According to a February 2020 report, the personal loan market increased by as much as 20%, year-on-year. The need for quick and convenient funding is driving more Indians towards personal loans.
Some lenders in the country also provide an instant loan without documents to eligible applicants, further increasing convenience of these credits.
Nevertheless, to stand a chance of availing document-free credit, one needs to maintain an impressive CIBIL score, along with additional factors.
Important things to remember for loans without documents
Maintain a healthy relationship with a lender
Applicants with a history of borrowing from their chosen NBFC may find favour when it comes to limiting document requirements. If one has previously availed credit and repaid the same on time, he/she is much more likely to acquire subsequent loans without documents.
Contrarily, those who fail to repay their dues on time may disrupt their relationship with lenders. Availing an instant loan without documents, in such cases, can be tricky. Thus, it is crucial to maintain cordial relationships with the lender in question.
Hold a good credit score
For any loans, NBFCs check an applicant’s credit rating without fail. It is a good indication of an individual’s creditworthiness and ability to service dues on time. A borrower must have sufficient CIBIL score for a personal loan to stand a chance of approval. However, higher scores than the minimum requirement can offer increased benefits for applicants.
For instance, if one has a credit rating above 750, financial institutions may extend easy loans without documents to them. Additionally, such individuals can also avail loan at favourable terms.
Look for NBFCs with instant personal loan facilities
While there are several lenders in India, only a handful of reputed financial companies offer instant loan without documents. A potential borrower should apply for a personal loan to these NBFCs since other companies may involve a convoluted application and disbursal process.
Apart from following these tips, borrowers must also know what affects their personal loan approval. Before application, they must visit the official website of their lending institution and check the eligibility criteria thoroughly.
Showing a high income for an instant loan without documents
Besides the CIBIL score, applicants’ monthly or yearly income also plays a role in determining whether they are eligible for personal credit. Thus, individuals who can show a higher income may avail a 1 lakh loan without documents. Financial companies are more likely to extend credit to an individual who earns sufficiently to repay it within the stipulated tenor.
Step-by-step personal loan application procedure
Applicants must remember that KYC documents are mandatory for all loans. Therefore, one would need to provide at least identity and address proof to avail such credits.
A borrower can follow the application procedure mentioned below –
- Step 1: Search for the NBFC of your choice and navigate to its official website
- Step 2: Find the personal loan section and click on it
- Step 3: Fill up an online application form, detailing your personal information, employment details and income data.
- Step 4: Pick your personal loan principal or the loan amount
- Step 5: Choose a suitable tenor, depending on how much monthly repayment liability you can bear without overstraining your finances.
- Step 6: Attach necessary documents, which should include KYC documents without fail.
- Step 7: Submit your loan application and wait for approval.
Keep in mind that instant loan without documents may only be available to existing customers. Moreover, individuals who know how personal loan applications are processed may find availing such loans more convenient.
Bajaj Finserv is one of the reputed NBFCs, offering instant approvals on Personal Loans. Eligible applicants can look forward to the loan disbursement in just a few hours after approval.
The company also provides pre-approved offers to ensure simplicity in the loan application process, while making it time-saving. These offers are available on a range of financial products, including personal loans, business loans, etc. You can check your pre-approved offers by providing your phone number and name.
When looking for an instant loan without documents, ensure you meet the eligibility criteria. One can consult lenders directly to inquire about these factors in detail.