Many qualified CAs want to set up their own practice, instead of a 9 to 5 job. A Chartered Accountant loan provides a tremendous opportunity to see your way through building a CA firm of your own. Like any other loan, a personal loan for CA requires you to fulfill a set CA loan eligibility criteria, basic documentation, and high credit score for smooth and easy disbursal of funds. Here is how to qualify for a CA loan:
Certificate of Practice: You should be an active practicing CA or a consultant. The CoP should be valid for 4 years i.e., from the date of issue to the date of the loan application.
Proof of property ownership: The applicant must show proof of ownership of at least one property. The property may be his or his parents; however, it must be the place that he operates from. The property can be either a house or an office.
KYC documents: You must present the KYC (Know Your Customer) documents in order to substantiate your practice as a CA.
In order to have your application easily accepted and processed, you can support your application with:
Degree of graduation: You must validate the completion of your degree and that you qualify as a professional chartered accountant. The documents must include your graduation mark-sheet and the certification of the degree.
Letter of employment or ownership: You need to provide the lender with a valid certificate of practice as an owner of a firm or an employee. In case you work as an employee, you will have to provide the lender with a letter of employment.
Work experience: It not sufficient enough to be skilled to apply for a loan. Experience in the field of chartered accountancy of 3 years suffices for the lender to feel secure about the loan.
The CA loan eligibility criteria might vary from one lender to another, You must inquire about the charges and fees of the loan before you apply for it.