Every person dreams of buying a beautiful house, car and other necessary things, sometimes due to financial constraints people have to take a loan. But there are many rules for this also. Let us tell you that your credit score indicates your ability to take a loan. People with high credit score get higher loan amount at lower interest rates. Not only this, if you have long-term job experience, it strengthens your ability to take a loan.
Home Loan and Personal Loan
Let us tell you that you can take both home loan and personal loan. But the charges for both the loans will be different. If your monthly salary is up to Rs 50 thousand, the interest rate is 7% every year, the loan tenure is 15 years and your credit score is good, then you can get a home loan of around Rs 25 to 30 lakh. If you take a loan for your own business, then you will have to show some documents to the bank as per the rules. Keep in mind that apart from the loan amount, you will also have to make some down payment, usually 10 to 20%.
personal loan
Whereas if you want to take a personal loan and your monthly salary is Rs 40 thousand, then you can get a personal loan up to at least Rs 9 lakh. Before taking the loan, check whether you can pay the EMI. To take a personal loan, the person taking the loan must have some proof of income every month.
keep a good credit score
Most banks give loans to people between 21 and 60 years of age, although in some cases the age limit may be more or less. The better your credit score, the better your chances of getting a loan. Keep in mind that before taking a loan, you must contact the bank or NBFC. The bank may also ask for some documents from you.