How to Get a Personal Loan without Salary Slip – A Brief Guide
Personal Loans are unsecured loans wherein applicants do not have to provide any security. Due to this reason, lenders look at other aspects of an applicant’s profile to gauge if their loan application can be approved. One such factor is the applicant’s source of income, which is verified through salary slips. While salaried individuals typically receive monthly salary slips, the same cannot be said of self-employed individuals? If you belong to the latter category, continue reading to understand how you can apply for Personal Loans without Salary Slips.
Here are some ways to get a Personal Loan without salary slips
As a self-employed individual, you would typically work on a contract basis and might not get monthly salary slips. However, you can still produce proof of your income. You can opt for other financial documents like certificates, bank statements, Income Tax Returns (ITR), or Form 16. These documents can help validate your income and assure lenders that you can repay the loan amount borrowed.
Apart from your sources of income, lenders also consider your credit history to determine your creditworthiness and your past credit repayment behaviour. Thus, whether you are self-employed or recently lost a job, try to keep your credit score high. If your CIBIL score is high, a lender will feel more comfortable sanctioning your loan and be assured that you will approach loan EMIs responsibly. Ideally, a score of 600-750 is considered a healthy credit score and can help you easily avail of financial assistance.
Another alternative to get Personal Loan without salary slips is to check if the lender provides asset-backed, secured loans. You can pledge assets like high-value Fixed Deposits, mutual fund units, gold jewellery, or anything else that can display your loan repayment ability. If you pledge your assets, you might get your Personal Loan approved without having requisite income-based documents and may even get a lower interest rate.
Jointly applying for a Personal Loan with a creditworthy individual as a co-applicant can help you avail of a Personal Loan without salary slips. The co- applicant can provide the required income proof documents and a good credit score, which in turn, increases the lender’s confidence while sanctioning the loan. This way, you can get the loan you need to attend to your expenses.
To avail of a Personal Loan without salary slips and income proof documents, you can approach a lender who requires you to meet basic eligibility criteria. Banks with minimal eligibility criteria are more likely to consider your loan application even if you cannot provide salary slips. Most lenders provide these loans online with easy application and minimal, hassle-free documentation processes.
Apply for an instant Personal Loan at digibank, to meet your financial needs.
Download the digibank mobile app on your smartphone. Launch the app and click on the "Get Personal Loan" link on the login page. Also, you can open savings account with us.
*Disclaimer: This article is for information purposes only. We recommend you get in touch with your income tax advisor or CA for expert advice.