Business Loan Agent


Ever wondered why banks and NBFCs commission loan agents? A customer can directly submit their loan application to the lending institution. However, banks and NBFCs in India often hire direct selling agents (DSA) to do the job.

The loan market in India is expanding. There was a growth of 11.1% in FY 22. Consequently, there has been an increase in loan officer jobs in India.

A business loan agent helps smalls to large business owners get their loan approval from the lender. They anticipate the customers' needs and link them to banks and NBFCs. These agents represent lenders and find leads for them. As payment, they expect a commission from the type of loan and loan amount.

Loan officer jobs in India are on the rise. There are two reasons for this - the minimal qualifications and the growth of side hustles. As a DSA loan agent, you have more control over your income and growth.

Who are DSA loan agents?

DSA stands for direct selling agent. They work as a referral agent for lenders like banks and NBFCs.

The primary job role of DSA agents is to find leads for lenders. They are on the lookout for potential businesses and help them through the loan procurement process. A business loan agent simplifies the process for both the business and the lender they represent.

What do DSA loan agents do?

As a DSA loan agent, you will-

  • Find leads on the lookout for loans and connect them to the lender.
  • Assist with the loan application process by procuring the completed application and requisite documents.
  • Verify the application and documents.
  • Ensure that the loan applicant has filled out the application correctly.
  • Assist the lender and help speed up the loan application process.

Advantages of being a DSA in India

What are the benefits of being a DSA in India? There is a simple reason why loan officer jobs are increasing - the demand for business loans. More people are in the market for loans, and a DSA connects them to a bank or NBFC.

Easy entry

DSA is a loan agent job with minimum qualifications. You can enter the loan market without having significant experience.


You have more control over the work timings as a direct selling agent. For instance, homemakers and college students can also become loan agents. You can also pursue this job as a side hustle.

Easy commission

The loan agent earns a commission with every loan sale. Furthermore, the percentage of commission increases with the increase in the loan amount. There is no cap on the amount you can earn as a successful loan agent in India.

Requires zero investment 

Loan agent jobs in India require zero investment. You can set up a business with little professional experience, provided you have the skills. 

Professional networking

Being a DSA allows you to network with professionals in the business loan market. Since your job is to connect people on the lookout for businesses to lenders, there is immense potential for networking. You can make contacts in the field and work for the financial industry without an expensive degree.

Do customers benefit from applying for a loan with a DSA?

The job of the DSA is to make the loan application process seamless. It works both ways - for the lending partner and the borrower. 

Here's how a DSA helps customers with their loan applications -

  • Hassle-free process - Customers can raise concerns and directly consult the DSA when they have doubts. They can also ask for personal recommendations and assistance from the DSA.
  • After-sales service - The loan agent assists you even after the sale. The DSA will handle your queries even after the submission.
  • Know your options - The DSA will guide you better. Since there is a wide variety of loans and loan products, a loan agent will help you match with the right one. 

DSA Registration Process - How to become a loan agent in India?

  • Visit the website of the lending partner.
  • Make the necessary payment and fill out the DSA application form.
  • Once verified, you will receive the DSA registration agreement with the stamp duty.
  • Submit the agreement after filling it out.
  • You will receive a DSA code, after which you can start working as a loan agent.

Required documents for DSA Partner Registration

  • You must have valid ID proof like AADHAR, PAN, passport, or driver's license.
  • Utility bill, AADHAR, or passport for proof of address.
  • Passport-size photographs.
  • Education certificates from school and college, if applicable.
  • GSTIN details, if applicable.
  • Income tax details or Form 16, if applicable.
  • Bank transactions for the last three months.

Eligibility criteria for business loan agent jobs in India

To become a business loan agent,

  • You must be a citizen of India.
  • You must be a legally recognized adult - at least 18 years before application.
  • You must have a good CIBIL score and credit history.
  • You must understand the products you're selling.
  • You do not need a degree in banking or finance. However, you must understand the subject.
  • You can be a salaried or non-salaried person. It means you can have a job in addition to being a DSA.

The Bottom Line 

Loan officer jobs give you insider access to the finance industry without demanding too many qualifications. You can be a business loan agent if you have a basic understanding of the loan market. The flexibility of the job hours and work-from-home options makes DSA a suitable side hustle. 

Business Loan Agent FAQ

You follow the DSA registration process to register as a loan agent with a lending partner.

You can become a loan agent, provided you have the skills and meet the eligibility criteria set by the lending partner.

No, you can only represent one bank or NBFC at a time. You can sell only their loan products.

The bank or NBFC pays the loan agent once they start converting leads

No, you don't need a finance degree to become an agent. A basic understanding of the market and the product you're selling is enough to join as a DSA.