As we move towards an economy that is becoming increasingly less-cash, lenders and banks have taken on the task of creating loan products that are paperless and require minimal documentation. Personal loans, that are used to fund a range of an individual’s needs like emergencies, renovations, education or vacations, can now be availed in a paperless fashion.
Personal loans are usually given out as unsecured loans. This means that an applicant need not pledge collateral against the amount raised. For this reason, the approval for a personal loan also depends on the applicant’s credit history and CIBIL score. The credit history becomes even more crucial for the lender when an individual applies for it without any documents. Fortunately, applicants can do a few things in their control for a better chance to get a personal loan without documents.
How to get a personal loan without documents?
To increase the chances of their application for a minimum-document personal loan, applicants can observe these measures-
Maintain a high credit score: Ensure that your credit score does not dip below acceptable levels. A credit score of 750 or above is considered to be healthy in order to avail of a personal loan.
Repay existing obligations on time: If you have an ongoing loan, make sure that you pay all the EMIs on time and do not default. Your financial hygiene will reflect in your credit report and help a lender peg you as a reliable or unreliable candidate for a personal loan.
Build a good relationship with the lender: You can cultivate a good relationship with the bank extending you the loan by paying your dues on time. Such behaviour will help you get a document-less personal loan more easily, along with low interest rates and on better terms.
Advantages of paperless personal loans
Personal loans are unsecured, making them attractive to a wide variety of borrowers. So, when a lender offers such a loan with the requirement of only a few documents, it presents a great advantage to an applicant. Here are some other benefits of paperless personal loans-
Less hassle: Applying for a personal loan is an easy task when frequently visiting bank branches with a pile of documents is eliminated. The process can be completed online, so one does not need to step out at all.
Save time: Because the application process is online and cuts down on the need to process documents, it helps the applicant save precious time. The approval of such personal loan applications is also very quick and can be received within a few minutes. The verification process for the loan also takes very little time.
Information is kept safely: Because of the use of secure technology and a set of safety protocols, the personal and financial information of applicants is kept safely with the lender.
The process of getting a paperless personal loan is incredibly easy and hassle-free on trusted platforms such as Finserv MARKETS. Individuals can apply for such loans on the bank’s website by simply filling out the application form, submitting minimum documentation, getting an e-approval and accepting the bank’s offer.
Personal loans prove to be extremely useful during an emergency, which is why getting them should not be a difficult task for borrowers. As more and more lenders approve paperless personal loans for individuals, funding important personal milestones in one’s life has now been made simple.