To qualify for a Personal Loan, different aspects are taken into account including your income. For instance, Hero FinCorp offers a personal loan for 15000 salary, making individuals earning Rs. 15,000 eligible for its personal loan services.Therefore, if you earn Rs 40,000 per month, you could secure a loan through Hero FinCorp. Nonetheless, the final loan amount sanctioned will depend on your ability to repay and your existing financial commitments.
Apart from salary, your loan eligibility depends on several other factors. Let's look at the details.
Here are the five most important factors affecting your Personal Loan eligibility:
The Personal Loan amount you can borrow depends on your income and expenses. Credit score and debt-to-income (DTI) ratio largely determine your loan amount. Lending institutions use different methods to calculate your loan amount. One of the methods is the FOIR.
FOIR stands for Fixed Obligation Income Ratio. It is the ratio of your monthly obligations to your net monthly income. Based on that, the lender determines your repayment capacity and default risk. Most lending institutions want this ratio at most 40-50%. If your monthly salary is Rs 40,000, your total monthly obligations should not exceed Rs 20,000.
Although Rs 40,000 is a good salary to qualify for a Personal Loan, here are a few tips to maximise your eligibility:
Obtaining a Personal Loan with Rs 40,000 salary depends on various factors. These include the lender’s policy, purpose of borrowing, your credit score, DTI ratio, etc. Check the loan terms before borrowing. Choose an appropriate loan tenure to ensure timely repayment.
Disclaimer: The information provided in this blog post is intended for informational purposes only. The content is based on research and opinions available at the time of writing. While we strive to ensure accuracy, we do not claim to be exhaustive or definitive. Readers are advised to independently verify any details mentioned here, such as specifications, features, and availability, before making any decisions. Hero FinCorp does not take responsibility for any discrepancies, inaccuracies, or changes that may occur after the publication of this blog. The choice to rely on the information presented herein is at the reader's discretion, and we recommend consulting official sources and experts for the most up-to-date and accurate information about the featured products.
Hero Fincorp offers a wide range of financial products including Personal Loans for personal needs, Business Loans to support business growth, Used Car Loans for purchasing pre-owned vehicles, Two-Wheeler Loans for bike financing, and Loan Against Property for leveraging real estate assets. We provide tailored solutions with quick processing, minimal paperwork, and flexible repayment options for smooth and convenient borrowing experience.