To apply for a housing loan successfully, you need to submit “home loan ke liye documents” that establish your KYC compliance. The documents also show the antecedents of the home that you want to buy, your income background and other aspects based on whether you are a salaried or self-employed applicant.
What is Know Your Customer (KYC)?
It is a compulsory process to verify the identity of a customer who is seeking a participant service of a financial institution. The service provider carries out the KYC procedure.
Likewise, you need to undergo the KYC process with the lending institution before availing of a loan from it. You can prove your KYC compliance by producing home loan documents required for salaried or self-employed (as per your category) to the lender.
What is the Importance of KYC?
According to the 2016 notification of the Reserve Bank of India, all regulated entities, generally financial institutions, need to carry out a number of customer identification processes before starting a transaction. Therefore, Know Your Customer is regulatory compliance for customers.
KYC is important because it helps assess any risks involved with customers. It also evaluates their legal implications and whether they meet the requirements specified in the Anti-Money Laundering Laws. The purpose of KYC is to every customer’s unique identification to help minimize fraudulent activities like money laundering.
Also, Read – Guide To Register For ENACH
What Documents are Required for a Home Loan?
Whether you want to check the documents required for a home loan transfer or a new loan altogether, they differ from one lending bank to another. So, after choosing a reputed bank and ensuring to meet the eligibility criteria for a home loan from the bank, remember to visit its official website and check all the documents needed for the loan.
Depending on whether you are a salaried or self-employed applicant, the required documents can again vary (to some extent). First, consider checking whether the bank offers home loans to both these categories. Then go ahead to arrange the necessary documents for the application process.
Generally, home loan documents required for salaried are:
- Fully filled and signed application
- Identity and residence proofs (KYC) like Voter ID card, PAN card, Aadhar, Job card issued by NREGA etc.
- Income proofs like the latest Form 16, last 2 months’ salary slips, and last 3 months’ bank statement
- Property documents (unless you haven’t finalised a property)
Usually, home loan documents required for self-employed individuals are:
- Fully filled and signed application
- Identity and residence proofs
- Income proofs like 6-month bank statement, last 2 income returns, last 2 years’ B/S (with schedules) and P&L accounts, etc.
- Property documents (if you’ve finalised a property)
Self-employed non-individuals must submit:
- Fully filled and signed application
- Identity and residence proofs like MOA or AOA of company, copy of GST registration, PAN card, etc.
- Income proofs and property documents same as those needed from self-employed individuals
Whether it comes to documents required for a home loan transfer or a new housing loan, make sure to submit valid documents to apply successfully for the loan.
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