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How Much CIBIL Score Required For Loan Against Property?

Minimum CIBIL Score Required for Loan Against Property

It is important to know your CIBIL score for loan against property application as it forms an important part of your eligibility. If you are wondering how much CIBIL score is required for loan against property in general, the ideal figure is 750 and above. Lenders consider this a healthy score, as it stands for your creditworthiness and indicates that you have experience with credit and have repaid loans on time in the past. However, the exact requirement may differ from lender to lender, so check the pre-determined benchmark that indicates the minimum CIBIL score for a loan against property set by your chosen financing institution.

Even though a mortgage loan involves a property collateral, a bad CIBIL score can adversely impact your ability to get the loan. This is because lenders inspect your personal financial profile to ascertain whether you will be able to repay your EMIs on time. So, getting a loan against property with a bad CIBIL score may not be easy as you may either be offered a lower loan amount or be charged a higher loan against property interest rate even if your application is approved. Usually, the lowest credit score for mortgage loan approval is 725.

What is CIBIL Score?

Also called your credit score, this is a 3 digit number, ranging from 300 to 900, based on your history and behaviour with credit as per your Credit Information Report. Here’s a snapshot of how your credit score for mortgage loan applications is viewed by lenders:

Scores within the range of 350 - 549 are considered to be poor by most standards and your loan against property application may get rejected.

While scores above 650 is moderate, it still is not sufficient to secure funding with most lenders. The lowest score that most credit lenders will accept is 725.

Scores above 650 allow you to get approval on your loan against property but increasing your score to 750 and above get you more convenient terms.

Thus, when applying for a mortgage loan, a minimum credit score of 725 should simply be your starting point. You can easily boost your CIBIL score by being disciplined about paying EMIs on existing debt, keep your credit utilisation low, and don’t apply for many loans simultaneously.

How to Check the CIBIL Score?

Now that you know the CIBIL score required for mortgage loan applications, check it yourself before you apply. You can do so for free once a year on the CIBIL website, after which you will need to pay for it. You can also check your CIBIL score for free via Bajaj Finserv without any registration required. Here’s how.

  • Step 1: Click on ‘Get your CIBIL score’
  • Step 2: Enter the necessary personal, income and PAN details
  • Step 3: Enter the OTP sent to your mobile number and email ID for verification
  • Step 4: Check your CIBIL score and report

A good CIBIL score allows you to avail big-ticket mortgage loans like the Bajaj Housing Finance Limited Loan Against Property at an attractive interest rate for a tenor of up to 20 years. To get started today, simply apply online and enjoy speedy loan approval and disbursal.