Personal Loan

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Unlock Best Personal Loan Offers From 30+ Lenders

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MybankingTips helps you find personal loans from more than 30+ banks and NBFCs to serve various types of borrowers. You can easily compare the important features of loans offered by top lenders and choose the one that matches your credit profile. We've also teamed up with select banks and NBFCs to provide pre-approved personal loans with quick online processing and instant funds transfer.

Key Highlights of Personal Loan

Interest Rate Usually 10.49% p.a. onwards; some PSUs may offer lower rates
Loan Amount Can go up to Rs 40 lakh; some lenders may offer higher loan amounts
Tenure Up to 5 years (some lenders offer repayment period till 8 years)
Processing Fees 0.5% to 4% of loan amount (may vary across lenders)

Best Personal Loan Offers

Max. Loan Amt.

Up to ₹40L

Rate of Interest

10.49% - 22%

Tenure up to

1-5 Years

Processing Fee

Upto 2%

Check Eligibility
Low Processing Fee
Max. Loan Amt.

Up to ₹50L

Rate of Interest

10.65% - 16%

Tenure up to

1 - 6 Years

Processing Fee

Up to 3%

Check Eligibility
100% Digital Process* Quick Disbursal
Max. Loan Amt.

Up to ₹1Cr

Rate of Interest

10.75% - 36%

Tenure up to

Upto 5 Years

Processing Fee

Upto 3%

Check Eligibility
Max Loan Amount 100% Digital Process*
Max. Loan Amt.

Up to ₹40L

Rate of Interest

10.50%

Tenure up to

Upto 6 Years

Processing Fee

Up to Rs 4,999

Check Eligibility
Max Loan Amount 100% Digital Process*
Max. Loan Amt.

Up to ₹10L

Rate of Interest

10.99% - 36%

Tenure up to

Upto 6 Years

Processing Fee

Up to 3%

Check Eligibility
Lowest Income requirement 100% Digital Process*
Max. Loan Amt.

Up to ₹50L

Rate of Interest

10.49% - 26%

Tenure up to

1-5 Years

Processing Fee

Upto 3%

Check Eligibility
Lowest Income requirement Quick Disbursal
Max. Loan Amt.

Up to ₹25L

Rate of Interest

11.49% - 17.99%

Tenure up to

Upto 5 Years

Processing Fee

Up to 3%

Check Eligibility
Lowest Income requirement 100% Digital Process*
Max. Loan Amt.

Up to ₹50L

Rate of Interest

30% - 28%

Tenure up to

7 Years

Processing Fee

Upto 3%

Check Eligibility
Max Loan Amount 100% Digital Process*
Max. Loan Amt.

Up to ₹75L

Rate of Interest

10.99% - 35%

Tenure up to

Upto 6 Years

Processing Fee

₹51

Check Eligibility
Low Processing fee 100% Digital Process*
Max. Loan Amt.

Up to ₹40L

Rate of Interest

11% - 25%

Tenure up to

Upto 8 Years

Processing Fee

Up to 4%

Check Eligibility
Max Tenure 100% Digital Process*
Max. Loan Amt.

Up to ₹50L

Rate of Interest

12.99%

Tenure up to

Upto 5 Years

Processing Fee

Up to 4%

Check Eligibility
Quick Disbursal 100% Digital Process*
Max. Loan Amt.

₹5L to ₹10L

Rate of Interest

1.33%

Tenure up to

Upto 5 Years

Processing Fee

2% - 8%

Check Eligibility
Max Loan Amount 100% Digital Process*
Max. Loan Amt.

Up to ₹4L

Rate of Interest

2.25%

Tenure up to

90-540 Days

Processing Fee

Upto 3%

Check Eligibility
Max Loan Amount
Max. Loan Amt.

Up to ₹4L

Rate of Interest

12.25% - 30%

Tenure up to

Upto 2 Years

Processing Fee

Up to Rs 1,250

Check Eligibility
Quick Disbursal 100% Digital Process*
Max. Loan Amt.

Up to ₹2L

Rate of Interest

12% - 40%

Tenure up to

Upto 5 Years

Processing Fee

Up to 4%

Check Eligibility
Quick Disbursal 100% Digital Process*

Banks/NBFCs Interest Rates(p.a.)
Axis Bank 10.49% onwards Apply Now
IndusInd Bank 10.49% onwards Apply Now
IDFC First Bank 10.49% onwards Apply Now
HDFC Bank 10.50% onwards Apply Now
ICICI Bank 10.50% onwards Apply Now
Kotak Mahindra Bank 10.99% onwards Apply Now
Tata Capital 10.99% onwards Apply Now
Bajaj Finserv 11.00% onwards Apply Now
Federal Bank 11.49% onwards Apply Now
DMI Finance 12.00% - 40.00% Apply Now
L&T Finance 12.00% onwards Apply Now
Kreditbee 12.25% - 30.00% Apply Now
MoneyTap 12.96% onwards Apply Now
Piramal Finance 12.99% onwards Apply Now
Aditya Birla 13.00% onwards Apply Now
MoneyView 15.96% onwards Apply Now
Cashe 27.00% onwards Apply Now

Note: Rates as of June 2024

HDFC Bank Personal Loan

HDFC Bank offers personal loans with starting interest rates of 10.50% per annum. You can choose a loan tenure of up to 6 years, and the loan amount can go up to Rs 40 lakh. For select existing customers, HDFC Bank provides pre-approved personal loans with a '10-second disbursal' based on their credit profiles. If you're an existing customer of HDFC Bank, you can click here to see if you're eligible for the pre-approved loan offer.

Interest Rate 10.50% p.a. onwards
Loan Amount Up to Rs 40 lakh
Tenure Up to 6 years
Minimum Monthly Salary Rs 25,000
Age 21-60 years
Credit Score At least 650
Processing Fee Up to Rs 4,999

ICICI Bank Personal Loan

ICICI Bank provides personal loans to meet a wide range of financial needs for its customers. The bank also has a unique program called Fresher Funding, designed to assist young salaried individuals with their immediate financial needs. Furthermore, for its eligible existing customers, ICICI Bank offers an overdraft facility, pre-approved offers, and a top-up loan option. These pre-approved offers come with minimal documentation requirements and a speedy 3-second disbursal process.

Interest Rate 10.50% p.a. onwards
Loan Amount Up to Rs 50 lakh
Tenure 1-6 years
Minimum Monthly Salary Rs 30,000
Age
  • Salaried: 23-58 years
  • Self-employed: 25-65 years
Processing Fee Up to 2.5% of loan amount

Axis Bank Personal Loan

Axis Bank's Personal Loan can help you with various expenses like weddings, home renovations, travel, medical emergencies, and more. The bank also provides pre-approved offers to its eligible existing customers with quick digital processing and instant approvals. Additionally, Axis Bank has partnered with MybankingTips to offer pre-qualified deals to select customers for added convenience.

Interest Rate 10.49% p.a. onwards
Loan Amount Rs 50,000- Rs 40 lakh
Tenure 1-5 years
Minimum Monthly Salary Rs 15,000
Age 21-60 years
Processing Fee 1.5% – 2%
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Personal Loan at Attractive Interest Rates

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Kotak Mahindra Bank Personal Loan

Kotak Mahindra Bank provides personal loans exclusively to salaried individuals. For those who already have personal loans from other banks or NBFCs, Kotak Bank offers a balance transfer option. This allows borrowers to move their outstanding loans to Kotak Bank, benefitting from lower personal loan interest rates. Those opting for balance transfer can also apply for top-up loans, which can be up to 100% of their existing loan amount. Additionally, Kotak Mahindra Bank offers an overdraft facility, giving borrowers the flexibility to withdraw funds from their loan account whenever needed and repay it at their convenience.

Interest Rate 10.99% p.a. onwards
Loan Amount Up to Rs 40 lakh
Tenure Up to 6 years
Credit score At least 700
Minimum Monthly Salary
  • For Corporate Borrowers- Rs 25,000
  • For Non-corporate Salary Borrowers- Rs 30,000
  • Employee of Kotak Mahindra Bank- Rs 20,000
Age 21-60 years
Processing Fee Up to 3% of loan amount

IndusInd Bank Personal Loan

IndusInd Bank provides a range of personal loan options, such as wedding loans, home renovation loans, medical expense loans, and education loans. The bank also offers a balance transfer facility for individuals who already have personal loans from other banks or NBFCs, allowing them to transfer their existing loans to IndusInd Bank. For those in need of fast financing, the bank offers instant online personal loans with rapid processing and loan approval.

Interest Rate 10.49% p.a. onwards
Loan Amount Rs 30,000-Rs 50 lakh
Tenure 1 to 5 years
Credit score At least 700
Minimum Monthly Salary Rs 25,000
Age
  • Salaried: 21-60 years
  • Self-employed: 25-65 years
Processing Fee Up to 3% of the sanctioned loan amount

Federal Bank Personal Loan

Federal Bank's FedPremia Personal Loan is designed to meet the personal financing requirements of salaried individuals. The bank has also partnered with MybankingTips to provide pre-approved loan offers to eligible customers, ensuring a speedy disbursal process.

Interest Rate 11.49% p.a. onwards
Loan Amount Up to Rs 25 lakh
Tenure Up to 5 years
Credit score At least 700
Minimum Monthly Salary Rs 25,000
Age 60 years at the time of loan maturity
Processing Fee Up to 3%

IDFC First Bank Personal Loan

IDFC First Bank offers Personal Loans to help borrowers meet a wide range of personal financing needs. If you have an existing personal loan from another bank or NBFC, you can take advantage of their balance transfer facility to move your outstanding loan to IDFC First Bank, often at lower interest rates. Additionally, the bank provides instant personal loans with a convenient paperless digital loan processing system.

Interest Rate 10.49% p.a. onwards
Loan Amount Up to Rs 1 crore
Tenure Up to 5 years
Credit score At least 700
Minimum Monthly Salary Rs 25,000
Age
  • Salaried: 23-60 yrs./retirement age, whichever is earlier
  • Self-employed: 25-60 years
Processing Fee Up to 3.5% of the loan amount
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Personal Loan at Attractive Interest Rates

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Bajaj Finance Personal Loan

Bajaj Finance provides personal loans to both people with regular jobs and those who run their own businesses. They also have special loan options for doctors and Chartered Accountants. If you need an overdraft facility, you can get their Flexi Personal Loan. If you're already a customer with them, you might get pre-approved loan offers. Their loans get approved quickly, require only a few documents, and you can get the money on the same day.

Interest Rate 11% p.a. onwards
Loan Amount Up to Rs 55 lakh
Tenure Up to 8 years
Credit score 685 or higher
Minimum Monthly Salary Rs 25,001
Age
  • Salaried: 21-80 years
  • Self-employed: 24-70 years
Processing Fee Up to 3.93% of loan amount

Tata Capital Personal Loan

Tata Capital offers various personal loan options to help you with expenses like weddings, travel, education, certain medical needs, and home renovation. They have special plans for different groups, including those who have regular jobs, government employees, doctors, and women applicants. Some customers may also get pre-approved loans with quick disbursal. Additionally, they offer an overdraft facility for those who want more flexibility in repaying their loans.

Interest Rate 10.99% p.a. onwards
Loan Amount
  • Doctors- Rs 5 lakh to Rs 75 lakh
  • Women- Rs 2 lakh onwards
  • Others- Up to Rs 35 lakh
Tenure Up to 6 years
Credit score 685 or higher
Minimum Monthly Salary Rs 20,000 (Rs 15,000 for Government Employees, Salaried Employees, Doctors, Women, Education, Travel Loan)
Age
  • 21-58 years
  • For Home Renovation:: 24-65 years
  • For Education: 16-26 years
Processing Fee Flat Rs 76

Piramal Finance Personal Loan

Piramal Capital and Housing Finance Ltd., also known as Piramal Finance, provides personal loans exclusively to people with regular jobs. These loans can be used for various personal expenses such as weddings, travel, home renovation, or consolidating debts. Piramal Finance Personal Loans come with straightforward documentation and speedy loan disbursement. The lender also collaborates with mybankingtips.com to offer pre-qualified loan options to eligible customers.

Interest Rate 12.99% p.a onwards
Loan Amount Up to Rs 50 lakh
Tenure Up to 5 years
Processing Fee Up to 4% of the loan amount

L&T Finance Personal Loan

L&T Finance Holdings Ltd. offers personal loans to both people with regular jobs and self-employed individuals. These loans can be be used to cover costs for home renovations, festivals, weddings, education, and medical expenses. They also provide micro loans to women with lower incomes. L&T Finance Personal Loans come with a convenient digital application process, require only minimal paperwork, and offer a speedy approval process.

Interest Rate
  • Consumer Loan: 12% p.a. onwards
  • Micro Loan: 24% p.a.
Loan Amount
  • Consumer Loan: Rs 50,000 to Rs 7 lakh
  • Micro Loan: Rs 30,000 to Rs 1.1 lakh
Repayment Tenure
  • Consumer Loan: 1-4 years
  • Micro Loan: 2-3 years
Processing Fee
  • Consumer Loan: Up to 2% of principal outstanding plus applicable taxes
  • Micro Loan: 1% of loan amount plus applicable taxes
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Personal Loan at Attractive Interest Rates

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DMI Finance Personal Loan

DMI Finance provides personal loans starting at an interest rate of 12% per annum. You can choose a loan term that suits you, ranging from 2 months to 5 years, and borrow anywhere from Rs 1,000 to Rs 25 lakh. These loans are available through their network of partners and come with a fully digital and paperless application process.

Interest Rate 12%-40% p.a.
Loan Amount Rs 1,000 to Rs 25 lakhs
Repayment Tenure 2 months to 5 years
Processing Fee Up to 4% of the loan amount

MoneyTap Personal Loan

MoneyTap Personal Loans can be used to finance various needs such as home renovation, education, travel, weddings, and medical emergencies. These loans come in the form of a credit line, providing borrowers with increased flexibility when it comes to repaying the loan.

Interest Rate 1.08% per month (12.96% p.a.) onwards
Loan Amount Rs 3,000 to Rs 5 lakh
Loan Tenure 2 months to 3 years
Minimum Monthly Salary Rs 30,000
Age 23-55 years
Processing Fee Up to 2% of the total amount

Aditya Birla Finance Ltd. Personal Loan

Aditya Birla Finance Limited provides fixed-rate personal loans to people with regular jobs, helping them cover a range of personal needs like medical emergencies, children's education, weddings, travel, home improvement, and the purchase of electronic and household items.

Interest Rate 13% p.a. onwards
Loan Amount Up to Rs 50 lakh
Tenure Up to 7 years
Age 23-60 years
Processing Fee Up to 3% of the loan amount

Money View Personal Loan

Money View Personal Loans offer a fully digital application process and rapid disbursal, typically within 24 hours of loan approval. They've designed their own credit-scoring model to help individuals with lower credit scores qualify for loans. Additionally, Money View has partnered with MybankingTips to provide pre-approved offers with fast disbursal to eligible applicants.

Interest Rate 1.33% per month onwards
Loan Amount 5 lakh to 10 lakhs
Tenure Up to 5 years
Age 21-57 years
Loan Processing Fee 2% – 8% of approved loan amount
Credit score CIBIL score of at least 600 or Experian score of at least 650
Minimum Monthly Salary
  • For Salaried- Rs 13,500
  • For Self-employed- Rs 15,000
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Personal Loan at Attractive Interest Rates

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CASHe Personal Loan

CASHe is a mobile app-based lending platform that provides immediate short-term personal loans to young individuals with regular incomes, even if they lack a traditional credit history. They use an AI-based credit scoring model to evaluate the creditworthiness of their borrowers.

Interest Rate 2.25% per month onwards
Loan Amount Rs 1,000 to Rs 4 lakh
Tenure 90 days to 540 days
Age 23-58 years
Processing Fee Up to 3% of the loan amount

KreditBee Personal Loan

KreditBee is an online loan platform that offers various personal loan options from different banks and non-banking financial companies (NBFCs). They claim to provide instant disbursal of loans, often within 10 minutes, and require minimal documentation from applicants.

Interest Rate 12.25% p.a. onwards
Loan Amount Rs 1,000 to Rs 4 lakh
Tenure 62 days to 2 years
Credit score 685 or higher
Age
  • Flexi Personal Loan & Personal Loan for Salaried:: 21-45 years
  • Online Purchase Loan/E-Voucher Loan: Above 21 years
Processing Fee
  • Flexi Personal Loan: Rs 85 to Rs 1,250
  • For Salaried (for loan amount from Rs 10,000 to Rs 2 lakh): Rs 500 to 6% of loan amount
  • Online Purchase Loan/E-Voucher Loan: Up to 5% of loan amount
Minimum Net Monthly Salary
  • Flexi Personal Loans: More than Rs 10,000
  • Personal Loans for Salaried: More than Rs 10,000
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Personal Loan at Attractive Interest Rates

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Personal loans are a popular choice for funding lifestyle goals and addressing financial gaps because they are easy to get, require minimal paperwork, and offer quick disbursement. Here are the key features and benefits of personal loans:

  • Collateral-free loan
  • No end-use restriction
  • Interest rate usually starts from 10.49% p.a.
  • Loan amount of up to Rs. 40 lakh, which can exceed depending on lenders’ discretion
  • Repayment tenure up to 60 months, which may exceed on case-by-case basis
  • Top up loans for additional requirements are offered by many lenders
  • Minimal documentation
  • Quick disbursals
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The fees and charges for personal loans can vary significantly based on the lender and the credit profile of the applicants. The following table provides a general overview of the common fees and charges associated with personal loans:

Particulars Charges
Loan Processing Fees 0.5% to 4% of loan amount
Pre-payment/Part-payment/Foreclosure Charges
  • For Floating Rate – Nil
  • For Fixed Rate – Usually around 2% – 5% on the principal outstanding
Loan Cancellation Usually around Rs 3,000
Stamp Duty Charges As per actuals
Legal Fees As per actuals
Penal Charges Usually @ 2% per month; 24% p.a.
EMI/Cheque Bounce Around Rs 400 per bounce

Other fees and charges levied by the lenders include documentation charges, verification charges, duplicate statement charges and NOC certificate charges.

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Personal loan eligibility criteria can vary from one lender to another due to their varying credit risk policies. Lenders may have different requirements for personal loans based on the type of loan and the borrower's job. Here are some things most lenders look at to decide if you qualify:

Age: 18 to 60 years.

Salary: Salaried customers should have a minimum monthly income of at least Rs 15,000.

Income: Self-employed customers should have an annual income of at least Rs 5 lakh.

Credit Score: A credit score of 750 or higher is preferred, as it increases the likelihood of loan approval.

Employment Stability: Typically, a minimum of 1 year of work experience is required, although some lenders may ask for a longer period.

Business Continuity: For self-employed individuals, most lenders require a business continuity of at least 3 years, although some may demand a longer history.

Employment Type: Salaried employees should be working with reputable organizations, including MNCs, Private and Public Limited Companies, Government organizations, PSUs, and large enterprises.

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Personal loan lenders typically require applicants to provide a set of standard documents to establish their identity, income, loan repayment capacity, and residential address. These required documents are generally consistent across various lenders. Here are the common documents you'll need to submit when applying for a personal loan:

Identity Proof:

  • Passport
  • PAN Card
  • Voter's ID
  • Aadhaar Card
  • Driving License

Address Proof:

  • Passport
  • Aadhaar Card
  • Lease Agreement or Property Purchase Agreement
  • Utility Bills (not more than 3 months old)
  • Driving License

Income Proof for Salaried Individuals:

  • Salary Slips
  • Bank Account Statements
  • Form 16

Income Proof for Self-employed Professionals:

  • Previous Years' Income Tax Returns (ITR)
  • Profit and Loss Statement and Balance Sheet
  • Bank Account Statements

Business Proof for Self-employed Individuals:

  • Business Incorporation Certificate
  • Professional Degree or Certificate of Practice
  • Partnership Deed
  • GST Registration and Filing Documents
  • Memorandum of Association (MOA) and Articles of Association (AOA)
  • Shop Act License

These documents help lenders assess your eligibility for a personal loan and ensure that you meet the necessary criteria.

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Instant Personal Loans:

These are typically pre-approved loans with quick disbursement, offered by banks and NBFCs to their chosen customers based on their credit profiles.

Short-term Personal Loans:

These loans come with shorter repayment periods, ranging from a few days to 12 months.

Pre-approved Personal Loans:

Offered to existing customers of banks and NBFCs, these loans are based on credit history, income, employer's profile, and more.

Consumer Durable Loans:

These loans can be used to buy various consumer durable items like smartphones, furniture, microwaves, etc. The purchase amount is divided into EMIs, and repayment can be done within the chosen tenure. Some products may require a down payment or a processing fee.

Personal Loan Balance Transfer:

This option allows borrowers to move their outstanding personal loan to a new lender for lower interest rates or better loan terms. Consider this option if the savings from the transfer outweigh the transfer cost.

Personal Loan Top-Up:

Existing personal loan borrowers can get additional funds to meet their financial needs. This is typically available to borrowers with a good repayment history and/or after completing a specified number of EMIs.

Personal Loan for Education:

Designed for individuals who need funds for higher education in India or abroad, as well as vocational courses, when conventional education loans are not an option.

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Personal Loan at Attractive Interest Rates

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The absence of collateral in personal loans heightens the credit risk for lenders, as it means there is no asset to offset potential losses in the event of a loan default. To address this risk, banks and Non-Banking Financial Companies (NBFCs) take into account multiple facets of applicants' credit histories and adhere to rigorous eligibility criteria when assessing loan applications. Individuals looking to secure a personal loan can enhance their approval prospects by following these guidelines:

1. Ensure your CIBIL score remains above 750. 2. Regularly review your credit report for inaccuracies, as they can negatively affect your credit score and, consequently, reduce your loan approval chances. (You can check your credit score for free.) 3. Thoroughly compare personal loan offers from different banks and NBFCs before making a final decision. 4. Apply for a loan with a bank or NBFC where you are most likely to receive approval. 5. Avoid submitting multiple loan applications within a short timeframe.

When searching for a personal loan, it's crucial for potential borrowers to compare offers from multiple lenders. While it's possible to check personal loan offers by visiting the websites of various banks and NBFCs individually, using an online financial marketplace like MybankingTips can expedite the process, simplify it, and offer added convenience. Here are a few more reasons to consider applying for personal loans through MybankingTips:

1. Compare personal loan offers from over 30 partner banks and NBFCs without impacting your credit score negatively. 2. Receive pre-approved offers with quick disbursement. 3. Assess your loan approval likelihood based on your credit score and credit profile. 4. Apply for a personal loan online through a seamless digital process.
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mybankingtips.com enables customers to easily compare personal loan offers from over 30 banks and NBFCs and apply for the most suitable offer online. Here are the steps to do so:

1. Enter your mobile number. 2. Input personal details, including the desired loan amount, employment type, net monthly income, current city of residence, your salary-receiving bank, and company name. 3. Verify your identity with an OTP and check for any available pre-approved offers. 4. For additional offers, provide more details like your current total EMI payments, PAN card information, total work experience, and tenure at your current organization. 5. Compare the different loan offers available and apply for the one that best meets your needs.

1. What is a Personal Loan?

A personal loan is a type of loan that individuals can obtain for various personal or business needs, excluding speculative purposes. Personal loans are typically unsecured, meaning borrowers are not required to provide collateral or security to secure the loan.

2. How much CIBIL Score is Required for a Personal Loan?

Applicants with credit scores of 750 or higher typically have a greater likelihood of being approved for personal loans. Nevertheless, it's worth noting that some banks and NBFCs do provide personal loans to individuals with lower CIBIL scores or credit scores. However, in such cases, these lenders may impose higher interest rates to offset the increased credit risk associated with these borrowers.

3. What is the Interest Rate on Personal Loan?

Interest rates for personal loans from top banks and NBFCs begin at 10.49% per annum, with the exact rate depending on the applicant's credit profile. It's worth noting that certain public sector banks may extend even lower interest rates to their personal loan applicants.

4. How Can I Apply for Personal Loan?

Individuals have multiple options for applying for a personal loan. They can visit a nearby branch of their preferred bank or NBFC. Additionally, they can also apply for the loan through the lender's official website or use the lender's internet banking platform and mobile applications.

5. How to Get a Personal Loan?

Consumers have multiple options to obtain a personal loan. They can visit a nearby branch of their preferred bank or NBFC to apply. Additionally, many lenders offer an entirely digital application process through their official websites, making it convenient for consumers to apply online.

For those who have an existing banking relationship with a specific bank or NBFC, they can use the respective bank or NBFC's mobile application or internet banking platform to apply for a personal loan. Alternatively, consumers can explore the option of obtaining a personal loan through online financial marketplaces.Top of Form

6. What is the Maximum Loan Duration for a Personal Loan?

A standard personal loan typically has a tenure ranging from 1 to 5 years. However, there are some lenders that provide an extended maximum personal loan tenure, which can go up to 6 to 8 years.

7. Can I Cancel Personal Loan After the Loan Amount is Disbursed?

In certain situations, it may be possible to cancel a personal loan after it has been disbursed, depending on the lender's terms and conditions. However, canceling a loan typically involves incurring cancellation charges and processing fees.

It's essential to be aware that not all banks permit loan cancellation after disbursement. Nevertheless, borrowers can often choose to prepay the loan amount in accordance with the bank's terms and conditions, allowing them to save on the interest component.

8. Can a Pensioner Get Personal Loan?

Lenders provide personal loans to pensioners in the form of pension loans. However, these loans are typically available exclusively to pensioners who hold their pension accounts with the same bank.

9. What is the Minimum Salary Required to Get a Personal Loan?

The minimum monthly income required to qualify for a personal loan can differ from one lender to another. Nonetheless, major lenders such as private and public sector banks typically set the minimum income eligibility at Rs 15,000 per month or more.

10. Can a Student Apply for a Personal Loan?

Students may be eligible to apply for personal loans if they meet the specific eligibility criteria established by lenders. These criteria often relate to factors like age, income, credit score, and more.

11. Can I Get a Personal Loan if I have a Home Loan?

Yes, it is possible to apply for a personal loan while you already have a home loan. However, the approval of your loan application will be contingent on your ability to demonstrate that you possess the necessary repayment capacity to service the additional loan.

12. Can I Get a Personal Loan without a Salary Slip?

Yes, it is possible to obtain a personal loan without providing salary slips. You can often submit alternative documents such as your bank account statement, a copy of Form 16, an employee certificate from your employer, and more as proof of income to meet the eligibility criteria. However, it is advisable to verify the specific document requirements with the lender, as they may vary among different banks.

13. Can I Take Personal Loans from two Different Banks at the Same Time?

Yes, it is possible to obtain personal loans from two different lenders simultaneously, as long as the second lender is content with your ability to make repayments. Nevertheless, it is generally advisable to opt for a single loan with a larger amount from the lender offering more favorable interest rates and terms and conditions, if possible. This can often result in better overall terms for the borrower.

14. Can I Use Personal Loan for Marriage Purposes?

Yes, you can obtain a personal loan or its specialized variants, such as a wedding loan or marriage loan, to cover various expenses related to a wedding.

15. Are there any Charges for Prepaying Personal Loan?

Lenders have the discretion to impose prepayment or foreclosure charges on personal loans acquired at fixed interest rates. However, it's important to note that the Reserve Bank of India (RBI) has prohibited lenders from imposing these charges on loans obtained at floating interest rates.

16. Do I Need to Provide any Security or Collateral to Apply for a Personal Loan?

Traditionally, personal loans are unsecured, meaning borrowers are not required to provide collateral or security to secure the loan. However, certain lenders also provide secured personal loans, where the borrower must offer collateral or security to obtain the loan. Opting for a secured loan is typically considered when the borrower is ineligible for an unsecured personal loan or when they face exceptionally high interest rates on unsecured loans.

17. How to Calculate EMI for a Personal Loan?

Banks and Non-Banking Financial Companies (NBFCs) commonly employ the reducing balance method to compute personal loan Equated Monthly Installments (EMIs). Individuals can easily access various online personal loan EMI calculators on the websites of lenders and other online platforms. These calculators also use the reducing balance method to determine the EMIs accurately.

18. What is the Maximum Loan Amount I Can Get on My Personal Loan?

Lenders typically offer personal loans ranging from Rs 10,000 to Rs 40 lakhs. However, the approved amount largely depends on your income and existing loan obligations. Some banks and NBFCs use the Multiplier Method, where they calculate the eligible loan amount as a multiple (usually between 10 and 24 times) of your net monthly income.

Other lenders follow the EMI/NMI Ratio approach, ensuring that the EMI of the proposed loan doesn't exceed a predetermined portion of your income. Some lenders may even use a combination of these methods to determine the eligible loan amount for the applicant.

19. How much Personal Loan Can I Get on 40000 Salary?

Lenders may use different methods like the EMI/NMI ratio or the multiplier method to assess an applicant's eligible personal loan amount. Since these ratios can vary among lenders, the maximum personal loan amount you can secure with a monthly salary of Rs 40,000 will differ. To determine your specific eligible loan amount, you'll need to contact each lender individually.

Alternatively, you can explore online financial marketplaces that provide a convenient way to view eligible personal loan amounts from multiple lenders. These platforms consider your repayment capacity, interest rates, and loan tenure to offer you personalized loan options.

20. How to Calculate EMI for Personal Loan?

You can calculate the Equated Monthly Installment (EMI) on your personal loan using the formula:

EMI = [P x R x (1+R)^N] / [(1+R)^N-1]

Where:

- 'R' represents the rate of interest

- 'P' represents the principal amount

- 'N' represents the loan tenure

Using an online personal loan EMI calculator is preferable because manual calculations can be error-prone, complex, and time-consuming. The calculator only requires a few essential details for personal loan EMI calculation, including the interest rate, loan amount, and loan tenure.

Once you input all the necessary information, the calculator provides your loan EMI amount in a matter of seconds. Additionally, it not only calculates the EMI amount but also presents the total interest amount and an amortization schedule for your convenience.

21. How to Check Personal Loan Eligibility?

Banks and NBFCs assess an applicant's personal loan eligibility by considering factors such as age, credit score, income, loan repayment capacity, occupation profile, and the employer's profile. Eligibility criteria for personal loans can differ among lenders due to varying credit risk policies.

As a result, applicants may need to determine their eligibility for a personal loan by visiting the branches or websites of different banks and NBFCs individually. Alternatively, they can simplify the process by visiting online financial marketplaces like mybankingtips.com, where they can check and compare personal loan offers from multiple banks and NBFCs based on their credit profiles.

22. Is Personal Loan Taxable?

The government does not impose any taxes on the acquisition of personal loans or on their Equated Monthly Installments (EMIs). However, banks and Non-Banking Financial Companies (NBFCs) apply Goods and Services Tax (GST) to various charges associated with personal loans, including processing fees, late payment fees, foreclosure or prepayment charges, and other applicable fees.

23. What are the Documents Required for Availing a Personal Loan?

When applying for a personal loan, lenders typically request applicants to provide documentation to verify their identity, income, and address. The documents required for identity and address verification are relatively consistent for all applicants and across various lenders.

However, the list of income proof documents varies for salaried and self-employed applicants. Salaried individuals typically need to provide salary slips and bank statements as income proof. Self-employed applicants, on the other hand, are usually required to furnish bank statements for their current or savings accounts, audited financial statements (including the balance sheet and profit & loss account), and income tax returns when applying for a loan.

24. Is a Personal Loan Secured or Unsecured?

Typically, personal loans are unsecured, meaning you don't need to provide any collateral. However, some lenders also offer secured personal loans. In these cases, borrowers are required to pledge assets like gold jewelry, fixed deposits, bonds, shares, or debentures as security to obtain the loan. Additionally, there are personal loans available for buying consumer durables where you make a down payment and create a hypothecation on the purchased items.

25. Can I Get a Personal Loan if my Salary is 12000?

The minimum income criteria for qualifying for personal loans can differ from one lender to another. Major lenders generally set a minimum monthly income requirement that typically falls between Rs. 15,000 and Rs. 30,000. However, there are lenders who may extend personal loans to individuals with lower monthly income. Therefore, individuals with lower salaries may explore online financial marketplaces to ascertain if they are eligible for any personal loan offers based on their current income.

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