What is the Loan ProcessA person borrowsa certain amount of financein the form of loans to fulfil life goals or overcome an emergency. Personal loans are the most common type of loan acquired instantly nowadays with an online application via websites and loan apps. Whether it is a medical loan, a vehicle loan, an education loan, or a consumer durable loan, any of these loans can be approved with great ease through an online loan process.
A digital loan process makes loan application hassle-free across different locations. SimplyCash is one such useful instant personal loan app helping with online loan processing with minimal paperless documentation.
Loan Application Process
Download the SimplyCash loan app freely from Google Play Store and begin with the online loan process:
- Register your mobile number linked to the Aadhar card or enter an email ID to receive an OTP number for verification.
- Enter your area pin code after registration
- Enter your Aadhar card number or smart card driving license
- Select the loan amount and tenure through the loan EMI calculator
- Lastly, fill in your personal, financial, and occupational details through digitized KYC documents, verified in the real-time
- Out of the listed banks, select your bank and enter account details in which you want the loan amount to get disbursed.
Offline Loan Application Pre-requisites
Besides the online loan processing method, individuals can still opt for visiting the bank personally or requesting the representative to help with loan requirements. Documents for the offline loan application process includes physical KYC documents for salaried as well as self-employed borrowers. The mandatory documentation for a loan process involves:
- Loan Application form filled with two passport size photographs
- Last 3 or 6 months bank transaction for self-employed
- Last 3 or 6 months bank statement with salary slip for salaried
- Identity and residence proof, whether salaried or self-employed
- Minimal processing fees
- Form 16 for salaried individuals
- Three years income tax returns for self-employed or businesses
Eligibility Criteria for Loan Processing and Approval
The minimum age limit of a loan borrower should be between 21-58 years for a salaried and 21-65 years for a self-employed person. The borrower should earn a minimum income of Rs.15000 per month and have a good credit score to make loan approval faster.
Benefits and Features of the Loan Application Process:
- Instant Availability: Loans are approved in the shortest period, within 24 hours to 48 hours of a working day.
- Affordable Interest Rate: The interest rate for a loan may vary depending upon the type of loan, credit score, tenure, and down payment. If the credit score is good, the rate of interest will be low.
- Tax Benefits: Most of the tax deductions are on interest and not on the principal amount
- Financial Stability: Loans approved on time provides financial stability and saves borrowers from sinking in financial risks and delays.
- Collateral Free: Personal loans do not require any security or a guarantor for approval. It keeps your assets safe.
Q1. What is a loan approval process?
A: The loan approval process involves sanction of a loan application, based on the verification of personal documents and income proofs submitted.
Q.2. What is the process of Personal Loan Online?
A: The process of personal loan is easy thanks to the digital loan apps, handy to begin the process of personal loan:
- Install the app or visit the website
- Register to create an account
- Fill in the loan application details
- Select the loan amount, tenure, and interest
- Set a suitable EMI
- Fill in KYC details and submit for verification
- Loan will be disbursed in the chosen bank account
A: The loan process involves a few easy steps:
Step1: Fill in the Loan Application Form
Step2: Enter the desired loan amount
Step3: Submit the required documents for approval
Step4: Loan amount credited in the bank account