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Personal loan with Rs 60,000 salary: Your essential checklist before applying
13 January, 2025 | 11:01 IST

Personal loans have become highly popular for the convenient application process and flexibility. For personal loans you don’t need to provide any collateral, making them an appealing choice for borrowers. But the loan amount you can secure depends on several factors, such as your income, credit score, and current financial obligations. If you're earning Rs 60,000 a month, you may be wondering how much personal loan you can get.

The lenders often look for a stable income and high credit score before approving a loan application. Let’s take a look at the important factors for availing a personal loan with Rs 60,000 salary per month.

Table of Contents

Key considerations when applying for a personal loan
How loan amounts are calculated
How much loan can you get with Rs 60,000 salary?
Eligibility criteria for personal loan
Documents required for personal loan
Factors likely to affect loan amount
Summary

Key considerations when applying for a personal loan

Before applying for a personal loan, it's important to understand how lenders assess your eligibility. These are the factors taken into account by the banks and non-bank financial companies (NBFCs) while approving a loan:

Credit score: Lenders place significant importance on your credit score when approving personal loans. A higher score indicates responsible borrowing, which can help you secure a better loan offer, both in terms of amount and interest rate. A credit score of 750 or above is preferred by the lenders.
Income stability: Your monthly income is a primary factor that influences your loan eligibility. With a monthly salary of Rs 60,000, your disposable income — the amount left after monthly expenses and commitments — will be evaluated by lenders to determine how much loan you can afford.
Employment status: Being employed with an employer or in a well-established company for a longer period increases your chances of securing a loan.Existing liabilities: If you have existing loans or EMIs, lenders will calculate your debt-to-income ratio. If this ratio is too high, it may lower the amount you can borrow.

ALSO READ: What is the average credit score in India and how to improve your credit score

How loan amounts are calculated

Lenders calculate your personal loan eligibility using different methods.

1) Income-based calculation: Some lenders offer loans based on a multiple of your monthly income. For instance, if you're earning Rs 60,000 per month, lenders may allow you to borrow anywhere between 12 to 24 times your monthly salary, depending on the bank's policies. This means you could qualify for a loan ranging from Rs 7.2 lakh to Rs 14.4 lakh.

2) EMI/NMI ratio: This method considers your existing monthly obligations and compares them with your net monthly income (NMI). A common benchmark is that your monthly EMI payments should not exceed 50-60% of your monthly income. So, if your existing EMIs are Rs 20,000, a lender will assess whether you can afford the additional EMI of the loan you're applying for without surpassing the 50% threshold.

How much loan can you get with Rs 60,000 salary?

The loan amount you can avail on Rs 60,000 salary will depend on the lender’s internal calculations and the factors mentioned above. The exact amount would depend on your credit score, existing financial liabilities and the loan tenure.

You can get quick access to a 100% digital personal loan through the Moneycontrol app and website. Once approved, the loan amount will be transferred directly to your bank account. Moneycontrol has partnered with seven lenders to offer loans of up to Rs 15 lakhs. The entire process is online, with interest rates starting at 12% per annum.

Eligibility criteria for personal loan

To be eligible for a personal loan, you must meet the following criteria:

You need to be at least 21 years old, and usually, the upper age limit is 60 years.
You must be employed with a private sector company or a government organisation. If you are self-employed, lenders may require you to show proof of stable earnings for at least two years.
With a salary of Rs 60,000, you will easily meet the income criteria set by most lenders.
A good credit score (750 and above) is crucial for loan approval.

ALSO READ: How to get a quick personal loan: Your essential guide for instant loan approval

Documents required for personal loan

When applying for a personal loan, you’ll need to provide various documents to support your application.

Identity proof: Aadhaar card, PAN card, voter ID, or passport.
Address proof: Utility bills, rent agreement, or government-issued ID.
Income proof: Salary slips for the last three to six months and recent bank statements.
KYC documents: These include Aadhaar card, PAN card, and passport.

Factors likely to affect loan amount

In addition to your salary, several other factors play a role in determining the amount you can borrow:

Credit score: A high credit score (750 and above) not only increases your chances of approval but may also result in a higher loan amount.
Existing debts: Lenders will assess your debt-to-income ratio, which takes into account your existing loan obligations. Having too many existing loans can reduce your loan eligibility.
Job stability: A longer tenure with your current employer adds to your credibility and improves your chances of securing a higher loan amount.

If you earn Rs 60,000 a month, getting a personal loan in India is well within your reach. Moneycontrol simplifies the process by providing access to a fully digital experience in collaboration with seven leading lenders. You can borrow up to Rs 15 lakhs, with interest rates starting at 12% per annum and no hidden fees.

Summary

Wondering how much personal loan you can get with a ₹60,000 salary? Discover key factors like credit score, income stability, and existing liabilities involve while availing a personal loan online with ₹60,000 salary.

Disclaimer

This piece/article was written by an external partner and does not reflect the work of Moneycontrol's editorial team. It may include references to products and services offered by Moneycontrol.

About the Author

Fintech

Stay updated on the latest personal finance trends, with a focus on products like credit cards, credit score, personal loans, fixed deposits, and more

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