Cash loans can be one of the most convenient ways to source money for some personal requirement. Personal loans of small amounts can meet any unforeseen expense that you may not have budgeted for. It can help you plan your dream vacation, purchase your favorite car, fund your wedding, and much more. Since personal loans can be taken without collateral, you don’t have to constantly worry about repayments and have the threat of your belongings taken away looming on your head. Now that the government has allowed NBFCs and banks to issue small cash loans on Aadhar cards, you don’t even need to produce a variety of different documents to apply for a loan.

In today’s time, many online and offline lending institutions provide personal loans of small amounts on Aadhar cards and require minimal documentation to approve your loan. Besides government banks and NBFCs, you will also find a variety of online platforms and apps which can provide you a small cash loan on Aadhar card only.

How to get small cash loans on an Aadhar card?

Small cash loans are offered by a large number of online and offline lending institutions. The process of getting a loan from an offline source or NBFC is:

  • Visiting the bank in person to enquire about the loans available.
  • Procuring the application forms required to be filled in by the borrower.
  • Submitting the application form with all necessary documents as requested by the bank.
  • Wait for the bank to process these documents, check credit scores, and the eligibility of the borrower.
  • The money will be deposited by the bank after the loan application has been approved.

Some people may prefer taking a small cash loan on an Aadhar card from online lending institutions such as Navi. In recent times, COVID has made it extremely risky to visit banks in person due to the threat of infection. Additionally, banks take a long time to process all documents and transfer the loan amount. Online cash loans are faster and do not require your physical presence. If you want to take a loan from an offline source, here are the steps you must follow:

  • Navigate to the website or all of the lending institutions of your choice
  • Check your eligibility on the online lending platform
  • Select your desired or preferred loan scheme among various selections
  • Fill in a virtual application form to request a loan
  • Submit all required documents in soft copies online
  • Wait for the lending institution to approve your application and transfer the loan amount.

No matter which option you choose, you need to be mindful of all the stipulations that come with a personal loan when you take a small cash loan on an Aadhar card. Make sure you are well versed with current market rates so that you don’t end up paying a high-interest amount for no reason. You can take a look at the current market rates as of January 2022 to see the range of interest rates that popular banks and NBFCs are currently offering both online and offline.

Benefits of Getting Small Cash Loan

Many people have this misconception that taking personal loans is a tedious and complicated process. However, with all the options available today, it is extremely easy to get a small cash loan on an Aadhar card at any time that you may require. Since both online and offline banking sources can issue personal loans of small amounts, you can easily find the perfect loan scheme that won’t be a financial burden for you. If you are still unsure of getting small cash loans, take a look at these benefits that come with it:

1.  Fast processing

For a small cash loan on an Aadhar card, the processing time is significantly lower than what it takes to apply for loans of a larger amount. Since the documents required are minimal, the processing time gets cut down and you can receive your money within a few days.

2.  Minimal documentation required

Cash loans of small amounts do require a lot of documents to judge your eligibility. A small cash loan on an Aadhar card is offered by all lending institutions with the addition of only payment proof and KYC documents.

3.  No collateral is necessary

A small cash loan on an Aadhar card will not require you to pledge your assets or properties as security. You won’t have to fear losing all your valuable properties in case you are unable to meet the repayments on time.

4.  Loans on low credit score

Credit scores are extremely important when it comes to getting loans approved by a bank or NBFC. A good credit score will easily get you the loan you want. However, with lower credit scores, it becomes difficult to get loans approved. A small cash loan on an Aadhar card is also offered to people with lower credit scores to avail of a loan.

5.  Low-interest rates

Small loans take comparatively less time to be repaid. This means you will be able to get very low-interest rates on these loans. The tenure and rates are kept reasonable so that people do not shy away from availing of loans. If you have a good credit score, you may be given a low-interest rate and your borrowing limit might be high as well due to your maintained credit score.

6.  Easier management

A small cash loan is easier to manage than other forms of debt such as multiple credit cards. The small cash loan shall have a fixed payment and a lower interest rate than other debts and hence it is easy to manage.

7.  Loan for versatile uses

The small cash loan on Aadhar card can be used for any purpose that you feel like and in any emergency. You can pay for utilities, medical uses, travel, electricity bills, mobile recharge, or anything else.

Taking a small cash loan on Aadhar card will be a great help for people who need cash as fast as possible. Since the processing time is low and documentation is minimal, you can get the required funds transferred to your bank account in no time. The lucrative interest rates are also a great plus point of availing small loans. Since there are various banks and NBFCs which offer loans, you will find a loan scheme that will be ideal for your financial situation.