Having access to quick funds in times of financial emergencies can be a lifesaver. While applying for and getting large loans from banks and other financial institutions can be time-consuming and might require extensive paperwork, getting a small PAN card loan of ₹50,000 on the basis of your Permanent Account Number can be relatively easier.
In this blog, we will explore the step-by-step process for getting a hassle-free personal loan of up to ₹50,000 using your PAN card as identity proof.
Step-by-Step Process to Get a ₹50,000 Loan on PAN Card
Follow these key steps to get a personal loan of up to ₹50,000 on your PAN card:
Step 1: Check Your Eligibility
The loan provider will first verify your eligibility to avail a PAN card loan of ₹50,000. The key criteria may include:
- You must be an Indian citizen.
- Your age is between 21 and 60 years (may vary lender by lender).
- You must have a valid PAN card issued in your name.
- Ensure the name on your PAN card matches the name on your other KYC documents.
- You should show proof of a steady source of income to repay the loan.
Please note that eligibility criteria differ across banks and lending institutions.
Before applying for a PAN card loan of ₹50,000, check the specific requirements of your chosen lending institution's eligibility criteria.
Step 2: Pick a Financial Institution
Do some research and compare interest rates and other charges applicable to PAN card loans offered by different financial institutions. Banks, Non-banking Financial Companies (NBFCs), fintech companies, etc., all offer this facility. Pick a loan provider that suits your needs.
Step 3: Apply Online or Offline
The lending company offers an easy application process that can be completed online via a website/app or offline by visiting the nearest branch. Fill out the application form and submit your Know Your Customer (KYC) documents, including a copy of your PAN card and proof of income/employment.
Step 4: Get Loan Provider Verification
The financial institution will verify the details you submitted in the application form along with your PAN card copy. This is generally done electronically by checking databases like CIBIL, NSDL, etc.
Step 5: Secure Loan Approval
Once your PAN and other details are verified, the lender will approve your loan application if you meet their eligibility criteria. You will get to know the loan approval amount and other terms & conditions applicable.
Step 6: Submit Additional Documents (if required)
Some loan providers may ask for additional documents, such as bank statements and address proof, for enhanced due diligence. If asked, submit them for quick disbursal.
Step 7: Read the Terms and Conditions Carefully
Before accepting the loan, read T&Cs like interest rate, processing fees, repayment schedule, foreclosure charges etc. carefully. Accept the offer only if you are comfortable with the terms.
Conclusion
Any PAN cardholder may apply for a PAN Card loan ₹50,000 quite efficiently. Once you select the right financial institution, getting the loan becomes simpler. Remember to be very careful with your loan terms and manage your repayments properly to build a good credit profile.
