2017 saw the number of applications on Loan Singh sky rocket to an all-time high. Yes! It was that fervent. Although many of you have benefited enormously by getting personal loans, we also have had to reject some loan applications. This was obviously because they would not adhere to our approval criteria. Through this piece, we give you 5 tips to avoid your personal loan application to fall into Loan Singh’s ‘Rejected’ folder. Loan Singh does its best to evaluate, and at times re-evaluate, a personal loan application form. Our finance blog (which daily comes up with a piece) features articles which provide details about the eligibility criteria and documents required for a successful personal loan approval. Loan Singh’s digital lending platform is one of the easiest and helps applicants to save ample amount of time.
Loan Singh’s Personal Loan
To counter a financial crisis, you need a quick source of fund that gets you the amount ASAP. Personal loans are unsecured loans that are availed to meet these exact requirements. As it is an unsecured loan, it does not require any collateral.
The best place to get a really quick and easy personal loan is a digital lending platform – such as Loan Singh. Traditional banks take weeks to disburse the amount you have applied for. Your creditworthiness determines if you can pay the loan EMIs regularly, and that too, without straining your daily living. Your credit bureau (CIBIL) report acts like a gauge for Loan Singh. It shows how prompt you have been in your previous credit responsibilities and how trustworthy you are. Loan Singh is perfect because of
No collateral – Having no collateral gives personal loan an advantage over a secured loan. Even if you do not own any fixed assets, you can at least get funds from Loan Singh.
Multiple purposes – A personal loan can be availed for a number of purposes – such as purchase of household appliances, electronic gadgets, purchase of gold, holiday travel, home improvement, relocation of job, medical expenses, home renovation, marriage, etc.
Being Eligible for Loan Singh
Before you begin the quick and easy application process at Loan Singh, we urge you to check the following eligibility criteria.
To avail a personal loan from Loan Singh, you need to be a salaried individual – with a minimum monthly salary of Rs.15,000.
Loan Singh looks at your credit score, to evaluate your creditworthiness, before approving the loan. A creditworthy borrower is someone who has been prompt in his/her previous loan EMI payments, maintains a good credit utilization ratio, has been paying his/her credit card bills on-time, and has never overspent over the credit card limit. If you have never availed a loan before, you will have no credit history. In such a case, you need to be salaried for at least 3 months to be eligible for a loan at Loan Singh. The lower your credit score is, the lower are your chances of being eligible for a personal loan.
You need to be at least 21 years of age, to be considered eligible, for availing a personal loan with Loan Singh. As mentioned above, you must be of Indian nationality and salaried, as well.
You need to have a stable monthly income. A good budget is advised to avoid times when you might find it hard to pay-off the loan EMIs.
Documentation at Loan Singh
So, you want to know which documents are accepted by Loan Singh to get you an online personal loan?
- PAN Card, and
- Latest 6 months bank statement – in PDF
Just 3 documents are required by Loan Singh as compared to the exhaustive list of documents needed at banks.
Application process at Loan Singh
Not only is a personal loan the best alternative for quick funds, Loan Singh’s quick and easy application process also helps you get the funds you need for any financial emergency. The process to get an easy and quick loan with Loan Singh is mentioned below:
Get started page – Select ‘PERSONAL LOAN’ from the dropdown and enter the loan amount with the desired repayment tenure.
Registration page – Add your contact number, personal email ID, and corporate email ID
Profile page – Fill in your name, gender, Father’s name, number of dependents, and PAN details. We use your PAN Card Number to check your Credit Score.
Address page – Choose your type of residence, and mention your street address, city, state and pin code.
Job profile page – Mention your current designation, total work experience, company name, highest qualification, last institution attended, and monthly salary.
Financials page – Upload your latest 6 months bank statement (in PDF format) either from your computer, GMail account or directly from your net-banking account. Our net-banking partner is ISO 27001 (2013 standard) certified & provides services to prominent banks, as well.
Auto-debit page – Provide permissions to your bank name, account number, and IFSC code so that Loan Singh can auto-debit the EMI amount from your account every month. This way you don’t need to set reminders or miss out on any loan EMI payments.
Avoiding Loan Singh Rejection
The following pointers can help you to be cautious and to have a better chance to get an approval of your loan application. Let’s look at some loan rejection reasons and how to avoid them.
It gets difficult for us to assess how many of the borrowers, who left their application incomplete, were actually interested. Many a times we receive applications where the applicant does not provide us with his/her PAN; but might be eligible thanks to a good credit score.
To avoid a rejection for incomplete applications, ensure that you complete the application process on Loan Singh’s web page.
Borrowers with low-income levels will be rejected outright. This is because, at Loan Singh, we know how much monthly salary would be needed to earn before being able to repay the loan EMIs. Only borrowers who earn a minimum of Rs.15,000 would be considered for a personal loan with Loan Singh. You need money to spend on yourself, as well. If you are barely saving enough for yourself, how can you pay the loan EMIs on time?
Damning Credit History
You may be a high salaried individual, and capable of paying the loan EMIs on time. But, if your prior repayment history is default strewn then there is no way you can convince us about your prompt repayments in the future. A personal loan involves no collateral, so your repayment history is the only indication of your past credit responsibilities. Banks reject loan applicants who have never even availed a loan before. If you are salaried for the last 3 months, this will never happen at Loan Singh.
Poor Credit Score
The credit score is ranged between 300 and 900. The better the score, the better are your chances of getting the personal loan approved. A good credit score is dependent on prompt EMI repayments, prompt payment of credit card bills, and maintaining a good credit mix.
Not Old Enough
Age is a factor that can lead to your personal loan being rejected. A college student, who desperately needs to buy an iPhone, cannot apply for a personal loan just because it involves no collateral. A borrower expecting to get a personal loan, via Loan Singh, needs to be at least 21 years of age.
Being honest with your financials is paramount. Loan Singh is a digital lending platform that does not involve any human intervention while checking and verifying your documents. That is why the bank statement has to be submitted in PDF format only. It would be even better if the statement is forwarded to Loan Singh directly from your net-banking account. Borrowers also try to sneak in tampered financial information to conceal their past defaults. This should not be done, and the application would be out-rightly rejected.