FAQs
Video
You may be eligible for a pre-approved loan offer
Enter mobile and OTP | Check offer | No branch visit needed
In summary
A CIBIL Score 654 may influence access to personal loans, credit cards, and other financial products. Lenders use this score to understand repayment behaviour, existing liabilities, and overall credit discipline.
To improve or maintain a CIBIL Score 654, the following steps can help:
- Pay all EMIs and bills on time
- Avoid using the complete credit card limit
- Limit frequent credit applications
- Track your credit report regularly
A steady repayment pattern and controlled credit usage can gradually support a stronger credit profile over time.
How to improve your 654 CIBIL Score
A CIBIL Score 654 falls in the fair credit range. It can improve with consistent repayment habits and better credit discipline over time.
Pay all dues on time
- Pay EMIs before or on the due date
- Clear credit card bills in full or at least the minimum amount on time
- Avoid missed or delayed payments
Keep credit utilisation low
- Use less than 30 percent of your credit card limit
- Avoid maxing out credit cards
- Maintain controlled spending on credit
Avoid multiple credit applications
- Apply for loans only when required
- Avoid frequent credit card applications
- Space out credit enquiries
Maintain older credit accounts
- Keep old credit cards active
- Do not close long-standing accounts unnecessarily
- Build a longer credit history
Check credit report regularly
- Review your credit report every few months
- Identify incorrect entries or errors
- Raise disputes for corrections quickly
Reduce existing debts
- Focus on clearing high-interest loans first
- Reduce overall EMI burden
- Maintain a lower debt-to-income ratio
Consistent discipline in these areas can gradually improve a CIBIL Score 654 and support better loan and credit card opportunities.
Is a 654 CIBIL Score considered good?
A CIBIL Score 654 is not considered a strong score. It falls in the fair or low range, which shows average credit behaviour.
Lenders may still offer personal loans or credit cards with a CIBIL Score 654, but approval is not always easy. The terms may also be stricter compared to higher scores.
A CIBIL Score 654 can lead to higher interest rates, lower loan amounts, and more checks during approval. Lenders use it to assess repayment history, current debts, and financial discipline.
What factors do lenders evaluate apart from the CIBIL Score?
Lenders do not rely only on a CIBIL Score when reviewing a loan application. They assess several other factors to understand repayment ability and financial stability.
Income level and stability
- Monthly income is checked for repayment strength
- Stable salary or business income is preferred
- Higher and consistent income improves approval chances
Existing loans and EMIs
- Current EMIs and credit card dues are reviewed
- High debt levels may reduce eligibility
- Lower liabilities improve loan approval chances
Employment profile
- Job type (salaried or self-employed) is considered
- Work experience and company stability are reviewed
- Longer job stability supports better approval chances
Repayment history
- Past loan and credit card payment behaviour is checked
- Timely payments improve lender confidence
- Missed payments can reduce approval chances
Credit utilisation
- High usage of credit limit may indicate financial stress
- Lower utilisation reflects better credit discipline
Bank account behaviour
- Regular savings and deposits are reviewed
- Cheque bounce history is also considered
- Stable banking behaviour supports approval
Loan amount and tenure request
- Requested loan size and repayment period are evaluated
- Higher loan amounts may require stronger profiles
- Reasonable tenure improves approval probability
How does a 654 CIBIL Score affect personal loan approval?
A CIBIL Score 654 is considered fair. It can affect personal loan approval because lenders see it as an average credit profile.
Loan approval chances
- Personal loan approval is possible but not guaranteed
- Lenders may apply stricter checks before approval
- Strong income and stable job can improve chances
Interest rates and loan terms
- Interest rates may be higher compared to good credit scores
- Loan amount offered may be lower
- Repayment terms may be more controlled
Verification process
- Extra documents may be required for income proof
- Lenders may review bank statements in detail
- Approval process may take longer in some cases
Risk-based assessment
- A CIBIL Score 654 shows moderate credit risk
- Lenders balance risk using income and repayment capacity
- Strong financial stability can improve outcomes
Does a 654 CIBIL Score impact interest rates?
A CIBIL Score 654 can impact the interest rate offered on personal loans and other credit products. It is considered a fair score, so lenders may treat it as a moderate risk profile.
Higher interest rates
- A CIBIL Score 654 may lead to higher interest rates
- Lenders charge more to reduce lending risk
- Total loan repayment amount may increase
Limited loan offers
- Fewer low-interest loan options may be available
- Special or promotional rates may not apply
Stricter loan evaluation
- Income, job stability, and existing debts are reviewed closely
- Final interest rate depends on overall financial profile
Scope for improvement
- Improving repayment history can help reduce interest rates over time
- Lower credit utilisation and timely payments support better offers
CIBIL Score ranges explained
| CIBIL Score Range | Category | Meaning |
|---|---|---|
| 300 to 549 | Very low | Weak credit history, missed payments, and very low approval chances |
| 550 to 649 | Low | Includes scores like 580 and 654 CIBIL Score, showing weak repayment discipline and stricter loan conditions |
| 650 to 749 | Fair | Improving credit behaviour with moderate approval chances |
| 750 to 799 | Good | Strong credit profile with better loan offers and interest rates |
| 800 to 900 | Excellent | Very strong credit history with fastest approvals and lowest interest rates |
How to improve a 654 CIBIL Score
A CIBIL Score 654 is in the fair range. It can improve with regular discipline and better credit habits over time.
Pay all dues on time
- Pay EMIs before the due date
- Clear credit card bills on time
- Avoid missed or delayed payments
Keep credit utilisation low
- Use less than 30 percent of the credit card limit
- Avoid maxing out credit cards
- Maintain controlled spending habits
Avoid frequent credit applications
- Apply for loans only when needed
- Avoid multiple credit card requests
- Reduce unnecessary credit enquiries
Maintain old credit accounts
- Keep long-standing credit cards active
- Do not close old accounts without reason
- Build a longer credit history
Check credit report regularly
- Review credit report every few months
- Identify errors or incorrect entries
- Raise disputes for corrections quickly
Reduce existing debts
- Pay off high-interest loans first
- Reduce total EMI burden
- Maintain a lower debt-to-income ratio
Consistent repayment behaviour and controlled credit usage can gradually improve a CIBIL Score 654 and support better financial opportunities.
Key offerings: 3 loan types
Personal loan interest rate and applicable charges
Type of fee | Applicable charges |
Rate of interest per annum | 10% to 30% p.a. |
Processing fees | Up to 3.93% of the loan amount (inclusive of applicable taxes). |
Flexi Facility Charge | Term Loan – Not applicable Flexi Loans –Up To Rs 1,999 To Up To Rs 18,999/- (Inclusive Of Applicable Taxes) |
Bounce charges | Rs. 700 to Rs. 1,200/- per bounce “Bounce charges” shall mean charges for (i) dishonor of any payment instrument; or (ii) non-payment of instalment (s) on their respective due dates due to dishonor of payment mandate or non-registration of the payment mandate or any other reason. |
Part-prepayment charges | Full Pre-payment:
Part Pre-payment
|
Penal charge | Delay in payment of instalment(s) shall attract Penal Charge at the rate of up to 36% per annum per instalment from the respective due date until the date of receipt of the full instalment(s) amount. |
Stamp duty (as per respective state) | Payable as per state laws and deducted upfront from loan amount. |
Annual maintenance charges | Term Loan: Not applicable Flexi Term (Dropline) Loan: Up to 0.295% (Inclusive of applicable taxes) of the Dropline limit (as per the repayment schedule) on the date of levy of such charges.
Up to 0.472% (Inclusive Of Applicable Taxes) Of The Dropline Limit During Initial Tenure. Up to 0.295% (Inclusive Of Applicable Taxes) Of Dropline Limit During Subsequent Tenure |
| Credit guarantee scheme fee | Up to 1.18% p.a. (pro-rated daily till 31st March) (inclusive of all applicable taxes) of the loan amount |
| Credit guarantee scheme renewal fee | Up to 1.18% p.a. (inclusive of all applicable taxes) on the outstanding loan amount as on April 01 of the subsequent Financial Year. *Renewal Fee to be collected only for 3 subsequent financial years. **If the Remaining Tenure is less than 12 months, the CG Fee in subsequent years shall be charged prorated. |
Not your nearest branch?
Related articles
Disclaimer
Bajaj Finance Limited has the sole and absolute discretion, without assigning any reason to accept or reject any application. Terms and conditions apply*.
For customer support, call Personal Loan IVR: 7757 000 000