After completing probation period, employee gets confirmation which will give pleasure and happiness to the life. The next step thinking to enhance life by adding facilities. It may be a new car or a new house or home appliances like home theater or something else. In normal case, most of the employees depend bank loan to meet their shortfalls of fund. Before going to bank for applying loan, following 6 important things to be checked whether you have met those points speeding up loan process:
Salaried employees must know the differences between Salary certificate and Salary letter. In most cases, salary certificate or salary letter come into picture when an employee thinks about how to overcome current or forthcoming financial crisis - personal debt, purchasing a car, buying a house are the common occasions.
When you contact a financial institutions like bank, they give you a list of documents required for processing loan application. Some institution wanted salary certificate while others wanted salary letter. What are the main objectives and differences of these two documents - salary certificate and salary letter?
What is Salary Certificate?
Salary certificate is a document issued by an office head to their employee upon request made by an employee. The request must have a reason which should mention in the certificate as to own purpose or relatives' / friend's purpose. If approved by management, a certificate will be issued to employee in the subject line of "Salary Certificate". This certificate can be submitted for Loan application to any financial institutions depending upon the relationship and interest. Usually its validity may remain for one year or less.