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Make sure your home loan proposal is not rejected

As a young, upwardly mobile professional working as a finance officer with a top retail company, 35-year-old MeghaAgarwal was confident that her home loan application would be cleared within days. However, nearly two months ago, she was turned down.

"I had a decent salary and repaying capacity, so I was baffled. On questioning the decision, I found out that the bank had turned me down because I had failed to pay some of my credit card bills on time in mid-2012," she says. Unfortunately for Agarwal, this rejection may prompt other banks to take the same decision since it will be considered a red flag in her credit report.

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