Where can one apply for a personal loan with bad credit?

If you have a CIBIL credit score below 750, then you will face difficulties getting personal loans by banks and NBFCs on normal interest rates. Your poor credit score highlights the risk associated with future loan defaults, unless you improve your credit score.

Go for Secured Loans

You can go for secured loans in case you have a bad credit score, as in this case you can use your assets or property as collateral and banks would have a way to recover the remaining balance, in case you're unable to repay the loan at any point of time.

How to Get a Personal Loan in India with a Bad Credit Score?

In India, it's difficult to get a loan with a poor credit score. The situation can worsen if the bank rejects your application. It makes your credit score go down further. In this case, you can talk to the bank, you're banking with for past couple years. The branch manager can consider your loan application despite your poor score, based on your relationship and past record with the bank. And if you repay the new loan on time without any delayed repayments, this would turn out to be an opportunity for you to improve your credit rating.

You can also use your fixed deposits to get a loan and can get a loan up to the amount you've maintained in your FD. The bank can also issue a credit card based on your FD. However, cash withdrawal limit will be a little low, but it would suffice for your urgent cash needs. Indians are a little frugal by nature, so they are warned against getting caught in a debt trap. Don't use your property or assets as a collateral, as in case of an unfortunate event (which are quite frequent these days), if you're not able to repay your loan, the bank would mercilessly takeover your property in order to recover its dues. (Source: BankBazaar dot com)