Frequently Asked Questions

  • 1: What types of expenses can a personal loan cover?

    A personal loan can be used to cover almost any personal financial need, such as medical bills, education, home improvements, and debt consolidation.

  • 2: What are the eligibility requirements for a personal loan?

    The eligibility requirements for a personal loan are as follows:

    For Salaried Professionals:

    • Minimum Age: 21 Years

    • Minimum Salary: Rs.15,000 Per Month (Should reflect in bank statement)

    • Minimum Job Duration: 1 Year

    For Self-Employed Individuals:

    • Minimum Age: 21 Years

    • Income Tax Return Of Minimum 1 Year

    • Minimum Business Duration: 1 Year

  • 3: What are the documents needed to apply for a personal loan?

    The following are the general documents required when applying for a personal loan.

    For Salaried:

    • Aadhaar Card

    • PAN Card

    • Residence Proof: Rent agreement or Utility bills

    • Bank Statement

    • Income Proof: Salary Slips or Form 16

    For Self-Employed:

    • Aadhaar Card

    • PAN Card

    • Residence Proof: Rent agreement or Utility bills

    • Bank Statement

    • Balance Sheet

    • Income Computation

    • Service Tax Registration, License, Registration Certificate

    • Income Tax Returns

    Based on your profile and the guidelines, the lender may request additional documents.

  • 4. Is credit score a factor in personal loan approval?

    Yes, your credit score is an important factor in the loan application process. It is one of the most important factors lenders use to determine your creditworthiness.

  • 5. How can I improve my chances of receiving a personal loan?

    To improve your chances, maintain a good credit score, have consistent income, and provide accurate documentation during the application process.

  • 6. Do personal loans provide any tax benefits?

    Personal loans do not offer any direct tax advantages. However, if you use a personal loan to invest in your business, renovate your home, or fund your education, you may be able to deduct the interest you pay. For more information, please contact your CA or tax advisor.

  • 7. In addition to credit scores, what other factors do lenders consider when approving personal loans?

    In addition to credit score, lenders consider the applicant's age, income, and job stability.