Have Bad credit Score. Is it possible to get the loan with low-interest rates

[leojack]

I have bad credit score as 650, Is it Possible to get the personal loan with low-interest rates. Can you suggest me from which bank i can expect the less intrest.

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[KalamChavan]

Having a poor credit score may make it difficult to get a loan approved, having said that, it is possible to get one approved for yourself. One can employ certain measures to ease out the approval process. You can try the following ones, according to your convenience.

1. Support your application with the income proof to strengthen your claim. You can even add additional income if you have any. A secured job with proper and guaranteed monthly salaries are a real boon. This can help you show that you have a regular cash flow which you can use to disburse the repayment amounts timely.

2. Consider a low amount when you apply for the personal loan. As you may see the lender as a high risk customer they may hesitate to approve loans with high amounts. From his point of view you are a potential candidate to miss your repypament targets. Asking for a lower amount will make you a practical customer. This will help in convincing the lender despite the low credit score.

3. Make sure that you apply for the loan with a co-guarantor. The lender will verify his credit score and if it is good enough then you might benefit a lot.

4. In addition to the above steps try resolving the errors in your credit report as soon as possible. There may be misreporting as I may not be updated with recent information. So check for those and rectify the same first.

5. You can request the lender to consider your case as inactivity due to absence of transactions from more than 3 years. Explain the causes for this properly. Most reputed institutions like the shriram city provide all the assistance to their customers. Their loan approval is a simpler one subject to certain mandatory requirements. You contact them to find out the best possible option for you. As they have very competitive interest rates you can rest assured of substantially less financial burden.