- June 8, 2020
- Posted by: Ganeshcbani
- Category: Blog
Personal Lenders
Personal loans are an unsecured credit form that satisfies immediate needs. It is multi functional in nature and can therefore be used for various purposes, including wedding, renovation at home, travel purposes and more. In addition, there is no limit to the sum lent and may be used for any purposes. In fact, a personal loan will help you establish your loan quicker than other types of loan. This is due to the risk it carries because it is unsecured.
In short, a personal loan can compensate for any temporary financial crisis.
Benefits and personal loan characteristics
Collateral not Required
Some of the benefits of an online personal loan is that it is unsecured in nature. This means that you don’t have to guarantee your loan. Although this may be an explanation to your interest rate, if you meet the eligibility requirements you can easily obtain a low interest personal loan.
Minimal records
The verification and reporting process is now limited in this digital age. It refers to an instant personal loan as they are easily disbursed and require minimal documentation for approval.
Simple adoption
Personal loans can be obtained quickly and easily with approval. That’s why it is the safest bet in financial emergencies. In addition , the process has become digital; therefore, the verification process reduces time.
Culture Multipurpose
A personal loan may be used for any reason other than investment and illegal activities. It is also multi functional in design and can be used for anything. Many forms of credit when taken are for a particular purpose and can only be used for the same purpose. For instance, a home loan is used to buy a house while a car loan is taken to purchase a car. A personal loan can nevertheless be taken to compensate for immediate requirements.
| 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 | 12 Months | 12 to 60 months |
| 25-36 Months – 3% of Principal Outstanding | |||||||
| >36 Months – 2% of Principal Outstanding | |||||||
| >48 months – 0% | |||||||
| 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) | >6 months – 4% of principal outstanding | 6 Months | 12 to 72 Months |
| *Maximum of 50% of the principal outstanding permissible | >12 months – NIL | ||||||
| BT – 5% of the principal outstanding | |||||||
| 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. | 1 Year | 12 to 60 Months |
| Self Employed: 4% of the principal outstanding after repayment of 6 EMIs | |||||||
| Fullerton | 12% – 25% | 65k to 20Lakhs | 3% – 6% of the loan amount plus GST | Within 7 months to 17 months – 7% | 6 Months | 12 to 60 Months | |
| Within 18 months to 23 months – 5% | |||||||
| Within 24 months to 35 months – 3% | |||||||
| After 36 months – NIL | |||||||
| IIFL | 12.99% – 20.00% | 1Lakh to 20Lakhs | Up to 2% of the loan amount plus GST | – | Up to 4% of the Principal Outstanding | 6 Months | 12 to 60 Months |
| >12 Months – NIL | |||||||
| 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 | 13 – 24 months – 4% of principal outstanding | 12 months | 12 to 60 Months |
| • 20% Principle Outstanding for 25 – 36 Months | 25 – 36 months – 3% of principal outstanding | ||||||
| • 25% Principal Outstanding for 37 – 48 Months | 37 – 48 months – 2% of principal outstanding | ||||||
| • 25% Principal Outstanding for 49 – 60 Months | >48 Months – Nil | ||||||
| 1% plus applicable taxes on part payment amount paid |
Eligibility criteria for Applying Personal Loan
| Criteria | Salaried | Self-Employed |
| Age | 21 years to 60 years | 22 years to 55 years |
| Net Monthly Income | Rs.15,000 | Rs.25,000 |
| CIBIL Score | Above 750 | Above 750 |
| Minimum Loan Amount | Rs.50,000 | Rs.50,000 |
| Maximum Loan Amount | Rs.25 lakh | Rs.30 lakh |
Documents required for Processing Personal Loan
| Requirements | Salaried Individuals | Self Employed |
| Proof of Identity | Passport, Voter’s ID, Driving License or PAN Card | Passport, Voter’s ID, Driving License or PAN Card |
| Proof of Residence | Passport or utility bills | Passport or utility bills |
| Proof of Income | Bank statement of salary account for the past two years | Audited financial statement of the past two years |
