Published on Jan 25, 2021Updated on Nov 29, 2023
Let’s say you have a lot of existing debt – credit cards, student loans, consumer durable loans, etc. Availing instant personal loan online is one the easiest ways to consolidate debt that gives you more control over your finances and savings.
Generally, it is not a requirement to pledge a collateral when seeking a personal loan. Understandably, there is a percentage of risk involved when lenders sanction personal loan requests as they do not have any security to fall back on in case the borrower defaults. While the applicant can carry out an individual eligibility check using the personal loan calculator, the lender also needs to carry out background checks on the applicant profile involving a number of parameters such as income, credit score, work history, and the applicant’s employer’s profile too.
The majority of the salaried class are employed in small and medium scale enterprises. Hence, the lenders put a lot of emphasis on the employer profile that plays a significant role in determining the applicant’s personal loan eligibility.
Most lenders like SMFG India Credit have a readymade list of companies which are segregated into listed and unlisted categories. Other key criteria that aid in this classification of enterprises include factors such as:
Profit making enterprises that have a reputation, are consistent and stable with long years in operation as top-tier employers are considered by lenders to be lower placed on the risk ladder. Those employed in such organisations tend to enjoy a higher amount of personal loan approvals, lower interest rates and long repayment tenures.
Must Read: Complete Guide About SMFG India Credit Personal Loan
Despite having a good credit score, your employer is a key component that can make or break your personal loan application. Remember, that the lender in this instance is not seeking security and hence does not have access to any personal assets that can be auctioned off to recuperate losses if the individual eventually defaults on the loan.
Job security of the loan applicant is of paramount importance along with the income of the prospective borrower. This determines whether the applicant has the financial wherewithal and a steady income flow to repay the loan fully within the predefined loan repayment tenure. Of course, the security of employment is ascertained by the category of employer where top-tier organizations will exhibit low employee churn rates.
Contrary to this, employees working in low capital investment firms find it difficult to meet with the lender’s personal loan eligibility requirements. On many occasions, salaries are not disbursed on time which makes the risk that much higher for lenders to approve personal loan requests from employees working for unlisted companies. Other scenarios such as the company declaring bankruptcy, possibly encountering financial crisis leaving employees without a job in which case the personal loan in all possibly may convert into a ‘Non Performing Asset’ will leave the lender in murky waters.
Dealing with the prospect of low job security leads most lenders to disapprove instant personal loan online requests from employees of small and financially unstable companies. To put in a nutshell, such applications are not deemed creditworthy. In the event that a personal loan is indeed sanctioned to employees of such unlisted organizations, the applicant in all probability will be paying higher personal loan interest rates as compared to an employee who is on a lower salary but working in a listed company.
With assured continuity of employment with a high net-worthy enterprise, employees have a higher chance of their personal loan applications getting quick approvals from lenders. That does not solve the problem for the majority of the salaried population who do not work in such organizations.
SMFG India Credit comes to the rescue for employees working in unlisted companies to help them secure instant personal loan online as their focal point is more on the applicant’s income and credit history rather than just concentrating on the employer profile.
Before you make your application to SMFG India Credit make sure that you have done the necessary research towards your eligibility requirements. At SMFG India Credit, you will need to meet the following basic personal loan eligibility criteria to make a formal application.
For Salaried Individuals:
For Self-Employed Individuals and non-professionals:
Here is a list of required personal documents:
For Salaried Individuals:
For Self-Employed Individuals and non-professionals:
Also, remember to calculate your eligibility to avail the loan with the help of SMFG India Credit’s online personal loan calculator.
Must Read: How to Apply for a Personal Loan Online- Step by Step Process
Going the online route is the easiest way to make your personal loan application. Simply follow these steps:
The relevant team at SMFG India Credit will review all submitted documents for information verification. The decision to accept or reject your personal loan will be taken at this point. Get your personal loan disbursed in 1 to 3 business days on receiving your sanction letter to your desired bank account.
If you have any further questions with reference to personal loan fees, charges, etc., you may call SMFG India Credit’s customer service on toll-free number 1800 103 6001. Alternatively, email us on for more information.
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*Terms and Conditions apply. Loans are disbursed at the discretion of SMFG India Credit.