How Much Personal Loan Am I Eligible To Get On My Salary?

Unplanned emergency expenses can occur at any point in time. Instead of depending on your savings or withdrawing your investments prematurely, availing a personal loan on salary can be of great help to meet your immediate financial needs.

These days, every lender has competent websites which helps you to avail personal loans online without much hassle. While loan availing facilities are made easy, there are still a few concerns some people face, when they avail a loan. One such common question asked is “How much personal loan can I get on my salary?”.

Remember that personal loans are unsecured and do not request you to pledge any of your assets in the form of collateral. As a result, most of the lenders rely on your monthly income to determine your repaying capacity.

Is There any Parameter That Can Determine How Much Loan Can I be Eligible?

No, you will be provided with a personal loan based on your salary! This is because the eligibility criteria for granting loans differ from one lender to another. This is one of the reasons, why salary plays an important role in determining your loan amount, in addition to other factors such as your credit history, age, etc.

Being said, having a high salary increases your chances of availing a higher loan amount. This could be either because of the following factors:

  • Higher your salary, it would be easier for you to afford high-interest rates.
  • If you are a salaried individual earning high monthly income, then you will be assured with a personal loan, as there are fewer chances of defaulting on a loan payment.
  • Higher-income provides scope for paying higher EMIs, thereby increasing your loan borrowing capacity.

Despite your low monthly income and exceptional credit score, there are still a few lenders like NBFCs (Non-Banking Financial Companies) who can approve you with a loan!

P.S: You can also determine your loan on salary amount with a loan eligibility calculator.

Parameters That Affect Your Personal Loan Interest Rate

Whether you are a self-employed or salaried individual, there are certain factors which affect your loan interest rates.

  • Income – Your income plays a major deciding role when applying for a personal loan. Any lender will trust you based on your income. The higher your income, the more chances you will have in availing a lower interest rate personal loan.
  • Company reputation – Lenders define companies in different categories and depending upon that your lender decides the interest rate. If your employer has a good reputation, then there are more chances for you to avail the loan at lower interest rates.
  • Credit and payment history – Your lender runs a credit check before approving your loan. If your payment history is not up to mark, then your lender may not consider your profile, and also if they do, you will be offered a loan with a high-interest rate.
  • Relationship with your lender – If you have already taken a loan earlier and repaid it responsibly, your relationship with the lender will be healthy. Sometimes, to maintain that relationship, your lender can also offer you certain discounts or special privileges on personal loans.


We hope that you have understood how much personal loan you can get based on your salary. If you are looking for a personal loan, then, apply one with FlexSalary as they offer attractive, customized personal loan options for all your financial needs! To know more about your loan eligibility on your salary, visit FlexSalary website today!

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