Personal Loan

Loan amount 50k to 50 lacs
Rate of interest 10.5% to 24%
Processing fee 0.5% to 3.5%
Loan Tenure 5 years to 30 years
Age 21 years to 60 years
Employment Type Minimum 3 years
Work experience Resident Indian,Non Resident Indian
Resident Type Resident Indian,Non Resident Indian
CIBIL score Minimum 650
Apply for Personal Loan @ 10.50%* & Get Upto Rs.15000* Cashback













      PERSONAL LOAN AT A GLANCE:- There are many lenders like PSU Banks, private sector banks, and NBFS in India which provide Personal loan at cheap rates as well as in an instant time.

      Personal loan interest rates
      BANK RATE Processing Fee
      Axis bank 10.99% Upto 1.75%
      Bajaj finserve 12.99% Upto 3%
      Citi bank 10.50% Upto 0.5%
      Fullerton india 11.99% Upto 2%
      HDFC 10.75 Upto 2%
      ICICI bank 11.25% Upto 2%
      IDFC First bank 10.75% Upto 1.5%
      Indusind bank 11.00% Upto 1.75%
      Kotak mahindra bank 1099% Upto 2.5%
      Muthoot finance 14.00% Upto 3.5%
      RBL bank 13.99% Upto 2%
      Standard chartered bank 10.99% Upto 1%
      Tata capital 10.99% Upto 2.5%
      Yes bank 10.99% Upto 2%
      Advantage and Disadvantage

      There are also many advantages and disadvantages to a personal loan which is very important for you to know so that you can make a prudent decision according to your circumstances.

      Advantages: –

      • No collateral required
      • It’s simple and hassles free to process.
      • Their rate of interest will be fixed for entire tenure.
      • It’s simple and hassles free to process.
      • It requires minimum documents as only KYS and income proof.
      • Takes less processing time as 1 to 3 days
      • Some lenders can give you an instant personal loan within 30 minutes.
      • Quick disbursal as after the final submission of your documents you get funds to your Account within 1 hour, while if you go for a Home loan or Loan against property, it can takes much time.
      • It can be taken for any requirement whether it is for holiday expenses or for educational expenses and medical emergencies or to buy electronic gadgets, even for everything that you can think because it doesn’t matter to its end use for the banks.

      Disadvantages: –

      • personal loan interest rates is much higher than that on secured loans like Home Loan,Loan against property, Gold Loan, Loan against fixed deposits, Loan against shares or bonds, or Loan against Life insurance policies.
      • Because it is a short term loan so that its EMI is relatively high.
      Personal loan eligibility

      Eligibility for a personal loan is depends upon some following factors-

      • Salary- Eligibility criteria are varied by the bank to the bank because some banks calculate your loan eligibility based on your gross salary whether some of them check this eligibility based on your net take-home salary although some of the banks also consider your variable components with gross or net take-home salary.
      • Existing banking liabilities– If you have any type of exiting loans then their EMI will be taken as your liabilities and also outstanding of your credit cards could minimize your loan eligibility. So that more your existing banking liabilities can reduce your loan eligibility
      • Credit history– It is better for you to check your credit history regularly to the official site of CIBIL. One credit report to all consumers with their credit history is free for every calendar year because if your credit history is bad then it can be hampered your loan eligibility might be bank can reject your loan application.
      • Job continuity– Yes it is also an important factor. If you frequently change your job or you newly joined then it is difficult to process your loan application whether if your job is stable then it improves your loan
      Some Important Things You Need To Know

      Rate of interest – Rate of interest for a personal loan depends upon the various factors-

      1. Take home salary-The higher your salary the lower rate of interest and the lower your salary the higher rate of interest
      2. Employer– Yes brand value of your employer is also a matter for this. The better profile of your employer could be a factor to reduce your rate of interest. Major Banks and NBFC categories all the company such as Category-A, category-B, category-C and so on to propose the rate of interest to their customers.
      3. Salary account– It is also a factor for the rate of interest because major of the banks offered some discounts for the customers whose salary account with them.
      4. CIBIL score– It is a major factor for the rate of interest. If your CIBIL score not meet the parameter of the specific bank then your loan application can be rejected.
      • Offers– Banks sometimes give some offers in rate of interest or in processing fees, so it can beneficial to you that before you applying for a personal loan search for these offers, if some offers are available then you can take an advantage. For these information you can contact “Loanbhumi” for these offers.
      • Comfortable EMI– It is better for you that you take the same liability as you are comfortable, because more EMI can spoil your future financial condition, which will affect your CIBIL as well as reduce the possibilities of meeting your another loan in the future.
      • Personal loan processing fee- Most of the Banks charged Rs.1000 to 2% of the loan amount, but in the case of NBFC, it could be 1% to 3% of the loan amount. So it is very important for you that before you apply for a loan please check their processing fee.
      • Personal loan prepayment charges- When you decided to pay your loan before the completion of your loan tenure. Bank can impose these penal charges upon your outstanding principal amount. It may also have three conditions in this case.
        • Lock-in period– if a lock-in period is placed by your bank then you can’t make the prepayment of this loan, even can’t prepayment by giving the penalty. This period could be varied by the bank to the bank. May it is for 1 month, it is 6 months, or it can be 1 year.
        • Prepayment with penal charges– After the lock-in period you can prepayment your loan with prepayment penalty charges. It is also varied by the bank to the bank from 2% to 5% of the outstanding principal amount.
        • NIL charges– Some of the banks may offer you for NIL prepayment charges, but frankly to say it is very rare
      • Multiple application- Please avoid to apply in multiple bank because it can reduce your sanction possibilities. If it is necessary then please maintain a gap of 4 to 6 months between the applications.
      • Don’t hide any information– As you know that the every banks follow a procedure to sanction your loan, so it is better for you that you should provide all your information.
      • Insurance- Nowadays major banks and NBFC want to secure their loan by insurance. It is also beneficial for you, but their one-time premium charged to you so it is necessary for you to check their premium amount. Mostly banks or NBFC funded this premium so please check this because it could increase your loan amount.
      Documents Required For Personal Loan
      REQUIRED DOCUMENTS FOR RESIDENT INDIAN
      Identity proof PAN card, AADHAR card, Driving license, Voter ID,Passport, I D card isuued by Governement institution
      Address proof AADHAR card, Driving license, Voter ID, Passport, Bank statement, Electrisity bill, Mobile bill, Telephone bill, Water bill
      Signature proof PAN card, Passport, Signature attested by your banker where is your salary account
      Age proof PAN card, AADHAR card, Driving license, Voter ID, Passport, Birth certificate, Secondary board certificate
      Income proof 3 months salary slip, Form 16 for last 2 years, 6 months of your salary account bank statement
      Photo Photograph-1
      Other documents All loan schedules or their loan statement(if have any existing loan)
      REQUIRED DOCUMENTS FOR NON RESIDENT INDIAN
      Yours Residence proof
      Passport
      Visa copy
      Official email id
      Salary slip for last 6 months
      Offer or joining letter
      Work permit
      6 months bank statement of your salary account
      NRO/NRE bank statement of last 6 months
      Credit report
      Guarantor Identity and Residence proof
      Property Document Same as Resident indian
      Step by Step Process to Get a Home Loan
      Apply for a loan and Submit your KYC, all income documents and Bank statement with the details of existing banking liabilities (if have any)
      Bank verify your documents
      They Check your CIBIL score and repayment History
      Bank check your financial eligibility
      If the above factors are positive then you get a final Sanction, in which they mention 1.Offered Loan amount 2.Rate of interest 3. All other conditions and also send an agreement to you
      Then you need to send an acceptance copy of this agreement with required documents  to the bank
      Then Bank Disbursed your loan
      FAQs

      What is the main reason which affect my Personal loan eligibility?

      There are many reason which can affect your personal loan eligibility, in can be your salary, your current financial liabilities, your CIBIL history or it can be your job stability as well as your residential status.

      Is it any difference between Foreclosure and part-payment?

      Yes they are different things, whether when you decided to pay full outstanding of your personal loan before the loan tenure it is called Foreclosure, while if you decided to pay some part of your loan outstanding in between the loan tenure it is called part-prepayment.

      Can I make a part-payment of my personal loan?

      No in personal loan you can’ make a part-payment, but if you want to foreclose then you can.

      Is co-applicant is mandatory for a personal loan?

      No it is not mandatory of a co-applicant for a personal loan.

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