How to Get a Personal Loan for Self-Employed Individuals?
There are times in your life where a little push on the financial front could help you achieve your goals easily. These goals can be small or big, personal or professional but could mean a lot in the long run. Personal loans can be very useful in times of need, as they come without a limitation over the usage of the money. They can fund your next business consignment, a getaway to an exotic destination or help you buy something you have wanted since long. Personal loans for self-employed business and personal loans for self-employed are also possible if you can justify a regular income.
Eligibility for personal loans for a self-employed person
The eligibility criterion for all the lenders vary, but there are some common grounds on which the loan is provided. These common grounds are almost same for all the lenders. These common grounds can be:
Age Range: The age limit of an applicant has to be minimum 25 years and maximum 65 years when he/she is applying for the loan.
Stability requirement: The requirement for stability in terms of availing personal loan for self employed is of two years in current occupation/business. If you are self-employed but are not earning through the same/similar sources in the last two years then, there are chances that your loan application gets rejected.
Minimum Profit Exclusive of Taxes: The minimum profit you are making exclusive of taxes is also a point of consideration as it determines your loan repayment capacity. The minimum requirement of the same is 2 lacs per annum for business and 1 lac per annum for any other profession.
Required Documents for Applying for a personal loan for self-employed business or person
The required documentation for personal loans can also vary depending on the lenders, but the major requirements of all lenders are:
● An Identity Proof
● Age proof: birth certificate
● Residence proof: rent agreement, lease agreement, utility bills, passport
● Proof of Income: Audited financial documents two years ago
● Business continuity proof
● Bank Statement of last 6 months
● Address proof of workplace
● Office or rent ownership proof
Modes of applications for personal loan
You must have heard about how loan application processes are full of hassles and complications, but the truth is not the same. Applying for a personal loan is very easy and a rather quick process as compared to business loan or other major loans. There are some ways that can apply for a personal loan for self-employed persons, and they can be:
● Applying through a direct agent of sales
● Online application through the lender’s portal
● Call or email the customer care center
● Visiting the branch office help desk
With the facilities available in the market with lender you can get easy access to loans at attractive interest rates. Apart from the loan amount which you can get easy access to, you can also avail pre-approved offers that can also give you an instant approval on your loan. The process for personal loans for self-employed is simple, requires minimum documentation and flexible repayment tenor. They can really help you in many ways especially when you are self-employed. This is so as it can largely help you in investing in business expansion or getting that skill development course for improving your occupation-related skills. It is always wise to grab the opportunity in front of you, and lack of funds should not stop you. Let personal loans be of help to fulfill your goals.