Applying for a Personal Line of Credit
Applying for a Personal Line of Credit
Normally, you require a credit score of about 690 or higher to qualify for one, and also a decent credit history if you do not want to be delayed on approval. Further, a maintained record consisting of the earnings and proof of employment too would need to be produced. Other important requirements for a personal line of credit are discussed below.
Payment History
You need to produce a recorded history of timely payments which help you demonstrate that you are a responsible borrower.
Credit score
The credit score is provided by credit agencies. This is considered a perfect reflection of your financial status, and of the probability of you paying the amount back.
Where to Get a Personal Line of Credit
Generally, personal lines of credit are offered by credit unions and banks. A few online lenders too can be found in the market. According to a study, credit unions and traditional banks offer the most competitive rates among other sources when it comes to personal lines of credit. Some of these need you to apply through a local branch or require a checking account to qualify.
