780 CIBIL Score, Loan Rejected: What You're Missing?

A high credit score alone does not guarantee home loan approval. Lenders also check your income stability, existing EMIs, property value, and documents before saying yes to your application.

Here's what happened: Lenders evaluate six factors beyond CIBIL: income stability, FOIR (debt-to-income ratio), employment type, property legality, loan-to-value ratio, and documentation completeness.. A FOIR above 50% — meaning more than half your monthly income already goes to EMIs — is enough for most banks to reject a home loan regardless of credit score.. Property-related rejections are common: disputed titles, builder blacklists, or a valuation lower than the requested loan amount can kill an approved application at the last stage..

What you should do: Calculate your FOIR before applying: add all existing EMIs, divide by net monthly income — keep it under 40% for the safest approval odds.. Check your property's legal status independently using a local lawyer or through your state's RERA portal before submitting the loan application.. Gather at least 2 years of ITRs, 6 months of salary slips, and 6 months of bank statements in advance — documentation gaps are a top rejection reason even for high scorers..

Ask the lender for your rejection reason in writing under RBI's Fair Practices Code — they are obligated to provide it, and it tells you exactly what to fix before reapplying.