Can A Housewife Get A Personal Loan?

A personal loan can be one of the easiest ways of getting some quick cash when one is in a spot of financial bother.

Not only is a personal loan collateral-free, most good lenders also offer a hassle-free process that can be completed online and from the comfort of one’s home.

The money from a personal loan can be used for almost anything—from paying off medical bills to urgent home repairs and even to pay for a kid’s school or college fees.

Since personal loans are non-collateralised, lenders gauge the borrower’s creditworthiness by looking at their credit history. This is often done by looking at their CIBIL score, which is a three-digit number from 300 to 900 that denotes how fiscally prudent the borrower has been with past debt repayments.

A housewife who may have worked in the past and left her job for some reason may still have a credit score. But a housewife who has not had any prior work experience may not have much of a credit history to show. However, that does not mean she cannot get a personal loan.

Oftentimes people assume that for a personal loan a steady source of income is a prerequisite and that not having a steady income would mean that the person cannot get a loan without collateral.

All a housewife needs to apply for a personal loan is a co-applicant who has a steady income, and can take the liability of repaying the loan if she cannot do it.

This co-applicant can be her husband, daughter or son who are of working age and earning a steady income or for that matter any one of her in-laws or parents.

To apply for a personal loan, a housewife’s co-applicant needs to meet certain parameters.

• The co-applicant should ideally be in the age group of 22-58 years
• The co-applicant should have proof of regular income
• The co-applicant should have work experience of at least one year.

The co-applicant will need to furnish the following documents:

• Photo ID proof
• Address proof
• PAN card or Aadhaar card
• Bank account statements
• Salary slips and employment certificates

Co-applicants who are self-employed may furnish the following documents:

• Income proof
• Address proof
• Identity proof

The personal loan can be applied for either online or offline. Doing so online will not only save the borrower time and the bother of going to the lender’s branch or office, it would also quicken the process and the application will be approved much faster as long as all the documents have been uploaded.

Conclusion

Personal loans can help people deal with many circumstances when they are short of cash. While lenders typically check for income proofs while scrutinising a personal loan application, even housewives with no income can get a personal loan, provided they have a co-applicant who has a steady income and a good CIBIL score.

Borrowers should, however, make sure to approach a reputed lender like IIFL Finance, as doing so will mean they not only get the best possible interest rates in the market but also get several value-added services, free of cost.

IIFL Finance also offers flexible repayment options that can help a housewife pay back the loan in easy monthly instalments that suit the cash flows of the co-applicant, so as to avoid any unnecessary financial stress.