Home >Personal Loan > Eligibility Criteria


You Dream and We make your Dreams come True!

Apply Now

Quick Apply

I authorize Ruloans representatives to call/SMS towards this application and other products/services. This consent overrides my registration for DNC/NDNC. T&C apply
Loan Eligibility

Personal Loan Eligibility Criteria

Personal Loans are an unsecured form of multipurpose credit, which may be used to cover a number of personal expenses. You can acquire a personal loan by qualifying with preset eligibility criteria, which are minimal. The basic eligibility criteria are as follows.

  • Age

    Your age becomes an important criterion as a measure of your ability to repay a Personal Loan. As a rule, you will not be denied a loan if you are a salaried person aged between 21 to 58 years. On the other hand, if you are a self-employed professional, your age must be between 25 to 65 years.

  • Employment

    Your term or period of employment becomes a measure of your reliability to repay a loan in time. Personal loans for salaried employees' criterion dictates that you must be working for an MNC or a Private or Public Limited Company with a minimum work experience of 2 to 3 years. Likewise, self-employed professionals must have a minimum of 3 years of experience for personal loan eligibility.

  • Income

    The minimum salary required for a personal loan as an income criterion for eligibility differs from lender to lender. Your personal loan minimum salary starts from Rs. 20,000 per month.

  • Credit Score

    Lenders assess your creditworthiness or ability to repay a personal loan by accessing your credit score, which derives from your credit history in your credit report. Your credit score affects the loan amount, period of credit, interest rate, and terms that you are offered.

Major Factor

Factors That Affect Personal Loan Eligibility

  • Income

    Your bank loan eligibility depends heavily on your income. Higher the income, higher are chances of you getting a Personal Loan at low interest rate.

  • Credit and Repayment History

    Banks and NBFCs at all times consider the credit profile of a borrower before sanctioning a loan. Lenders may reject your loan application, or charge you a higher rate of interest if your repayment history shows that you have not been good at repaying credit. A good credit score helps to increase your chances of loan approval.

  • Banking Relationship

    A good banking relationship helps in loan approvals. If you have a salary account or a savings account with the lending bank, the chances of loan approval are higher, and the terms and conditions offered along with the interest rate are favourable as well.

  • Ability to Negotiate

    Personal loan eligibility factors such as income, credit history, and a strong banking relationship ensure good scope for negotiating better terms and conditions, better interest rates, and better loan tenures for your borrowings. Special offers are part of your package if you negotiate well.

What's the Personal Loan Eligibility for Salaried Employees?

If you are a salaried employee, you can avail a Personal Loan if you fulfil the following eligibility criteria.

  • You should be a Resident Citizen of India
  • Your age should be between 21 to 68 years
  • You should be an employee of a Private Limited Company, Public Limited Company, or an MNC, or Government Sector which may be a Public Sector Undertaking, or a Central or Local Body
  • Your work experience should be from 1 to 3 years and above
  • Your minimum Credit Score should be 750
  • Your salary should be Rs. 15,000 for a Non-Metro City, and Rs 20,000 for a Metro City
  • For more, get your loan eligibility check online here.

How do you qualify for a Personal Loan?

The eligibility criteria for a personal loan are quite simple, and your qualification depends on the following criteria.

  • You must be a Resident Citizen of India
  • Your age must be between 21 to 68 years
  • You must be an employee of a Private Limited Company, Public Limited Company, or an MNC if you are a salaried employee. If you are a self-employed person, or a professional, you too are eligible to apply for a personal loan. For a self-employed loan eligibility check, click here.
  • You should have a minimum Credit Score of 750
  • Your KYC Documents should be in order
  • You should have an Employee ID Card
  • Must be able to provide last 3 Months Salary Slips
  • You should have 3 months' Salary Bank Account Statement
How to Operate

Personal Loan Eligibility Calculator

You are eligibile for loan amount up to


Apply Now celebration

Can you avail a personal loan and a home loan simultaneously?

Yes, you can avail the benefits of a personal loan and a home loan simultaneously, but you need to keep a check on your debt-to-income ratio. The lender will take into consideration your debt-to-income ratio criterion before approving your loan. That said, you can have multiple loans too and still apply for another loan if you have a high degree of credibility in terms of repayment of both types of loans. Get your instant loan eligibility check here.

What are the methods lenders use to calculate your Personal Loan Eligibility?

Assuming you meet all eligibility criteria mentioned in the lender's prospectus, lenders use two methods to calculate your eligible total loan value. The methods are as follow.

  • Debt to Income Ratio Method

    This ratio indicates your total EMI payments in a month divided by your total monthly income. This FOIR or Fixed Income to Obligation Ratio method considers the total monthly payouts you need to service existing outstanding debt

  • Monthly Income Method

    Some lenders determine your loan value based on your net monthly income. Lenders often grant loans of up to 30 times your monthly income.

What's the eligibility for a personal loan for self-employed persons?

Other than all other eligibility criteria applicable for Salaried Employee Personal Loans, a self-employed person will have to show a Business Vintage of at least for 3 years for a Personal Loan. Click here to check personal loan eligibility for a salaried person.

Related Blogs

Latest Credit News From Blog


What Our Clients Say