Instant Cash Loans in India: Solve Your Financial Needs

Unpaid grocery bills, WiFi charges, utility bills piling up? Medical emergencies, unavoidable house repairs, child’s education, need to pay off existing debt, a rather quick wedding on cards; cash crises can arise anytime. Thanks to instant cash loans in India that can fund cash crises for almost anything and everything. True to its name, one can apply for an instant cash loan 24X7 in India. With quick approval and disbursal, you can enjoy the credit of an instant cash loan in 1 hour in your account.

Features And Benefits of Instant Cash Loan in 1 Hour

Short term loans with flexible repayment tenure: 

Instant cash loans are short term loans. They have a flexible repayment term. The maximum repayment tenure is capped at five years.

Low principal amount:

Instant cash loans are designed to address small urgent cash needs. Borrowers can avail credit of principal amount up to Rs. 5 lakh.

Unsecured loan:

Instant cash loans are collateral-free loans. They can be availed without mortgaging an asset.

No end-use restriction: 

Instant cash loans can be used for any purpose without submitting an end-use certificate.

Convenience: 

One can apply for instant cash loans 24X7 in India. This makes the loan application process convenient.

Same day disbursal: 

Instant cash loans are approved and disbursed quickly. Some lenders disburse an instant cash loan in 1 hour.

Completely Digital: 

Apply for instant cash loans online through the completely digital loan application process.

Paperless: 

As the process to avail of an instant loan is wholly digitalised, it is paperless, requiring no loan application and supporting documents.

Saves time: 

Apply for instant cash loans online and save time spent on visiting the lender personally.

Eligibility Criteria for Instant Cash Loan in 1 Hour

As instant cash loans are unsecured loans, borrowers must meet the eligibility conditions to avail of the credit.  The eligibility conditions include:

• The borrower must be 18 and 65 years of age
• Indian citizen
• Salaried individual
• Minimum take home salary above Rs. 15,000
• Credit score above 700 points
• Must be the resident of Tier I and Tier II cities
• Active social media account (Facebook)

Documents Required to Avail Instant Cash Loan in 1 Hour

Prospective borrowers who are eligible for instant cash loans must submit the following documents. The images of these documents are to be uploaded on the lender website or on the phone application. If required, the lender can ask for the original hard copy of the same before approving the loan. The documents include:

• PAN Card
• Address Proof: The image of any one document can be uploaded as address proof.
  • Aadhaar Card
  • Voter ID Card
  • Utility Bills
  • Driving License
  • Passport
• Identity Proof: Image of any one document can be uploaded as identity proof
  • Aadhaar Card,
  • Voter ID Card,
  • Driving License,
  • Passport
• Income Proof: Latest salary slip and one year bank account statement

Fees and Charges for Instant Cash Loans

Like any other loan, an instant cash loan also attracts a few charges. While different lenders will levy different charges, the broadhead under which they are charged is the same for all lenders.

The applicable charges on the instant cash loan account will be mentioned in the loan agreement. It is important to read through the fine points to be aware of the quantum of charges under each head before you proceed with the loan.

The fees and charges for instant cash loans are:

1. Processing fee: This is the fee to process the loan. It is typically levied as a percentage of the principal amount. It usually ranges between 3-5% of the loan amount.

2. Interest Charges: This is the rate of interest at which the loan is available. It is the cost of the loan and impacts the EMI value directly. Therefore, it is important to choose a lender who charges a lower rate of interest. Interest rates on instant cash loans start from 10% p.a.

3. EMI bounce charges: This is the penalty fee charged on missing an EMI payment. This is an absolute amount ranging between Rs. 300-1000 charged for every EMI missed.

4. Penal interest: In addition to EMI bounce charges, a penal interest levied as a percentage is charged as a penal interest until the time the defaulted EMI instalment is repaid. It is typically charged at 2% per month but varies from lender to lender.

5. Online Convenience Fee:  Some lenders may also charge an online convenience fee. This is charged for creating an online loan account with a unique login ID and password.

6. Foreclosure Charges: Borrowers have an option to foreclose their instant cash loan account before the loan term ends. Lenders may charge foreclosure charges for the same. It is usually a percentage of the outstanding principal amount.

7. Prepayment Charges: Borrowers also have the option to prepay a part of the loan. This reduces the outstanding principal amount and also leads to a dip in the interest cost. The EMI value is recalculated again with the balance outstanding. Lenders may levy prepayment charges to make these adjustments. It is usually a percentage of the prepaid principal amount.

8. Duplicate Statement Charges: While the borrower can download the loan statement from the lender App free of cost, to get a hard copy of the same, a fee for a duplicate statement is charged. This is invariably around Rs 250-300 per request.

How To Apply For An Instant Cash Loan?

Instant cash loans are easy to apply. Borrowers who wish to apply for an instant cash loan must follow the following steps:

Step 1: Choose the lender

Several online digital wallets and reputed banks, and non-banking financial companies offer instant cash loans. Choose the lender carefully. If you have a good relationship with your banker and also have a good credit score, opt for a loan from the existing banker by negotiating a better deal. Be aware of the rate of interest and other charges that the lender proposes to levy.

Step 2: Download App:

To apply for an instant cash loan online, download the mobile application relevant to the lender. The application is to be downloaded on the Smartphone through Google PlayStore for Android phones and AppStore for iOS phones.

Step 3: Complete Registration Process and Setup App:

Install the App on the Smartphone using the App navigation process. Complete the registration process and complete the application setup.

Step 4: Select Credit Limit:

Select the loan amount you wish to avail yourself of. Please note the available loan limit is linked to your monthly take-home salary.

Step 5: Set Loan Tenure:

Once the loan limit is approved on the basis of eligibility, you’ll be asked to select the loan period for which you wish to take the loan. The EMI value for the corresponding loan term will appear on the screen. You can make changes to your loan term or principal value until you reach the desirable EMI value.

Step 6: Upload Documents: 

New borrowers will have to upload images of PAN card, address proof, ID proof, income proof. Those existing customers of the bank who have a good credit score are credited the loan amount instantly. For new borrowers, the lending company will evaluate the applicant profile. Once it is approved, the loan gets disbursed into the savings bank account linked to the App or App wallet itself within 1 hour.

Frequently Asked Questions:

✅What fees and charges are applicable on instant cash loans?

Fees and charges on instant cash loans are charged under the following heads.

1. Processing fee:
2. Interest Charges:
3. EMI bounce charges:
4. Penal interest:
5. Online Convenience Fee: 
6. Foreclosure Charges:
7. Prepayment Charges:
8. Duplicate Statement Charges:

✅Who is eligible for an instant cash loan?

To qualify for an instant cash loan, the borrower must be:

• between 18 to 65 years of age
• Indian citizen
• salaried individual
• have minimum take-home salary above Rs. 15,000
• have a credit score above 700 points
• reside in Tier I or Tier II city
• have an active social media account (Facebook)

✅Can I get an instant cash loan without documents?

Existing bank customers can get instant cash loans without documents. However, loans for new customers are approved after minimum documentation.

✅What are the documents required for an instant cash loan?

New customers are required to submit the following documents to get an instant cash loan. These include:

• PAN Card
• Any one document as address proof, namely  Aadhaar Card, Voter ID Card, Utility Bills, Driving License, Passport.
• Any one document as identity proof, namely Aadhaar Card, Voter ID Card, Driving License, Passport.
• Latest salary slip and one-year bank account statement as income proof

✅ Do I have to upload the documents every time I apply for an instant cash loan?

No, documents are uploaded only the first time you apply for a loan. Once the user is registered and the documents have been verified, they will remain on record for subsequent loan requests.

However, if the borrower keeps applying for loans from different lenders, documents have to be uploaded for every loan request. 

✅Will EMI bounce on instant cash loans taken from online mobile wallets affect my CIBIL score?

Like any other loan, a PAN card is mandatory for availing instant cash loan too. The PAN card number is unique for every tax-paying individual and is registered against your name in official government records. Every financial action initiated against your PAN card will have a bearing on your CIBIL score.

✅Can I share documents for instant cash loans through email?

No, you cannot share documents for an instant cash loan through email. Instant cash loans operate through Smartphone Applications. Therefore, the documents are to be uploaded on the respective links in the App itself.