PAN Card Loan: Did You Know? Get a ₹5 Lakh Loan with Just Your PAN Card!

In today’s digital era, the PAN (Permanent Account Number) card has evolved from being just an identity card to a vital tool for financial credibility. Issued by the Income Tax Department of India, a PAN card is now essential for major financial transactions, including personal loans.

Why PAN Card is Crucial for Loans

Today, linking a PAN card to your bank account is mandatory. It simplifies the Know Your Customer (KYC) verification for banks and lending institutions. When linked with your Aadhaar card, it enhances both the authenticity and security of your identity—making it easier to get personal loans.

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What You Need to Get a Loan Using PAN Card

To avail a personal loan of up to ₹5 lakh using your PAN card, you need:

• A valid PAN card and Aadhaar card (linked to each other)
• Address proof (Aadhaar, Passport, Driving License, or Voter ID)
• Last 3 months’ bank statements
• Salary slips for the past 2 months or Form 16 (if employed)

If the documents are in order and your PAN-Aadhaar are linked, the loan amount can be credited to your account within 24 hours of approval.

Key Features of PAN Card Loan

• Quick online application: Fill out a basic form on the lender’s official website.
• Instant approval: Complete your e-KYC using your PAN card.
• Minimal documentation: Only PAN and Aadhaar are typically needed.
• Flexible EMI options: Repayment tenure ranges from 6 to 96 months.
• Multiple lender choices: Compare interest rates and terms across various banks.

How to Apply for a PAN Card Loan

1. Choose a bank or NBFC offering loans against PAN card.
2. Visit the official website and click on ‘Apply Now’.
3. Enter your mobile number and verify with OTP.
4. Fill in your personal details – Name, PAN number, DOB, Pin code.
5. Select loan type, amount, and repayment tenure.
6. Submit your KYC documents and finalize the application.

Eligibility Criteria for PAN Card Loan

• Must be an Indian citizen.
• Age should be between 21 and 60 years.
• Should have a valid PAN card and a good credit score.
• Must have a regular income (salaried or self-employed).
• Debt-to-Income (DTI) ratio should ideally be below 40%.

Example: If your monthly income is ₹50,000 and existing EMIs total ₹28,000, your DTI is 56% — which may reduce loan approval chances.

Where Else is PAN Card Useful?

Apart from personal loans, a PAN card is essential for:

• Paying income tax
• Buying/selling property over ₹5 lakh
• Vehicle transactions
• Applying for a credit card
• Opening a bank account
• Investing in shares or bonds above ₹50,000
• Renting or leasing property
• Starting an online business