What Is the Eligibility Criteria for NRI Personal Loans in India?

Very often, NRIs face issues regarding personal loans in India due to specially defined eligibility criteria and requirements of documents by financial institutions. These struggles can escalate to more complex conditions for access in cases where NRIs have genuine needs for loans to finance education, purchase property, or meet personal expenses in their home country.

Financial institutions in India, such as banks and NBFCs, provide NRI personal loans that are exclusively designed to meet NRIs’ financial requirements. These loans provide flexibility and convenience for managing one’s finances from outside the country.

Some of the basic eligibility criteria for NRI personal loans in India include the following: NRIs should show proof of stable income. This could be from overseas work, business income, or sometimes also from the rental income from the properties they have in India. Financial institutions assess the applicant’s ability to repay the loan based on this given income.

Secondly, NRIs have to provide documents of proof that verify the NRI status of the applicant in the form of a valid passport, visa, and employment details abroad. Any proof relating to residency status, setting up of income tax returns, and proof of financial stability may also be asked for.

The purpose of the loan is another factor that one should consider. NRIs can apply for personal loans to meet a variety of needs, be it for education, treatment of illness, renovation of home, or any other personal financial need in India. The purpose helps in determining the amount of quantum of loan and its terms.

His or her creditworthiness is evaluated last, by his credit history and credit scores, like those applying for domestic loans. A good credit history augurs well for getting approval and may influence the rate of interest offered on the loan.

It is on the basis of such eligibility criteria that an NRI can efficiently access personal loans in India. By meeting these eligibility criteria and reaching out to reputed financial institutions dealing with banking services related to NRIs, NRIs can get required financial help for completing such purposes in India.

Eligibility Criteria Based on Business Class NRIs

The eligibility criteria for NRIs doing business outside India generally include:

  • Age: 21 to 68 years
  • Business Tenure: The business must be in operation for at least 3 years.
  • Registration: The business should be legally registered in that country.

    The above criteria prove the NRIs, falling under the business class category will have the stability and successful entrepreneurial experience. These are the main factors when it comes to sanctioning personal loans in India.

Eligibility Criteria Based on Salaried Class NRIs

Salaried NRIs also have a different set of eligibility criteria, which are as follows:

Age: The applicant age should lie between 21 to 60 years.

Employment Tenure: Minimum continuous service experience of 2 years, out of which there has to be a minimum of 1 year with the current organization.

Therefore, this criterion cutting across job stability and a dependable source of income becomes a critical factor in establishing the borrower’s ability to repay.

Basic Requirements of NRI Personal Loans

Now, regardless of the category that is, business or salaried, there are some basic requirements which essentially remain the same:

NRI Account: NRIs should have an NRI account. The type of account is allowed for easy inward and outward remittances and is considered a prerequisite to availing personal loans in India.

Transaction Activity: There needs to be a regular transaction in the NRI account. The average of last six month’s remittances is considered by banks to determine eligibility of loan as well as compute EMIs. A dormant account or infrequent transactions will have an adverse effect on loan approval.

Basis for Loan Calculation for NRIs

Remittance History: Banks consider the average monthly remittances made to the NRI account during the last six months. This history acts as a foundation for sanctioning the loan quantum, besides deciding the EMI amount payable on a monthly basis.

This would ensure that the loan appraisal is commensurate with the cash inflows of that particular NRI applicant/borrower at large, drawing their capacity to manage the payment of loan installments.

Banks and Application Process

Different banks in India provide loans to NRIs. Key factors of the application state that:

Co-applicant Requirement: NRIs have to compulsorily make a close blood relative, like a parent or sibling, their co-applicant for the loan. His/ her KYC documents are also mandatory while applying for the loan.

Documentation: Proof of Identity, Address, Income, and employment details of the NRI applicant and co-applicant are required to be submitted for processing the loan application.

Logistics for NRI Personal Loans Application

A few facilities vis-à-vis logistical consideration to consider while applying for an NRI personal loan:

Physical Presence in India: NRIs have to be physically present in India for the entire process while applying for a loan. Banks track through GPS whether an applicant is indeed available in the country, which the officials of the regulatory body check.

Credit Score: NRIs must have a good credit score with a minimum of 700 from Indian credit bureaus. Other than this, a good credit report from the country of residence, indicating no default, is also a must.
These measures protect the lender from any risks that may arise and guarantee that the borrower he deals with has creditworthiness and financial disciplines.


The artful maneuvering of eligibility criteria for NRI personal loans in India satisfies a host of needs that are exclusively tailored for business and salaried class NRIs. Connecting Dot Finserv Pvt Ltd. is an Indian-registered loan consultant who has expert solutions to facilitate such loan transactions effortlessly. Our services address NRIs spread across the globe in regard to competitive interest rates and hassle-free application procedures.

Be assisted with your NRI personal loan application or look for more information on eligibility by contacting us today. At the bottom, get our experts to help you out with full support in securing financial goals in India.

Leave a Comment

Your email address will not be published. Required fields are marked *

Scroll to Top