What is a credit scoreWhen applying for a loan, one of the important qualifying conditions is a CIBIL score. A good credit rating allows you to take advantage of appealing features and perks. As a result, most persons with a low CIBIL rating find it difficult to apply for a loan. Learn in brief here. How Low is a "Low CIBIL Score"?There is no universally accepted definition of a low Credit score. In general, a score of less than 600 is considered poor for the approval of a Home Loan. This may differ from one lender to the next. Banks prefer a Credit score of 700-750 for the approval of a home loan. Different banks may have their own requirement for a minimum score, however, the bulk of Indian banks demand at least 700. A person with a CIBIL score of 700-750 or more is regarded as less risky for a home loan. Get A Home Loan Even If You Have A Low Credit
Final Word While getting a house loan with a poor credit score is not difficult, there are a few things to keep in mind. You should remember that applying for a house loan with a poor CIBIL score may lead to a higher interest rate. Furthermore, if you fail to make EMI payments, your credit score may suffer further, making it difficult for you to obtain a loan in the future. You must make certain that your EMIs are paid on time. Make sure you have enough money in your bank account and use the auto-debit feature but never miss a regular EMI payment.
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