Banks before lending consider few things before approving a loan. They have few parameters and criteria by which they decide on the eligibility on the loan. Here are few points which you should consider before applying for a loan.
1) Frequent job change
Changing job has become a trend in recent generation. Banks lay emphasis on stability in a job and banks do confirm your working place before approving a loan.
2) Defaulters list
If your residential address matches of a defaulter address which has been reported to CIBIL, in such cases chances of loan rejection are higher.
In such cases one can speak to the relationship manager of a bank and they should bring to the notice that you do not have any direct relationship with the previous defaulters ( like tenants)
3) Old building
In case of a home loan, some banks will not fund if the building you are purchasing is more than 20-25 years.
4) Earlier loan rejection
If there is earlier rejection in loan, your data will be stored in the banks data base. This may have a bearing on the current loan you are applying for.
In such cases speak to credit manager and justify, explain reasons for your default.
5) Previous loans
If you have too many loans and your income is not upto the bank's criteria, banks may find it difficult to approve. In cases like this, if you have an existing personal loan and again you want to go for home loan. In such cases your income should be higher or try to repay your existing loan.
6) Bad credit rating or Cibil score
Your Cibil sore maybe bad, because of an earlier default or delayed payment. In this case the bank is likely to reject your application.