If you are employed with an average salary range, then one time or another you must have thought about taking a personal loan. Since these loans provide you with a large sum of money, the prospect of having them is quite encouraging. And why not? You will be easily able to pay the loan amount gradually with your monthly salary. In addition to that, the documents required for personal loan now are minimal, making it faster and more convenient to get it approved.
However, the lengthy process of documentation is what keeps most people from jumping in to take a loan. But do you know that the documents required for personal loan are quite minimal? In fact, they are only basic information pertaining to your employment, identity and address.
So, if you are a salaried person who wants to know what are the documents required for personal loan, then follow the list below:
- Proof of Employment: You will have to provide your company’s name where you are employed.
- The Salary Receipt: Also known as salary slip or income proof. This document is proof that you are getting a monthly salary from your employer. The receipt to be submitted should only be for the last 3 months.
- Bank Statement: This further confirms that your salary has been credited to your savings account.
- Form 16: This is a certificate issued by the employer after he has deducted a taxation amount from your income. Form 16 should be of the current year only.
- Essential Documents: The most important documents with which you cannot get the loan is the PAN card. You will also be needing your Aadhar Card/Driving licence/ Voter Card, etc.
- Passport Size Photo: You can upload your photo from your phone only. It would be better if your photo is taken in formal attire.
These are the only documents required for personal loan. Given their basic nature, it will not create any hindrance for you in getting a loan for yourself.
Steps To Apply For A Personal Loan
Just as simple and elementary the documents required for personal loan are, the same is the case with the steps required to get the loan. They are quite simplistic and easy to follow. Moreover, you will not even be required to visit any bank to fill out the application or submit documents required for personal loan. The entire process from applying for the loan to getting it in your bank account will take place in your mobile phone only.
- Since many lenders provide the online facility for personal loans, you can apply for and get the loan amount right from your mobile app. For this, you will have to download the mobile application of the lender. The apps can be easily found in your mobile’s app store.
- The next step would involve getting necessary information such as your income proof, identity proof and address proof. All the details should be carefully written. If there is a discrepancy in the information provided by you, your application for the loan is subject to cancellation.
- Choose the payment structure to pay off your loan dues. The lenders usually offer flexible payment options and the final choice lies with the borrower regarding which payment option he should go for. You can choose the tenure to be either short or long and accordingly your EMI will be shaped for the month. Although, the interest amount is going to vary depending on the tenure.
- In this step, you are required to upload the necessary documents along with your passport size photograph. Make sure the resolution of the picture is good and that all the documents show the information correctly.
- In the final step, the lender will verify all the information and documents provided by you. As soon as the verification process is completed, the loan amount will be instantly sent to your bank account.
Whether it is the steps to be followed or documents required for personal loan, the accessibility which you will have through the online medium will make the overall experience smooth and effective.