How to Get a Personal Loan With a Credit Score of 700?

Getting a personal loan with a credit score of 700 is possible but can be challenging and costly. This is because while some lenders consider it to be good, some prefer a higher score, generally above 750. And although the 50-point gap doesn’t seem that high, it has a significant impact on your eligibility. 

To better understand this, consider this general classification of your profile based on your credit score:

• 800 – 900: Excellent
• 750 – 799: Very good
• 650 – 749: Good
• 550 – 649: Fair
• 300 – 549: Poor
• NA or NH: Not Applicable/ No History

That being said, there are some strategies that you can try to secure personal loan funding even with a score of 700. Read on to know more.

Ways to get a personal loan with a Credit Score of 700

Here are a few options that can help you get a personal loan effortlessly:

Go for a Smaller Loan Amount

Applying for a lesser amount is ideal, as the risk parameter is comparatively lower for the lender. This simply means that your approval chances are higher. Opting for a higher amount can delay or lead to rejection, as the lender may not be willing to sanction such a huge loan value to someone who has a higher risk of default. 

Choose an Existing Lender 

This is among the simpler and easier options you can rely on. Borrowing from your current creditor is easy because they know your repayment behaviour and can assess your application based on that. 

Moreover, some lenders, like Fibe, offer the facility of repeat loans. With this, you can get a loan without submitting a new application every time. However, you need to close your previous loan before getting a new one. So, if you’ve repaid the dues on time, getting new credit from them can be fairly easy.

Also Read: How To Improve Your Credit Score In 5 Easy Steps

Prove Your Repayment Capacity

One reason why your credit score holds such significance in unsecured loans is that it speaks to your ability to pay back on time. Lenders generally check the following information to assess your repayment capacity: 

• Salary slips
• Bank statements
• Timely payments of utility bills
• EMIs and credit card payments

You can also disclose all your income sources to show that you have the income to manage the repayment of your loan. This will give your profile the necessary boost to get a personal loan with a CIBIL score of 700.

Offer Collateral

In secured loans, the lenders can auction your asset in case of default, this mitigates their risk and makes them less hesitant in approving your application. You can offer various assets as security, like:

• Gold items
• Real estate documents
• Vehicle papers
• Valuable artwork

Get a Guarantor or Co-applicant

When you apply with a guarantor or having a co-applicant can offset the risk you have with a less than ideal score. However, ensure that they have a spotless credit history and a good credit score. This is because the lender will consider their scores too as they will be responsible for repaying the loan in case of default. 

You can rely on Fibe’s Personal Loan to address your financial needs, regardless of your credit score. This is because we have an alternate credit scoring system, which allows us to offer loans if you are new to credit or have a low score. You can get up to ₹5 lacs at affordable interest rates and flexible tenures with minimal requirements. 

Download the Personal Loan App or register on our website for a 100% digital application!

FAQs on Getting Loans With a Credit Score of 700 

Can I get a personal loan with a credit score of 700?

This depends on the lender you apply with and the requirements set by them. To choose the right one, checking the eligibility of your top preferred financial institutions is the best way to proceed. Alternatively, you can choose one that doesn’t rely on credit scores, like Fibe. You can also try some of these strategies to get funds without any hassles:

• Proving your creditworthiness

• Choosing secured loans
• Applying for smaller loans
• Researching various lenders
• Involving a guarantor or co-applicant

Do lenders consider a CIBIL score of 700 as good?

A good score depends on the financial institution and the criterion set by them. However, 700 is generally regarded as good by most.

How can I improve my CIBIL score from 700 to 800?

Some proven strategies you can try are: 

• Making timely credit repayments
• Avoiding multiple applications and inquiries
• Checking your credit report periodically