A Personal Loan is an unsecured loan. It is issued primarily based on your credit score, income, age and other criteria. These days, most banks and NBFCs offer instant personal loans through their website or mobile app. 

With Aadhaar based e-KYC becoming widely accepted, borrowers can apply and get a loan instantly. Aadhaar KYC is being recognized and accepted by almost all banks and NBFCs to ease the loan process. This allows individuals to use their Aadhaar number as a single document for identity proof, address proof and age proof, thus simplifying the documentation process for a personal loan. 

How Do I Use My Aadhaar Card To Apply For A Personal Loan?

Personal loans are now being conveniently applied online. Here is a step-by-step guide on how to apply for a personal loan using your Aadhaar card: 

Visit the bank’s website or use their mobile app to look for personal loan products. 
Usually, banks will have multiple personal loan products. Choose the one that best suits your needs and click on ‘Apply Now’.
The first step is usually to give your personal details like name, contact details, age and income particulars
The next step usually requires you to enter your PAN details and Aadhaar number. Enter your Aadhaar number here. 
You may be required to accept the condition for the banker to extract information from the UIDAI database to confirm your KYC. Once you select ‘ACCEPT’, your application shall be processed. 
The screen will now give your approved loan amount, interest rate, repayment tenure and the monthly EMI. 
You can either accept the terms and conditions here and move ahead with the loan processing. Or you can request a callback from a bank executive for further steps. 
Either way, your loan application is almost complete and it is only for you to accept the loan terms and wait for the amount to be credited into your account. 

That is how simple it is for you to get a personal loan with just your Aadhaar card. 

Also Read: Apply Online For An Instant Personal Loan

What are the Advantages of Applying For A Personal Loan Using an Aadhaar Card?

One of the key benefits of using your Aadhaar card to apply for a personal loan is the reduction of unnecessary documentation. 

  • Personal loans, being unsecured loans, require a lot of documents for identity proof, address proof and age proof. By going for Aadhaar based KYC, you don’t have to submit separate documents for all these. 
  • Reduces loan processing time by days. Usually, hard copies of documents need to be submitted by the applicant and an in-person verification used to be conducted to verify the veracity of the documents. This would usually take a few days resulting in a delay in the processing of loans. With Aadhaar based KYC, this step is eliminated and your loan is disbursed much earlier. This puts the much-needed loan amount in your hands faster. 

Does My Aadhaar Card Have Any Effect On My Personal Loan Eligibility?

The Aadhaar card only serves as a document to process your loan application. It does not have any bearing on your personal loan eligibility. It may help establish your identity and age, but other than that, it neither improves or reduces your chances of getting a personal loan. 

Here are some basic eligibility criteria for a personal loan:

Personal Loan Snapshot

Minimum and Maximum Age

  • The minimum age is 21 years and the maximum age is 65 years.
  • A few banks mandate 23 years as the minimum age.

Loan Amount

  • The loan amount can go up to Rs. 50 Lakhs.
  • The eligibility factor depends on your net monthly income. 
  • The loan amount is fixed at 10-27 times your net monthly income, in most cases.
  • Many banks ensure to offer only a maximum loan amount of no more than Rs. 25 Lakhs.

Net Monthly Income

  • The required minimum income level is Rs. 10,000 for the semi-urban & rural areas; Rs. 15,000 for the metro cities.
  • Note: The income criteria may differ with banks and some banks may require a higher minimum income for personal loans.
  • Salaried individuals are required to show their income proof to establish their stable income.

Employment Type

  • The salaried, as well as the self-employed individuals are eligible to avail this loan.
  • The salaried individuals working in well-known organisations tend to have an advantage, thanks to their job security and stable incomes.
  • Some of the self-employed professionals like doctors and chartered accountants stand a chance of getting a higher loan, thanks to their high incomes.

Existing debts and liabilities

  • The more debts and liabilities are in your name, the less are your chances of borrowing a loan.
  • Your existing EMIs will decrease the lenders’ confidence in your ability to repay your loan, which in turn, may lead to loan rejections.

Minimum Work Experience

  • The salaried individuals should have been employed for a minimum period of two years, out of which, he/she should have been working with the current organization for the last one year.
  • In the case of self-employed individuals, their enterprise should have been running for at least three years, out of which, they should have earned profits in the last two consecutive years.

Credit Score for Personal Loan

  • A minimum credit score of 650 or above is required.
  • A credit score of 750 is considered to be perfect.


A personal loan is easy to avail, with no collateral or security. Individuals can get up to Rs.50 lakhs personal loan based on their income and credit score. Your Aadhaar card number serves as a verification document enabling a quick online KYC verification and loan approval processes. Most banks and NBFCs insist on the Aadhaar card as a required document to process any loan. So, whether it is an online or offline application, you will require your Aadhaar number for quick loan processing. 


FAQs How To Get A Personal Loan Using Your Aadhaar Card

  1. Is an Aadhaar card a must to get a personal loan?

Aadhaar card cannot be classified as a mandatory document to get a personal loan but having one enables to fasten up the loan processing process. 

  1. Should the address on my Aadhaar card and my current address match?

It is better if the addresses match. If not, you will be required to give additional documents for address proof. 

  1. Can I get a personal loan without a PAN card?

If you don’t have a PAN card, you can submit other proofs like Aadhaar card, bank documents and so on. 

  1. Can I get an instant loan using my Aadhaar card?

There are many instant loan apps that will process a personal loan with your PAN card and Aadhaar card details. You can read more about such loans on this page – Instant Loans – Benefits & Features. 

  1. Is an Aadhaar card only for online personal loan applications?

No, an Aadhaar card is required for both online and offline loan applications.