You all must be well aware of Paytm, but do you also know about Paytm Loan. Probably not, that’s because Paytm is a hugely popular mobile payment and financial technology company. And you must have used it at one time or another to make payments, recharge, pay bills, etc. apart from making purchases. Because it also provides an e-commerce platform. Through this, any person can make instant payments to anyone from their bank account, and regularly, crores of customers take its services and pay their various bills sitting at home.
But recently Paytm company has started the facility of giving Paytm loans to its customers in collaboration with some finance companies. However, for this, the company has prescribed eligibility criteria, minimum loan amount, maximum loan amount, etc. Therefore, Paytm Loan does not mean at all that it will be available to all the people applying, but only those who meet their eligibility criteria.
If you are also considering taking a loan keep in mind your financial needs. And you do not understand from which bank or financial institution it can be appropriate to take a loan. So first of all it is important to know about their eligibility criteria, your financial requirements, interest rates on the loan, repayment time of the loan, processing fee etc. This is the reason that through this article we are trying to give all the information about Paytm Loan.
What is a Paytm Loan?
The personal loan provided by mobile payment company Paytm, in which the company is providing a loan of at least Rs 10000 and a maximum of 2 lakhs, is Paytm Loan. The company claims that you can apply for a loan from Paytm in just a few minutes while sitting at home with a sip of tea. However, it requires different types of details like KYC details, business details, bank account details etc.
Benefits of Paytm Loan
There can be many benefits of taking a loan from Paytm, some of them are as follows.
- If you are doing any business, then Paytm offers to open a current account.
- You do not need to visit banks for the loan application, you can apply for Paytm Loan even with a cup of tea from your home.
- The borrower gets viable options to track his loan application.
- You can customize the passbook according to you.
- Borrowed money can also be credited to the borrower’s Paytm bank account.
- Tracking transaction reports are also possible.
- Entrepreneurs can promote their business on Paytm.
- Pre-qualified loans for merchants to expand their business.
- Flexible loan repayment process.
- Offers cash discount on advance payment.
- Such individuals or merchants who have already taken Paytm Loan, and have paid it on time. Next time they may be eligible for a higher loan amount.
Eligibility for Paytm Loan
Before you apply for Paytm Loan, check your eligibility based on the eligibility criteria given below.
- The age of the applicant applying for the loan should be minimum of 25 years and a maximum of 60 years.
- Salaried employees related to any professionals who work in a government or private organization company like doctors, architects, professors etc. can apply for Paytm Loan.
- The minimum monthly salary of the applicant should be Rs 25000 or an annual income of at least Rs 5 lakh.
- Having a credit score of more than 750 marks can be very beneficial for the applicant.
- The applicant applying for the loan should have at least 2-3 years of work experience, though it will depend on the loan amount and the position of the bank.
- A maximum of 65% of his annual income can be given to the borrower in the form of a Paytm Loan.
What are the documents required for Paytm Loan?
Documents are required to confirm whether the applicant is eligible for Paytm Loan or not. The following documents are required by a person doing his own business.
- PAN card
- Address proof, identity proof and birth proof are required as KYC documents.
- residential proof
- income proof
- Bank statement of last six months
- office address proof
- Proof of running the business
Salaried employees may require the following documents.
- residential proof
- Identity Proof like Passport, Driving License, Voter ID etc.
- PAN card
- Bank statement of last three months
- Salary slip of last three months
- two passport size photographs
How to Apply for Paytm Loan
- First of all download and install the Paytm app on your smartphone.
- After that type Personal Loan in the search button in the Paytm app. After that click on it to proceed.
- After that, the next page will open which will ask you about the loan amount, here you will have to fill the loan amount from ten thousand to two lakh.
- After selecting the loan amount, you will also have to choose the repayment time, in how many months you will repay that loan.
- When you have selected all this, you are asked to start the loan application, you can proceed by clicking on that option.
- After that, you have to complete the KYC process by going to your nearest KYC center to take Paytm Loan.
- When the KYC process is completed, the Paytm representative will proceed with the loan application and start the lending process.
- And when the submitted documents are verified and approved, your loan amount is sent to the given bank account.
Charges on Paytm Loan
The charges applicable on the Paytm loan are as follows.
- Processing fee and GST thereon separately.
- In case the borrower delays in providing the monthly installation, he will also be liable to pay a late fee.
- Bounce charges may also be levied on the option of auto-debiting EMI instalments from bank accounts if chosen.
When Paytm Loan is approved, the amount sent to the borrower’s account is sent after deducting the processing fee and the amount of GST levied on it. And its GST invoice is sent to the borrower’s email id.
What documents will be provided at the time of loan to the borrower
Following is the list of documents to be given by Paytm on behalf of the lenders to the customers while giving loans to the customers and closing the loan account.
- The welcome letter at the time of loan activation.
- Loan agreement at the time of loan activation.
- The EMI repayment schedule will also be given during Paytm Loan activation.
- Statement of loan account.
- GST invoice for the charges you have paid.
- No Objection Certificate at the time of closing the loan account.
Q. How much loan will I get from Paytm?
Ans. You can take a loan from Rs 10000 to Rs 2 lakh from Paytm.
Q. How much interest will have to be paid on Paytm Loan?
Ans. The interest rates change from time to time, so you will see the interest rate as you choose the EMI timing etc. during the loan application.
Q. Where will Paytm send the loan amount?
Ans. The sanctioned loan amount will be credited to the bank account selected by you during the application.