Monday, October 28, 2013

The Loan Approval Process- Behind the Scenes

Guest post by www.rupeezone.in

So, you have applied for your loan at xyz bank, ever wondered what happens after you have applied? Think it’s not worth wondering about? Think again.

Irrespective of the type of loan you have applied for, there are certain processes that are common to all types of loans and all the customers. The first and foremost is the CIBIL Score. Don’t know what it means? Don’t worry. As you read you will know so much more about what happens once you’ve applied for your loan. If you have a clear understanding about this process, you can have a better knowledge about where and when to apply and also ways and means of making the best of your loan experience.
The Credit Information Bureau (India) Limited is one of the leading credit rating agencies that is dedicated to track the credit history of consumers across all the banks in India. Now, how is this done? Every credit card purchased and just about every loan sanctioned is sent as a report to cibil by each of the member banks on a monthly basis.  All these records are accumulated from the time you start owning credit cards or apply for loans, till the time these reports are requested for.

The next question that comes to mind is –
Why are these records even maintained?  Who would request for it? How to check cibil score?
Any individual or banking institution may request for the cibil report.  Upon receiving the application of your loan, the bank will request for the credit report of the customer in question. Depending on the report received, the bank will try to assess if you are a prospective candidate for loan sanction or not.
Understand that CIBIL will not label your reports as positive or negative, these are mere presentation of your credit and loan payment histories. It is at the discretion of the bank to make the final decision on whether or not your loan can be approved.

However, when an individual requests for his or her credit report, they are required to pay a certain sum in order to receive their reports. It is only to read and understand the reports and nothing more.
So, what is the maximum and expected score?  How to check cibil score?

The maximum score is 900, and the ideal, expected score for an individual is 750+. It is important you remember to pay all your credit bills and EMIs promptly, so as to avoid getting your score lowered. Your cibil rating is one of the most important deciding factors for your loan to be approved.
Want to know more on how can you increase your chances of approval?

For starters, visit  www.rupeezone.in  you will find a whole lot of details on personal loans and
To find out if you are eligible for availing best personal loans by visiting


With over 2 lakh customers, 25 + years of expertise in the field, Rupeezone is a well established financial services organization.

This is a guest post by www.rupeezone.in

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