Affidavit for No Dues Certificate Online – Apply Easily 2026
Updated: 09-09-2026 at 12:30 PM
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A No Dues Certificate (NDC) is a formal certificate stating that a person has paid off all outstanding dues to the lender, employer, or other organisation. It is often linked to loan settlement, but it can also accompany employees leaving a trade after meeting all financial and administrative requirements.
Once repaid, buyers of the certificate will have an easy-to-maintain paper trail of closure. It may also determine how to settle subsequent claims for any unpaid amount. An NDC is not the sole method of determining the status of a loan and may differ between lenders and transactions.
In this article, you will get detailed information about the No Dues Certificate, its uses, format, NOC vs No Dues, application process and much more.
Overview of No Dues Certificate
The table below highlights the key insights of the No Dues Certificate:-
| Particular | Details |
|---|---|
| Full Form | No Dues Certificate (NDC). |
| Meaning | A document confirming that specified financial or other dues have been cleared. |
| Common Use | Loan closure, employment separation and settlement of institutional dues. |
| Issued By | Usually the lender, employer or organisation to which the dues were payable. |
| Key Details | Name, account or employee details, outstanding amount, closure information and date may be mentioned. |
| Main Benefit | It provides documentary evidence that the specified obligations have been settled. |
| Credit Relevance | It can support the borrower's records when a closed loan is not correctly reflected in credit information. |
| Application | The procedure depends on the organisation and the type of dues involved. |
Also Read: What Is NOC?
What Is A No Dues Certificate?
No Dues Certificate is a certificate of formal recognition that the dues indicated have been paid. When a loan is the case, it will typically state that the borrower has paid down the outstanding sum on the loan agreement and the lender has marked the loan account as settled. The certificate may contain the borrower's details, loan information and closure details.
It's especially helpful as payment records may be hard to find years later. Keeping an NDC with the loan agreement, repayment records and other financial documents gives the borrower additional evidence of settlement.
The Reserve Bank of India has stated that, even in such situations, banks are not required to issue No Due Certificates unless a government-sponsored scheme prescribes them. Alternatively, banks may make other due diligence checks, including credit checks and borrower declarations.
No Dues Certificate for Loans
The NDC is mainly related to the end of the obligation of repaying a personal loan, a loan for a vehicle, a loan for education, or other loans. The lender may issue a certificate or closure document as per the lender's procedure once all applicable dues are paid.
It can be especially helpful if the borrower needs to show that the account is paid at a later date. This can happen if you are applying for a new loan or checking your credit, or if they ask for more information about the past account.
It's also important for a borrower to make sure the loan account has been reported as "Closed" to the credit information companies. An NDC does not automatically refresh a credit report; however, it is proof of payment.
No Dues Certificate For Employees
A No Dues Certificate can also be used when an employee resigns or leaves an organisation. In this case, it ensures that the employee has returned the relevant organisational items and paid any sums due to the organisation. A common Employee NDC includes:
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Identification of employees: The complete name, employee ID, department and other important employment information of the employee are usually included.
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Certificate of asset return: If the company property has been returned, such information would be recorded in this certificate.
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Financial clearance: Any salary, advance, recoverable expenses or other outstanding amount is verified before issuance of the certificate.
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Approval by the department: The departments must make sure that their obligations have been cleared.
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Final clearance: The final certificate must be issued by the organisation after all necessary checks of the documents.
Also Read: How To Book HSRP Appointment Online
Contents Of A No Dues Certificate
The structure of the NDC can be subject to different conditions depending on whether it is for a loan or other commitment, such as an employment contract. But the document must be clear about whose obligation is settled, and it must be someone.
| Particular | Information Generally Included |
|---|---|
| Name | Full name of the borrower or employee. |
| Identification Number | Loan account number, employee ID or another relevant reference number. |
| Address | Registered or relevant correspondence address, where applicable. |
| Account Details | Details of the loan or other account being closed. |
| Amount | The amount settled or relevant closure information may be mentioned. |
| Closure Date | The date on which the account or obligation was treated as settled. |
| Declaration | A statement confirming that the specified dues have been cleared. |
| Authorisation | Signature, designation or other authentication of the issuing authority. |
How To Get A No Dues Certificate?
The process depends on the organisation that needs to issue the certificate. After successfully repaying, borrowers are advised to make sure the lender has already issued the NDC or closure document. If it hasn't arrived, the borrower can reach out to the lender and make an official request. One way to do that is to:
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Ensure that principal, interest, charges and so on, if any, have been settled.
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If the loan account does not have a zero outstanding balance, see if it has been flagged as closed.
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Ensure that contact information, including addresses, email and a cell phone number, is current.
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If it hasn't been provided, contact the lender and ask for the NDC.
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Share the loan account number and required identification details to help locate the account.
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Check your name, account number, closure date and other important information after receiving the document.
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Store the NDC with the loan agreement, repayment receipts and other important financial records.
No Dues Certificate Application Format
If an NDC is needed, the app should explicitly indicate that unwanted dues have been settled and that the NDC account is being closed. It should include enough detail to enable the recipient to recognise the account. A simple structure consists of:
| Section | Details |
|---|---|
| Applicant Details | Name and correspondence address. |
| Date | Date of submitting the request. |
| Recipient | Relevant department or authorised officer. |
| Subject | Request for issuance of a No Dues Certificate. |
| Account Details | Loan or other account number and relevant particulars. |
| Request | A clear request for issuance of the NDC after verification. |
| Contact Details | Mobile number or email address for communication. |
| Signature | Applicant's signature and name. |
Also Read: Non-Disclosure Agreement
No Dues Certificate Vs No Objection Certificate
Although the names are often confused, a No Dues Certificate and a No Objection Certificate differ.
| Basis | No Dues Certificate | No Objection Certificate |
|---|---|---|
| Main Purpose | Confirms that specified dues or obligations have been cleared. | Confirms that the issuing party has no objection to a specified action. |
| Common Use | Loan closure, employee clearance and settlement of dues. | Property transactions, employment matters, vehicle transfer and other approvals. |
| Focus | Settlement of outstanding obligations. | Permission, consent or absence of objection. |
| Issuing Party | Usually the party to whom money or obligations were owed. | The relevant authority, organisation, lender, employer or other concerned party. |
Conclusion
A No Dues Certificate is an important document that provides proof of the completion of monetary obligations as well as duties of the job holder. It can prove helpful during dispute resolution proceedings for those who wish to avoid future disagreements. For employees and workers, it can act as a certificate of completion of financial and administrative obligations.
However, not all lenders or transactions require an NDC. Regulatory guidance has allowed lenders to use alternative methods of verifying a borrower's outstanding obligations in several situations.
Best practice is to verify the account has been closed, receive any applicable certificate of closure, maintain all supporting payment documentation and make sure the closure is properly incorporated in financial records.
Why choose Jaagruk Bharat For Draftiing An Affidavit For NOC?
Jaagruk Bharat simplifies the process of drafting an affidavit for No Dues by helping you prepare the document with the relevant details and purpose clearly stated. The service makes the process convenient, organised and accessible from home. It also helps reduce errors and confusion while preparing the required affidavit.
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