How to get a 2 lakh loan using your Aadhaar card in 2025? A step-by-step guide | Mint

Personal loans offer flexible repayment tenures and quick loan disbursement which is a great option if you are looking for urgent funds to cover your sudden expenses for a while. In India, Aadhaar card has proved to be a very important document for availing of financial services. It is a known identity and address proof that makes it easy to apply for personal loans.

A 2 lakh loan on an Aadhaar card is an easy to access financial option for people who need money instantly and without much paper work. Let us understand in detail

Key benefits of loan on Aadhar card

Simplified documentation: Aadhaar card based loans are different from normal loans as they don’t require many documents such as income proof, address proof, and identity proof. Aadhaar is being used as a single document to verify both identity and address by lenders, reducing the need for paperwork.

Digital process: These loans are offered online and provide a completely digital process. This speeds up approvals, eliminates manual intervention and disbursal.

Accessibility: Even those with limited financial documents can get loans on Aadhar card. Hence, if you do not have a regular income source, you can still apply for the loan and meet your financial obligations.

Quick processing: These loans offer faster approvals and disbursals because of the digital application process. This way you can save your precious time effectively.

No collateral required: Loans on Aadhar card are unsecured, meaning you are not required to pledge any assets as collateral.

Eligibility criteria for 2 lakh loan on Aadhaar card

Age: Usually, you are required to be between 21 to 60 years old. In some cases lenders may approve up to the age of 65.

Income: Usually, lenders require a minimum monthly income between ₹15,000 and ₹25,000. It is available to salaried and self employed individuals.

Credit score: A good credit score (in the range of 650-700 or more) makes it more likely that you’ll be approved and get low interest rates.

Employment status: You must be a salaried employee or self employed individual.

Valid Aadhaar card: For verification purpose, Aadhaar card has to be active and linked to the applicant’s mobile number.

Documents required for 2 lakh loan on Aadhaar card

Although the specific documents required may depend on the bank’s policies as well as your overall profile, most lenders require these documents in order to evaluate your eligibility:

• PAN card
• Last 3-6 months bank account statements
• Income proof in case of salaried individuals
• ITR return (for self employed people)

How to apply for a 2 lakh loan on Aadhaar card

Online application: Go to the lender’s website or download their mobile app.

Eligibility check: Check for the eligibility criteria for the loan. You can use an eligibility calculator provided by the lender in order to determine the eligibility.

Document upload: Upload your Aadhaar card, PAN card, and income proofs. Make sure you have linked your Aadhaar with your mobile number for OTP based authentication.

Approval and disbursal: After you submit your documents, the loan is approved. The disbursal takes 24 to 48 hours, depending on the lender.

Things to keep in mind

Interest rates: Personal loans are unsecured, hence, the interest rates will depend on other factors such as credit score, income, credit history and many other factors. Hence, compare interest rates offered by various lenders before choosing one.

Processing fees: Check for processing fees as well as other charges which may levy on the EMI in order to avoid any last minute surprises.

EMI affordability: Calculate your monthly instalment with the help of an EMI calculator and see if it fits in your budget.

Credit score impact: Repaying your loan on time can help your credit score, and missing one or failing to repay can hurt your creditworthiness. Hence, borrow mindfully and only if you really require the loan.

In conclusion, personal loans in general charge higher interest rates as compared to other loans in the market. Hence, evaluate your needs and your financial situation before borrowing a loan. This way you can avoid any financial burden and maintain a healthy credit profile.

(Note: Using a credit card carries its own set of risks)