Trying to take a loan is a nightmare for most of us in any situation and, coupled with a bad credit score or CIBIL score, it promises to be a hellish experience for everyone involved.
Mumbai – the commercial, financial and entertainment hub of India – is also one of the wealthiest cities in the country. It generates over 6 per cent of India’s GDP and is also among top commercial centres globally.
For Mumbaikars, consumer durables such as air-conditioners, refrigerators, built-in ovens and microwaves are not luxury but a necessity. Though the average salary is high, still people find that their earnings are less as compared to their expenditure. To meet the shortfall, banks and other financial institutions offer personal loans at competitive rates and flexible tenure.
Generally, people prefer personal loans to meet expenditures on renovation of home, medical emergency, marriage functions and festivals as they get a lump sum on credit without any hassles and get flexibility in repayment.
Many people plan vacation to foreign destinations which can be very expensive and may burn a deep hole in their pocket. In such a situation, they avail personal loans to meet the expenses and then repay the loan in easy EMIs.
The star studded city of Mumbai is the “Financial capital of India” that houses Bollywood’s major film production companies, national stock exchange, seaports and headquarters of some of the biggest multinational conglomerates. It is a flourishing cosmopolitan metropolis that has well-utilized the idea of living on credit. Thus, a huge segment of population of Mumbai has a need for personal loans.
Considered a highly cosmopolitan city with a very diverse population consisting of Indians and Expatriates from all over who are seeking a better life and pursuing their dreams of getting rich.
The Chatrapati Shivaji Terminus (CST) is a true sign of Victorian architecture. It would be very stereotypical to regard Mumbai as the New York City of India, but it is the City of Dreamers who believe in themselves and work hard day in and day out.
It's also a highly densely populated city with over 20.7 million people residing within its boundaries limited coastal boundaries. The working class in Mumbai is considered its backbone and comprises Movie Artists, TV Artists, Upcoming Directors, Musicians, Performing Artists, Doctors, CAs, Economist, lawyers, Engineers, etc.
It contributes greatly towards India's GDP and also comprises of some of the world's most expensive real estate. In fact, Mumbai has one of the highest cost of living benchmarks in India and its young and professional population is in constant need of financial products to ease any constraints.
Some of the Purposes for which Personal Loan can be applied:
If you are in Mumbai and looking for a Personal Loan then you are at the right spot.
The most common reasons for the denial of personal loan is when the applicant is a CIBIL defaulter. This means that such a person has previously defaulted the loan or delayed the EMIs or has too many loan payments balance resulting in a low CIBIL score. And such individuals are said to be CIBIL defaulters by banking institutions and personal loan application are straight away rejected by the credit lenders. Your CIBIL score shows whether you are creditworthy and eligible for loan or not. The low CIBIL score makes the banking officials think that you are likely to default payment in the future.
Defaulters! The word is very dangers for all which can change your financial life anywhere in India. Actually no one want to be defaulter, it happens either in bad circumstances or sometimes due to system errors. These errors might occur due to some wrong entry or delayed entry in system. The important point to be noted is that, banks should intimate customers before they share any data with the CIBIL. It should also recall the name of the customer from CIBIL database if he/she justifies the transaction or provide technical evidence to the loan provider bank. As we know, a healthy CIBIL score gives maximum opportunity for instant loans.
Opting for secured personal loan
There is a way to get the personal loan complete information if you are a CIBIL defaulter. You can keep your assets, equities, fixed deposits, gold as collateral with the bank. Bank will consider offering you the personal loan without even checking your CIBIL score.
Raise your income or salary
If you had previously not paid the EMIs on time, your credit score must have gone low. But if you find a job where you get high income and discuss this with the bank, then they will grant you a personal loan.
Get loan in the name of another person in the family
A person can even take a loan in the name of his family members. For example, if a husband does not qualify for personal loan eligibility then he can simply take the loan in the name of his wife. Only if his wife has good repayment history with a good CIBIL scores with the bank.
Loan from private companies
There are many private companies which offer personal loan without verifying the CIBIL score. However, in return, they charge very high-interest rate. But this is another good way to get a personal loan.
Therefore, you do not have to worry even if you are a CIBIL defaulter because the above-mentioned ways to get a personal loan will help you get a personal loan approved for you by the banks and you can fulfill your instant financial requirements. However the CIBIL score can become better with mortgage.
Here We Share Few Things Which Will Prove Useful To All Our Customers To Stay Away From Being Defaulters Of personal Loan In Mumbai:
Read Carefully all Loan Documents:
Before applying for any loans, read all the loan application related documents very carefully. Get a Xerox copy of all the duly filled application documents and keep it with you.
Fill the Entire Details in your Presence:
Self fill all the loan disbursal documents, agreement as far as possible or ask the loan provider bank guy to fill the agreement in your presence only. Also keep a copy of all the documents as a proof of evidence.
Check the EMI Cycle:
Mostly, the loan default case occurs on the first EMI due date. This is due to lack of information of the first EMI date. Banks send the EMI alert SMS to all customers and those are very helpful.
Always Pay the Complete Amount:
Whenever the default occurs in any of loan and the customer want to repay the overdue amount, he should always pay the complete amount as settlement. Also he should get the payments receipts along with the all communication receipts, mails, letters etc.
Always write healthy mails, letters to the concerned banks and other financial service providers and maintain good relations with them. It will help customers when the issue goes to the consumer forum or any other dispute settlements agencies.
How to get a personal loan in Mumbai despite a low CIBIL score?
City like Mumbai demands a high CIBIL score of about 750. As you may be knowing already that the Banks and NBFCs depend heavily upon credit score as credit score is a clear indication of your creditworthiness.
If you have a low CIBIL Score then maybe banks will reject your application. In such a scenario you may try NBFCs and peer to peer (P2P) lending, whichever is more economical to you in terms of interest being asked for the loan. NBFCs are known to be slightly more flexible as compared to Banks. They may or may not accept your application if you have a low score. but if they do they would charge a higher interest rate than normally being charged. Whereas, in P2P, you would be screened on various parameters and based on that you would be allowed to avail a personal loan in Mumbai on mutually agreed interest rate. These parameters are around 30+ in numbers, some of them are:
Future financial prospects
Socio-economic conditions, etc.
If you have time of about 6 months to one year then you can also improve your CIBIL score by paying your dues and closing unused credit cards.
Is a credit card score mandatory for a personal loan in HDFC?
Your credit score depends on the various loans that you have taken, the repayment history thereof, the loan enquiries that you have made, your location profile etc.
You can improve your cibil score by:
Which is the best personal loan finance for a low CIBIL score in Pune?
A personal loan is a loan taken to deal with personal emergencies. So, to sanction a personal loan, a lender thoroughly checks if the applicant is capable enough to repay the loan timely. Since there is no collateral or security deposited with the lender, it is important for them to check the past history of the applicant in terms of credit repayment via CIBIL score.
A score lower than 750 is considered as a low CIBIL score. Banks generally do not sanction personal loans of people with a low CIBIL score, or even if they do, they may charge a very high rate of interest.
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