Reasons why your cash loan in Delhi can be rejected?

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When you are in financial emergency, the best way you can get the money is through cash loan. But, what if your loan application gets rejected when you are in desperate need of money? Well, it will be a real crunch situation for you. As it is being said, precaution is better than cure. So, let’s try to know the reasons behind the loan applications being rejected, so that you can act wisely and avoid the mistakes.

Bad credit history- A bad credit history accompanies a poor CIBIL score. This can easily stop you from getting the cash loan in Delhi. If you have defaulted on loan repayment or not regular in paying your utility as well as credit bills, the negative remarks are put in your record and the CIBIL score lowers down significantly. This proves to be a powerful reason for banks as well as private financiers rejecting your loan application.
Less income- Banks as well as private money lenders do not approve your loan application if they find your income is not enough to maintain the monthly repayment. Almost all of the money lenders have set minimum income limit for sanctioning the loan. So, it is important to go through the eligibility criteria of the financier before you apply for the loan. If your income fits in their criteria, then only go ahead with the application, else your application will be rejected.
Dubious loan purpose- Lenders nowadays are being very alert and check if the purpose you have mentioned in the application form will be fulfilled through the loan you are applying for. If the lender finds out your purpose as unreliable, they will surely reject your application. So, be careful while reading their terms and conditions and filling up the application form.
False or incorrect details- We all know that, the details we have furnished in the application form for cash loan in Delhi are verified by the lenders. So, you must furnish the correct details and cross check them twice before submitting the form. If the finance provider finds any mistake or inconsistency in the information, they will directly disapprove your application.
Too many loans- If you are deep down in debt, then it will be one of the major reasons for your loan application being rejected. If you have too many loans on your head, financier checks the ratio between income and loan. If they find it unsatisfactory, they will reject the loan.
Over borrowing- Even if your credit report is clear, but you have borrowed too many times time in the past, the financiers consider you being hungry for the credit and find it risky to lend you money. Therefore, they reject your application. So, it is advised to be wise while taking the loans.
No stable source of income- Lenders are very much watchful about your source of income. If they find out that you have unstable employment or your income is not satisfactory, they may reject your application.

If you avoid all the above mentioned mistakes, the chances of your cash loan in Delhi getting approved increase. So, keep these things in mind and act wisely to avoid problems in future.