personal finance
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Personal finance refers to the individual management of one’s financial resources and decisions to achieve financial goals, ensure financial well-being, and meet personal financial needs. It involves a range of activities, strategies, and behaviors that individuals undertake to effectively budget, save, invest, and plan for their financial future. Key components of personal finance include budgeting, education, medical expenses, home renovation, or debt consolidation, managing debt, planning for retirement, understanding and optimizing tax implications, continuous financial education, and setting and working towards financial goals.

The ultimate aim of personal finance is to enable individuals to make informed and responsible financial decisions, leading to financial security and a comfortable lifestyle.The eligibility criteria for obtaining a personal loan from Pakistani banks may vary slightly among different financial institutions. However, here are some common criteria that banks typically consider:personal finance


Applicants are usually required to be within a specific age range, often between 21 and 60 or 65 years old. Different banks in Pakistan have different criteria of age. So any one who is in age range between 21 and 65 years are encouraged to apply for personal finance from bank.


Banks assess your income to ensure you have the financial means to repay the loan. There is usually a minimum income requirement, and some banks may have a specific debt-to-income ratio. Minimum income requirements for salaried normally starts from Rs 50,000 and if you are a businessman than must have a running business transactions with any bank.

Employment Stability:

Many banks prefer applicants with a stable employment history. Some banks may require a minimum period of employment with the current employer. For business man 2 to 3 three years of business history also required.

Credit Score:

A good credit score enhances your eligibility for a personal finance. Banks often have a minimum credit score requirement, and a higher score may lead to more favorable loan terms.

Credit History:

Besides the credit score, banks may evaluate your credit history, looking at factors such as past loans, credit card usage, and repayment behavior. Banks obtain report of of ECIB from central bank to confirm the credit history of the intended borrower.

Nationality and Residency:

Typically, only Pakistani nationals or individuals with valid residency status are eligible for personal loans.


Applicants are required to submit necessary documents, including proof of identity, address, income (such as salary slips or bank statements), and employment details. Copy of Computerized National Identity Card, Your house address, Salary slip or proof of business and bank statement for the required period.personal loan docs

Relationship with the Bank:

Having an existing relationship with the bank, such as holding a savings or current account, may enhance your eligibility.

Purpose of the Loan:

Clearly stating the purpose of the loan is often required. Common purposes include education, medical expenses, home renovation, or debt consolidation. Since personal finance is a part of consumer finance so it can only be approved by the bank if purpose of the loan clearly defined. Personal loans Can’s be granted by the bank to meet business needs.

Guarantor or Co-applicant (if applicable):

In some cases, banks may require a guarantor or co-applicant, especially if the primary applicant’s financial profile does not meet all criteria. Clubbing of income of both the applicants could be able to make them eligible for personal loan income criteria

No Default History:

A clean financial history without defaults on previous loans or credit obligations is crucial for eligibility.

It’s important to note that meeting these criteria does not guarantee loan approval, as the final decision rests with the bank’s credit assessment process. Additionally, the terms and conditions of personal loans, such as interest rates and repayment periods, may vary between banks, so it’s advisable to compare offers from different institutions before making a decision. Always consult with the respective bank to get the most accurate and up-to-date information on eligibility criteria.

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