New Delhi, June 9 -- Personal loans can serve as a financial tool when used carefully. Qualification requirements can sometimes be sorely daunting, especially where one's credit profile is referenced in some areas as distant or bad. Improving the eligibility for a personal loan increases the chances of being approved and improves the chances of favourable interest rates for any number of purposes-wedding expenditures or consolidation of debts or even settling medical bills.

Most banks consider it safe to give loans to customers whose credit scores are above 750 because it indicates responsible borrowing behaviour. Hence, to improve credit scoring:

Lenders look into the repayment patterns of customers. Even a small default may result in ...