New Delhi, Sept. 15 -- Borrowers apply for a personal loan to meet daily expenses and needs such as medical emergencies, education, home renovation, etc. To secure favourable loans with easier interest rates, applicants must have a reputable credit score. Lending institutions highly favour any credit score of more than 750. Such a score is a clear sign of a healthy borrowing profile.

While a credit score continues to be an important factor and a crucial starting point, a combination of other factors, such as employment history, repayment history, financial integrity, past defaults, etc., is also taken into account.

Income stability and a solid employment history command a significant weightage. Lending institutions want assurance and co...