Personal loans are always helpful to tide over from various financial emergencies and crises for individuals. Since it has no end-specific usage criteria, individuals can use a personal loan for anything personal or related to business. It is used for all kinds of small and big-ticket expenses by self-employed and salaried individuals. However, since it is an unsecured form of instant personal loan online, the eligibility criteria are very important for personal loans apply. It is important to complete the documentation process of a personal loan. Documentation is an important part of the eligibility criteria. Without documentation, the personal loan application will not be submitted and processed further. With the help of relevant important documents, the background verification of individuals is done to make sure that the background is checked before the lending process. The documentation processes for salaried, self-employed NRI, and pensioners are different. Let us check out all the lists of documents required:

Why is documentation important?

Documentation is very important for getting a personal loan in Pune, Bangalore, or anywhere else because it is unsecured and there is no collateral or security involved in it. Through documentation, it is easy to manage the background verification of individuals by the loan providers. Without checking employment, personal identification, financial health, and other related information, the lending process is not conducted. You must provide all the relevant copies of documents as required by the financial institutions.

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 license

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

Have a good credit score if you want smooth approval on your personal loan application. A credit score above 750 makes it easy for individuals to get personal loan approval. A good credit score individual signifies creditworthiness and no risk in borrowing. When you have an impressive credit score, you not only get approval easily but also an affordable loan. Make sure you can meet the eligibility criteria with the help of a personal loan easily.

Increase your source of income whether you are salaried or self-employed individuals. Income plays a vital role in understanding the credit eligibility of individuals. Individuals with a handsome salary always find it very easy to repay the personal loan within the loan tenure. On the other hand, individuals without sufficient income always default or miss making the payments. You must increase your source of income by generating extra revenue from freelancing or taking outsourcing projects.

Maintain your debt to income ratio below 30%. If you want to increase the chances of approval, you need to close all your existing loans. With existing loans, it will be difficult for you to get a personal loan approval since the risk is high for multiple EMI every month.

Wrapping up

Get a smooth and quick personal loan apply, process for an instant personal loan online with Clix Capital. You need to have all the necessary documents to get a personal loan in Pune.

Read Full: What is considered a personal loan?