Get instant personal loans with minimal documentation
Get instant personal loans with minimal documentation
Banks have made it very easy for us to avail personal loans online. However, the procedure to be followed requires you to submit certain specific documents to do the same. Read this article to know the procedure to be followed to get an instant personal loan with minimal documentation in India.
Procedure to apply for a personal loan online
Let us understand the general procedure to apply for a personal loan online. Generally, you can avail an instant personal loan in three simple steps. We have taken IDFC FIRST Bank’s example here:
- Fill up the online personal loan application form
As the first step, you must fill up the online personal loan application form. You can find this online, by visiting IDFC FIRST Bank’s site or accessing it through the IDFC FIRST Bank mobile banking app. If you are already an IDFC customer, it is advisable for you to download this app since it offers immediate access to your bank accounts and investments as well.
- Clear the eligibility check
Next, you must check whether you are eligible for a personal loan. If you are an IDFC FIRST Bank customer, you must pass an eligibility check. Here are the eligibility criteria for salaried employees and self-employed individuals for IDFC FIRST Bank personal loans:
Salaried employees:
- Must be at least 23 years old.
- Must not exceed 60 years of age at the time of the loan’s maturity or retirement, whichever comes first.
Self-employed individuals:
- The business must have been in existence for a minimum period of 3 years.
- The individual must be at least 25 years old.
- The individual must be at most 65 years old at the time of the loan’s maturity.
- Upload your documents
Once you pass the eligibility check, you must upload the required documents to complete your online personal loan verification process. Once this step is completed, your online personal loan will be disbursed, and the loan amount will be transferred directly to your savings account.
Documents required for a personal loan
Continuing with IDFC FIRST Bank’s example, you must know about three categories of documents that a bank might require from a customer who wishes to avail a personal loan – general documents, documents for salaried customers, and documents required for self-employed customers.
General documents: PAN card, address proof and identity proof qualify as general documents to get an online instant loan. Any one document among the following qualifies as identity proof – a valid passport, Aadhaar card, Voter’s ID card, driving license, and job card issued by NREGA. As an address proof, you can submit one of the following documents – the latest bank statement, the latest passbook of a scheduled commercial bank, rent agreement, utility bill, property or municipal tax receipt, pension or Pension Payment Orders (PPOs).
Documents for salaried individuals: These documents have 3 broad categories – banking and income proof documents, balance transfer documents, and ownership proof-related documents. For an IDFC FIRST Bank salaried personal loan, you must submit bank statements for the last 3 months and salary slips for the last 3 months as banking proof. As a balance transfer proof, you must submit your repayment schedule and statement of account. As ownership proof, IDFC FIRST Bank requires you to submit your latest water tax bill, electricity bill, latest maintenance bill, and latest property tax bill.
Documents for self-employed customers: Four categories of documents are required for self-employed customers to apply for personal loans with IDFC FIRST Bank: banking and income proof-related documents, balance transfer documents, ownership proof-related documents, and business proof-related documents. The first three categories of documents remain the same as the previous category. For business-proof related documents, you must provide your municipality tax bill, gram panchayat certificate, shop and establishment certificate, GST certificate, Income Tax Returns (ITR) with computation of income of the last 2 years with minimum 6 months’ gap between the 2 ITR filing dates, FSSAI license, utility bills, and SSI certificate.
For an online instant loan with IDFC FIRST Bank, you only need two documents – your PAN and your Aadhaar card. Visit the website if you wish to know more about IDFC FIRST Bank’s personal loans. Lastly, before applying for the loan, make sure to use a personal loan EMI calculator to ensure that the loan’s EMIs are affordable.
