How to Apply For A Rs. 3 Lakh Loan On Aadhaar Card?

Published on Nov 29, 2024Updated on Apr 23, 2025

How to Apply For A Rs. 3 Lakh Loan On Aadhaar Card?

The traditional offline lending processes for personal loans come with multiple visits to a physical lender branch, heavy paperwork, and lengthy approval times.

Thanks to digital advancements, applying for online loans with an Aadhaar card for identification has made the entire process simpler. As a trusted government-issued identity proof, the Aadhaar card allows lenders to quickly verify your identity, speeding up loan processing. In addition to your Aadhaar, you typically only need to submit minimal personal loan documentation, such as recent bank statements and salary slips for the past 2-3 months.

In this article, we’ll explore the advantages of applying for an INR 3 lakh loan on your Aadhaar card, discuss the general eligibility criteria, and explain how various factors can affect your EMI. We will also outline the typical application process for an Aadhaar-based loan of INR 3 lakhs.

Benefits of an INR 3 Lakh Loan on an Aadhaar Card

Taking out an INR 3 lakh personal loan with an Aadhaar card has several benefits such as:

Flexible Loan Amount

A loan amount of up to INR 3 lakhs can help cover a variety of expenses such as medical bills, home renovations, educational costs, or other personal needs.

Collateral Free Loans

One of the major advantages is that you can get an unsecured personal loan on an Aadhaar card, meaning you don’t need to pledge any assets as collateral. This reduces the risk and makes the loan more accessible to a wider range of borrowers who may not have valuable assets to pledge.

Attractive Interest Rates

Depending on your eligibility and lender policies, quick Aadhaar loans for INR 3 lakhs often come with competitive interest rates, which help lower the cost of borrowing.

Flexible Repayment Tenures

Repayment tenures for INR 3 lakh loans on Aadhaar cards can usually be tailored to suit your financial situation. Generally, lenders offer tenures ranging from 12 to 60 months, allowing you ample time to repay without financial strain.

Swift Disbursal

Using Aadhaar for identity and address verification allows lenders to quickly process your personal loan application. While disbursement processes vary by lender, approved amounts for instant* Aadhaar card loans are often disbursed promptly, sometimes within hours.

Eligibility Criteria for an INR 3 Lakh Loan on Aadhaar Card

The general factors that determine your eligibility for an INR 3 lakhs loan on your Aadhaar card include:

  • Citizenship & Age: You must be a residing Indian citizen and fall within the age range of 22 and 65 (25 if you’re self-employed).
  • Work Experience: Salaried applicants need at least 1 year of experience with a minimum of 6 months at their current job. Self-employed applicants should have a business that is at least 3 years old.
  • Income: The minimum monthly income requirement is INR 20,000 (INR 25,000 for Delhi/Mumbai residents). For the self-employed, the minimum income depends on the annual turnover and the yearly profit before taxes.
  • Credit Score: A minimum score of 750 is required.

*Please note that given above are the basic eligibility requirements. The actual eligibility will depend on several factors including the lender’s policy at the time of loan application.

Interest Rates and Other Charges

Knowing the interest rates and other associated charges on personal Aadhaar card loans can give you a clearer picture of the overall loan cost. Here are the general fees and charges you can expect at SMFG India Credit:

  • Interest Rate: Starts from 13%* per annum.
  • Processing Fee: Up to 5% of the total loan amount + GST
  • Prepayment Charges: 0% to 7%*.
  • Loan Cancellation Charges (Loan Cancelled Before the 1st EMI): Rs. 1000 - 2500

Personal Loan EMI Calculation for an INR 3 Lakh Loan

The EMI (Equated Monthly Instalment) is calculated using the following formula:

EMI= P X R X (1+R)N

            (1+R)N-1

Where:

  • P = Principal loan amount
  • R = Monthly interest rate, set by the lender (Annual rate ÷ 12)
  • N = Loan tenure in months

For example, with an interest rate of 13% per annum and a 5-year tenure (60 months), the EMI for an INR 3 lakh loan would be approximately INR 6,826.

You can use a personal loan EMI calculator to explore how different tenures and interest rates impact your monthly payments. It is important to factor in additional costs such as processing fees and your existing expenses for sound financial planning.

How to Apply for an INR 3 Lakh Loan on Aadhaar Card

Applying for a personal loan of INR 3 lakhs using your Aadhaar card as identification generally involves the following steps:

  1. Research and Compare: Start by researching different lenders to find one that offers the most favourable terms for your needs.
  2. Check Eligibility and Gather Documents: Ensure you meet the lender’s eligibility criteria and prepare any required documents.
  3. Complete the Application: Fill out the online application form with the necessary information and submit it along with your documents.
  4. Await Verification: A representative from the lender may contact you to verify details and discuss the next steps.
  5. Receive Funds: Once approved, the loan amount will be disbursed directly to your account.

Personal Loan Application Process

Here are the steps to kickstart your loan application journey with SMFG India Credit:

  1. Provide Basic Details

Enter your mobile number, PAN, pincode, and employment type (salaried or self-employed).

  1. Verify Your Mobile Number

Confirm your mobile number by entering the 6-digit OTP that was sent to you.

  1. Fill in Personal Information

Proceed to add details such as your email address, date of birth, gender, and annual household income. Don’t miss verifying your email ID.

  1. Submit Employment Details

Salaried individuals are required to provide their employment information.

  1. Upload Bank Statements (For Salaried Individuals Only)

Kindly upload your bank statement or share it via Net Banking or an Account Aggregator. This will allow us to generate a loan offer.

  1. Verify Your Identity

Take a selfie and complete verifying your identity and sharing your address details through CKYC, Offline Aadhaar XML-based KYC, or DigiLocker.

  1. Provide Bank Account Details

Submit your bank account details for verification.

  1. Input Additional Details

Following bank account verification, go to the 'Additional Details' section to provide marital status, loan purpose, father’s name, and mother’s maiden name.

  1. Set Up Re-payment Mode and E-NACH

Select your desired re-payment method (debit card or internet banking) and finalise the E-NACH setup.

  1. Review, Sign, and Validate the Loan Agreement
    Carefully review the loan agreement, digitally sign it to acknowledge terms and conditions, and validate it using the OTP sent to your registered mobile number to finalise the process.

Get one step closer to your aspirations with these easy personal loan application steps from SMFG India Credit.

Conclusion

Applying for an INR 3 lakh loan using your Aadhaar card for identity verification is a quick and convenient way to access funds without the need for collateral or extensive paperwork. Choose a lender that offers favourable terms, such as competitive interest rates and flexible repayment options. Carefully compare different options to make an informed decision and ensure that the loan aligns with your financial goals.

For those seeking financial support for personal or business needs, SMFG India Credit offers personal loans up to INR 30 lakhs* at interest rates starting from 13%* per annum. Besides your Aadhaar card, we only require a few essential documents to make the application process stress-free. Apply online or visit your nearest branch for more information.

* Please note that this article is for your knowledge only. Loans are disbursed at the sole discretion of SMFG India Credit. Final approval, loan terms, disbursal process, foreclosure charges and foreclosure process will be subject to SMFG India Credit's policy at the time of loan application. If you wish to know more about our products and services, please contact us

FAQs

What is an INR 3 lakh loan on an Aadhaar card?

An INR 3 lakh loan on an Aadhaar card is an unsecured personal loan where an Aadhaar card acts as identity proof, allowing for easy verification that can speed up loan processing.

How long does it take to get approval for an INR 3 lakh Aadhaar card loan?

You can usually get an initial decision on your application within minutes* of applying online. The subsequent verification, final approval, and disbursement are subject to your eligibility and lender policies. Offline applications may require a longer processing time.

Are INR 3 lakh Aadhaar card loans secure and reliable?

Yes, loans provided by reputed, RBI-registered lending institutions are secure and reliable, with Aadhaar ensuring secure identity verification for smooth and safe processing.

Can I get more than one INR 3 lakh loan on an Aadhaar card?

Yes, you can apply for multiple INR 3 lakh loans using your Aadhaar card, provided you meet the eligibility criteria, maintain a good credit score, and demonstrate sufficient repayment capacity.

What happens if I default on an INR 3 lakh Aadhaar card loan?

Defaulting on an INR 3 lakh Aadhaar card loan can harm your credit score, incur penalties, and, in severe cases, lead to legal action depending on the lender’s policies.

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