How To Apply Aadhaar Card Loan Scheme Eligibility, Benefits & Full Details
In India, many people search for an “Aadhaar Card Loan Scheme” thinking it is a government scheme. There is no direct government loan scheme officially named Aadhaar Card Loan, but Aadhaar is widely used as a KYC (Know Your Customer) document to apply for instant personal loans, small business loans, and emergency loans from banks, NBFCs, and digital loan apps.
This article explains what an Aadhaar card loan is, who can apply, eligibility, documents required, application process, interest rates, and important precautions in detail.
What Is an Aadhaar Card Loan?
An Aadhaar Card Loan is a quick personal loan or digital loan where Aadhaar card is used as the primary identity and address proof. These loans are generally unsecured, meaning no collateral or guarantee is required.
Such loans are offered by:
- Banks
- NBFCs (Non-Banking Financial Companies)
- RBI-registered digital loan apps
- Fintech platforms
Aadhaar enables fast e-KYC verification, making loan approval quicker—sometimes within minutes.
Types of Loans Available Using Aadhaar Card
Using Aadhaar card, you can apply for:
- Instant Personal Loan
- Small Business Loan
- Salary Advance Loan
- Emergency Medical Loan
- Student or Education Support Loan
- Micro Loans (₹5,000 to ₹50,000)
Loan amounts usually range from ₹5,000 to ₹5,00,000, depending on eligibility.
Eligibility Criteria for Aadhaar Card Loan
To apply for a loan using Aadhaar card, you must meet these basic conditions:
- Applicant must be an Indian citizen
- Age: 21 to 60 years
- Must have a valid Aadhaar card linked with mobile number
- Should have a regular income source
- CIBIL score (preferred but not mandatory for small loans)
- Active bank account
Both salaried and self-employed individuals can apply.
Documents Required for Aadhaar Card Loan
Minimal documentation is needed:
- Aadhaar Card (mandatory)
- PAN Card
- Bank account details
- Income proof (salary slip or bank statement)
- Passport size photo
- Mobile number linked with Aadhaar
Some instant loan apps may approve loans without income proof for small amounts.
How to Apply for Aadhaar Card Loan (Step-by-Step)
Step 1: Choose a Trusted Platform
Select a bank, NBFC, or RBI-registered loan app. Avoid unknown or fake apps.
Step 2: Online Registration
Enter your:
- Mobile number
- Aadhaar number
- PAN details
Step 3: Complete e-KYC
Verify Aadhaar using OTP authentication.
Step 4: Upload Documents
Upload PAN card, photo, and bank details if required.
Step 5: Loan Approval
Your loan eligibility is checked instantly using AI-based systems.
Step 6: Amount Credited
Once approved, the loan amount is credited directly to your bank account, often within 10 minutes to 24 hours.
Interest Rate & Repayment Period
- Interest Rate: 10% to 36% per annum
- Loan Tenure: 3 months to 36 months
- Processing Fee: 1% to 5% (varies by lender)
Interest rates depend on:
- Credit score
- Income
- Loan amount
- Repayment history
Benefits of Aadhaar Card Loan
- No collateral required
- Fast approval process
- Minimal documentation
- Online application from mobile
- Useful for emergencies
- Suitable for salaried & self-employed persons
Important Points to Remember (Very Important)
- Aadhaar card alone is not enough; PAN is usually mandatory
- Avoid apps asking for excessive permissions
- Always check lender registration with RBI
- Do not share Aadhaar OTP with anyone
- Read terms & conditions carefully
- Late payment affects CIBIL score
Is Aadhaar Card Loan Safe?
Yes, Aadhaar card loans are safe if you apply through trusted and RBI-approved lenders. Always download loan apps from Google Play Store and check reviews.
Conclusion
An Aadhaar Card Loan is not a government scheme, but it is a convenient way to get instant loans using Aadhaar-based e-KYC. With minimal documents and quick approval, these loans are helpful for emergency needs. However, borrowers must be careful about interest rates, repayment timelines, and fake loan apps.
