How To Get A Personal Loan With PAN Card And KYC Documents?

You are facing an unexpected expense or need funds for a crucial personal project. You know you need a personal loan, but the paperwork seems overwhelming. The process becomes much simpler with your PAN card and KYC (Know Your Customer) documents ready. These essential documents prove your identity and streamline the application process. In this guide, you’ll learn how to easily leverage your PAN card and KYC documents to secure a personal loan, making your financial journey smoother and more manageable.

A PAN card is crucial when applying for a personal loan, even though the process often requires minimal documentation. The PAN card provides essential information about your financial status and helps the lender assess your repayment ability. Without it, there may be issues or delays in verifying your loan application. While some lenders might waive the PAN card requirement for loans under ₹50,000, this policy varies between institutions. Therefore, having a PAN card streamlines the verification process and avoids potential complications.

While a PAN card for Personal Loans is a must, you also need to submit the following documents:

• Identity Proof: Copies of Aadhaar card, Passport, Driving License or Voter ID card.
• Address Proof: Copies of Aadhaar card, Passport, Driving License or Voter ID card.
• Bank statements of the previous three months.
• Latest salary slips (for two months) or current dated salary certificate along with Form 16.

It would help to have a good credit score when applying for a Personal Loan. A credit score of 750 and above can help you get the loan at a lower interest rate. If not, you can apply for a Personal Loan with a co-applicant.

You can easily apply for a Personal Loan with HDFC Bank either online or offline.

Online method

• Use the HDFC Bank NetBanking portal to apply for a Personal Loan online. It is a simple process that entails easy steps and minimal documentation.
• You can even request a Personal Loan at an HDFC Bank ATM and wait for a representative to call you back.

Offline method

• You can visit your nearest HDFC Bank branch to apply for a Personal Loan. Carry the documents mentioned above to speed up the application process.

To be eligible for a Personal Loan from HDFC Bank, you must meet the following requirements:

• Age: You should be between the ages of 21-60 years.
• Employment status: You must be an employee at a private company, a public sector company, or a state, central, or local government body.
• Monthly Income: You should have a minimum monthly income of Rs. 25,000.
• Work experience: You must have at least two years of work experience, one of which must be with your current employer.

Typically, the main reasons for HDFC Bank to reject your loan application are:

• Low Credit Score: HDFC Bank often rejects personal loan applications if your credit score is below its threshold. A low score indicates high credit risk, which makes you a less desirable borrower.
• High Debt-to-Income Ratio: If this ratio is too high, the bank may view you as financially overextended. HDFC Bank prefers borrowers with a manageable level of existing debt relative to their income.
  
• Insufficient Income: HDFC Bank assesses your income to ensure you can repay the loan. If your income is inadequate or unstable, they may reject your application because of concerns about repayment capability.
  
• Unstable Employment History: A history of constant job changes or gaps in employment can raise red flags for banks. Employment stability is a crucial factor in assessing your loan repayment reliability.
  
• Existing Loan Obligations: If you have multiple existing loans, HDFC Bank may worry about your ability to manage additional debt. High levels of outstanding loans can indicate potential repayment difficulties.
  
• Incomplete Information: Providing inaccurate or incomplete details on your loan application can lead to rejection. HDFC Bank requires accurate details to evaluate your financial status and loan eligibility.
  
• Unfavourable Loan Terms: If your application includes terms that do not meet the bank’s lending criteria, such as high loan amounts or long repayment periods, they might reject it based on these unfavourable conditions.

Applying for a Personal Loan with a PAN card expedites the approval process. It gives the lender confidence in your repayment ability, thus allowing for early loan disbursement. Without this document, the bank may take longer to process your Personal Loan application.

Click here to apply for a Personal Loan using a PAN card at HDFC Bank.

Read more on how to get an instant personal loan without documentation here.

*Terms and conditions apply. Personal Loan at the sole discretion of HDFC Bank limited. Loan disbursal is subject to documentation and verification as per Banks requirement.