Personal Loan Eligibility & Documents Explained (India-2026)

A personal loan is often the fastest way to manage urgent expenses such as medical emergencies, travel, weddings, or debt consolidation. However, many personal loan applications get delayed or rejected simply because borrowers are not fully aware of the eligibility criteria and required documents.

This short guide explains everything you need to know before applying for a personal loan in India.

What Is a Personal Loan?

A personal loan is an unsecured loan, meaning no property or asset is required as collateral. Approval mainly depends on your income stability, credit score, existing liabilities, and repayment history.

Personal Loan Eligibility Criteria

Most banks and NBFCs in India consider the following factors:

• Age: 21 to 58–65 years
• Employment: Salaried or self-employed with stable income
• Income: ₹15,000–₹25,000 per month (varies by city & lender)
• Work Experience:
  • Salaried: 6–12 months in current job
  • Self-employed: 2–3 years in business
• CIBIL Score: Ideally 750 or above

In practice, we often see rejections even when income looks sufficient—mainly due to high existing EMIs or frequent recent loan enquiries.

You can check your credit score on the official website:
👉 TransUnion CIBIL Official Website

Personal Loan Documents Required

For Salaried Individuals

• PAN Card
• Identity & address proof
• Salary slips (last 3 months)
• Bank statements (last 6 months)

For Self-Employed Individuals

• PAN Card
• Identity & address proof
• Business proof (GST, registration, etc.)
• ITRs (last 2–3 years)
• Bank statements

If you prefer a secured option, you may also explore:
👉 Loan Against Property Options

Common Reasons for Personal Loan Rejection

• Low credit score
• High existing EMIs
• Irregular or unstable income
• Multiple recent loan enquiries
• Incomplete or incorrect documents

How to Improve Your Personal Loan Eligibility

• Pay EMIs and credit card dues on time
• Reduce existing loan burden
• Avoid applying with multiple lenders at once
• Maintain income stability and proper documentation

For borrower awareness and lending guidelines, you can refer to:
👉 Reserve Bank of India (RBI)

How MudraX Capital Helps

At MudraX Capital, we assess each borrower’s income, credit profile, and liabilities to match them with lenders where approval chances are genuinely higher—helping avoid unnecessary rejections and credit score impact.

Learn more about our services:
👉 Personal Loan Services

Conclusion

Understanding personal loan eligibility and documentation before applying makes the borrowing process smoother and stress-free. With the right guidance, you can secure a loan that truly fits your financial needs.

MudraX Capital is here to help you borrow smartly and confidently.