A personal loan has become the best financial tool currently to finance all your emergencies and expenses. However, as it is an unsecured loan, the interest rate payable for a personal loan could hold you back when you think to yourself, “I need a personal loan .”

Well, do you know there are ways through which you can get a better personal loan interest rate? Some of the tips are shared below:

1. Credit Score: A credit score over 750 is a great way to get an instant personal loan at competitive rates. A high credit score can help you in getting better interest rates on personal loans from lenders. It is also important that your credit utilization ratio stays under 30%. 

2. Stay aware of the market: Before applying for a personal loan, make sure to do your market research properly and then opt for the lender offering the best interest rate. 

3. Make timely repayments: The repayment history considered is not just for the current loan but also for all the loans you have taken in the past. A good repayment history reflects well on your profile and helps you get a lower interest rate. 

4. Working with a good employer: Your employer also impacts your interest rate. Working with a Fortune 500 company or an MNC makes your profile strong, helping you grab a lower interest rate on a personal loan.

These are some simple ways of getting a personal loan with a better interest rate. A good relationship with a reliable lender in the market can further strengthen your case for a loan at a reasonably low rate of interest.

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