SBI Personal Loan Cibil Score

Are you on the lookout for a Personal Loan with a quick turnaround time and competitive interest? If you have a good credit score range of 750 and above, you and through us at MyMoneyMantra apply for SBI Personal Loan. Read on to understand the SBI Personal Loan CIBIL Score requirements and implications.

CIBIL Score for SBI Personal Loan

CIBIL Score is a three-digit number between 300 and 900 that helps lenders to form an opinion about your commitment as a borrower. There are different categories of the CIBIL Score range that have different implications. 

A score between 300 and 600 is considered poor, and the borrowers who fall in this category have frequently defaulted on the EMI payment, and lenders have their own doubt about the recovery of the loan within the stipulated time. A score between 600 and 750 is considered a fairly good credit score range, and the lenders will give a benefit of the doubt while scrutinising these loan applications. A score between 750 and 850 is the best credit score range, and individuals with this score will be able to procure credit facilities with great ease. The minimum CIBIL Score for Personal Loan in SBI bank is 750.

Additional Reading: HDFC Personal Loan Cibil Score

CIBIL Score Required for SBI Personal Loan

Like any other financial institution, SBI decides the merit for considering the Personal Loan applications through the CIBIL score awarded to the applicant. The minimum SBI CIBIL Score for SBI Personal Loan is 750. The reason is the applicants with a credit score of 750 and above are considered low-risk borrowers with a guarantee of repayment of the loan within the maturity time. 

In case the loan application is rejected for want of a good credit score, the applicant can follow a strategy as mentioned below to improve the score and approach the bank again for the loan. 

  • Clear all the existing credit cards and loans overdue immediately and continue to pay the subsequent EMIs on time.
  • Try to get the credit card limit upgraded to bring the utilisation level to less than 50%.
  • Do not opt for revolving payment of credit card dues. 
  • Avoid frequent loan and credit card enquiries.

In some cases, if the credit score is below the required SBI Credit Score for Personal Loan, the bank might consider other parameters like debt to income ratio, income from sources other than salary, stability of employment etc., besides the CIBIL Score for evaluating the loan application.

Additional Reading: How to improve cibil score immediately?

Minimum CIBIL Score for SBI Personal Loan

Your eligibility for a Personal Loan depends on the CIBIL score you are awarded. CIBIL Score is the numeric representation of your responsibility as a borrower based on which SBI foresees the prompt repayment of the loan. With a score closer to 900, you will have the best chance of loan approval as you will be considered the most eligible candidate for the loan. 

CIBIL Score is the reflection of your payment history, dependence on credit, and financial status. Thorough scrutiny of the credit report can help the bank to decide on the extent of reliability the bank can bestow on your loan repayment capability. The minimum CIBIL Score for SBI Personal Loan is 750. The loan approval will be quick for candidates with a CIBIL Score of 750 and above with an advantage of lower interest rates and higher loan amounts.

Additional Reading: How to get loan for low cibil score?

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How SBI Calculates CIBIL Score for Personal Loan?

TransUnion CIBIL is among the four Credit Rating Agencies in India that was first to be established, and to date, lenders rely upon CIBIL Score to rate the financial status, repayment behaviour and the creditworthiness of the candidate for Personal Loan or any other credit facility. CIBIL awards scores that range from 300 to 900 based on the credit information received from various financial institutions. The closer the score is to 900, the better report will be the financial conduct of the candidate. The Credit Bureau is the CIBIL Score Calculator, and SBI only checks the Credit Report before approving a loan application.

SBI, as the primary step, draws a CIBIL Report when an application is received. The parameters of scrutiny will be the payment history, status of the loan accounts, the number of loan accounts and the extent of the outstanding balance and overdue, the combination of secured and unsecured loans, credit utilisation level and loan enquiries.

Even though the minimum SBI CIBIL Score for Personal Loan is 750, the bank may consider proposals from candidates with a lower score if they can convince the bank about the repayment capacity despite the lower score. But if any of the loans are written off or settled, then the bank will definitely reject the loan application. So checking the CIBIL Score and the reasons for the low score are very important before you approach the bank for a loan.

Additional Info: Also check SBI Net banking facility.

CIBIL Score Range for SBI Personal loan

CIBIL Score is the indicator of your chances to procure credit facilities from lenders. The CIBIL Score ranges from 300 to 900, and a higher score will prove you trustworthy and with a good financial status. SBI Bank Personal Loan CIBIL Score required is 750 and above. The higher the CIBIL Score is, the better will be the Personal Loan terms and the quicker will be the loan approval.

However, SBI may not totally deny Personal Loans to candidates with a score below the required SBI CIBIL Score for Personal Loan. In such cases, you might have to include a co-obligant who has a good credit score and has a stable income. Sometimes the bank may insist upon additional security.

Additional Reading: Check Free Cibil Score

Importance of CIBIL Score for SBI Personal Loan

A good CIBIL Score is an index of your financial status, credit profile and creditworthiness. A credit report will have all the information with respect to your credit history. The lenders will be informed of the number of loans, the date of availing, maturity date, the repayment pattern, loans and credit cards that are overdue and the number of days past due, the mix of secured and unsecured loans and the credit utilisation. With this information, the lenders can draw an inference about your responsibility as a borrower. 

For all lenders, including SBI, your CIBIL Score is an integral part of the loan appraisal process. If you have a score within the minimum CIBIL Score for Personal Loan range, SBI will embrace you as a potential borrower and provide you with the best offers along with very quick approval. So it is highly essential to check your CIBIL score and settle discrepancies, if any, to improve the score before approaching the bank.

If your confusion is how to check my CIBIL Score, then you can either access the official website of SBI or CIBIL itself and opt for the PAN Card credit score wherein you can draw the credit report by providing some personal details along with the PAN Card details.

Additional Reading: What is cibil grievance?

CIBIL Score Range to Avail Other Loans Offered by SBI

The SBI Credit Score for Personal Loan is 750 and above. Likewise, SBI has a different range for different loans. The CIBIL Score required for secured loans will be lower than the score required for unsecured loans owing to the security comfort. 

The minimum CIBIL score for home loan stipulated by SBI is 650 to 750.

The score range for a vehicle loan is 700 and above.

The score range for credit cards is 750 and above.

You should aim at maintaining the CIBIL Score at 750 and above to get credit facilities from SBI at a quicker pace as you will be the most eligible candidate and most sought after by the bank. You can also minimise the cost of the loan as you will have the added advantage of a lower rate of interest.

Additional Reading: Cibil Customer Care Number

CIBIL Score Required for SBI Credit Card

Before applying for an SBI Credit Card, it is important to check the eligibility criteria. The primary criteria that you will have to fulfil will be the minimum CIBIL Score criteria. Your credit profile constitutes your credit history and Credit Score. The Credit Score is based on the credit profile and so keeping a watch on your credit profile periodically to maintain a healthy score becomes essential if you want access to SBI Credit Card and other credit facilities from the bank.

With the mounting instances of credit card frauds and defaults, SBI relies mainly on the CIBIL score to know the creditworthiness and credit history of the customer. Besides extensive scrutiny of the credit application, SBI also does a thorough background check with the help of the Credit Report. The CIBIL Score required for credit card from SBI bank is 750 and above.

SBI provides Credit Cards to applicants with a score lower than the required level and without a CIBIL Score only if backed by Fixed Deposits. An individual without a CIBIL Score can make use of this option to create a credit score. Procure a Credit Card from SBI, use it judiciously and make on-time payment of the dues, and you will have created a good credit history.

Additional Reading: What is Equifax Cibil Score?

Benefits of High CIBIL Score to Avail SBI Personal Loan

Lenders will be yearning to include an individual with a high CIBIL Score into their credit fold. You will notice that with a good CIBIL Score, you will observe that you will be lured with various benefits as every lender will be competing to get you into their fold. A high CIBIL Score gives positive vibes to the lender with an assurance of prompt repayment of the loan.

Like every other lender, SBI also extends several benefits to individuals who apply for a Personal Loan from the bank. The minimum SBI Personal Loan CIBIL Score is 750, and if you have a CIBIL score higher than this, you will have the following benefits.

  • Quick approval of the loan.
  • Lower rate of interest
  • Higher quantum
  • Power to negotiate for concessions service charges
  • A much flexible repayment option.

Additional Reading: What is Experian Credit Score?

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FAQs

✅What is a good CIBIL score in SBI?

A good CIBIL Score indicates to the bank your responsibility as a borrower and your creditworthiness: a CIBIL Score of 750 and above is considered a good CIBIL Score by SBI.

✅What should be the CIBIL score for a personal loan?

The ideal CIBIL score for a personal loan is 750. A CIBIL score range of 750 to 850 depicts your responsibility as a borrower, your creditworthiness, credit profile and your financial stability.

✅Does SBI check CIBIL score?

Before considering the loan application, SBI does an extensive background check of the prospective borrower with the help of the CIBIL Score. A score of 300 to 500 does not give a good impression about the repayment capacity of the borrower, and so the application will be rejected. A score between 600 and 750 will still be considered if the borrower is able to convince the bank about his/her repayment capacity despite the low score. If the score is 750 and above, you can wade through the loan process and will get instant approval along with various benefits.

✅Is 730 a good CIBIL score in India?

Though 750 is the ideal CIBIL Score, some of the lenders in India do consider a score between 700 and 850 as good for considering a personal loan proposal.

✅What is the meaning of a CIBIL score of 1?

When there is no information about the credit history of the individual, the CIBIL Score will be1. This simply means No History of Credit which is not a good proposition as the lenders will not be able to gauge the repayment behaviour before providing approval for a loan.

✅How can I calculate my CIBIL score?

The Credit Bureau is the CIBIL Score calculator, and you can only check your credit profile with the information provided in the credit history.

✅How much is a CIBIL score good for a personal loan?

A CIBIL Score of 750 and above is good for a personal loan.

✅Can I get a loan if my CIBIL score is 600?

You can get a loan if your CIBIL score is 600 if you

  • Include a co-borrower for the loan with a good credit score and regular income.
  • Provide security like gold jewellery or fixed deposits.
  • Opt for a lower amount.

The loan will be provided at a higher interest rate.