A personal loan is a kind of unsecured loan. When I say unsecured, it means that you don’t have to pledge any security to get the loan. A personal loan can be availed for several purposes such as education expenses, buying the newly launched gadget, marriage funding, or any personal need. There are several banks and financial companies that provide personal loan to individuals so that they can achieve their needs. In order to get a personal loan, there are certain things that a lender asks for such as your salary slip, bank statement, ITR statement, etc.
Of all the things, your salary slip is most important because it gives the lender an estimation of monthly income and your repayment capability. But there are some people who can not give any kind of income proof. Such type of individuals can get a personal loan without income proof. These individuals are generally those who are self-employed and can not provide proper income proof. In this article, we will be telling you about how individuals without any income proof can get a personal loan in a hassle-free manner. So keep reading!
Why Income Proof is important while giving a Personal Loan?
As we told you that a personal loan is a kind of unsecured loan and income proof gives an idea about your repayment capability. Without a certain income proof, the risk percentage would increase for the lender that is providing you the loan. There are some lenders in India that do not sanction personal loan without any income proof. But don’t worry, there are some that will give you the personal loan without income proof.
What are the methods by which you can get a Personal loan without any Income Proof?
Pre-approved Personal Loan: If you have a credit card in your wallet with a good repayment history. It means that you always pay your dues on time. Based on your creditworthiness and repayment track, you can get the pre-approved personal loan from the bank without showing any salary slip, bank statement, or any other type of income proof. This is one of the most fantastic methods to get a personal loan without income proof.
High Credit Score: CIBIL score also plays an important role in determining your creditworthiness. If you have a good CIBIL score, then chances of you getting a personal loan without income proof are high. Because your high score indicates that you pay your EMIs on time without any delay. This factor lets the lenders trust on you.
Good Relationship With Lender: If you have a good history with a certain lender, such as always maintaining the minimum balance, having a investment with the same lender, salary account with it, and many more. All these factors can help you in getting a personal loan from that particular lender. The lender is aware of all the things related to you such as your repayment capacity, existing loans, etc.
Getting the loan from NBFCs: When you opt for a personal loan from the Non-Banking Financial Companies, it would be a bit easier to get a personal loan without any income proof as compared to banks. NBFCs are a little soft with the documents requirements. You won’t have to go through a complex application process and your personal loan without income proof will be sanctioned easily.
What are the documents required for Personal Loan?
You can have a look at the list of documents required for a personal loan.
- Duly filled Application Form
- Identity Proof
- Address Proof
- Passport Sized Photographs