Personal Loans - Its Eligibility, Document Requirement And Benefits

By Author: Vijesh Sinha
Total Articles: 3

Personal loans have become an intrinsic part of our lives. Certain circumstances and emergencies may leave you cash-strapped or may force you to dip into your savings. This is when a personal loan can come to your aid. Before heading to your bank, following are a few things you need to know about instant personal loans:

Eligibility criteria:

In India, almost all the banks have a specific parameter to determine whether you are a suitable candidate for a loan. You should be well aware of the eligibility criteria before applying for a personal loan:
• You should be an Indian citizen
• Salaried or self-employed can apply for the loan
• If you are a salaried employee, your salary should range between INR 4,000-20,000 per month
• Minimum age of the loan seeker should be 21 years
• Maximum age of the loan seeker should not exceed 65 years
• To check your creditworthiness banks require a credit score of 750

Documents required:

To apply for personal loan, you would need to produce the following materials at the bank:
• Three recent passport-sized photographs
• Identity proofs: the voter ID Card/ Aadhar Card
• The last six months’ bank account statement
• Proof of residence (electricity bill)
• Know Your Customer documents (Aadhar, Voter ID card, Pan card)
• Proof of employment
• Form 16/IT of two years for all employed people
• IT returns evidence of three years for self-employed people
You can apply for the loan as soon as the bank verifies the above documents.
Benefits of a personal loan:
There are several benefits of taking personal credit. If you still doubt about the same, here is a look at some of them:
• Debt consolidation- You can clear your debts using personal loans in one go instead of paying them one by one.

• Collateral-free loan- Personal loans do not require the borrower to put up an asset like gold or property as collateral. They are also called unsecured loans.

• Medical procedures- A personal loan enables you to undergo a therapeutic process, treatment or surgery without hesitance.

• Home loan- Personal loans can help you fulfil your long-forgotten desires. For instance, if you have wanted to buy a house or go on an impending vacation, you can apply for instant personal loans and then fulfil your wishes.

• Education loans- A personal loan can come aid you if you wish to pursue higher studies within or outside the country.

• Easy to apply online- You can apply for personal loan online, which needs minimum documentation. Your investments are approved in few steps:

 Fill in your personal, employment and financial details on the application form online
 Choose the tenure and loan amount to get instant approval
 Submit the required documents
 You will find the loan amount in your bank account within 24 hours
The above pointers give you a comprehensive idea about instant personal loans- the eligibility, benefits, and the documents that you should produce. Go ahead and apply for the loan today!

About the author:

Vijesh Sinha is a financial expert by profession. In the spare time, he/she loves to write about financial products. Through his/her work, he/she has provided information on the eligibility, documents required and benefits of a personal loan.