Personal loans have become a popular credit option owing to their advantages over other types of loans. One key advantage is that the loan amount can be used for any purpose, as there are no end-use restrictions. Additionally, they do not require any collateral, making them easily accessible. The application process is also simple, adding to their appeal.
This article will provide an overview of Personal Loans specifically for salaried individuals.
How to apply for a personal loan?
Step 1: First, you need to select one lender. Compare the interest rates of different lenders and make a comparative analysis of their terms and conditions. See whose terms are easiest to match for you.
Step 2: After shortlisting, go through the website of that lender. Read all the instructions and proceed accordingly.
Step 3: Now, fill up the application form. Put all your details correctly; they should match the documents you will be submitting.
Step 4: Then, make a submission of all the documents required.
Step 5: Next, you will get a confirmation regarding the approval on the registered mail or phone number. After that, you will get the loan agreement and the e-mandate. You need to sign that and submit it, and the loan amount will be approved.
You can go for an offline application also if you favour that. For that, you need to visit the lender’s office and understand the whole procedure. Then complete the formalities there and get your loan sanctioned.
Now that you know how to apply for this financial product, let’s check out the perquisites that you need to meet to be eligible for this loan.
Personal loan eligibility criteria for salaried individuals
· Age: 21 to 58 years
· Credit score: 750 or above
· Total work experience: At least 2 years
· Minimum monthly income: Rs.15,000
It’s important to note that the parameters mentioned here are suggestions only, and the actual loan details may vary depending on the lender. Therefore, it’s recommended that you check with your preferred lender to confirm the specific loan details and prepare accordingly.
Personal loan documents needed for salaried individuals
Here is the personal loan documents list that you need to submit –
· ID proof: Aadhar card, voter ID card, passport, driving licence, etc.
· Address proof: Utility bills, Aadhar card, passport, voter ID card, etc.
· Income proof: Form 16 and salary slips
· Bank account details: Bank statement for the last 6 months
Apart from these, the financier may ask for additional documents during the application, which you need to submit.
Benefits of personal loans for salaried individuals
Here are some of the advantages of personal loans for individuals –
· Quick processing and instant disbursal of funds
Personal loans offer numerous benefits over other types of financing options. The application and approval process is quick and can be done from the comfort of your own home, with instant verification and approval from the lender. The disbursal time for a Personal Loan is also typically around 24 hours, meaning you can get your funds quickly.
· No restrictions on usage
You can use the loan amount for any purpose, like marriage, medical expenses, education, etc. The lender does not demand to know the reason.
· Collateral free
This kind of loan is unsecured, meaning there is no need to keep any collateral. It takes off the stress from your head about losing the mortgage.
· Flexible repayment
Personal loans also offer flexible repayment options. By using a Personal Loan calculator and providing details about your monthly income, current debts, etc., you can determine the best repayment tenure and monthly EMIs that fit your budget.
Personal loans are a popular financing option for salaried individuals, offering numerous advantages. By reviewing the information above and planning accordingly, you can obtain the funds you need quickly and easily.