Individuals with a low income often have a fear of loan application rejection. However, certain financial institutions offer a high loan amount even if an individual’s monthly salary is low.
If you are wondering how to determine the loan amount to apply for, you can use a personal loan eligibility calculator. These calculators offer several benefits. Additionally, you must go through the personal loan eligibility criteria to avoid loan rejection.
What Are the Benefits of a Personal Loan Eligibility Calculator?
There are several benefits that a personal loan eligibility calculator has to offer. These include:
Human calculations are prone to errors. Also, it becomes extremely complicated to use the formulas and accurately put the values to get an accurate result. This can happen even when you are using a digital calculator. However, online loan eligibility calculators are extremely accurate, and you can completely rely on their results. This helps you to determine how much loan amount you can request to get your request approved.
- Instant results
Individuals mainly opt for personal loans during an emergency when they are in urgent need of funds. In such a situation, they want instant results to check whether their low income would pose a hurdle to their approval. Thus it is best to opt for an online eligibility calculator in those situations. This is because they provide instant and accurate results, and that too within a few seconds. This helps them to take a firm decision regarding their loan amount.
- Compare eligibility
You can easily compare eligibility for different monthly incomes of the different earning members of your family. Also, you can change the EMIs as per the different financial institutions. This would ensure you get the best deals even if your income is comparatively lower.
However, performing these calculations manually is extensively challenging due to the complicated formulas and large values. Also, the process is time-consuming and prone to error as it might be confusing which value to keep fixed and which one to change. So it’s better to compare the results using an online calculator for instant and accurate comparisons.
- Free of cost
One of the best features of these calculators is that you can use them for free. Hence, you can use these calculators as many times as you want for comparing results or calculating results. Its efficiency stays constant with every use. Additionally, the added features such as accuracy and instant results make it a popular choice and compel them to put these calculators frequently into use as per their needs.
- Easy to use
These calculators are extremely easy to use. You only need to select if you are a salaried person or a self-employed person. Then enter your monthly income and monthly EMI to check if, with your current income, no matter how low, you can stand eligible. People from any age group can use these calculators as per their needs. This is beneficial as people do not need to follow any complicated and extensive steps and can use these to obtain quick and error-free results.
How to use a personal loan eligibility calculator?
The steps to use a personal loan eligibility calculator to determine the personal loan eligibility criteria are as follows:
Step 1: Browse the official website of a financial institute.
Step 2: Navigate to the personal loan tab.
Step 3: Move to the personal loan eligibility calculator.
Step 4: Choose the “salaried” option.
Step 5: Adjust the pointers to enter your salary.
Step 6: Adjust the pointer to enter the monthly EMI.
The loan amount you are eligible for will be displayed automatically and instantly as soon as you enter the accurate values. Once you have received the value, you must check other eligibility criteria that you must fulfil to stand eligible for personal loan approval with a low income.
What are the eligibility criteria for a personal loan for a low salary?
The eligibility criteria of personal loan for low salary individual include:
- A regular and monthly inflow of salary, even if it is low
- Must be a citizen of India
- Minimum age of 18 years or at times 21 years
- Maximum age of 65 years at the time of loan maturity
Additionally, you must also keep a scanned copy of all the documents required handy to complete the application process.
What are the documents required for a personal loan for a low salary?
The documents required to apply for a personal loan are as follows:
- KYC documents such as Aadhaar cards, voter cards, PAN card
- Last six months’ salary slip
- Address proof such as rent agreement or electricity bills
- IT certificate
- Latest form 16
Now you must understand that a low income does not pose a hurdle for personal loan approval. However, it is essential to go through the personal loan eligibility criteria to check if you fulfil them to get instant loan approval.