What CIBIL Score Do You Need for a Personal Loan?

Your CIBIL score is a three-digit number between 300 and 900 that sums up how you have handled loans and credit cards. For a personal loan – which has no security – it is one of the first things a lender checks.

The score lenders usually like

• 750 and above: seen as a good score. You are more likely to get approved and to get better offers.
• 700 to 749: many lenders still approve, sometimes with a smaller amount or a higher rate.
• 650 to 699: fewer lenders, more checks. Some may ask for a co-applicant.
• Below 650: approval is difficult with most lenders. Work on the score first.

These are general ranges, not fixed rules. Each lender has its own policy and also looks at income, job and existing EMIs.

What if you have no score?

If you have never taken a loan or card, your report may show "NH" or "-1". This is not a bad score, just no history. Some lenders do lend to first-time borrowers with a strong salary profile. A small credit card used and paid on time for 6 to 12 months builds a history.

What lowers a score

• Late or missed EMI and card payments – the biggest factor.
• Using most of your credit card limit every month.
• Many loan applications in a short time.
• Settled or written-off loans.

How to improve it

1. Pay every EMI and card bill in full and on time. Set auto-debit.
2. Keep card usage below about 30% of the limit.
3. Check your credit report once a year for mistakes and get them corrected through the bureau.
4. Do not close your oldest card – a long history helps.
5. Space out new loan applications.

Improvement takes time – often a few months of clean payments shows a real change. Read more in our guide What is a CIBIL score.