Find out how co-applicants impact personal loan eligibility. Check eligibility for HDFC, SBI & Axis Bank before applying. Quick tips & online process!
Anjali Singh
Assistant Manager
From planning your dream vacation, wedding celebration, and medical emergencies, personal loans are one of the most versatile and flexible financing solutions in modern day. However, if you’re someone who has a low credit score and is failing to meet the eligibility requirement for the loan, we have just the answer for you. Welcome the concept of a co-applicant into your life and financial planning.
Co applicants are people who can share the financial burden while helping to amp up your creditworthiness for better loan opportunities. In this guide, we’ll discuss the crucial impact a co-applicant can have on your quick personal loan eligibility.
Opting for a co-applicant can have multi-fold impacts on your personal loan eligibility. Let’s discuss what those impacts are:
Joining hands with a partner who has a high credit score, such as 750, will help boost your credit score and allow for easy loan approval. It can also bring better loan options, lower interest rates, and flexibility in tenure.
With two sources of income, the total income is twofold, which improves your debt-to-income ratio. It helps to build trust among lenders and improve your repayment capability. For instance, if your salary is falling short of the minimum income requirement, a co-applicant can help clear it with ease.
If you want a larger loan amount for foreign travel or medical emergencies, a co-applicant can help improve the maximum loan amount applicable.
If this is your first time opting for a loan, the lack of financial history can hamper your eligibility. Opting for a co-applicant will ensure a reliable date and background to improve your credibility and reliability.
While there are some great advantages of applying with a co-applicant, it can come with some inconveniences that can hurt your personal loan eligibility:
If you are applying for a small loan, opting for a co-applicant isn’t the right choice. You can apply for a loan alone and reap all the credit benefits with ease.
If your partner is someone with poor credit, it can reduce the overall creditworthiness of your application. Along with this, if they have past debt, your debt-to-ratio will also increase, hampering your application chances.
Now that the responsibility of EMI payments is on both of you, if the co-applicant fails to pay their share, the burden will fall on your shoulders. Late payments can result in penalties and affect your credit history, too.
With digital servers and minimal documentation, applying for loans has been easier. At My Mudra, you can apply for a personal loan with a co-applicant in just a few steps:
Check for factors such as lower interest rates, flexible tenures and better customer service to ensure that your loan application goes smoothly. Make sure to do a personal loan eligibility check for co applicants before applying for the loan.
Every bank and NBFC requires specific documents to verify your credit history and personal information. Here are some key documents you must keep ready before the application:
With reputable brands like My Mudra, you can access many loan options in just a few clicks. Submit all the necessary documents, fill in the details, and apply for a personal loan with a simple click.
You can get fast approval personal loan for you. Make sure to take a copy of the application slip for future reference.
Each bank has its own eligibility requirements when applying with a co-applicant. Factors such as total income, credit score, and stable income are taken into consideration:
|
Criteria |
Axis Bank Personal Loan Eligibility |
HDFC Personal Loan Eligibility |
|
Credit Score |
750 |
650 |
|
Monthly Income |
₹15,000 |
₹25,000 |
|
KYC |
KYC verification for both applicants |
KYC verification for both applicants |
|
Age Limit |
21 - 60 years |
21 - 60 years |
Having a co-applicant for your personal loan can completely change your financing solutions. It brings new avenues, better loan options, smoother repayment, and reduced interest rates. However, it is key to find a reliable applicant who has a good credit history to avoid any overburden on your shoulders. You can always opt for My Mudra to enjoy minimal documentation, the lowest interest rates, and an all-online application process for fast approvals. Get your co-applicant and apply for a personal loan with My Mudra, a top fintech company in just a few clicks and get a fast disbursal in no time.
Also Read:
- Joint Home Loan Eligibility: How Co-Applicants Can Increase Loan Eligibility
- 5 Factors That Affect Your Personal Loan Eligibility in 2026
Ans: A co-applicant or co-borrower is someone who signs the loan along with you. They share equal responsibility for timely payments or any discrepancies. However, a guarantor is someone who acts as a backup or safety net for your loan repayment if you fail to make payments on time.
Ans: Make sure to pay off any past debts before applying for a new loan. Opt for smaller loans and offer collateral to improve your loan approval chances. You can also reduce your expenses and increase your income to improve your debt-to-income ratio.
Ans: As soon as your loan application is approved, My Mudra will allocate funds to your bank account. However, it can take anywhere from a few minutes to a couple of hours for the transaction to fully process.
Assistant Manager
Hey there, I'm Anjali Singh. With over 6 years of experience in finance, I specialize in creating content on banking, loans, and financial planning. My goal is to simplify complex financial topics and help readers make informed decisions through my articles.
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