Finance

What Personal Information Is Needed When Applying For A Loan?

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Once you analyze your situation and you find out that you need a loan, the next thing is to find a suitable lender. You’ll have to sit down and discuss parameters with the lending institution, such as Lending Bee, so that you can find out whether they’ll give you a loan or not and what the fee will be.

When you start the loan application process, you should be ready to answer several questions. Also, the lender will require you to fill out a form and surrender several documents. For many first-timers, the process can be quite intimidating if they do not know what documents they need to have during loan application.

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So here is what you should carry the next time you’re applying for the loan. 

Proof of identity

No lender, regardless of how nice they can be, wants to give out loans to ghosts. Therefore, while you fill out the form, the firm will require a document with your photo to prove your identity. The documents should indicate your name, gender, age, and appearance.

It could be your voters’ ID card, passport, Driving License, or your State Issued ID. Note that this varies depending on your state or lender’s laws.

You should also take a passport size photo with you. Make sure that it’s a current photo of you. 

Residence Address proof

Your lender needs to know that they are not giving out their money to a homeless person. Therefore, some lenders will require you to provide your home’s physical address, different utility bills, passport, rental and lease agreement, insurance for your home, and a ration card.

And note that it should be your current home address. 

Income proof

You, as the borrower, need to show that you are capable of paying the amount. Thus, the lender will want you to indicate whether you are self-employed or employed.

For employed borrowers, lenders such as https://www.lendingbee.com.sg will demand that you submit a payslip for three months and a bank statement for three months.

Note that individuals who have been employed for less than two years may need to provide a letter from the Human Resource Department of your current employer. Some lenders also ask for your employer’s contact information.

If you are a self-employed individual, the lender will ask you to provide a bank statement of your current and savings account for the last one year. They will also ask that you submit tax returns report for two year 

Why you need the loan

As you fill out the form, the lender will ask you to state why you need it. Make sure you indicate how much money you’ll need, and how long it should take you to repay that loan. 

Final words

Ensure to carry all these documents as you look forward to submitting your loan application. If you miss any of them, you may delay the process, which could be disastrous if you are in a desperate situation. You can also inquire from the lender before so that you can have them ready.

Also, make sure that the information you provide is accurate. Lenders want to feel that they are loaning out their money to someone who will pay it back.

About the author

Deepak

After working as digital marketing consultant for 4 years Deepak decided to leave and start his own Business. To know more about Deepak, find him on Facebook, LinkedIn now.

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