Lender banks provide personal loans only when the applicant meets the eligibility criteria and submits documents like income and address proof. However, some lenders also disburse online Loans without proof of income. It demands a thorough preparation and presentation of alternative evidence showcasing the financial stability. It involves various avenues to secure a Personal Loan, even without conventional income proof.
Features & Benefits:
Below are the features of a Personal Loan:
- No end usage restriction.
- Loans up to INR 40 lakh can exceed this amount, depending on the lender’s discretion.
- Repayment tenure is up to 5 years, with some banks/NBFCs offering longer tenure.
- Minimal Documentation.
- Quick Disbursals.
- Applicants with excellent credit profiles may also qualify for pre-approved/pre-qualified personal loans with instant disbursal.
- Affordable interest rates.
- There is no need to pledge any asset to apply for a personal loan.
Things to be considered before Applying for a Personal Loan
- Credit score: Credit score is considered to be a reflection of the repayment history and is one of the most important factors considered by lender banks. Therefore, one should check his/ her credit score before applying for a personal loan and apply only when he/ she has a healthy score.
- Repayment ability: One should borrow a loan amount that can be easily repaid without falling into the debt trap. To know your repayment ability, make a list of other EMIs and expenses, evaluate your debt-to-income ratio and then buy a loan amount accordingly.
- Calculate your EMIs: Before you apply for a specific loan amount, with the help of a Personal Loan EMI Calculator, know the EMIs that you would be paying each month towards the loan amount. This will again stop you from buying more than you can repay
- Compare and apply: One must also compare interest rates, loan amount and other fees and charges offered by various lenders on a personal loan and choose the one that suits your requirements at its best
Steps to Apply for a Personal Loan
Mentioned here are some easy steps to be followed in case of non-salaried applicants:
- Income From Other Sources
In case an applicant wants to have other sources of income that can boost his/ her repayment capabilities, apart from salary income, bring them forward at the time of the loan application. Applicants can present alternative sources like rental income, parental or spouse income, and interest income from investments.
- CIBIL Score
A credit score of 685 or more showcases an applicant’s creditworthiness. It will help you get approval without proof of income and safeguard affordable personal loan interest rates.
- Guarantor or Co-Applicant
Applying for a loan with a guarantor or a co-applicant increases the chances of approval of the loan. Also, it increases the chances of getting a higher amount of loan approved with favourable interest rates as the lender bank will consider the co-applicant’s repayment ability as well.
- Relationship with Lender
If the applicant holds savings or a current bank account with the lender and transacts through such accounts frequently, it builds trust with the lender bank and improves the chances of getting a 1 lakh or 5 Lakh Loan without Income Proof.
Interest Rates
To avail of an instant personal loan without documents, mentioned below are the interest rates to be charged:
| Particulars | Charges |
| Loan Amount | Up to INR 12,76,500 |
| Interest Rate | 13% to 38% p.a. |
| Tenure | 6 months to 63 months |
| Disbursal | 30 minutes to 4 hours |
Documents Required
Mentioned below is the list of documents required to be submitted with the loan application:
- PAN Number
- Aadhar Card linked Mobile Number for KYC Verification
- Selfie
- Based on the applicant’s profile, address proof, bank statement, or other supporting documents might be required
- Income Proof includes:
- Bank statement for the last 3 months
- Address Proof includes:
- Aadhar Card
- Indian Passport
- Voter ID
- Driver’s License
- Utility Bills
Eligibility Criteria
Mentioned below are the eligibility parameters that are to be met in order to apply for a personal loan without income proof:
- An applicant’s minimum age should be 21 years.
- An applicant’s maximum age should be 57 years.
- Income should be directly credited to the applicant’s bank account.
- If the salary is received in cash, the applicant will become ineligible to avail of the loan.
- The minimum CIBIL score required is 600 or above, and the Experian score should be 650 or above.
- In the case of salaried applicants, the minimum income should be INR 13,500.
- In the case of self-employed applicants, the minimum income should be INR 15000.
How to Apply for an Instant Personal Loan without Income Proof
Mentioned below are the steps to apply for an instant personal loan without income proof:
Step 1: An applicant is first required to open the official website of the lender bank or download the app.
Step 2: Submit the personal details to check the eligibility within 2 minutes.
Step 3: Choose the instant loan offer and repayment plan of your choice.
Step 4: Upload all the documents required online.
Step 5: The loan amount will be directly disbursed into the applicant’s bank account within 24 hours.
Different Ways to Get Instant Personal Loan without Salary Slip
Mentioned are some of the ways to get an instant personal loan without a salary slip:
- Provide Alternate Proof of Income
If an applicant does not have a salary slip, other documents can still serve as alternate proof of income. Income Tax returns, bank statements or even an income certificate will resolve the purpose.
- Have a Good Relationship With the Lender
If the applicant and the lender bank have a good professional relationship, in that case there is no need to provide a salary slip.
- Have a Good CIBIL Score
If the applicant’s score is above 750 but he/she is unable to provide a salary slip, the lender bank may still offer him/ her a loan.
- Apply for a Secured Loan
While applying for a loan, an applicant can offer to provide collateral as security. This reduces the lender’s risk, and the lender may then offer a loan without a salary slip.
- Apply with a Co-applicant
In case an applicant is not able to furnish a salary slip or proof of alternate income, he/ she can apply with a co-applicant.
- Apply from a Lender Who Requires Minimal Documentation
An applicant can also get a personal loan from a lender bank that only requires minimal documentation and may not require a salary slip.
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