Personal Loan

Getting a Personal Loan Despite a Low CIBIL Score


If you’re looking for a personal loan with a low CIBIL score, don’t worry. You’re not alone. Many lenders are willing to offer you a loan despite your low CIBIL score.

In this article, we’ll get through everything you need to know, from what a CIBIL score is to how to get a personal loan with a low CIBIL score. Let’s get started!

What is a CIBIL Score?

A CIBIL score for a personal loan is an indicator of the loan’s creditworthiness. The CIBIL score uses seven factors to calculate its rating: payment history, current indebtedness, assets, liabilities, income levels, employability status, and education level. The higher the score, the better.

When you apply for a personal loan through a bank or finance company, your credit history will be checked against this database to see if you qualify for a high-quality loan with minimal risk. If you do not have a good CIBIL score, or if your current debt exceeds your available assets, then you may be offered lower rates or denied credit altogether. Knowing your CIBIL score can help improve your chances of getting approved for the right personal loan at the best possible rate!

Is it possible to get a personal loan with a low CIBIL score?

Yes, it is possible to get a personal loan with a low credit score. When you apply for a personal loan, the lender will take into account your individual financial history and credit rating. If you have bad debt or a poor credit history, it may be difficult to get approved for a personal loan. However, there are still several lenders that offer low-credit loans to people who meet certain qualifications. 

Here are a few ways in which you can get a personal loan despite having a low CIBIL score:

Provide proof of a stable income

Proof of a stable income is one of the most important factors that lenders look for when considering a personal loan. A good way to demonstrate this is by providing evidence of an active and recurring income stream. This can be in the form of bank statements, pay stubs, or any other documentation that proves you can support yourself financially.

If your current credit score isn’t high enough to qualify for a traditional loan, then you may be eligible for a low-CIBIL loan. Low-CIBIL loans are designed specifically for those with poor or no credit histories. These loans have lower interest rates and shorter repayment periods than traditional loans, making them more affordable options overall.

Apply for a joint loan as a co-applicant

If you want to get a personal loan with a low CIBIL score, applying as a co-applicant can be an effective way to do this. Joint loans are particularly beneficial for applicants because they reduce the amount of documentation required and generally make the pre-approval process faster. Also, joint loans often have lower interest rates than individual loans, making them more affordable overall. There are several factors to consider when applying for a joint loan, so be sure to speak with an advisor about your specific situation.

Joint loans are typically easier to get approved because the terms of the loan are negotiated between both parties. This means that your CIBIL score for a personal loan does not play as much of a role in the approval process.

Resolve your credit report errors

Your credit report is one of the most important factors when applying for a personal loan. So, if there are any errors or corrections on your credit report that you need to resolve, you must do so as soon as possible.

There are several ways to fix errors on your credit report, and each one will have different costs and timelines. However, some common methods include the following:

  • Fixing typos: This usually only takes a few minutes and can be done online or by phone. 
  • Correcting inaccuracies: This process can take longer (several weeks) and may require travel to the agency where your file was originally filed. 
  • Applying for an exemption from reporting: This option requires more paperwork (usually 10 pages), but it may allow you to keep certain information off of your reports altogether (like bankruptcy).

NA or NH in a credit report

NA or NH is not usually a visible feature in credit reports, but it can be an important part of your credit history. NA stands for “no account,” and NH means “no historical hit.” These terms indicate whether you have ever had any dealings with the creditor, either through borrowing money or using their services. 

These are certain measures that you can take to get a personal loan with a low CIBIL score. This is because your CIBIL score is not the only factor that lenders look at when approving a personal loan. Your credit history and current debt levels are also important factors. 

Ask for a lower amount

If you have a low credit score, it may be best to request a smaller personal loan amount.This is because lenders use credit scores as one factor when determining whether or not to offer you a loan. When you request a small loan, they will not object to granting it because the risk is lower than when you request a large loan.


After reading this article, you might have realized that getting a personal loan with a low CIBIL score is possible with all the right steps. Just keep in mind some of the tips mentioned above to get a loan without stress.

Do remember, however, that such loans are not available for everyone, and it depends on your financial profile. Thus, do check your eligibility before applying at any bank or money lender.