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Introduction

There will be situations where you need instant cash because of an emergency, but you don’t want to ask relatives or friends for cash on the same day. In the circumstances like car repair, medical bills or purchasing a newly launched smartphone, you are desperately waiting for where you require instant money.

If you knock on any bank door for a regular loan, it will take 3 or more days to process submitting some verification documentation. You don’t have time to wait for loan approval and go through the tedious approval process, so what is the solution for this? A personal loan on the same day is the remedy for this problem. Let’s understand in detail.

What is a Personal loan on the same day?

The same day loan comes under the type of unsecured personal loan. In this type of loan, you get access to funds instantly after submitting your application. You don’t have to go through the headache process of credit checking. But here, you have to encounter a high-interest rate because of the short term loan type compared to regular personal loans. The loan is approved within one business day, and it is collateral-free. This type of loan is helpful for those individuals who don’t want to borrow money and undergo a credit checking process.

What is the Purpose of the Same day loans?

The most crucial purpose of same-day loans is to fulfil individuals’ financial needs in the short term. People mostly opt for this type of loan to meet their everyday expenses such as vehicle repairs, medical bills, minor renovations or repairs in the house, etc. Because of the nature of the loan, lenders do not need to check the applicant’s credit history. Also, the personal loan on the same day is not a part of the traditional lending structure of the financial system.

What are the Eligibility criteria to get a Personal loan in one day?

It takes seconds to check the eligibility criteria online and a less tedious process of getting a personal loan in a day.

If you wish to opt for a personal loan on the same day, you need to tick off this checklist, including 5 main checkpoints, to know if you are eligible for the same.

1) Age: The age limit for applicants must be a minimum of 18 years and a maximum of 65 years old.

2) Residency: Applicant must be a resident of India.

3) Salaried or Self-employment status: The applicant should be a salaried or self-employed person who must have a steady monthly income of a minimum of ₹10,000.

4) Must have a Saving account that is operational and transactions are going on.

5) Applicants must have professional stability, reflected in their work, and should not have a negative repayment history.

What are the document requirements for getting the Same day Personal Loan?

These are the following documents which need to submit for getting a personal loan on the same day. Sometimes you need to submit extra documents, varying from lender to lender.

Gather the following documents before applying for the personal loan:

1) Dully fill out the application form provided by the lender with passport size photos.

2) ID proof like Aadhar Card, Voter ID Card, PAN Card, Passport and Driving license.

3) Address proof like Utility bills such as water or electricity bill, Ration Card, Driving license, Aadhar Card, Voter ID Card, PAN Card and Passport.

4) Income proof of last 3 to 6 months i.e. salary slips, Form 16, and IT returns of last 1 year.

5) Additional documents if required by the lender.

How does the process of approval and disbursal take place?

The approval time of the personal loan on the same day takes place under a few hours after the application is submitted or sometimes under one minute. Sometimes approval time varies from lender to lender.

Nowadays, you can apply for the same day personal loan online, visit the bank or place a request through phone banking. Once the lender gets the required documents for a personal loan, the requested fund is transferred to your bank account on the same business day.

The lender may ask for basic documents to verify identity, address and income etc. These need to be submitted on the same day. The loan amount is determined based on your application details and the repayment capacity of the loan by the lender.

The personal loan on the same day comes with a high-interest rate, so it is the borrower’s responsibility to pay off the loan within the shortest possible time. Because otherwise it will become costly and a burden on your outflow from your pocket.

Here is a step-by-step process of loan approval and disbursal:

1. Loan application submitted by the borrower.

2. The lender goes through the application and verifies details of identity, income and address proofs. This step is skipped for pre-approved loans.

3. Once all required documents are verified, the loan amount is disbursed and transferred to the bank account directly.

4. The loan repayment tenures are flexible and decided between lender and borrower and can be extended.

5. The applicant will pay off EMIs like regular loans.

4 common FAQs regarding the personal loan on the same day

1. Is an unemployed person eligible for the same day loan?

1. Some banks/lenders give special offers for the unemployed to benefit from the personal loan on the same day.

2. The terms and conditions may differ for a regular salaried person.

2. How will the applicant get approval for the day loan?

1. Due to digitalisation, an applicant can get funds on the same day online through an app or query through phone banking.

2. Verification(Mail Verification) is done online due to Pandemic, even for VKYC.

3. Instead of face to face customer meetings, there is the solution of Video KYC implemented by RBI.

3. Do I have to give a guarantee for repayment of a personal loan on the same day?

The personal loan on the same day is unsecured, so you don’t have to give collateral as a guarantee.

4. Can I get a massive amount of money as a loan through same day loans?