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How to Apply for an Instant Loan?

05 May 2022
3 minutes

In today’s world, we may come across instances of unexpected expenses. Opting for an instant personal loan is an easy way to tide over this crisis. This form of financial assistance does not involve any collateral but comes with high-interest rates and fees. 

To know how to apply for insta loans, read on!

What are quick loans?

Quick loans is a form of credit that allows you to take a loan in a very short period of time with a minimum number of steps involved. Through this, the borrower can get instant money in their bank account at an interest rate that is competitive with the interest rates charged by other sources of loans.

Quick loans can be helpful in cases of urgent requirements of money such as student loans, making medical payments, some immediate purchases, and marriage-related costs.

However, people can also avail of these loans in cases when they require a one-time payment and wish to repay it back in EMIs such as in the case of going for a vacation, and buying a bike.

Important Things to Know about Instant Loans

Here are some crucial things to know about instant loans before applying for this type of financial assistance:  

  • High credit score

A high credit score (preferably more than 750) will help borrowers to get fast approval. Individuals who maintain a high credit score will also get low-interest rates and favorable repayment terms.

  • Processing fee

Many institutions charge a processing fee while sanctioning a loan. Borrowers can check the charges before applying and take a decision accordingly. 

  • Compare interest rates of different financial institutions 

It is essential to compare the interest rates offered by multiple lenders. It will help borrowers make a more efficient decision that is in line with their repayment capacity.

  • Easy EMI repayments

Many platforms offer easy EMI repayments for instant loans – these allow the borrower to pay back the money in small amounts

  • Minimum paperwork

Unlike traditional bank loans, quick loans involve minimum or no paper requirements and can be availed from the comfort of your home.

  • Free early closure

Some platforms also offer free early closure of the loan i.e. you can repay the amount earlier than the time period you had initially selected, allowing you to not pay any further interest amounts.

Documents Required for Instant loans

Before applying for an Instant Loan, take a look at the list of documents to keep ready in hand. This set of documents may be required to be furnished and uploaded during the process of the Instant Loan application-

  • Proof of address (voter ID card, passport, utility bills, etc.)
  • Proof of identity (PAN card, Aadhaar Card, etc.)
  • Salary Slips of last 3-6 months (for salaried employees)
  • Income statement (for self-employed individuals)
  • Bank statements for the last 3-6 months.

Steps to Apply for an Instant Loan

To get an instant loan, one needs to apply by following the steps given below:

Step 1: Visit the website or mobile app of the lender.

Step 2: Go to the instant loans section.

Step 3: If you are an existing customer, fill out the application form. New users will have to complete the registration process and then fill out the application form.

Step 4: Fill in all the details and complete mobile or e-mail OTP verification. 

Step 5: Fill in the income details and KYC data.

Step 6: Select the loan amount. 

Step 7: Upload the relevant documents.

Step 8: Submit the application form. 

Calculate your Personal Loan EMI here with Groww Personal Loan EMI Calculator

Final Word

An instant personal loan can be beneficial when someone is facing a cash crunch. Individuals opting for instant loans should compare the terms and conditions as well as facilities offered by various lenders before initiating the application procedure. 

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