Instant personal loans that use an Aadhaar card as a means of verifying a person’s identity have gained a lot of attention lately due to their ease and quick processing time. However, with this surge in popularity comes a lot of questions that people may have about taking out this type of loan. In this article, we aim to answer some of the most common queries about instant personal loans using an Aadhaar card to help individuals make well-informed decisions before applying for one.
1. Can I Get an Instant Loan on an Aadhaar Card?
Using your Aadhaar card as a form of identification is a convenient option for obtaining a personal loan from any bank or non-banking financial company. The Aadhaar card contains biometric information, making the verification process more efficient, and resulting in quicker loan disbursal once approved.
2. What Is the Eligibility Criteria for An Instant Cash Loan on Aadhaar Card?
To be eligible for a personal loan using your Aadhaar card, the following conditions must be met:
1. Age Requirement: You must be between 21 to 57 years old.
2. Income: Salaried individuals must have a minimum monthly income of Rs. 13,500, while self-employed individuals must have a minimum monthly income of Rs. 15,000.
3. Bank Account: Your income must be directly credited to your bank account.
4. Credit Score: You must either have a minimum credit score of 600 on CIBIL or 650 on Experian.
3. How Much Loan Can I Get on My Aadhaar Card?
If you’re in need of a loan using your Aadhaar card, obtaining one is straightforward. You can apply for a loan ranging from Rs.5,000 to Rs.5 Lakh with minimal paperwork required. The only requirements are to meet the eligibility criteria and provide the necessary documents, including your Aadhaar card.
4. How Much CIBIL Score Is Required to Avail Aadhaar Card Personal Loan?
When it comes to obtaining a loan, a good credit score is a crucial factor considered by lenders. Generally, lenders require a minimum credit score of 750 to approve a loan. However, there are still some financial institutions that may approve your loan even if your credit score is as low as 600.
5. Can I apply for a personal loan on my Aadhaar Card online?
Yes, you can apply for a personal loan using your Aadhaar card online. With the advancement of technology, many financial institutions now offer the option to apply for a loan through their website or mobile app, making the process quick and convenient. You can provide your Aadhaar card information as a means of verification and submit your application from the comfort of your own home.
6. How long does the loan application take when you apply for a loan on an Aadhaar card?
The time it takes for a loan application to be processed when applying with an Aadhaar card can vary depending on the lender and the completeness of the required documentation.
However, due to the quick and efficient verification process provided by the Aadhaar card, many financial institutions can disburse the loan within a matter of hours or a few days after the application has been approved. It’s always best to check with the lender for their specific turnaround time for loan processing.
7. Will I need a co-applicant for a personal loan on an Aadhaar card?
In general, it is not necessary to have a co-applicant when applying for a personal loan using an Aadhaar card.
8. Is it mandatory to have an Aadhaar Card to avail a Personal Loan?
The use of an Aadhaar card for personal loan applications can make the process quicker and more efficient. However, it is not a mandatory requirement. Instead, other forms of identification, such as a passport or driving license, can be used for verification purposes.
9. Do I need to submit a collateral when I apply for a loan using my Aadhaar card?
You don’t have to provide any assets as collateral or security when taking out a personal loan from a bank or non-banking financial company (NBFC).
10. What are the documents required to avail Aadhar loan?
To apply for an Aadhaar Card loan, the following documents are required:
- Aadhaar Card
- PAN Card
- Proof of Address: This can include a passport, driving license, ration card, electricity bill, or rent agreement.
- Income Proof: Salary slips, income tax returns, and bank statements are required as proof of income.
- Cheques from your salary account
- A fully filled out loan application form
- Passport-sized photographs
Note: The exact list of required documents may vary depending on the lending institution and the loan type.
Final Thoughts
Aadhaar-based instant personal loans are an excellent choice for those who need access to quick funds. It is a safe, secure and convenient way to borrow money in India and have it transferred into your bank account within minutes. Hopefully this article has answered all of your questions about taking out an Aadhaar-based loan. If you have any further queries or require assistance, please get in touch with a local lender or financial advisor today.
Author Bio:
Shiv Nanda is a financial analyst who currently lives in Bangalore (refusing to acknowledge the name change) and works with MoneyTap, India’s first app-based credit-line. Shiv is a true finance geek, and his friends love that. They always rely on him for advice on their investment choices, budgeting skills, and personal financial matters and when they want to get a loan. He has made it his life’s mission to help and educate people on various financial topics, so email him your questions at [email protected].
