- June 26, 2020
- Posted by: Ganeshcbani
- Category: Blog
Finding a good personal loan can be difficult. There are so many different types and lenders to choose from, and it can be hard to know which one is right for you. In this article, we will teach you how to calculate your eligibility for a personal loan so that you can find the best loan option for you.
Calculate Personal Loan Eligibility
A free, easy-to-use resource that offers information about the loan amount for which you qualify at different interest rates and the term ideally suited for you is the personal loan eligibility calculator. Personal loans are difficult to obtain, especially if you are not sure of your eligibility. If you want a large sum but do not have a very good credit history, then it will be difficult to get the desired amount. It is where a personal lending calculator is used. Specific eligibility for a loan is determined based on your monthly salary, your existing EMIs, your business form and the number of years you work on. Those are all main factors to determine your eligibility for your preferred loan number. This determines the maximum amount of loan you qualify depending on the average EMI that you can afford.
A thorough evaluation of all the above variables is performed to decide the best deals or loan agreements for you. You can use a personal credit benefit calculator to get a straightforward picture of the possible loan agreements that you will get. And the best thing is that it is not considered as a loan application.
Compare Personal Loan Eligibility
| BANK | LOAN AMOUNT/TENURE | AGE NORMS | WORK EXPERIENCE |
| HDFC Bank Personal Loan | ₹ 75 Lakh for 60 Months | 21 to 60 Years | 12 Months |
| ICICI Bank Personal Loan | ₹ 30 Lakh for 60 Months | 23 to 58 Years | 24 Months |
| Bajaj Finserv | ₹ 25 Lakh for 60 Months | 25 to 58 Years | 36 Months |
| Citibank | ₹ 30 Lakh for 60 Months | 23 to 60 Years | 36 Months |
| IDFC First Bank | ₹ 40 Lakh for 60 Months | 23 to 58 Years | 12 Months |
| Axis Bank | ₹ 25 Lakh for 60 Months | 21 to 60 Years | 12 Months |
| Tata Capital | ₹ 25 Lakh for 72 Months | 21 to 58 Years | 24 Months |
| Fullerton India | ₹ 25 Lakh for 48 Months | 21 to 58 Years | 12 Months |
| IndusInd Bank | ₹ 25 Lakh for 60 Months | 21 to 60 Years | 24 Months |
| Kotak Bank | ₹ 15 Lakh for 48 Months | 22 to 55 Years | 24 Months |
| RBL Bank | ₹ 20 Lakh for 60 Months | 25 to 60 Years | 36 Months |
| HDB Financial | ₹ 20 Lakh for 60 Months | 22 to 60 Years | 6 Months |
| Standard Chartered Bank | ₹ 30 Lakh for 60 Months | 23 to 58 Years | 36 Months |
Eligibility for personal loans can be calculated in two ways
Multiplier method
Based on this method, the banks are using a multiplier to calculate the eligibility of your loan amount on your net. The applied multiplier depends on your household wages and client profile. The higher the wage and the business more respectable, the the the multiplier and security of your loan. In general, banks apply a 9 to 27 multiplier and these multipliers are defined by the bank for different levels of pay and internal company categorization. The more eligible the group for which a corporation belongs, the greater the duration of the loan sum and the lower the personal interest loan rate.
FOIR (FIXED OBLIGATION INCOME RATIO)
This formula measures your loan eligibility based on the average EMI or monthly payments you will carry in relation to net income after accounting for other fixed costs such as rentals and EMIs. In general, banks or NBFCs accept 50 to 75% of the net profits as EMI, current fixed bonds and the outstanding credit card. If the bonds meet the bank ‘s requirements, the bank will either raising or raise the duration of your loan.
Your eligibility is calculated by the bank so that fixed bonds (including the new loan EMI) do not exceed 50% of your income. This percentage can vary between lenders and lenders. This can range up to 65 percent for high-income lenders.
