Last Updated on March 10, 2024 by admin
The processing of the loan may take only a few minutes on a personal loan app, but the planning stage takes some time. However, once you’ve decided to move forward with your application for a personal loan, you’ll need to acquire a few documents to get the loan application process done quickly.
Applying online through an instant loan app is the simplest way. Following your personal loan application, an NBFC official comes to your home to collect the necessary paperwork and ensure all the information is correct. Therefore, before submitting your application for a personal loan, you must have the following documents.
#1 Proof of Identity
It could be an Aadhaar card, birth certificate, passport, driver’s license, voter identity card, or PAN card. Any of these can be used as identification documentation.
#2 Proof of Address
Since this is the address where correspondence will be sent, the bank needs verification of your residence. You may show your utility bills, passport, bank account statement, passbook, and Aadhaar card as evidence of your address.
#3 Proof of Employment
Although the NBFC does not require any security for personal loans, it must nonetheless be certain that you have a source of income to repay the loan. You must provide information about your employment for this purpose. Your employee identity card and visiting card are required as proof of employment.
#4 Work Experience
The NBFC must confirm that you have been a consistent worker for the entire time you have worked there, without taking extended breaks between jobs or being unemployed. In addition, you will be required to provide appointment letters from prior employers.
#5 Credit History
It might be detrimental to your application if you default on a loan. Check your credit history with the NBFC with which you may have been associated earlier. In rare circumstances, you may additionally be required to show your Form 16 from the previous and current years. When you apply for any personal loan (on a personal loan app), the bank will only approve your loan after reviewing all of your supporting documents, verifying your information, and receiving confirmation that you will repay the loan in full.
The loan is given to the consumer after all formalities are finished and information is verified. You should make every attempt to pay back the loan as quickly as you can as a consumer. This not only frees you from debt but also maintains the integrity of your credit history.
Lenders would need the following list of documents for a personal loan.
Documents checklist: For salaried individuals-
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Proof of Identity: Voter ID Card / Passport / PAN Card / Driving License.
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Proof of Residence: Ration Card / Passport / Utility Bill.
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Proof of Age: Voter ID Card / Passport / PAN Card / Driving License.
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Proof of Income: Latest 3 month’s salary slips and Form 16.
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Proof of Job Continuity: Current job appointment letter and experience certificate.
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Bank Statement: Last 6 month’s statement.
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If there are existing loans – Applicants should submit a payment track record and sanction letter.
Documents Checklist: For self-employed individuals-
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Proof of Identity: Voter ID Card / Passport / PAN Card / Driving License.
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Proof of Residence: Ration Card / Passport / Utility Bill.
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Proof of Age: Voter ID Card / Passport / PAN Card / Driving License.
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Proof of Office Address: Property Document / Maintenance Bills / Utility Bills.
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Proof of Business Existence: 3 years salary statement.
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Proof of Income: Last 2 years Income Tax Returns.
A personal loan is one way to obtain funding from a reputable NBFC for any requirement. To submit a successful personal loan application, the applicant must supply specific supporting documentation on the personal loan app.
These documents assist the lender in determining the borrower’s financial stability and analyzing the credit risk. In addition, it helps a lender know and verify all the applicant’s information, including age, income, address, job, and employment.
Personal loans are unsecured loans, which means the lender does not require any collateral in exchange for the loan amount. Therefore, to be sure, a lender requests a specific collection of documents to research and evaluate the application before making a decision. So, submitting the required paperwork while applying for a personal loan aids the applicant in receiving the best deal. Thus, an instant loan app is an answer to all your financial worries.
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