This is a debatable topic for us. How & who will be sanctioned a personal loan depends purely on the lending institution.
Often, the personal loan documents to be submitted by employees are optionally PAN Card (for a company, firm and individual), identity proof (Passport/ Aadhaar Card/Voter’s ID card/Driving License/Pan Card), address proof (Aadhaar Card/Passport/Driving License/ Voter ID-Card) along with the bank statements.
If at all, we go back in time, then there was no universal ID to receive subsidies and perks. That’s when the Government proposed Aadhaar number for all Indian citizens. So, if you wished to avail any substantial loan, then it was strongly advised to open a bank account and submit “n” number of documents (address proof, birth certificate, identity proof) for reference. Unfortunately, this resulted in undue delay and lack of clarity.
The Indian Government launched Aadhaar and focused on providing better amenities to the struggling group. A large portion of our country has been pushing for parity and justified inclusion in schemes. “Aadhaar” as the name sounds, is the most celebrated proof of identity for all. You can easily avail services like opening a bank account, getting a personal loan, a new SIM card or filling for a fresh PAN card.
Today, Aadhaar number is a proof of identity but also helps to utilize services like online money and digital lending. The mobile wallets and banking used not just as a proof or identification of citizenship, but also to avail various services like Post demonetization, online money transactions are on the rise. The mobile wallets and online banking have got a major boost. With the change in the financial transaction system, people are relying on online services to pay or receive funds. People have started relying on online aggregators and finance providers, to get personal loans online, quickly and conveniently.
Earlier an individual had to go through the process of physically going to the bank, meeting the loan officer, submitting the copies of documents and filling up forms to avail a loan. The process of verification took days and was very tedious. But with digitization and Aadhaar, the process of applying for and availing a loan has become really simple.
How to Apply for Personal Loan Online Using Aadhar?
Earlier, you had to submit a plethora of documents to apply for a Personal Loan. However, with the advent or Aadhar Card and digitalization, now you can easily apply for Personal Loan online by showing your Aadhar Card as KYC proof. This single document is accepted by most of the banks and NBFCs nowadays as a proof of identity, address, citizenship, and birth. There are various benefits of using your Aadhaar Card for Personal Loan approval process.
Benefits of Aadhar Card to Get a Personal Loan and Instant Personal Loan
- Easy access to loans and other financial services as service providers ask their customers for Know Your Customer (KYC) documentation and Aadhar is the best way to prove your identity and citizenship.
- Single document for multiple proofs like citizenship, address, age, photo, and identity.
- The card can also be used for e-KYC, i.e., online verification.
Documents Required to Get Aadhar Card Based personal loan
- identity Proof: Aadhar Card/PAN Card/Passport/Voter ID Card/Driving License
- Residence proof: Passport/Ration Card/ Driving License/Utility Bill/Rent Agreement
- Income Proof: Last 3 months’ bank statements or 6 months’ bank passbook
- Last 3 months’ salary slips or current salary certificate.
- Latest Form 16
Thanks to digitization and introduction of Aadhar card, it has become easier than ever to Apply for Personal Loan. Since the Aadhar contains the necessary information, like your name, age, and permanent address, it allows banks to verify it quickly against the details they have with them. It ensures you get Personal Loan approval quicker so that you can meet your financial obligations.
Aadhar card also allows you as a borrower to pick and choose from a host of online financial services providers so that you can check out the different types of Personal Loans and select one that offers competitive interest and attractive terms and conditions.
If you would like to find out more about applying for a Personal Loan online using your Aadhar card, get in touch with our financial experts at MyMoneyStore. They will guide you based on your requirements so that you get access to the best online Personal Loan offers.