HOME LOAN RECENT AMENDMENTS About Bad Cibil Score
In spite of the credit crisis, the banks and NBFC’s have started sanctioning loans for huge amounts and for long tenures. But this is not the scenario with the people having low CIBIL credit score. According to the CIBIL data that are sanctioned have a credit score of 750. So, if you are holding a bad CIBIL score you still can get a home loan from bank as credit is not the only parameter they have a look into. They look at the other parameters to judge you.
Just remember: CIBIL score is not the whole evaluation criteria.
The difference of the Bank interest rate depends on the type of the type of the loan, the amount and the tenure of the loan. For instance, if you are availing for a home loan from a bank with a low CIBIL score still you can get it sanctioned.
Get Home Loan On Increased Interest Rate
The difference here lies in either the rate or the amount. Either the banks will charge you a higher rate than the person who has got a perfect CIBIL score or either you will be sanctioned with a lower amount than the usual offered to a person who has got a perfect CIBIL score.
Apply Only 60-65 % Amount Of Asset
For instance, you went into a mainstream bank like HDFC for a home loan of amount 20 lakhs for a period of 10 years. But, you hold a low CIBIL score then you will be charged higher interest somewhere around 11-18% or you will only be sanctioned around 65% of the amount when
compared to a person who holds a good CIBIL score and gets a loan at 8-9% interest rate and 80-90% amount sanctioned.
Show Increased Income
If you are not a person with a low credit score then too you can get the loan by proving them and giving them a genuine reason. So, they may overlook your score for once. But, you need to prove them about your currently settled in an MNC and earning a lot that is needed. You can also keep any assets as collateral further decrease the interest rate of the loan.
Also, there are NBFC’s which have lower cut-offs that make it easier for you to get a loan. The scores are low as 360 making it convenient for you. In worst case scenario, there is P2P lending (peer to peer lending) in which loans up to 5 lakhs is given for a tenure of 1-3 years making it possible for you.