Are you in need of a loan? Are you looking for financial assistance to tide over your financial troubles? If yes, then you’ve come to the right place. It has become very difficult to manage your financial requirements in today’s world. If you have a limited budget and want to get an instant loan, then instead of wasting your money on an expensive credit card, why not get an Aadhaar card loan? If you are a resident of India and have a valid Aadhar card, this article is here to solve your urgent financial problem with an Aadhar card loan. Read on to know your best loan option in detail:
Ease of Process with Aadhar Card:
The Aadhar Card is a one-of-a-kind identification document that is distributed by the government to every person in the country. This one-of-a-kind identification card helps authenticate your age, identity, and address, which was previously accomplished through the use of numerous identification cards, such as a PAN card, a voter ID card, and a driver’s license. As a result, your Know Your Customer requirements can all be satisfied by using your Aadhar card. After providing the lender with your Aadhar number and confirming that it is associated with your PAN card and bank account, the lender will not request any additional information from you. It satisfies all of the standards for your KYC compliance. In the event that an Aadhar is not linked to a PAN or bank account, the lender is required to be made aware of this additional information.
Aadhar loans can be used for school fees, EMIs, or medical situations. Personal loans are available for any purpose. Previously, banks needed many authentication documents. Due to E-KYC being viable on Aadhar submission and back-end validation by the credit team, the turnaround time has decreased with Aadhar. When getting a loan, you can also submit your Aadhar card.
Must-Know Aspects of Aadhar Cash Loan:
An Aadhar card is required while applying for a loan in India. With just your Aadhar card and a rate of interest of 8.35% from a public sector bank, or 10.50% from a commercial bank, a borrower can get a loan from 10,000 to 50,000 rupees.
An instant loan on an aadhar card can have a payback period of 72 months, which is longer than the usual 12 to 60 months. Like other loans, the Aadhar loan comes with its own processing cost. The maximum origination fee that a bank can charge on loan is 2%.
A prepayment fee of 4% will be assessed if you decide to settle the loan balance. In the case of banks, the Turnaround time for processing can be a few days. However, NBFCs like NAVI deposit the funds you borrow directly into your bank account within hours of your application.
An Aadhar card loan: Why should I get one?
The following is a list of some of the benefits that come along with deciding to apply for a loan using an Aadhar card:
- An instant loan on an Aadhar card is applied online, so the approval time has decreased.
- Performs the function of a single document that verifies your age, identity, and nationality all at once.
- It simplifies and eases the process of documenting things.
- The authentication procedure can be completed completely online, which eliminates the need to provide any hard copy of documents.
How to avail of an instant loan on an Aadhar card?
Before applying for an Aadhar loan, consider these points.
1) Documents to be submitted:
The following items need to be submitted as part of the application process:
- PAN card.
- In order to verify your residence, you can provide either your electricity or your telephone bill.
- Recent photos.
- Records of income and taxes paid for the past two years.
- Receipt for the payment of tax in advance.
- When it comes to salaried personnel, you should fill out Form 16.
- Declarations from your bank covering the past half a year.
- Statement of income for the Aadhar card loan applicant who does not receive a salary.
2) Criteria for eligibility:
To be eligible for a personal loan based only on your Aadhar card, you will need to satisfy all of the conditions that are listed below:
- One needs to be a citizen or permanent resident of India.
- One ought to find employment with a public or private company or with a multinational corporation.
- It is recommended that one be between the ages of 21 and 55.
- The basic salary requirement of 18000 for metro cities and 15000 for non-metro cities)
- It is important to have a solid credit rating (general recommendation is beyond 750)
Standards for eligibility are enforced so that there is a guarantee of being able to recoup the money from the person making the request and so that the lender can keep a closer eye on things.
Steps To Apply for Aadhar Card Loans:
The easiest way to secure a loan is online, and your Aadhar Card is the essential KYC document needed. PAN cards are sometimes needed. To avoid any delays, please ensure you have both forms of identification on hand before applying. Check your lender’s requirements. Here’s how to do it:
1) Register with your selected mobile-based financial lending partner’s app, or enter your banking information into your bank’s smartphone app if you’ve decided to go that route.
2) Look for the part labeled “Personal Loan” to see whether you qualify. To see if you qualify for a personal loan, please click the “apply online” option.
3) Submit the needed data by filling out their online application.
4) A lender representative will call you to verify the information you provided on the application, and after this is complete, the loan amount will be validated.
5) you’ll be required to provide an electronic copy of your Aadhar for authentication purposes. If so, you’ll need to hand over the UIDAI OTP.
6) Once the verification process is complete, the loan funds will be transferred to your account.
An instant loan on an Aadhar card is available through an app-based lender, and the funds will be credited to your account within an hour or two.
Winding Up:
With the increased use of mobile banking and the online presence of financial services providers, the need for a reliable document that can be used as identification has become imperative. Aadhar is the perfect solution to this problem. Aadhar card loans are available for any purpose, including buying a house or paying for an education. However, it is important to keep in mind that the loan must be utilized for a legitimate purpose.