Not everyone has a perfect credit history. A 650 credit score falls in the “fair” range—neither too bad nor excellent. Many banks and NBFCs in India still provide loans to people in this category, though the interest rate may be slightly higher.
If you’re looking for a ₹3 lakh loan with a 650 Credit Score, here’s a complete guide on how it works, what to expect, and how to apply.
Why Choose a ₹3 Lakh Loan?
A personal loan of ₹3,00,000 is enough to handle medium-sized expenses without putting too much pressure on your budget. You can use it for:
- Emergency medical bills
- Education fees
- Debt consolidation
- Wedding or family events
- Home renovation
- Travel or personal needs
Since it’s usually unsecured, you don’t need to pledge property or assets.
Benefits of a ₹3 Lakh Loan with a 650 Credit Score
Even with an average score, loans are possible. Here’s what you get:
- Quick Processing: Many lenders approve and disburse funds within 24 hours.
- Multipurpose Use: No restrictions on how you spend the money.
- Flexible Tenure: Repayment periods can range from 12 to 60 months.
- Build Credit Score: Regular EMI payments can improve your score over time.
- No Collateral: Most personal loans don’t require security.
Eligibility Criteria
To improve your chances of approval with a 650 score, lenders usually check:
- Age: 21 to 55 years.
- Income: Stable monthly salary of ₹12,000 is required.
- Employment: Salaried individuals with at least 12 months in their current job.
- Existing Loans: Fewer ongoing EMIs improve approval chances.
- Banking History: Regular salary credits statement required.
💡 Tip: If your salary is credited to the same bank where you apply, approval chances are higher.
Also Read: How to get 700 Credit Score in 30 days?
Documents Required
Keep these ready to avoid delays:
- Identity Proof: Aadhaar, PAN card, voter ID, or passport.
- Address Proof: Utility bill, Aadhaar, passport, or rental agreement.
- Income Proof:
- Salaried: Last 3 months’ salary slips + 12 month bank statement.
- Photographs: Passport-sized.
Compare Lenders for ₹3 Lakh Loan
| Lenders | Interest Rate (p.a.) | Salary Per Month | |
| WeRize | 16% to 18% p.a. | Rs. 12,000 | Apply Now |
| MoneyView | 1.33% per month | Rs. 13,500 | Apply Now |
| InCred | 11.49% to 18% p.a. | Rs. 15,000 | Apply Now |
| Fibe | 24% to 30% p.a. | Rs. 18,000 | Apply Now |
| Poonawalla Fincorp | 20% to 36% p.a. | Stable source of Income | Apply Now |
| Prefr | 18% to 36% p.a. | Stable source of Income | Apply Now |
| Finnable | 16% to 22% p.a. | Rs. 15,000 | Apply Now |
| IDFC | 12.50% to 18% p.a. | Rs. 15,000 | Apply Now |
| PaySense | 1.4% to 2.3% per month | Rs. 18,000 | Apply Now |
| Upward | 9% to 32% p.a. | Rs. 18,000 | Apply Now |
| mPokket | 1% to 6% per month | Rs. 9,000 | Apply Now |
EMI for a ₹3 Lakh Loan
Your EMI (Equated Monthly Installment) depends on three factors:
- Loan amount (₹3,00,000)
- Interest rate (14% p.a.)
- Tenure (1–5 years)
Here’s an approximate breakdown at 14% interest:
| Tenure | EMI (per month) | Total Interest | Total Payment |
| 2 years (24 months) | ₹14,396 | ₹45,505 | ₹3,45,505 |
| 3 years (36 months) | ₹10,254 | ₹69,154 | ₹3,69,154 |
| 4 years (48 months) | ₹8,205 | ₹93,827 | ₹3,93,827 |
| 5 years (60 months) | ₹6,977 | ₹1,18,636 | ₹4,18,636 |
Also Read: Personal Loan for 5000 with Bad Credit
How to Apply for a ₹3 Lakh Loan
Getting funds is simple if you follow the right steps:
- Check Eligibility Online – Use a loan eligibility calculator on the lender’s website.
- Compare Offers – Look at interest rates, processing fees, and EMIs before choosing.
- Fill Application Form – Enter basic details like name, income, and loan amount.
- Upload Documents – Submit scanned copies of ID, address, and income proofs.
- Credit Check – The lender will review your 650 score and banking history.
- Approval & Verification – If eligible, you’ll get approval within hours.
- Disbursement – Loan amount is transferred directly to your bank account, often within 24 hours.
Tips to Improve Loan Approval Chances with a 650 Credit Score
- Apply with a bank/NBFC where you already have an account.
- Show additional income sources (rent, part-time work, etc.).
- Keep your debt-to-income ratio low.
- Apply for a realistic loan amount (₹3 lakh is easier to get than higher sums).
- Avoid applying to too many lenders at once.
Also Read: AU Bank Personal Loan
Conclusion
You can easily borrow a ₹3 lakh loan with a 650 credit score if you meet income and eligibility requirements. While you may pay a slightly higher interest rate, timely repayments will not only meet your financial needs but also boost your credit score for the future. Compare multiple lenders, choose the EMI plan that suits your budget, and apply online for quick approval.