Personal loans are always easy to access to get instant funds credited to your account for various kinds of expenses and needs. The basic personal loan documents always help you make the process of borrowing easy and hassle-free. It is important to choose an instant personal loan online based on which you can get instant credit on your account. Personal loans are always affordable but the unsecured nature makes it very important to fulfill the eligibility criteria, individuals need to meet the eligibility criteria to get the basic personal loan approval. A personal loan is always easy to access which makes it easy for self-employed and salaried individuals to cope with the financial crisis.
What is the documentation?
Documentation is the process of submission and verification of all the required documents. When you do for a personal loan apply, the loan provider runs a complete background check on the borrower. Without gaining complete information and understanding about the borrower, it will not be easy to complete the documentation process. The background check is run on various aspects like personal identification, financial criteria as well as employment background. After checking all the aspects mentioned above, the approval or rejection is decided by the loan provider.
What happens if you do not provide a particularly important document?
Like all other eligibility criteria, it is very important to meet the requirement in terms of documents. You should be able to meet the document requirement or else the application remains suspended or rejected. You must fulfill the entire list of documents as required by the bank or non-banking financial companies. If you missed out on any important document you can always go for an alternative one.
List of Documents Required for Salaried Employees
Proof of Identity
- Passport
- Voter’s ID
- PAN Card
- Driving License
- Aadhaar Card
Proof of Residence
- Passport
- Aadhaar Card
- Utility Bill
- Ration Card
- Driving License
Proof of Ownership of Residence
- Property documents
- Electricity bill
- Maintenance bill
Proof of Income
- Salary slips for the last three months along with Form 16
- Bank statement for the previous six months where the salary has been credited
- Proof of job continuity
- Employment certificate from the current employer
- Certificate of experience
- Appointment letter from the current employer
Proof of Investment
- Fixed assets
- Shares
- Fixed deposit
- Bonds
- Fixed deposit
Documents for self-employed individuals
Proof of Identity
- Passport
- Voter’s ID
- PAN Card
- Driving License
Proof of Residence
- Passport
- Aadhaar Card
- Utility Bill
- Ration Card
Proof of Residence Ownership
- Property documents
- Electricity bill
- Maintenance bill
Proof of Office Address
- Maintenance bill
- Property documents
- Utility bill
Proof of Office Ownership
- Maintenance bill
- Property documents
- Electricity bill
Proof of Business Existence
- Tax registration copy
- Company registration license
- Shop establishment proof
Proof of Income
- Income tax return
- Cash flow statement
- Balance sheet
- Audit report
- Profit and loss statement
- Bank statement
- Savings and current bank statement for the past year
Proof of Investment
- Fixed assets
- Fixed deposits
- Shares
Documents for NRI applicants
Proof of Identity
- Copy of your passport
- Copy of your visa
Proof of Employment
- Appointment letter
- Job contract
- Identity/Labour card
- Official email ID
Proof of Income
- Bank statements of the last 6 months
- Salary slips or salary certificate
- Recent passport-size photographs
Documents for pensioners
Proof of Identity/Age
- Ration card
- PAN card
- Voter ID card
- Passport
- Driving license
- School leaving certificate
- Birth certificate
Proof of Address
- Aadhaar card
- Passport
- Ration card
- Utility bills
- Driving licence
Proof of Income
- Bank passbook
- Bank statements of the last 6 months
- Form 16
- Income tax returns
- Copy of pension payment order
- Recent passport-size photographs
Other eligibility criteria
- You need to have a good credit score to get a personal loan. A credit score above 750 makes them eligible for easy and affordable borrowing. Make sure you improve and build credit so that with time you can fulfill the eligibility requirement. With a good credit score, you can always get easy approval as well as affordable borrowing.
- Increase your source of income if you want a smooth personal loan approval. It will help you prove your creditworthiness and be eligible for an easy borrowing experience. When you try to increase your source of income, it becomes very easy when you go for freelancing or outsourcing.
- Keep your debt to income ratio below 30%, if you want to be eligible for a personal loan. With existing loans, you will never be able to get a new personal loan as that becomes a burden on you. You need to close all your accepting loans before going for a new one.
Wrapping up
For an instant personal loan apply process of an instant personal loan online visit Clix Capital. You can always use a personal loan calculator so that you can compare all the loan providers.
Read Also: Which documents are required for a personal loan?
