Get a Personal Loan with a Cibil Score of 650

Want to get a personal loan with a CIBIL score of 650? Yes, it’s possible when you:

• Meet the lender’s eligibility criteria
• Show proof of stable income
• Apply through an NBFC with relaxed credit norms

A 750+ score gets you better rates, but you can still get a loan with a lower score. Read on to know how to improve your chances.

Can I Get a Personal Loan With a 650 Credit Score?

Yes, getting a personal loan with a 650 CIBIL score is possible. Here’s what you need to know:

• A 650 score is considered fair. It is neither great nor poor 
• Approval depends on other factors like income, employment and existing debt
• You may need to accept a higher interest rate or a lower loan amount
• Applying through NBFCs or digital lenders can improve your chances
• Adding a co-applicant or guarantor can also help with approval

Now, let’s look at how you can boost your chances of getting approved.

Tips to Get a Loan With a Credit Score of 650

NBFCs and banks offer a personal loan for a CIBIL score of 650 based on certain parameters.  

• Provide Proof of Good Income 

Having a high income boosts your eligibility. This is because it convinces lenders of your repayment capacity. Some lenders may also require proof of stability and security to understand the scope of risks in approving your loan application. 

• Request for NA/NH Credit Report

NA or NH in your report indicates no credit activity and no history available. Under such conditions, you can explain the reason and request the lender to consider your application as a new borrower. 

• Apply With a Co-Borrower

This is another easy way to get funds with a 650 credit score. Loan applications that feature a co-borrower are easily approved as the other person is responsible for repayment if you can’t pay your EMIs. So, lenders have to bear a lower risk. 

If you have a low score, you can apply with your:

• Parents
• Spouse
• Children
• Relatives
• Other co-applicants as accepted by the lender 
• Borrow a Lower Amount

Applying with a low score makes you a high-risk applicant, as financial companies assume you may default. To offset that, you may have to say yes to reduced financing when applying with 650 CIBIL score.

• Check the Eligibility Criteria

Thanks to fintech advancements, you can choose digital lenders if you have a 650 CIBIL score. Loan apps often have lenient requirements, which make getting funds easier. Remember to choose trusted apps to ensure the security of your data and finances. 

• Settle for a Higher Interest Rate

Since a low score results in a higher interest rate in most cases, choose to proceed if your requirement cannot be delayed. Responsible and consistent payment of EMIs can help you build a better credit score for the future. 

CIBIL Score Range for a Personal Loan

Your credit score plays a key role in whether your loan gets approved and on what terms. Here’s how different CIBIL score ranges impact your personal loan eligibility:

CIBIL Score Range	Rating	What It Means for Your Loan
NA/NH (No History)	No Credit History	You’ve never taken a loan or a credit card. Some lenders may treat you as a new borrower.
300 – 549	Poor	Very low chances of approval. This shows missed EMIs or defaults in the past.
550 – 699	Fair	Some lenders may approve. But you can expect higher interest rates or a lower loan amount.
700 – 749	Good	Good chance of approval with reasonable loan terms. You may also get better rates.
750 – 900	Excellent	High chances of quick approval. You can also get better loan offers with lower interest rates.

A higher score shows strong credit behaviour and gives you better control over your borrowing options.

Factors Affecting Personal Loan CIBIL Score and Ways to Improve It

Your CIBIL score reflects your credit habits. Here’s what can affect it and how you can improve it over time.

Factors That Affect Your Score

• Payment delays: Missing EMIs or credit card payments can lower your score
• High credit usage: Using more than 30% of your credit limit regularly shows poor credit discipline
• Multiple loan enquiries: Applying for loans too often in a short time reduces your score
• Loan defaults: Not repaying loans as agreed seriously damages your credit profile
• Short credit history: Having limited credit activity might affect your overall score

Ways to Improve Your Score

• Pay EMIs on time: Use auto-pay or reminders to never miss a due date
• Lower your credit use: Keep utilisation under 30% of your total credit limit
• Avoid frequent loan applications:  Apply only when really required to prevent multiple hard inquiries on your report
• Check your credit report: Monitor it regularly and raise a request if you spot any errors
• Limit unsecured loans: Try to maintain a healthy mix of secured and unsecured credit

With these practices, you can gradually improve your 650 CIBIL score and get easy access to funds. Remember, building your score is not something you can do overnight. To keep an eye on it, check your Credit Score for free on Fibe. If you need funds during an emergency, you can rely on Fibe to get quick and affordable Instant Cash Loan. 

We use alternative scoring mechanisms to measure your repayment capacity and creditworthiness. As such, even to those who are new to credit or have a low score can get access to funds. 

Moreover, we have quick approval and flexible repayment options, along with zero foreclosure charges and a 100% digital application. Download our Personal Loan App or visit our website now to get funding of up to ₹5 lakhs! 

FAQs on Personal Loan for 650 CIBIL Score

My CIBIL score is 650. Can I get a personal loan?

Yes, but you may have to repay a higher interest or settle for a lower amount. You can also apply with co-applicants or showcase a good repayment ability.

Is 650 a high CIBIL score?

Lenders consider a 650 CIBIL score to be decent for a smaller loan amount, but prefer 750 or higher for more funds. 

How to improve my CIBIL score from 650 to 750?

You can follow these tips to increase your 650 CIBIL score:

• Don’t miss the EMI due date
• Reduce your credit utilisation ratio
• Periodically check your CIBIL report for errors
• Know the factors that impact your credit score
• Avoid frequent loan applications

How long does it take to get a credit score of 650?

If you already have a loan or credit card, it may take about 3-6 months. However, you need to be patient and consistent as building a score takes time.