When you apply for a Personal Loan, banks and non-banking financial companies consider several factors before sanctioning it. For instance, they assess your monthly income and credit scores to ascertain your creditworthiness. They also evaluate your employment status, including the company with which you are employed. If you are employed at a reputed organisation, you can acquire a loan with ease. But if your company is not listed, the loan sanction process could be slightly different. If you've ever wondered how to get a loan if my company is not listed?, we’ve got the answer.
Difference between listed and non-listed companies
Listing is a process where shares of a company are traded on the Stock Exchange, i.e., the public can buy and sell stocks of the listed company. Conversely, non-listed companies are not listed on the stock exchange and are owned privately by their owners. Non-listed companies abide by the Central Government guidelines, while listed companies follow Securities and Exchange Board of India (SEBI) regulations.
Personal Loan for non-listed company employees
It your company is not listed, the lender determines the loan amount and interest rate based on your credit score and monthly income. The lender also considers your employer’s reputation while approving your loan.
Generally, salaried individuals can easily acquire Personal Loans as they have a regular income source, provided that they also have a good credit score. However, individuals working in reputed and listed companies are more likely to avail of preferential interest rates than those working in non-listed companies. Since public companies are well-known, lenders are more confident while granting loans to employees of such well-established companies.
Eligibility criteria for Personal Loan for non-listed company employees
Like any other loan, the eligibility criteria for Personal Loan for non-listed company employees remains more or less the same.
You must be an Indian citizen.
You must be employed with a private company.
Your age should be between 23 and 58 years.
Documents required
Like applicants from listed companies, Personal Loan applicants from non-listed companies must provide scanned copies of their ID, address and income proof documents, especially if they apply for the loan online. Required documents include:
Duly filled loan application form
A copy of any one identity and age proof document e.g., Aadhaar, PAN, driver's license, voter ID, or passport.
A copy of any one address proof document e.g., aadhaar, voter ID, passport, driver’s license, or latest utility bills.
Income proof documents e.g., salary slips and bank statements of the last 3-6 months, filed tax returns of the last three years
Tips to get Personal Loan for non-listed company employees
a) Build impeccable credit history: You need a credit score of 750+ points to establish your creditworthiness. This score reflects your credit repayment behaviour. Banks and non-banking financial companies evaluate your credit score before sanctioning your loan.
b) Show income from all sources: Showing all your income sources always proves advantageous. Even if you are working with a non-listed company, do not hesitate to show your additional income sources like variable pay, annual bonuses, or income from investments to enhance your eligibility.
c) Maintain a low debt-to-income ratio: Ensure you maintain a low debt-to-income ratio. Avoid taking on new loans if your current debt-to-income ratio is more than 40%.
Apply for a Personal Loan with HDFC
Whether you work in listed or non-listed companies, getting a personal loan from HDFC Bank is easy. You can apply for a Personal Loan here and enjoy an array of unique benefits such as loan disbursal within just 10 seconds (for selected pre-approved customers) directly into bank accounts, a paperless and hassle-free process and an upper limit of ₹40 lakh.
Looking for an alternative to a Personal Loan? Click here to read more!
*Terms and conditions apply. The information provided in this article is generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances. Interest rates are subject to change. Please check with your RM or closest bank branch for current interest rates.