
comes your way, which stands especially true if
your credit isnt the best. Research lenders in
your area as well as online. Brick and mortar
banks have the overhead costs which is not the
case with online lenders thus making it a cheap
option.  Find a co-signer  A family member or a
friend with a good credit score and a solid
financial standing who is willing to co-sign your
loan can be monumentally helpful. A co-signer
taking the full responsibility of the loan
repayment will provide peace of mind to lenders.
Consequently, this can help you qualify for a
loan with an affordable interest rate.  Do not
ask for a favour unless youre certain you can
fulfil the obligation. It will harm your
cosigner's credit score. Offer collateral as
security  Using collateral can be of help when
youre looking for a personal loan with a low
CIBIL score. Backing a loan with assets will be
considered a low-risk profile by the lender.
Lenders can seize the collateral in case of
default. This can help you qualify for a loan at
affordable interest rates. You should proceed
with caution while taking this route, as youll
have to pay a high price in case of default in
payments. Reducing the loan amount  All hope is
not lost when youre applying for a loan with a
low CIBIL score. You may still be able to apply
for a personal loan of a slightly lower amount.
However, the rate of interest rate may be on the
higher side. Good Income  Having a handsome
income makes the chances of loan approval better.
Individuals showing additional side-income can
also benefit from it. It gives the lender a
positive sign of loan repayment on time.
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Thank You