How Salaried Employee Can Secure a Personal Loan

In India, personal loans are a convenient and accessible way for individuals to fulfil their financial goals. Whether for home renovation, a wedding, or other unavoidable medical expenditures, a personal loan can be a reliable financial solution. A personal loan is easy to get with minimal paperwork and has a simple application process. This blog will cover everything about personal loan their eligibility, features, application process, and more.

Personal Loan Eligibility for Salaried Employee

The personal loan eligibility criteria for salaried employees include the following:

1. Age Limit: Applicants must be Indian citizens between the ages of 21 and 58.
2. Minimum Monthly Income: The salary requirement can vary depending on the location, with higher salaries generally expected in metro cities. 
3. Employment Stability: Applicants must have a stable job with at least 1 year of total work experience. 
4. Credit Score: A credit score of 750 or above is often seen as favourable, though some organisations may have different requirements. 
5. Loan Amount Eligibility: The loan amount depends on the applicant’s salary, credit score, and existing financial liabilities. Lenders generally approve loans up to 30-50% of the net monthly income.

Documents Required for Personal Loan for Salaried Employees

Personal loan application becomes easy with minimal documentation. Here are the must-have documents that you will need.

• Duly filled and signed loan application form. 
• A recent passport-size photograph of 6 months-old.
• Identity proof and address proof documents like the Aadhaar card, voter identity card, PAN card, passport. 
• Salary slip for the last three months. 
• Form 16, and ITR for the past two years.
• Bank statements for the last six months.

Features of Personal Loan for Salaried Employees

Below are the several features of personal loans for salaried people.

• Multi-purpose Loan: You can use the loan for various purposes, including marriage, home renovation, travel, education, or debt consolidation.
• No Collateral Required: Unlike secured loans, you do not need to provide any collateral or a co-guarantor.
• Minimal Paperwork: The loan process is streamlined, and you can complete the application process with minimal documentation.
• Flexible Tenure: You can choose a repayment tenure of 12 to 72 months, making it easier to manage your loan repayment.

Steps to Apply for a Personal Loan for Salaried Employees

Here are the steps to apply for a personal loan for salaried employees both online and offline.

Online method:

• Enter your essential details such as your mobile number, PAN, PIN, and employment status.
• Validate your mobile number with the OTP sent to your device.
• Fill in other details like your email address, date of birth, and work history.
• Review the loan offer and select the loan amount, repayment terms, and fees.
• If you are salaried, then submit your employment details.
• Verify your Identity through digital KYC or DigiLocker.
• Verification of bank account details.
• Check the loan agreement, digitally sign it, and validate the OTP to complete the process.

After the loan sanction, the amount is credited to your account within a short time.

Offline method: 

• Go to the branch office of the selected lender.
• Fill out the personal loan application form with all required details.
• Give the lender all necessary documents for proving income, age, address, and identity
• He or she verifies those documents and checks your eligibility.

If eligible, your loan amount would be transferred directly to your account. 

Why Salaried Employees Should Obtain Personal Loans?

Personal loans offer many benefits for salaried individuals. They can be used quite flexibly for various financial needs. Simple loan process procedures and repayment methods can settle according to individual capacity. Even the interest is low, without any collateral issues, making such loans favourable if one needs immediate financial assistance. Additionally, personal loan app makes it easy for salaried employees to apply and get approved quickly, without the need for lengthy paperwork.

Conclusion

Personal loan in India for salaried employees provides a simple and effective solution to meet various financial needs. Tata Capital is a reliable platform for salaried employees seeking quick and hassle-free personal loans. With minimal documentation, a streamlined application process, and flexible repayment terms, they are suitable for anyone looking to manage financial emergencies or fulfil long-term goals. Before applying, it is important to evaluate your financial position and ensure that the loan aligns with your requirements. Personal loans can help you fulfil your needs, and with the right planning, they can offer you a stable financial future.

Note to readers: This article is part of Mint’s paid consumer connect Initiative. Mint assumes no editorial involvement or responsibility for errors, omissions, or content accuracy.

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