Is address proof of the seller required for the used car loan application?

Most buyers assume they would require every document from the seller when applying for a used car loan. But lenders usually focus only on your paperwork and the car’s records. The seller’s address proof comes into play mainly during the ownership transfer at the RTO, not during the loan application step. Being aware of this early helps you be more organised.

Lenders will usually check your basic KYC first Aadhaar, PAN, passport, or anything else that clearly shows who you are and as well as where you live. Next, they’ll look at income proof like salary slips, bank entries, or tax returns if you’re self-employed.

For the loan application, the RC, insurance copy, and sometimes a simple inspection report is enough. These help them confirm that the car is legitimate and can be hypothecated once the loan is disbursed.

When you submit the transfer forms, the seller’s ID and address proof are required there. The lender may only ask for a copy if something in the RC or sale agreement is unclear.

A short conversation with the lender at the start usually clears up which papers they need and which they don’t.

It is important to remember that the policies and terms and conditions for loan application and approval differ from lender to lender. Reach out to your loan provider directly to understand their process better.