Eligibility Criteria for Personal Loan in India

In India, personal loans are a popular financial option for meeting various needs like education, home renovations, medical expenses, and more. To apply for a personal loan, applicants must meet certain eligibility criteria, which may vary slightly between lenders. However, here are the common requirements in 2025:

1. Age

The applicant should typically be between 21 to 58 years of age. Some banks may have slight variations in this range.

2. Income

A stable monthly income is crucial. Lenders usually require a minimum income between INR 15,000 to INR 30,000, depending on the institution.

3. Employment Type

Applicants can be salaried employees (either in the public or private sector) or self-employed professionals. Stable employment history is usually required.

4. Credit Score

A strong credit score is essential for approval. A score of 750 or above is considered ideal, but some lenders may approve loans for applicants with lower scores at higher interest rates.

5. Employment Stability

Applicants are expected to have a minimum work experience of 1 to 2 years, showcasing job stability.

6. Loan Amount

The eligibility for the loan amount depends on factors such as income, credit score, and other financial obligations.

7. Residence

The applicant should be a resident of India and must provide proof of stable residence.

While these are typical eligibility conditions, each lender may have specific requirements, so it’s always advisable to check directly with the financial institution. Meeting these criteria helps improve your chances of getting approved for a personal loan at favorable terms.