How To Get A Personal Loan Without PAN Card – Forbes Advisor INDIA

From funding an international trip, planning your wedding to renovating your house, a personal loan can be a lifesaver when you require a heavy sum of cash immediately. However, securing a loan can often be a tedious process that requires a lot of documentation. Of these documents, a very important ID is a PAN card, also called the permanent account number, issued by the Government of India.

While it is common knowledge that a PAN card is mandatory to secure a loan, many people still do not own a PAN card. But the good news is, one can still secure a personal loan from various money lenders without a PAN card. If you are one of these people, then this guide is for you.

Eligibility Criteria For Online Loan Without PAN card 

Before you apply for a personal loan, it is important to understand the eligibility criteria of securing a personal loan without a PAN card. 

1. You must be over 18 and below 65 years of age.
2. Your minimum in hand income must be INR 13,500/- in case you are employed. 
3. Your minimum in hand income salary must be INR 15,000/- in case you are self-employed.
4. Your salary must be credited directly to your bank and must reflect in your bank statements.
5. With a credit ratings perspective, your CIBIL score should not be less than 600 and your Experian score should not be less than 650.

Documents Required For Online Loan Without PAN card

If you have cleared the eligibility criteria, you should start collecting the documents. While the list of documents required varies from case to case, here is a list of the fundamental documents you would require while applying online for a personal loan without a PAN card.

1. Identity proof such as driving license, Voter’s ID, Aadhar card or passport. 
2. Address proof such as passport, aadhar card or utility bills.
3. Income proof such as salary slips and/or bank statements of three months that reflect the credited salaries.
4. Alternate KYC documents like an Aadhar card that is linked to your mobile number.
5. High definition selfie against a white background resembling a passport photo.

How to Apply for Online Loan Without PAN card

If you are ready with your documents, here’s how you can apply for a personal loan online:

• Step 1: Check whether you fit in the eligibility criteria as mentioned above.

• Step 2: Search for loan offerings and lending criteria by various money lenders.

• Step 3: Compare the loans by various money lenders on the basis of processing charges, rate of interest and tenure period.

• Step 4: Select your money lender and start an application for a personal loan through their official website.

• Step 5: Choose the preferred loan amount, select the repayment period and upload all the documents.

• Step 6: On approval of your loan, your loan amount will be credited to your bank account.

Things to Remember While Applying for a Personal Loan Without a PAN Card

It is not a difficult process to secure a personal loan without a PAN card, however there are things to remember while applying for one. Here is a list of important checks you must do before taking a loan.

1. Many money lenders provide unsecured personal loans which can potentially be of interest to many applicants. However, it is important to verify the authenticity of the money lenders or the financial institution.

2. Ensure that your lender has a reputation of a transparent and seamless process of lending money. You can do this by checking reviews of fellow borrowers online.

3. While you can receive a personal loan without a PAN card, you may be able to secure a higher loan with a lower interest rate if you quote your PAN card. If you do not have one, you can easily apply online or seek help at an  e-mitra store.

4. Remember to submit all the official and verified documents. Incomplete or false documentation may result in delays or the rejection of your loan application.

5. Maintain a high credit score to ensure your loan is approved. Complications in your loan history or with the banks might delay the process of approval or may even result in rejection.

6. Finally, after you receive your loan and initiate the repayment, ensure that you maintain a consistent record of repayment transactions. This will prove beneficial in place of quoting the PAN card.