How to Get a Personal Loan with a Low CIBIL Score

If your score is below 700, the first step is to understand why. A late payment, a high credit card balance or too many recent applications can each pull the score down, and each has a different fix.

Options when your score is low

Apply to lenders that look beyond the score

Some NBFCs weigh income, employer category and banking behaviour more heavily. Expect a higher interest rate and a processing fee that reflects the extra risk.

Ask for a smaller loan

A lower amount means a lower EMI and a lower FOIR, which makes approval more likely. You can often top up later after a few on-time payments.

Add a co-applicant

A family member with a strong score and stable income can improve the application. They share responsibility for repayment, so agree on this clearly.

Use a secured loan

Loans against gold, fixed deposits or insurance policies depend more on the collateral than on your score, and usually cost less than an unsecured loan.

What not to do

• Do not apply everywhere at once. Each formal application is a hard enquiry and can lower your score further.
• Do not pay a fee before the loan is sanctioned. Genuine banks and NBFCs deduct processing fees from the loan or bill them after approval. See how to spot fake loan apps.
• Do not accept the first offer. Compare the total interest, not only the EMI.

Fix the score in parallel

Pay all dues on time, bring card utilization below 30 percent and check your report for mistakes. Our guide on how to improve your CIBIL score shows the steps in order. Even three to six months of clean behaviour can open better offers.

Not sure where you stand? Use the eligibility checker or see personal loan options for low CIBIL scores.

This article is for general information only and is not financial, legal or tax advice. Interest rates, fees and rules change, so confirm current terms with the lender or the regulator before you decide. Examples use illustrative figures. Last reviewed: October 2026.