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Guide · 5-min read

Loan Application Guide

What to prepare, what to expect, and how to improve your odds — explained in plain English. This is educational information, not financial advice or an offer of credit.

The process, step by step

  1. 1
    Know your numbers

    Use the EMI calculator and eligibility checker to understand what you can afford and roughly how much you may qualify for.

  2. 2
    Compare your options

    Look at loan types, indicative rates, tenures, and fees. The lowest EMI is not always the cheapest loan once you add fees and total interest.

  3. 3
    Check your credit report

    Get your free credit report (CIBIL/Experian/Equifax/CRIF). Fix errors and clear small dues before applying.

  4. 4
    Gather your documents

    Keep the document set below ready as clear scans or photos to avoid back-and-forth.

  5. 5
    Apply with the right lender

    Apply where your profile fits. Multiple hard enquiries in a short window can lower your score.

  6. 6
    Verification & sanction

    The lender verifies your details, may do a field/credit check, then issues a sanction letter with the final rate, fees, and terms.

  7. 7
    Read, then sign & disburse

    Read the sanction letter and Key Fact Statement carefully. Once you accept, funds are disbursed to your account.

Documents you'll typically need

Identity proof

PAN card (mandatory), plus Aadhaar, passport, voter ID, or driving licence.

Address proof

Aadhaar, utility bill, rent agreement, or passport.

Income proof (salaried)

Last 3 months’ salary slips and 6 months’ bank statements.

Income proof (self-employed)

ITR for 2–3 years, business proof, and bank statements.

Photographs

Recent passport-size photos.

Asset documents (secured loans)

Property papers, gold valuation, or vehicle quotation, as applicable.

Exact requirements vary by lender and loan type. LoanSathi does not collect these documents on this website.

Tips to get approved faster

  • Maintain a credit score of 750+ where possible.
  • Keep your debt-to-income ratio low — clear small loans first.
  • Provide complete, accurate, and consistent information.
  • Avoid applying to many lenders at once.
  • Add a co-applicant or collateral if your profile is borderline.
Calculate your EMI → Check eligibility → Compare loan types →
Transparency disclosure

What loans actually cost

LoanSathi is an independent loan-comparison and education service — we do not lend money and we do not decide your rate. The figures below are illustrative ranges across our partner lenders so you can understand the true cost of borrowing before you apply anywhere. Your actual rate, fees, and eligibility are set by the lender based on your profile.

Repayment period
3 – 360 months

Min 3 months (short-term & gold loans) to max 360 months (home loans).

Representative APR
10.5% – 24% p.a.

APR includes interest plus typical fees. Lowest rates go to high-credit, secured borrowers.

Typical fees
1% – 3% + GST

Processing fee. Some lenders add documentation, prepayment, or late-payment charges.

Representative example (illustrative)

If you borrow a personal loan of ₹1,00,000 over a 24-month term at a representative 14% p.a. (reducing balance) interest rate, with a 2% + 18% GST processing fee (₹2,360), you would pay a monthly EMI of about ₹4,802. Total interest over the term is about ₹15,248, so the total amount repayable is about ₹1,17,608 (principal ₹1,00,000 + interest ₹15,248 + fees ₹2,360), giving a representative APR of about 17.5%.

This example is for illustration only and is not an offer of credit. Actual interest rate, APR, fees, EMI, and eligibility vary by lender, loan type, amount, tenure, credit score, and income. Always read the lender's sanction letter and Key Fact Statement before signing. Terms & conditions apply. See our disclaimer.

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