Finance Training of Cashlify PDF

WELCOME TO THE FINANCE TRAINING OF CASHLIFY  TYPE OF LOAN There are several types of loans available, each serving different financial needs and purposes. Here’s a breakdown of the most common types: 1. Personal Loans Purpo...

WELCOME TO THE FINANCE TRAINING OF CASHLIFY  TYPE OF LOAN There are several types of loans available, each serving different financial needs and purposes. Here’s a breakdown of the most common types: 1. Personal Loans Purpose: For personal expenses like medical bills, home renovations, or vacations. Secured vs. Unsecured: Usually unsecured, meaning no collateral is required. Repayment: Typically fixed monthly payments over a specified term. 2. Home Loans (Mortgages) Purpose: To purchase or construct a home. Secured vs. Unsecured: Secured against the property being purchased. Repayment: Long-term with fixed or variable interest rates. 3. Loan Against Property Purpose: Loan given against property Secured vs. Unsecured: secured Repayment: Long-term with fixed or variable interest rates. 4. Auto Loans Purpose: To purchase a vehicle (car, motorcycle, etc.). Secured vs. Unsecured: Secured against the vehicle being purchased. Repayment: Typically 3 to 7 years with fixed interest rates. 5. Business Loans Purpose: To fund business activities such as expansion, inventory, or capital expenses. Secured vs. Unsecured: Can be either, depending on the loan amount and business assets. Repayment: Can be short-term or long-term, with various interest rates. 6. Instant Personal Loan Purpose: Loan taken for instant personal or business use given without any income proof Secured vs. Unsecured: unsecured Repayment: 2-3 years repayment time  PERSONAL LOAN When applying for a personal loan, lenders typically require various documents to verify your identity, income, and financial stability. Here’s a list of common documents that are generally required: 1. Identity Proof Documents: Passport, Driver's License, Voter ID, Aadhaar Card, PAN Card, or Government-issued ID. Purpose: To verify the applicant’s identity. 2. Address Proof Documents: Utility bills (electricity, water, gas), Passport, Aadhaar Card, Ration Card, or Rental Agreement. Purpose: To confirm the applicant’s residential address.  PERSONAL LOAN 3. Income Proof For Salaried Individuals: ○ Documents: Recent salary slips (usually last 3 to 6 months), Form 16, and the latest bank statements showing salary credits. For Self-Employed Individuals: ○ Documents: Income tax returns (ITR) for the last 2-3 years, Balance sheet and Profit & Loss statement, bank statements for the last 6-12 months. Purpose: To verify the applicant’s income and financial stability. 4. Employment Proof Documents: Employment certificate, Offer letter, Appointment letter, or ID card from the current employer. Purpose: To confirm the applicant’s current employment status. 5. Photographs Documents: Recent passport-sized photographs. Purpose: Required for identification and documentation purposes.  PERSONAL LOAN 7. Age Proof Documents: Birth certificate, PAN Card, Passport, Aadhaar Card, or Voter ID. Purpose: To confirm that the applicant meets the minimum age requirement for loan eligibility. 8. Signature Proof Documents: PAN Card, Passport, or a signed check. Purpose: To verify the applicant’s signature for loan agreement purposes. 9. Loan Application Form Documents: The completed and signed loan application form. Purpose: To formally apply for the loan with the lender. 10. Existing Loan Documents (if any) Documents: Statements or details of any existing loans. Purpose: To understand the applicant’s current liabilities and assess loan eligibility. 11. Other Documents (if required by the lender) Documents: Any additional documents specific to the lender’s requirements. Purpose: May be requested based on individual circumstances or loan type. These documents are generally required to process and approve a personal loan application, ensuring that the applicant is eligible and capable of repaying the loan.  BUSINESS LOAN When applying for a business loan, lenders require a comprehensive set of documents to assess the financial health and viability of the business, as well as the borrower’s ability to repay the loan. Below is a list of common documents typically required: 1. Identity Proof of the Applicant Documents: Passport, Driver's License, Voter ID, Aadhaar Card, PAN Card, or Government-issued ID. Purpose: To verify the identity of the business owner(s). 2. Address Proof of the Applicant Documents: Utility bills (electricity, water, gas), Passport, Aadhaar Card, Voter ID, or Rental Agreement. Purpose: To confirm the residential address of the business owner(s). 3. Business Registration Proof Documents: Certificate of Incorporation, GST Registration, Shop & Establishment Certificate, Partnership Deed (for partnerships), Memorandum of Association (MOA), Articles of Association (AOA) for companies, or any other relevant business registration documents. Purpose: To verify the legal existence and registration of the business. 4. Address Proof of the Business Documents: Utility bills, Rent Agreement, Sales Tax Registration, or any other document with the business address. Purpose: To confirm the location and address of the business.  BUSINESS LOAN 5. Financial Statements Documents: Audited Balance Sheets, Profit & Loss Statements, and Cash Flow Statements for the last 2-3 years. Purpose: To evaluate the financial health and performance of the business. 6. Bank Statements Documents: Bank statements of the business for the last 6 to 12 months. Purpose: To assess cash flow, income, and financial stability of the business. 7. Income Tax Returns (ITR) Documents: Income Tax Returns for the last 2-3 years, both for the business and the individual applicant(s). Purpose: To verify income and tax compliance of the business. 8. Ownership and Partnership Documents Documents: Partnership Deed (for partnerships), MOA/AOA (for companies), or Proprietorship Declaration (for sole proprietorships). Purpose: To confirm the ownership structure and details of the business.  BUSINESS LOAN 9. KYC Documents of Business Owners/Directors Documents: PAN Card, Aadhaar Card, Passport, and other identity/address proofs of the business owners or directors. Purpose: To comply with Know Your Customer (KYC) regulations. 10. Business Plan or Project Report Documents: A detailed business plan or project report outlining the purpose of the loan, business objectives, revenue projections, and repayment plan. Purpose: To provide the lender with a clear understanding of how the loan will be used and the expected returns. 11. Collateral Documents (if applicable) Documents: Property papers, Fixed Deposit receipts, or any other asset documents offered as collateral. Purpose: To provide security for the loan, if required. 12. Credit Report Documents: A recent credit report of the business and/or the business owners. Purpose: To assess the creditworthiness of the borrower.  BUSINESS LOAN 12. Credit Report Documents: A recent credit report of the business and/or the business owners. Purpose: To assess the creditworthiness of the borrower. 13. Existing Loan Documents (if any) Documents: Statements or details of any existing loans or liabilities. Purpose: To understand the current debt obligations and financial liabilities of the business. 14. Ownership Documents of the Business Premises (if owned) Documents: Property ownership papers or lease agreement of the business premises. Purpose: To verify the ownership or lease details of the business location. 15. Sales and Purchase Invoices Documents: Recent sales and purchase invoices. Purpose: To provide insight into the business’s revenue streams and operational expenses. 16. Trade License Documents: A valid trade license relevant to the business. Purpose: To ensure the business operates legally within its industry. These documents help the lender assess the credibility, financial health, and repayment capability of the business before approving a loan. The exact documents required may vary depending on the lender and the specific nature of the business loan.  HOME LOAN Applying for a home loan involves providing a range of documents to verify your identity, income, property details, and financial stability. Here’s a list of common documents required for a home loan application: 1. Identity Proof Documents: Passport, Driver's License, Voter ID, Aadhaar Card, PAN Card, or any government-issued ID. Purpose: To verify the applicant’s identity. 2. Address Proof Documents: Utility bills (electricity, water, gas), Passport, Aadhaar Card, Voter ID, or Rental Agreement. Purpose: To confirm the applicant’s residential address. 3. Photographs Documents: Recent passport-sized photographs. Purpose: Required for identification and documentation purposes. 4. Income Proof For Salaried Individuals: ○ Documents: Recent salary slips (usually for the last 3-6 months), Form 16, and the latest bank statements showing salary credits. For Self-Employed Individuals: ○ Documents: Income tax returns (ITR) for the last 2-3 years, Balance Sheet and Profit & Loss Statement, and bank statements for the last 6-12 months. Purpose: To verify the applicant’s income and financial stability.  HOME LOAN 5. Employment Proof Documents: Employment certificate, Offer letter, Appointment letter, or ID card from the current employer. Purpose: To confirm the applicant’s current employment status. 6. Property Documents Documents: ○ Title Deed: To prove ownership and legal right to the property. ○ Sale Agreement: Details of the transaction between the seller and buyer. ○ Property Tax Receipts: Proof of tax payment for the property. ○ Occupancy Certificate: Issued by the local municipal authority confirming the property is fit for occupation. ○ No Objection Certificate (NOC): From the builder or the landlord if applicable. Purpose: To verify the ownership and legal status of the property being financed. 7. Bank Statements Documents: Bank statements for the last 6-12 months. Purpose: To assess the applicant’s financial behavior and stability. 8. Credit Report Documents: A recent credit report. Purpose: To assess the applicant’s creditworthiness. 9. Age Proof Documents: Birth certificate, PAN Card, Passport, Aadhaar Card, or Voter ID. Purpose: To confirm that the applicant meets the minimum age requirement for loan eligibility.  HOME LOAN 10. Loan Application Form Documents: Completed and signed loan application form. Purpose: To formally apply for the home loan. 11. Marriage Certificate (if applicable) Documents: Marriage certificate, if applying jointly with a spouse. Purpose: To verify the marital status of the applicants. 12. Property Details Documents: ○ Blueprints or Floor Plans: Of the property. ○ Possession Certificate: To confirm the possession status. Purpose: To provide details of the property being financed. 13. Additional Documents (if required by the lender) Documents: Any other documents specific to the lender’s requirements. Purpose: May be requested based on individual circumstances or lender policies. These documents help the lender assess the applicant’s eligibility, financial stability, and the legitimacy of the property b efore approving the home loan. The specific requirements may vary based on the lender and the loan type.  REFINANCING AUTO LOAN Refinancing an auto loan involves replacing your existing loan with a new one, typically to secure better terms such as a lower interest rate or adjusted loan duration. Here’s a list of common documents required when refinancing an auto loan: 1. Identity Proof Documents: Passport, Driver's License, Voter ID, Aadhaar Card, PAN Card, or other government-issued ID. Purpose: To verify your identity. 2. Address Proof Documents: Utility bills (electricity, water, gas), Passport, Aadhaar Card, Voter ID, or Rental Agreement. Purpose: To confirm your residential address. 3. Vehicle Information Documents: ○ Vehicle Registration: Proof of vehicle ownership. ○ Insurance Policy: Current auto insurance documents. ○ Title Deed: If the vehicle is owned outright. Purpose: To verify the vehicle’s details and ownership status.  REFINANCING COMMERCIAL VEHICLE LOAN Refinancing a commercial vehicle loan involves replacing your existing loan with a new one, often to secure better terms or adjust the loan’s duration. Here’s a list of documents commonly required for refinancing a commercial vehicle loan: 1. Identity Proof Documents: Passport, Driver's License, Voter ID, Aadhaar Card, PAN Card, or other government-issued ID. Purpose: To verify the identity of the applicant or business owner. 2. Address Proof Documents: Utility bills (electricity, water, gas), Passport, Aadhaar Card, Voter ID, or Rental Agreement. Purpose: To confirm the residential address of the applicant. 3. Business Registration Proof Documents: Certificate of Incorporation, GST Registration, Shop & Establishment Certificate, or Partnership Deed. Purpose: To verify the legal status and registration of the business. 4. Vehicle Information Documents: ○ Vehicle Registration: Proof of ownership and details of the commercial vehicle. ○ Insurance Policy: Current auto insurance documents for the vehicle. ○ Title Deed: If the vehicle is owned outright. Purpose: To confirm the vehicle’s details and ownership status.  REFINANCING COMMERCIAL VEHICLE LOAN 5. Current Loan Details Documents: ○ Current Loan Statement: From the existing lender showing the remaining balance and payment history. ○ Loan Account Number: Details of the current commercial vehicle loan. Purpose: To understand the current loan status and payoff amount. 6. Income Proof For Salaried Individuals: (if applicable) ○ Documents: Recent salary slips (usually for the last 3-6 months), Form 16, and the latest bank statements showing salary credits. For Business Owners or Self-Employed Individuals: ○ Documents: Income tax returns (ITR) for the last 2-3 years, Balance Sheet, Profit & Loss Statement, and bank statements for the last 6-12 months. Purpose: To verify the income and financial stability of the business or individual. 7. Employment Proof Documents: Employment certificate, Offer letter, Appointment letter, or ID card from the current employer (if applying as an individual). Purpose: To confirm the employment status (if applicable). 8. Bank Statements Documents: Bank statements for the last 3-6 months. Purpose: To assess the financial stability and behavior of the business or individual. 9. Credit Report Documents: A recent credit report for both the business and/or individual. Purpose: To evaluate creditworthiness for the new loan.  REFINANCING COMMERCIAL VEHICLE LOAN 12. Business Financial Statements Documents: Audited Balance Sheets, Profit & Loss Statements, and Cash Flow Statements for the last 2-3 years. Purpose: To provide an overview of the financial health of the business. 13. Collateral Documents (if applicable) Documents: Property papers or other assets offered as collateral, if required. Purpose: To provide security for the new loan, if applicable. 14. Additional Documents (if required by the lender) Documents: Any other documents specific to the lender’s requirements. Purpose: May be requested based on individual circumstances or lender policies. These documents help the new lender assess your eligibility for refinancing, evaluate the current loan status, and determine the terms of the new loan. Requirements may vary depending on the lender and the specific details of the commercial vehicle and business.  INSTANT PERSONAL LOANS Instant personal loans without income proof can be challenging to obtain, as income proof is typically a key factor in assessing loan eligibility. However, some lenders may offer such loans based on alternative criteria. Here’s a list of documents that might be required f or instant personal loans where traditional income proof is not provided: 1. Identity Proof Documents: Passport, Driver's License, Voter ID, Aadhaar Card, PAN Card, or other government-issued ID. Purpose: To verify your identity. 2. Address Proof Documents: Utility bills (electricity, water, gas), Passport, Aadhaar Card, Voter ID, or Rental Agreement. Purpose: To confirm your residential address. 3. Photographs Documents: Recent passport-sized photographs. Purpose: Required for identification and documentation purposes. 4. Bank Statements Documents: Bank statements for the last 3-6 months. Purpose: To assess your financial behavior and account activity.  INSTANT PERSONAL LOANS 5. Credit Report Documents: A recent credit report. Purpose: To evaluate your creditworthiness and financial history. 6. Alternative Proof of Financial Stability Documents: ○ Fixed Deposit Receipts: If you have a fixed deposit with the bank. ○ Investments: Proof of investments or other assets. ○ Rental Income Statements: If applicable, proof of rental income. Purpose: To demonstrate financial stability or alternative sources of income. 7. Employment or Business Proof Documents: ○ Employment Certificate: If available, to provide details of your employment. ○ Business Documents: For self-employed individuals, documents related to the business (e.g., business registration, proof of operation). Purpose: To provide context for your financial status. 8. Loan Application Form Documents: Completed and signed loan application form. Purpose: To formally apply for the loan. 9. Guarantor Documents (if required) Documents: ○ Guarantor's Identity and Address Proof: If the loan requires a guarantor. ○ Guarantor's Income Proof: Some lenders may accept a guarantor with income proof. Purpose: To provide additional security for the loan.  INSTANT PERSONAL LOANS 10. Additional Documents (if required by the lender) Documents: Any additional documents specific to the lender’s requirements or alternative criteria. Purpose: May be requested based on individual circumstances or lender policies. Lenders offering instant personal loans without income proof may use alternative methods to assess creditworthiness, such as reviewing your bank statements, credit history, or requiring a guarantor. It’s important to check with specific lenders for their exact requ irements and terms.