Following the buzz of ‘Go Cashless’, ‘Go Paperless’ has become the next popular catchphrase. When realized it should bring about a reduction in processing time and effort in the lending system. Both banks and NBFCs have adapted to smarter banking methods through digital transition.
By applying for loans and credit cards online, applicants not only would benefit from a process of easy discovery of loan products but also ease in application.
From the trends that we are seeing paperless banking is bound to be more than just a buzz word, with consistent efforts from banks who have transitioned to provide end to end digital experience to their customers to even declaring a World Paper Free Day (November 4th).
So, the day is not far before we get to apply for a home loan entirely online i.e. through a digital interface. This article would get you ready for the same.
The Past and the Present
A home loan had been a distant dream to many people in India due to unending terms and conditions and huge volume of paperwork for a loan application.
Previously, after successfully identifying a property, you need to approach a bank to apply for the home loan. Before the application, you need to gather all your personal documents, income proofs and property documents to submit to the banker. After the careful verification, the lender will let you apply for the home loan. All the processes are done manually without the intervention of technology.
The home loan issuer will do a background verification on the applicant and the property on which you have applied for the loan. The loan processing might take weeks before you get the result of your application.
If there are any error on your data such as spelling mistakes, incorrect information, mismatch of signature etc, your home loan application is very much likely to get rejected. Moreover, applying once again becomes a tedious process, and can impact your credit score too due to multiple hard enquiries.
Paperless Home Loans
There are so many financial service providers like CreditMantri who have made the application process simple, with just click of a button. The new method allows you to apply for a home loan from wherever you are. The process is simple as you do not have to fill any physical application form. All you need to do is to enter your personal details online. In most cases, you only need to select an appropriate option from the list of choices. If you are an existing customer with a bank, the process is a lot simpler when you apply on the bank’s official website.
After filling up the application form, you will have to upload the scanned documents which will be processed for verification. This reduces a significant time when compared to submitting the documents to the bank’s representative. After quick processing, the results are delivered immediately on your home loan approval.
As the entire process is done online, there is no need to visit the bank and submit the documents manually. Moreover, you do not have to be afraid of losing the data as each detail is stored online safely.