Aadhaar Card Loan

What is a Personal Loan on Aadhaar Card

Aadhaar Card is a crucial document used for identity and address verification when you apply for a personal loan. Banks, NBFCs and digital lenders use your Aadhaar while onboarding you as a consumer to verify your identity and address. Since Aadhaar is a digital identity linked to your mobile number, it is used by financial institutions for e-KYC (electronic Know Your Customer) or digital verification, through OTP. In some cases, lenders also need a self-attested copy of your physical Aadhaar card for documentation and physical verification.

Documents Required to Submit During Aadhaar Personal Loan Application

Aadhaar Card cannot be a standalone eligibility document for loan approval. Here are the other documents required by lenders for the loan application process:

PAN Card, Passport, Voter ID Card for identity and address proof.
Salary slips of the last 3 months, bank statements of the last 6 months, ITRs and Form 16 for income proof for salaried applicants.
Audited balance sheet, P&L statements, etc, for income proof for self-employed applicants.
Employment details, such as offer letter and business details, such as certificate of incorporation for salaried and self-employed individuals, respectively.

Instant Personal Loan through Aadhaar Card

Aadhar Card allows most banks, NBFCs and fintech lenders to verify your identity and address for instant personal loan applications. For instance, IndusInd Bank (a Paisabazaar partner) offers an instant personal loan wherein no physical documents are required. The applicant needs to keep the PAN number and Aadhaar number handy to get started with the online application process. This is also useful for faster disbursal of pre-approved offers.

Aadhaar Card Loan Eligibility Criteria

Credit Score	750 or above preferred
Age	18 to 60 years
Income	Minimum net monthly income: Rs 15,000
Work Experience	Minimum 6 months to 1 year

Fees & Charges for Aadhaar Card Loan

Fees/Charges	Description
Processing Fee	0.5% to 4% of the loan amount, capped by some lenders Most lenders (such as SBI, PNB, Central Bank of India) provide a 100% waiver on processing fees to defense sector employees and pensioners.
Stamp Duty Charges	As per actuals
Duplicate NOC	Usually around Rs 300-Rs 500
Prepayment or Foreclosure Charges	Usually 2% to 5% on the principal outstanding for fixed-rate loans; NIL for floating rate loans
Document Retrieval charges	Usually around Rs 500
Penal Charges on Late or Missed EMI Payments	Usually 2% to 3% per month on EMI overdue. Some banks (such as HDFC Bank) provide a grace period of around 3 to 7 days, during which late EMI payments may not incur charges.
Loan Cancellation Charges	Usually around Rs 3,000
Loan Statement Charges	Up to Rs 500 per statement
Repayment Mode Swap Charges	Around Rs 500 per transaction
Documentation Charges	Around Rs 500
GST	Applicable @ 18% to all processing fees and charges

Considerations When Using Your Aadhaar Card for Applying Personal Loan

For OTP verification, your mobile number should be linked to your Aadhaar Card.
Use only trusted/reputable marketplaces or lenders registered with the RBI.
Watch out for fake personal loan apps asking for Aadhaar Card and other important document uploads.

FAQs on Aadhaar Card Loan

Can I get a loan on an Aadhaar card only?

You cannot get a personal loan based on only your Aadhaar Card. Lenders may ask for income proof and other supporting documents to determine your personal loan eligibility.

How much of a personal loan can I get on my Aadhaar card?

Lenders usually provide personal loans of up to Rs 40 lakhs based on your credit score, monthly income, occupation profile, etc.

Is a co-applicant necessary for a personal loan on an Aadhaar card?

Co-applicants are usually not necessary for a personal loan on Aadhaar Card. However, it depends on the lender’s policies.

Can I get an Aadhaar Card loan online for Rs 50,000?

Your personal loan eligibility for Rs 50,000 will be evaluated once you submit your online loan application using your Aadhaar Card and if you meet the lender’s eligibility criteria.