Deutsche Bank Personal Loan Eligibility

The first thing to consider while applying for a Personal loan is whether you satisfy the eligibility criteria of the bank. The eligibility criteria mentioned by the lender depends on the age, income, nationality etc. These criteria are used to filter the applicants who the bank finds eligible to pay off the loan. Deutsche bank asks for the below eligibility criteria from Personal loan applicants.

• Existing customers: Deutsche bank provides Personal loan only to existing customers.
• Employment: Deutsche bank requires the applicants to have a certain monthly income. Self-employed businessmen might not be able to avail this loan.
• Income: The applicant should have a minimum income of INR 25,000 to be eligible for the Personal loan.
• Experience: The applicant should have a minimum of 2 years of work experience to be eligible for Personal loan with Deutsche bank.
• Age: The Personal loan is available for applicants only between the age 25-60.
• Credit score: The applicant should have a minimum credit score of 750.
• Other requirement: The applicant should have a telephone at both the place of residence and office.

Before applying for a personal loan, you will have to understand the features offered by the bank for the Personal loan. The features offered can differ between different banks, products, and even types of applicants. It is important to consider how different features can impact your eligibility and the credibility for your application. Below are some features of the Personal loan by Deutsche Bank. 

Deutsche Bank will not approve your personal loan simply based on your application form. The bank will need to scrutinise your application carefully to validate your details. To do this, the bank requires documents concerning your identity, income, etc. The bank will use your documents to verify whether the claims you have made in your application are true or not. The documents asked also depend on your eligibility and type of application. Below are the documents mandatory for any kind of Personal loan application.

KYC Documents:

Identity Proof - Anyone(  Pan Card,  Aadhaar, Passport, Valid Driving License, Voter ID Card )

Proof of Address - Anyone (Aadhaar, Voter ID Card, Valid Driving License, Valid Passport, Utility Bill (Electricity / Telephone / Mobile - not more than 60 days old)

Income proof:

• Last 6 months' bank statement
• Salary slips

Other documents:

• Processing fee cheque
• 2 passport-sized photographs

As Personal loans are unsecured, the bank places a major focus on your eligibility criteria in order to approve your loan. The bank will scrutinise every aspect of your application to ensure that the loan can be repaid on time. There are a lot of factors that can impact personal loan eligibility depending on the type of application. Below are some factors that can impact your Personal loan application.

Age and tenure:

Your age coupled with your tenure is a very important factor of your Personal loan application. If an applicant around the age of 57 wants to apply for a long-tenure loan, the bank naturally will consider the number of years that the applicant will still be earning to pay off the loan. The eligibility of such an applicant will be lower as compared to an applicant around the age of 35 who wants to go for the same tenure. Likewise, an applicant as young as 25 years of age won't be earning a large amount to be considered for a low-tenure loan. This way, your age and tenure can massively impact your Personal loan application.

Loan amount:

The eligibility of your Personal loan depends on your ability to repay the loan amount through EMIs. Your EMI depends heavily on your loan amount. A higher loan amount means a higher EMI and can naturally, mean a higher responsibility of payment. That is why a higher loan amount can mean a lower eligibility for the Personal loan. Make sure that you are only choosing the loan amount as per your requirements.

Credit score:

A credit score is a very important measure of your credibility. Personal loans being unsecured, the bank absolutely needs you to provide a credit score to prove your credibility for the Personal loan. A credit score is calculated using all your previous finances. Your prior credits, payments, income, investments etc will all impact your credit score. A high credit score means better credibility. A high credit score means that you have been handling your finances well and you have repaid all your prior credits on time. A high credit score will thus increase the eligibility of your Personal loan application. The bank requires a cibil score of 750 or more to be eligible for the Personal loan.

Disposable income:

It is not just your income that has to satisfy the EMI, but your disposable income. The bank requires that you pay your EMI without fail. For this purpose, the EMI needs to be enough that it does not burden your income. Also, the bank understands that you will have certain liabilities attached to your income. For this reason, the bank will carefully analyse your finances to determine your liabilities and dependencies. They will figure out the monthly average income you are left with after satisfying the liabilities. This will be your disposable income and will determine how much EMI you can pay for your Personal loan. A higher disposable income will have higher eligibility.

Missed payment:

The bank will go through all your credit history when you apply for a Personal loan. If the bank finds any missed payment instance in your credit history, your application will be negatively impacted. This is because a missed payment can be indicative of poor credibility. Moreover, a missed payment also lowers your credit score. Some banks have it specifically mentioned in their eligibility that a cheque bounce history will not be eligible for a Personal loan.

Existing loan:

The bank will be wary of providing you with the Personal loan if they find that you already have existing unpaid loans. An existing loan means you are already burdened with one EMI. Availing another loan would mean additional burden on your income. You will have to prove to the bank that you will be able to handle multiple EMI's through your income.

Personal loans might be quicker to avail, but the bank still needs to carefully analyse your application to ensure that you are a creditworthy individual. As mentioned above, there are a lot of factors that might impact your Personal loan eligibility. Below are some tips that will help increase your Personal loan eligibility.

Get a financial assessment:

The eligibility of your Personal loan depends on your capability of paying the Personal loan EMI. For this reason, it is important to figure out your disposable income, from which you will be paying your Personal loan EMI. Getting a professional assessment of your finances will help you to determine exactly how much your liabilities are and how much of a burden is there on your finances. It will help you to determine how much of your income can be utilised for your EMI.

Take care of existing loans:

The bank will hesitate to provide you with a Personal loan if they find that you have existing unpaid loans as it would mean burdening your income with multiple EMIs. It would be better to consider paying off your existing loans entirely before you apply for this one. If that's not possible, try to increase the tenure of the existing loan so that your EMI is reduced.

Plan beforehand:

Your credit history and credit score are very important for your Personal loan application. For this, it is important to maintain a good credit history and increase your credit score. To do this, you have to start planning for the Personal loan beforehand, if you have the slightest inkling that you may have to apply for one in the near future. If unexpected, it's still prudent to do proper planning and check out various options and products to ensure that you are going for the most ideal product. You can do this by applying for a personal loan with MyMoneyMantra. MyMoneyMantra helps you to decide between the number of products and vendors for personal loan.

Go for a higher tenure:

The eligibility for your Personal loan application is heavily dependent on your EMI amount. The EMI amount is calculated using your loan amount, interest, and tenure. A high tenure naturally means a lower EMI amount. A lower EMI increases your eligibility as a lower EMI means less burden on your finances and requires lesser disposable income. A high tenure also means more time to pay off the loan, which further helps the bank to trust your application.

Apply with a co-applicant:

Applying for a Personal loan with a co-applicant can be very helpful for your Personal loan application. When you apply with a co-applicant, both of your income are added to act as the total income for your Personal loan eligibility. A higher income will naturally increase the eligibility for your Personal loan. Also, the responsibility for repayment lies with both of you. Hence, the bank places more trust in your repayment. If the co-applicant has a higher credit score, the eligibility for your Personal loan application increases as well.