Credit score required for a home loan
For a home loan of ₹50 lakh or more, your credit score can swing the interest rate by 40-80 basis points. Over a 20-year tenure, that's lakhs of rupees. Here's the score you need for each major bank and how to hit it.
By Rohan Desai·Senior Writer, Cards & Credit·reviewed by editor
Last updated: 15 June 2025
Score cut-offs by bank
| Bank | Minimum acceptable | Score for best rate |
|---|---|---|
| SBI | 700 | 800+ |
| HDFC Bank | 700 | 780+ |
| ICICI Bank | 720 | 780+ |
| Axis Bank | 720 | 780+ |
| PNB | 700 | 780+ |
| Bank of Baroda | 700 | 780+ |
| LIC HFC | 650 | 750+ |
Rate impact by score band
| Score band | Rate premium | Extra interest on ₹50L / 20 yr |
|---|---|---|
| 800+ | Base rate | — |
| 750-799 | + 10-15 bps | ₹85k – ₹1.3L |
| 700-749 | + 30-40 bps | ₹2.5L – ₹3.4L |
| 650-699 | + 60-80 bps | ₹5L – ₹6.6L |
| Below 650 | Case-by-case / decline | Substantial |
If your score is 700-749
You'll likely be approved but at a rate 25-40 bps above the starting rate. If your loan is ₹30 lakh or less, applying is fine. For larger loans, spend 6 months lifting the score above 750 first - the savings comfortably beat the delay.
If your score is below 700
- Postpone the application by 6-12 months if possible
- Clear all credit-card outstandings and get utilisation below 30%
- Never miss an EMI during the improvement window
- Do not apply to multiple banks - each rejection makes it worse
- Consider an NBFC-HFC (LIC HFC) which accepts 650+ but at higher rates
Joint applicant impact
If your score is weak, adding a co-applicant with a strong score often gets you into a lower rate band. Banks blend the two scores in underwriting, and the primary borrower's score is not the only factor.