Loan Eligibility Calculator
See the maximum loan amount banks are likely to approve for your income, using the same FOIR method lenders use internally. Adjust income, existing EMIs, rate, and tenure — the eligible amount updates instantly.
Loan Eligibility Calculator
Boost your eligibility before applying
- Apply after closing small EMIs — a ₹3,000/month obligation can cut personal-loan eligibility by ₹1.5 lakh+
- Joint applications with a working spouse can nearly double the eligible amount
- Check your CIBIL report 60 days before applying — disputes take weeks to fix and errors are common
- Don't submit applications to multiple lenders in the same week; each hard enquiry dents your score
Loan eligibility FAQ
How do banks calculate loan eligibility in India?
Most banks use FOIR (Fixed Obligation to Income Ratio): your total EMIs — existing plus the new loan — can't exceed a fixed share of your net monthly income, typically 40–55%. The leftover EMI capacity is converted to a maximum loan amount using the EMI formula at the offered rate and tenure.
What is FOIR and why does it matter?
FOIR is the percentage of your net income a bank lets you commit to EMIs. At 50% FOIR, someone earning ₹1 lakh/month with a ₹10,000 existing EMI has ₹40,000/month of EMI capacity. Salaried employees of top-rated companies often get 55–60%; self-employed and lower incomes get 40–45%.
How can I increase my loan eligibility?
Five proven levers: (1) close or consolidate existing EMIs before applying, (2) add a co-applicant's income (spouse or parent), (3) choose a longer tenure — it lowers the EMI per rupee borrowed, (4) improve your credit score above 750 for better rates, and (5) declare all income sources, including rental and bonus income, with proof.
Does my credit score affect how much I can borrow?
Indirectly but strongly. A score above 750 gets you a lower interest rate, and a lower rate increases the loan amount the same EMI capacity supports. Below 700, many lenders either reject the application or price the loan 2–4% higher, which shrinks eligibility.
Why did the bank approve less than this calculator shows?
Calculators show the FOIR ceiling. Banks also apply internal caps: minimum work experience, employer category, city-wise income norms, bounce history in bank statements, and for secured loans the asset's value (LTV caps). Treat the calculator's number as the upper bound, not a promise.
Is eligibility different for home loans vs personal loans?
The FOIR logic is the same, but home loans add an LTV (loan-to-value) cap — RBI allows up to 90% of property value for loans under ₹30 lakh, 80% above that. Personal loans are unsecured, so eligibility leans almost entirely on income, FOIR, and credit score.