Personal loans are associate unsecured kind of credit that's standard to satisfy immediate requirements. it's multi-purpose in nature and so is used for various functions as well as wedding, home renovation, travel functions and a lot of. Moreover, there's no restriction for the amount borrowed and might be used for any purpose they need. In fact, a personal loan will assist you build your credit quicker when put next with alternative styles of credit. this can be due to the chance it carries due to being unsecured.All in all, a personal loan can offset any temporary financial crisis.
One of the benefits associated with an online personal loan is that it is unsecured in nature. This means you don’t need to pledge any collateral for your loan. Although this can be a reason for your interest rate, you can get a low-interest personal loan easily if you meet the eligibility requirements.
In this age of digitisation, the process of verification and documentation has now become short. This is applicable for an instant personal loan as they are fast in disbursal and require minimum documents for approval.
You can get personal loans that are quick and easy in approval. This is why it is the best bet in times of financial emergency. Moreover, the process has become digital; thus reducing time in the verification process.
A personal loan may be used for any price apart from investment and dirty activities. aside from that, it's useful in nature and might be used for any price. alternative styles of credit once taken are for a particular purpose and might be used just for an equivalent. as an example, a consumer credit is employed for buying a house whereas a automobile loan is taken to shop for a automotive. However, a personal loan may be taken to offset any immediate needs.
Personal loans are provided by most of the banks/NBFCs but with different eligibility requirements. However, there are certain criteria that are common for all financial institutions. The eligibility criteria to get an online personal loan approval for salaried and self-employed individuals are:
|Age||18/21 years - 60/65 years|
2. Self-Employed professionals
|Credit score||750 or above with a good credit history|
|Minimum Net Income (Monthly)||
|Loan Amount||Up to ₹50 lacs depending on the credit profile|
The common documents required for an online personal loan approval are given below:
Here is a comparison table of the popular personal loans online along with their processing fees, preclosure charges and interest rate:
|BANK/NBFC||Interest Rate(pa)||Loan Amount||Processing Fees||Part Payment||Pre-closure Charges||Locking Period||Tenure|
|IDFC First Bank||11.69% - 15.00% (BT rates starts from 11.50%)||1Lakh to 20Lakhs||Up to 2.0% of the loan amount||Up to 40% of loan amount every year||3% on your principal outstanding + GST||3 months||12 to 60 months|
|HDFC Bank||10.99% - 20.00%||50k to 40Lakhs||Up to 2.50% of the loan amount subject to a minimum of ₹1,999/- & Maximum of ₹25000/-||Up to 25% of Principal Outstanding allowed||
13-24 Months - 4% of Principal Outstanding
25-36 Months - 3% of Principal Outstanding
>36 Months - 2% of Principal Outstanding
>48 months - 0%
|12 Months||12 to 60 months|
|ICICI Bank||11.50% - 16.75%||50k to 25 Lakhs||Up to 2.25% per annum of loan amount plus GST||Not available||5% per annum of principal outstanding plus GST||6 months||12 to 60 Months|
|Bajaj Fiserv||12.00% - 16.00%||1 Lakh to 20 Lakhs||Up to 3.99% of the loan amount||Should be more than 1 EMI (2% + applicable taxes on part-payment amount paid)||4% plus applicable taxes on principal outstanding||1 month||12 to 60 Months|
|Kotak Bank||11.00% - 24.00%||1Lakh to 30Lakhs||Up to 2.5% of the loan amount + GST and other applicable statutory levies||-||5% of the outstanding amount + GST on principal outstanding||12 months||12 to 48 Months|
|TATA Capital||11.75%-19.00%||75k to 20Lakhs||From ₹999/- Up to 2.0% of the loan amount and applicable Service Tax||
Up to 25% of the principal outstanding (2% of the amount paid + GST)
*Maximum of 50% of the principal outstanding permissible
>6 months - 4% of principal outstanding
>12 months - NIL
BT - 5% of the principal outstanding
|6 Months||12 to 72 Months|
|IndusInd Bank||11.49% - 20.00%||1Lakh to 20Lakhs||Up to 2.50% of the loan amount plus tax||-||
Salaried: 4% of the principal outstanding after repayment of 12 EMIs.
Self Employed: 4% of the principal outstanding after repayment of 6 EMIs
|1 Year||12 to 60 Months|
|Fullerton||12% - 25%||65k to 20Lakhs||3% - 6% of the loan amount plus GST||
Within 7 months to 17 months - 7%
Within 18 months to 23 months - 5%
Within 24 months to 35 months - 3%
After 36 months - NIL
|6 Months||12 to 60 Months|
|IIFL||12.99% - 20.00%||1Lakh to 20Lakhs||Up to 2% of the loan amount plus GST||-||
Up to 4% of the Principal Outstanding
>12 Months - NIL
|6 Months||12 to 60 Months|
|RBL Bank||14.00% - 20.00%||1Lakh to 20Lakhs||1.5% of the loan amount (Non Refundable fee of Rs 7500 Upfront, Rest at the time of disbursal)||NIL||NIL||12 months||12 to 60 Months|
|Yes Bank||10.75% - 16.99%||1Lakh to 25Lakhs||Up to 2.50% of the loan amount subject to a minimum of ₹999/- plus taxes||
• 20% Principal Outstanding for 12 – 24 months
• 20% Principle Outstanding for 25 – 36 Months
• 25% Principal Outstanding for 37 – 48 Months
• 25% Principal Outstanding for 49 – 60 Months
1% plus applicable taxes on part payment amount paid
13 – 24 months - 4% of principal outstanding
25 – 36 months - 3% of principal outstanding
37 – 48 months - 2% of principal outstanding
>48 Months - Nil
|12 months||12 to 60 Months|
With a representative 10.75% APR based on borrowing ₹ 10 lacs and repaying over 60 months with 60 monthly repayments. Monthly repayments of ₹ 21618.
When you plan to apply for a personal loan, EMI plays the foremost necessary issue. whether or not or not the EMI can slot in your monthly budget will facilitate to decide your loan. This is where a personal loan EMI calculator can help you. A loan calculator helps you get the following results:
|Personal Loan Details|
|Interest Rates||10.75% - 35%|
|Processing Fee||Differs from bank to bank; generally ranges between 1-3% of the loan amount|
|Loan Tenure||12 months to 60 months|
|Loan Amount||₹15000 - ₹50 lakhs|
|Lock-in period||Varies from lender to lender|
|Preclosure Charges||Differs; Generally between 2%-5% of the loan outstanding|
|Guarantor Required||Varies on different conditions|
|S. No.||Bank Name||Interest rate (p.a)||Loan Amount|
|1||Yes Bank||10.75% - 16.99%||₹1 lakh - ₹25 lakhs|
|2||ICICI Bank||11.50% - 16.75%||₹50k - ₹25 lakhs|
|3||HDFC Bank||10.99% - 20.00%||₹50k - ₹40 lakhs|
|4||Kotak Bank||11.00% - 24.00%||₹1 lakh - ₹30 lakhs|
|5||Tata Capital||11.75%-19.00%||₹75k - ₹20 lakhs|
|6||IndusInd Bank||11.49% - 20.00%||₹1 lakh - ₹20 lakhs|
|7||IDFC First Bank||11.69% - 15.00% BT rates starts from 11.50%)||₹1 lakh - ₹20 lakhs|
|8||Bajaj Finserv||12.00% - 16.00%||₹1 lakh - ₹20 lakhs|
|9||IIFL||12.99% - 20.00%||₹1 lakh - ₹20 lakhs|
1. Is it a good idea to get a personal loan?
Personal loans can be an ideal solution during financial crisis. Be it wedding expenses, home renovation or medical emergency, a personal loan can be your solution to meet the immediate financial requirements as they are easy-to-get, fast in disbursal and require no collateral.
2. What is the best personal loan?
The best personal loan differs from borrower to borrower’s credit profile. A credit profile includes the credit score, monthly income, employer, employment type and others. All the above factors are considered to find the best personal loan.
3. How can I get personal loan?
To get a personal loan, you need to meet the following eligibility requirements:
4. What is the eligibility for personal loan?
The eligibility criteria for a personal loan are given below:
5. Are personal loans good for your credit?
Personal loans play an important role in deciding your credit score. The effect of missing a personal loan EMI can be adverse on your credit score. One of the reasons for the same is because personal loans are unsecured in nature.
6. How long does it take to get approved for a personal loan?
Due to digitisation, personal loan approval has become instant. However, the disbursal could take a period of 5-7 days due to the documentation process.
7. What is the best personal loan to get?
There is no such things as best personal loan. Every borrower needs to find the lender that best suits his/her needs. In order to do that, you can either compare the different lenders offline or apply at platforms such as TheBharatLoan who help you select the lender as per your requirements.
8. Can you pay off a personal loan early?
Of course you can pay off a personal loan early. This is known as prepayment of a personal loan. However, this could attract a specific amount as penalty which would differ from lender-to-lender.
9. What is the average interest rate on a personal loan?
The interest rate on a personal loan ranges from 10.75% - 35% which differs from lender to lender.
10. What do banks look at when applying for a personal loan?
The banks consider the following factors when looking at a personal loan application:
2. Monthly Income
3. Credit Score
4. Credit History
11. Who has the best personal loan rates?
The best personal loan interest rates depend on the credit profile of a customer. In order to get the best rates, a customer must have a good credit score, consistent source of income, should be salaried/self-employed.
12. Which bank gives lowest interest rate for personal loan?
Currently, YES Bank offers personal loans starting from 10.75%. However, the interest rates can be different for customers based on their credit profile.
13. What is the minimum salary for personal loan?
The minimum salary to get a personal loan is ₹15,000 fro non-metro cities and ₹20,000 for metro cities.
14. How can I get personal loan from Bajaj Finance?
To get a personal loan from Bajaj Finance, you can apply at their official website or apply at TheBharatLoan for easy approval and fast disbursal.