While applying for a personal loan, banks ask you to submit proof of identity and address as part of the Know Your Client (KYC) process. In this case, the most important document is the Aadhaar card issued by the Unique Identification Authority of India (UIDAI), which is a government-recognized identification document that contains your name, address, date of birth, photograph, and biometric data.
Applying for a personal loan using Aadhaar card is quick and easy as banks can capture your details through the e-KYC process. This digital method ensures faster loan approval and reduces paperwork. A personal loan is a loan offered by banks and NBFCs to meet urgent financial needs without any collateral.
People actually take out this loan to meet wedding expenses, home renovation, education, medical emergencies. Usually, banks ask customers for documents like identity proof, address proof, income proof etc. while applying for a personal loan. However, using Aadhaar card increases its validity and helps in quick verification.
Recently, many banks and fintech companies are offering Aadhaar-based instant personal loans, and loans ranging from ₹10,000 to ₹2 lakh are easily available. For example, platforms like PhonePe, Google Pay, NoBroker InstaCash, Credmudra etc. offer this service.
Select a lender Select an Aadhaar-based loan provider
Visit the app or website
Fill the application and enter your Aadhaar number and employment details
Complete the KYC process
Submit the application and the money will be credited to your account after the loan is approved
Age: Minimum 21 to 55 years
Income: Minimum ₹12,000 – ₹15,000 monthly salary
Credit score: 700% or better
Employment: Can be private, government or self-employed
Experience: Minimum one year
Aadhaar card
PAN card
Last 3 months salary slip
Bank statement
Photo
NEREGA card or other KYC proof
Start the application: Visit the official website of your bank or open their mobile app and select the ‘Personal Loan’ section.
Login/OTP Authentication: Log in to the mobile app. The authentication process is usually done through OTP.
Fill in the application details: Enter the loan amount, tenure and other necessary details that you want to avail.
Upload documents: Aadhaar card for identification and address proof
PAN card: After this registration, the bank will digitally verify your Aadhaar and PAN details through e-KYC for loan verification.
Application Evaluation and Approval: After verification of your documents, the bank will evaluate your application. If all is accepted, the loan will be sanctioned.
Loan Disbursement: The loan amount will be transferred directly to your bank account.
