Is it even possible to get an instant personal loan in just five steps?
Yes, it is. All credit goes to digital technology, and Non-Banking Financial Companies (NBFCs). And the best part is that these companies are genuine and secure.
Nobody likes standing in a long queue and waiting for days to get a loan approval; now, we can easily apply for a loan from our smartphone with a couple of clicks.
Before we jump to the actual steps, it is vital to understand the need for an instant personal loan.
Generally in India, you can avail the benefits of this loan in different scenarios like wedding, education, trip, medical urgencies, home repair, business needs, debts settlement etc.
Minimal documentation and digital processing help us to manage funds in a crisis condition.
Furthermore, you can enjoy the benefits of this service without any collateral security. The interest rates are also reliable depending on your income statement or net profit of the business.
Let’s move on to the steps these NBFC companies generally follow to provide a loan.
5 Step Roadmap For Getting Personal Loans
1. Check personal loan eligibility
Before applying, the new user needs to check whether he/she is eligible for the desired loan amount using the eligibility calculator found in the loan provider’s website. Otherwise, the credit score would get affected if the application gets rejected.
Eligibility calculator is easy to use. Just feed in the information, and you’re good to go.
- Choose salaried option if you are working under some company or select a self-employed option if you are running your own business.
- Then fill up the necessary information according to your preference such as city, dob, net monthly income, monthly EMI, rate of interest and desired tenure.
2. Figure out the Number of EMIs
Although you can manually calculate monthly payments, every loan provider has an inbuilt EMI calculator on their website to make the process hassle-free.
- First, select the loan amount with the slider
- Then select the interest rate (12.99% – 36%)
- Lastly, select the loan tenure (12-60 Months)
3. Scan required documents
When applying for the loan, an individual needs to upload the following documents in .pdf or .jpg format. We highly recommend scanning all the documents with any online scanner and export in one .pdf file. Or else you can click and upload them one by one.
Note: Documents may vary for salaried and business owners.
- Driving license/Aadhar card/Voter ID for address proof
- PAN card
- Income proof (last three months salary slips for the employee or current account for self-employed person)
- Income tax return or form 16 (if required)
- Recent six months bank statements
- Business proof document (GST/CST/Sales tax/VAT/ITR etc.)
4. Hit Apply
After keeping documents handy, all you need to do is click on the apply button. Then choose between the salaried or self-employed option. After entering the mobile number and OTP, you will need to fill information such as:
- Date of Birth (DOB)
- Pin code
- Monthly income
- Type of business (Self-employed)
- Industry type (Self-employed)
- Total year in business (Self-employed)
- Business proof documents (Self-employed)
Note: Please insert the mobile number which you have linked with your bank account.
5. Loan Disbursement
Once you upload the necessary documents, you will be informed if you are eligible for a loan or not.
If yes, the verification/customer support team will call you for reconfirmation. Once you agree (through digital signature) for the loan amount and interest rate, the loan will be disbursed to your account within 24 hours.
If not, you need to contact their support team either by mail or direct call and ask them the reason. The customer support team will clear your queries regarding your personal loan eligibility.
Whenever you are ready to take a loan, you should also check other relevant details regarding late payment charges, cancellation charges and foreclose policy. And always go through the terms and conditions carefully.