What are the prerequisites for getting a personal loan?
Banks in Bangladesh provide various types of loans as well as personal loans. Read this article to know how to get personal loan easily .
No one knows in advance when and how cash may suddenly be needed in the uncertain human life. We accept personal loans from various financial institutions to deal with various financial crises . As it is relatively easy to get this loan than any other type of loan, its demand is increasing day by day. But many times it is seen that the bank rejects the loan application for various reasons. When your personal loan application will be accepted depends on certain conditions. So let's see what are the prerequisites for getting this loan.
Borrower's credit score
Whether the loan application will be accepted depends on the borrower's credit score. A credit score is a borrower's previous repayment history and also an assessment of his ability to repay the loan. How good the credit score will be depends on whether the previous loan has been paid on time or not, whether the installment of the previous credit card loan has been paid on time or not. In this case, it should be noted that credit score may decrease due to late payment. So it can be said that the borrower's credit score is one of the prerequisites for getting a personal loan .
source of income
Whether a person's loan application is accepted or not depends on the source of income. In this case, the type of employment of the borrower i.e. whether it is a permanent job or a temporary job is seen. So it can be seen that government employees or people working in various named private organizations get personal loans very easily.
Age of Borrower
Age of the borrower is a very important factor in getting a loan. The minimum age limit for applying for a loan in Bangladesh is 21 years and the maximum age limit is 60 years. But if the age of the borrower is below 50 years, getting a personal loan becomes easier. Because the lending institution before giving the loan thinks whether the borrower is able to repay the loan installments while still working.
Ratio of monthly installments to income
The approval of personal loan application depends a lot on the individual's monthly income and loan installment ratio . A consideration in granting loans is that the installments of the loan should not exceed 40% of the borrower's income.
Excessive loan application
Avoid applying for too many loans. Because frequent borrowing shows the insolvency aspect of the borrower. Which raises the risk of borrower's inability to repay the loan installments. Moreover, taking on too much debt can lower your credit score. As a result , it becomes difficult to get a personal loan at times .
Clear understanding of loan tenure and interest rate
Interest rates on personal loans are slightly higher than other loans . Banks give loans at an average interest rate of around 11 percent to 16 percent. Again, if the term of the loan is short, the interest rate is low. On the other hand, in case of long term loan EMI. is easy. Therefore, getting a personal loan requires a clear understanding of the loan tenure and interest rate.
Required documents
For the loan application to be accepted, some necessary documents are required such as - Borrower's application form, passport size photograph, last three months salary slip, government identity card and address proof, last six months bank statement, employee ID. Correct information should be provided in these documents in case of personal loan .
Personal loans can work like Aladdin's magic wand in dealing with various financial problems. Banks determine the loan eligibility of loan applicants through a simple screening process. So very easily if you want to get a personal loan then you can fulfill the above mentioned prerequisites for getting a personal loan . A very easy way to get a loan of 20 k dollar
FAQ
- Personal loan can be used in any sector?
Answer: Just like car loan for buying a car, home loan for building a house, a person can take a personal loan for various personal needs . There may be a sudden need for cash for treatment of critical diseases, marriage, foreign travel, business work, house repairs. In this case, personal loans solve many problems.
- What personal loans are provided by government banks?
Answer: Yes, various government banks in Bangladesh provide personal loans . For example - Agricultural Bank, Employment Bank.
What are the prerequisites for getting a personal loan?, What is a personal loan? How to take a personal loan? How to take a personal loan in easy installments
Finally: A very easy way to get a loan of 20 lakh rupees, what is a personal loan?, what are the rules for getting a personal loan?
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