Union Bank Personal Loan Eligibility

Eligibility Criteria for Union Personal Loan Scheme for Top Executives of Government Ministries

1. Permanent employees of GoI ministries having a salary account with Union Bank of India including top executives (CEO/MD/COO/GM) in the departments of Labour & Employment, Science & Technology, Environment & Forest, and Statistics & Programme Implementation
2. Permanent employees of Home Ministry - Navy, Army, Air Force, and para-millitary forces controlled by Home Ministry such as BSF, CRPF, ITBP, etc.
3. Permanent employees of Defense Ministry - Defense production/research/manufacturing units such as RCI, DRDO, HAL, NCC, Navodaya Vidyalaya Sangathan (NVS), Kendriya Vidyalaya Sangathan (KVS), etc.

All the above-mentioned employees should hold an account with the Union Bank of India to avail this loan.

Eligibility Criteria for Union Personal Loan Scheme for Government Employees

Factors Affecting Eligibility of Union Bank of India Personal Loans

1. Stable employment: Banks are wary of customers who change their jobs frequently- do not strive to consolidate their position in one company. Frequent change of jobs makes employees more vulnerable to layoffs in addition to weakening their prospects of getting promotions and increments. Customers who have been with a company for a longer period of time will have little trouble acquiring personal loans.
2. Number of loans: Loan eligibility of a customer will take a beating if he or she has taken several loans at a given point of time. CIBIL report will reflect the credit behaviour of the loan applicant. If a customer is too credit hungry, his or her CIBIL report will reflect his lack of fiscal prudence. Consequently, most banks will not entertain customers who are not aware of the perils of excessive credit which may eventually lead to a debt trap and defaults.
3. Relationship with Union Bank: Many customers usually tend to be loyal to one bank or another over a period of time. Loyalty to a bank leads to an easy rapport with a bank which may result in attractive interest rates on personal loans for the benefit of customers. More often than not, customers who have been associated with a bank can avail of personal loans without any hassles.
4. Income: Banks have to ascertain the ability of a customer to repay the loan. Union Bank has set a minimum monthly net salary as one of the eligibility criteria to ensure that customers have a sound financial strength or base in terms of income.

How to Increase Union Bank Personal Loan Eligibility?

1. Creditworthiness: Timely payment is an important determinant of the creditworthiness of a customer. CIBIL score of 750 and above shows creditworthiness of a customer. In most cases, banks easily approve loans for customers who have a CIBIL score of over 700. Customers should ensure that they have a robust track record in terms of repayments to increase their eligibility to avail of personal loans.
2. Clean record: Customers must ensure that they have a clean repayment history. CIBIL score is adversely affected if a customer defaults or makes late payments. Banks will take serious note of any defaults by the customer in the recent past.

A good credit score can help you secure lower interest rates on loans and credit cards.

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