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How Much Personal Loan Can I Get on My Salary?

By Finserv MARKETS - Aug 5,2019
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How Much Personal Loan Can I Get on My Salary?

Taking a personal loan is a popular option when one is in dire need of urgent cash. Most loan providers have competent websites that makes availing personal loans online much less of a hassle. While loan availing facilities are made extremely easy these days, people still have some concerns when availing a personal loan. A common question asked by borrowers is how much personal loan can I get on my salary? These concerns aren’t uncalled for. Personal loans are unsecured loans that do not ask for any collateral in the form of security against the loan amount. As a result, most loan providers rely on the monthly income of the borrower to determine his/her competence for repaying the loan amount.

How Much Loan Amount Can I Avail On My Salary?

There is no set parameter that can determine how much loan you will be eligible for, based on your salary. This is because most loan providers have their own eligibility criteria for granting personal loans, which slightly differ from each other. While salary does play an important role in determining your loan amount, these loan providers also consider other factors such as your credit history, any other pending loan burden, chosen loan tenure, and whether you are salaried or self-employed before granting the loan amount.

That being said, having a high salary does increase your chances of availing a higher loan amount. This could be because of the following factors-

  • Higher your salary, easier it would be for you to afford the high-interest rates
  • Personal loans for salaried individuals with a high monthly income assures no default on the loan repayment
  • Higher income allows the scope for paying higher EMIs, thus increasing the loan borrowing capacity.

However, low salary personal loan also allows for getting a high loan amount. In case you have an exceptional credit score, most loan providers may agree to grant you a higher loan amount, in spite of your low monthly income.

Also know the best ways through which you can avail a Personal Loan without a salary account.

 Determining Your Loan Amount with Loan Eligibility Calculator

Several banks and NBFCs offer online loan eligibility calculators that help calculate the amount that can be availed by the borrower based on their respective personal loan eligibility parameters. For instance, with the Bajaj Finserv Personal Loan eligibility calculator, a borrower can instantly calculate the Bajaj Finserv Personal loan amount that he/she is eligible for.
With the loan eligibility calculator, all a borrower has to do is enter the following details-

  • Net Income
  • Total EMI per month

A loan eligibility calculator helps estimate the minimum salary for personal loan instantly. It also saves time and energy and improves the overall efficiency of the process.

All said and done, the final loan amount will also depend on the discretion of the loan providers. Most banks and NBFCs have their own set-limit on a personal loan amount. Generally, this limit extends between INR. 25 lakhs to INR.50 lakhs. Additionally, a borrower must also ensure that the EMIs on the loan amount does not extend 40%-60% of the monthly income, to avoid any financial burden in the future.

Read more about How to Increase Chances of Getting Personal Loan

What are the parameters that affect Personal Loan Interest Rate?

Whether you are self-employed or a salaried individual, there are certain factors that affect personal loan interest rates. Bajaj Finserv Personal Loan interest rate starts from 12.99% with lowest rates for salaried borrowers working with reputed companies. Personal Loan rates for self-employed are higher.

The following are the top 5 factors that affect your personal loan interest rates:

  • Income:

Your income is a deciding factor when applying for a personal loan. The bank or financial institution will trust you on the basis of your income. The higher your income, the more chances for you to avail the loan at lower interest rates.

  • Company Status:

Banks define companies in different categories, and depending upon that they decide the status of your firm. The higher your companies’ status the more chances for you to avail the loan at lower interest rates. Employees working in start-up firms expect to avail a personal loan at a high rate of interest.

  • Credit & Payment History:

Before getting any sort of loan, banks do run a check the credit history/ CIBIL score of every applicant. If you have applied for a personal loan and your payment history is not up to the mark, many banks don’t consider your profile, and if they do, you will be offered a higher interest rate.

  • Relationship with your bank:

If you have a salary account or savings account, your bank is more likely to offer you the personal loan at special interest rates or processing fee. In order to retain their customers, banks usually offer lower interest rates to those customers who maintain a good relationship with the bank.

  • Individual Negotiation skills:

When you have a good relationship with the bank it is quite obvious that you are an esteemed customer of the bank. Depending upon your negotiation skills, you can ask the bank for special offers, and best deals for a personal loan.

Looking for a personal loan? Whether you are salaried or self-employed, the Personal Loan comes with attractive, customized personal loan options for all your financial needs. The different loan options available at Finserv MARKETS comes with Flexi-repayment facility and offers unlimited withdrawals on your personal loans. To know about the personal loan eligibility on your salary, visit Finserv MARKETS today!

“Finserv MARKETS, from the house of Bajaj Finserv is an exclusive online supermarket for all your personal and financial needs. Loans, Insurance, Investment and exclusive EMI store, all under one roof- anytime, anywhere”!


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Bajaj Finserv Direct Limited ("BFDL") is primarily engaged in distribution of financial products and services through its digital platform (“Bajaj Finserv MARKETS”) and inter alia renders services of customer acquisition, providing preliminary credit support activities, fulfilment services and post-acquisition customer services to Banks, NBFCs, HFCs. BFDL is also a registered Corporate Agent (Composite) under valid IRDAI registration number: CA0551 valid till 10-Apr-2024 for solicitation and servicing of Insurance Products. Registered Office: Bajaj Auto Limited Complex, Mumbai – Pune Road, Akurdi, Pune – 411 035 CIN: U65923PN2014PLC150522