I haven’t taken any loan or credit card as I didn’t need to take any form of credit. So, getting a loan shouldn’t be an issue for me, right?

This is a very important question and I am glad you asked it.

Sadly, the answer to your question is no. Just because you haven’t taken any loan or credit card, your chances of getting a loan don’t go up.

Let’s try and understand this first.

From your point of view, you think it’s a positive that you haven’t taken any kind of credit card or loan. However, banks and non-banking finance companies don’t think that way. In fact, for them you are a clean slate which doesn’t necessarily work in your favour. This is because financial institutions have absolutely no idea what kind of a borrower you are.

Instead, if an individual with not-a-great-credit score approaches the bank/NBFC, at least the financial institution knows how his/her repayment will be like. But with you or with any individual who hasn’t taken any credit, it is like taking a shot in the dark for the bank/NBFC.