What is the Minimum Salary Required to Get a Personal Loan?

What is the Minimum Salary Required to Get a Personal Loan?

Last Updated : March 30, 2020, 2:34 p.m.

Personal Loans are one of the most popular financial products in our country. The reason is simple, it helps get funds to meet needs such as marriage, education and even medical emergencies. But a lot of people who want to opt for a personal loan has this question in their minds – what is the minimum salary to get a personal loan?

People have misconceptions regarding the minimum salary they need to be eligible for a personal loan. First of all, you need to know that there is not a fixed criterion when it comes to the minimum salary to get a personal loan. There are so many lenders that provide personal loans to individuals and different lenders have fixed different minimum monthly salaries to get a personal loan. Sometimes, the minimum monthly salary changes from one city to another. Like someone living in a metro city as Delhi will have a different minimum monthly salary as compared to someone working in a non-metro city like Kanpur. Lenders can change the income criteria based on the credit score of individuals, so those having a poor score of say well below 700 will need more income than otherwise.

So, in this article, we will be telling you about what is the importance of monthly salary when it comes to the eligibility criteria, and minimum monthly salary that top banks seek to approve the personal loan. So, without wasting any second, let’s start!

Role of Monthly Salary in Defining Personal Loan Eligibility

Well, you must be asking this question why the monthly income of an individual has so much importance when it comes to personal loan eligibility. So, the first thing that you need to understand is that a personal loan is an unsecured loan, which means you don’t have to submit any security to get the loan. Hence lenders do face a lot of credit risk while giving you the personal loan.

To nullify this credit risk as much as possible, monthly income is the first thing that lenders check. The reason being your monthly income decides greatly about your loan repayment capability. That’s why lenders make it important to have a minimum monthly income to be eligible for a personal loan. Individuals who have this minimum monthly income can only apply for the personal loan.

And as we told you that, this tends to change from one lender to another, you can always opt for that lender which fits into your requirement.

How your Monthly Salary can decide the Loan Amount you will get?

There is one more thing that you must know. This thing is about the loan amount that you can get also depends on your monthly salary. A high monthly income will make you a suitable candidate for getting a high loan amount and vice versa. The reason behind this logic is pretty simple – when you have a high income, you can easily repay the high loan amount.

There is also one more method to know about the loan amount that you will get – a personal loan eligibility calculator. With this amazing tool, you could know the exact loan amount based on a few details such as City, Age, Monthly Income and Expenses.

Let us understand through this an example of two people living in different cities and also having different incomes.

Monthly IncomeINR 65,000INR 30,000
Age30 years30 years
Monthly ExpensesINR 30,000INR 10,000
Income Left Post ExpensesINR 35,000INR 20,000

So, the loan eligibility will be higher for the individual in Delhi compared to the one in Kanpur. Not only his income is higher, but even the income after the monthly expenses is greater, enhancing his loan eligibility more than the one living in Kanpur. So, both income and expenses are taken into consideration before deciding the loan eligibility.

Minimum Monthly Income Criteria for Different Banks

Now that you know a lot about how the minimum monthly income affects your personal loan eligibility, it’s time to know about the minimum monthly income required by different banks. We are providing you criteria fixed by some of the top banks below. Take a look.


  • Anybody who wants to have an HDFC personal loan must have a minimum monthly income of INR 15,000 if he is not living in the cities like Delhi, Mumbai, Pune, Hyderabad, Chennai, Bangalore, Kolkata, Ahmedabad, and Cochin.
  • For all the individuals living in the above-mentioned cities, the minimum monthly income must be INR 20,000.


  • Salaried individuals who want to apply for an ICICI Bank personal loan must have a minimum monthly income of INR 17,500.
  • For people living in Delhi and Mumbai, it is fixed at a minimum of INR 25,000 per month, and for individuals living in Chennai, Hyderabad, Bangalore, Pune, and Kolkata, it is fixed at INR 20,000.

State Bank of India

Individuals having Salary Accounts with SBI will  need to have a minimum monthly income of INR 15,000.

Axis Bank

The minimum monthly income for an individual who wants to apply for an Axis Bank personal loan is fixed at INR 15,000.

Kotak Mahindra Bank

Any applicant will need at least a monthly income of INR 20,000 to be eligible for a Kotak Mahindra Bank personal loan.

Banks who Provide Personal Loan with a Minimum Monthly Income below INR 10,000

There are a lot of individuals who have a salary below INR 10,000 and want to avail of a personal loan. So we are providing you some lenders who have fixed their monthly income criteria below INR 10,000. Have a look at them.

  • Canara Bank
  • Punjab National Bank (PNB)
  • Abhyudaya Co-operative Bank
  • Punjab & Sind Bank (Only for Pensioners)
  • Bombay Co-operative Bank
  • State Bank of India (For Pensioners)
  • Indian Overseas Bank

We hope by now you must have a fair idea about the minimum salary to get a personal loan by different lenders and also its impact on your loan amount.

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