How to apply for a loan on PhonePe
What's the story
PhonePe, India's leading digital payments platform, lets users apply for loans directly from its app.
The service is designed to make the loan application process easier than ever.
You can complete the whole process within the app itself, without any physical documentation or branch visits.
Here's how you can avail loans via PhonePe.
Initial steps
Accessing the loan feature
To start the process, users have to open their PhonePe app and tap the "View All" button in the 'Loan' category appearing on the home screen.
This will take them to a page where they can select a loan best suited for them.
PhonePe offers loans in these categories: Bike, Car, Education, Home, Property, Gold, and loan against Mutual Funds/shares.
The app lets users modify the loan amount, change loan duration, number of installments, daily installment amount, and more.
Information submission
Providing personal details
After choosing an appropriate loan category and lender, users have to enter their personal details and accept terms and conditions.
Once done, PhonePe's lending partner will perform KYC verification and policy checks.
After they have been successfully completed, you can review your loan details and personal information before going further.
The next step is about setting up a mandate to automate payment of any pending installments or penalty charges that may incur due to insufficient settlements. This ensures timely repayment.
Agreement acceptance
Reviewing and accepting the loan agreement
The last steps of the loan application process on PhonePe include reviewing the loan agreement and Key Fact Statement (KFS).
After going through these documents, users have to tap "Continue" to accept the terms of the loan agreement.
Once that's done and their application is approved by the lending partner, it may take up to 48 hours for the approved loan amount to be credited into their bank account.