Many people think a high CIBIL score means loan approval is guaranteed. Reality is different. Banks check many other things before giving a big loan.
A strong score helps, yet it is only one part of the file.
Income matters more than score
Banks focus on repayment capacity.
If profit shown in ITR is low, loan size gets restricted.
Even with 780 score, low income can block approval.
Bank statement problems
Banks study last 12 months closely.
Things that create issues:
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Frequent cheque bounce
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Very low average balance
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Large unknown cash deposits
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Heavy loan EMI running already
These signals make banks doubt stability.
GST and ITR mismatch
Many businesses show high GST sales.
But ITR profit stays very low.
This creates trust issue in underwriting.
Too many existing loans
Score may stay good if EMIs paid on time.
Still, banks see overall liability load.
If EMI burden looks heavy, new loan gets reduced or rejected.
Property issues
For LAP or mortgage loans, property quality matters a lot:
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Old building
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Disputed ownership
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Weak resale value
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Industrial area risk
Even strong profile fails if collateral weak.
How to improve approval chances
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Keep profit reasonable in ITR
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Maintain clean bank statements for 6 months
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Close small unsecured loans first
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Match GST and financial statements
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Check property papers before applying
Final thought
Score opens the door.
Financial strength decides how wide it opens.
