Bank

Interest Rates

Processing Fees

Allahabad Bank

10.50% to 12.99%

1.60% of the Loan Amount

Andhra Bank

11.55% to 13.05%

As offered by the lender

Axis Bank

15.75% to 24%

1.50% to 2.00 % + GST

Bajaj Finserv

Starting from 12.99%

Up to 3.99% of the loan amount

Bank of Baroda

11.35% to 16.35%

2% of the loan amount

Bank of India

Starting from 13.10%

One time @ 2.00% of loan amount

Bank of Maharashtra

Starting from 12.5%

1.00% of the Loan Amount

Canara Bank

13.00% to 16.50%

0.5% of the Loan Amount

Central Bank

MCLR (12M) + 3.00%

Rs 500 + S.T

Citibank

Starting from 10.99%

Upto 2.75% of loan amount

Corporation Bank

12.95% to 13.95%

1.50% of the loan amount

Federal Bank

Starting from 11.49%

0.50% of loan amount

Fullerton India

Starting from 12%

Upto 6.5% of the loan amount

HDFC Bank

11.25% to 21.50%

Up to 2.50% of the loan amount

HSBC Bank

10.75% to 17.84%

Up to 1% of the disbursed loan amount

ICICI Bank

11.50% to 19.25%

Up to 2.25% per annum of loan amount

IDBI Bank

Starting from 12%

1% of the Loan Amount

IDFC First

Starting from 11.5%

Up to 2% of the loan amount

Indian Bank

Starting from 14.20%

0.51% on the Loan Amount

IndusInd Bank

Starting from 10.75%

Upto 2.5% of the loan amount plus tax

Kotak Mahindra Bank

11.29% to 19.99%

Up to 2.5% of the loan amount + GST

Faircent finance

16.50%

As applicable by the lender

Punjab National Bank

Starts from 12%

1.80% of the loan amount

RBL Bank

Starting from 12%

4% of the loan amount

Standard Chartered Bank

Starting from 11.99%

Upto 3% of the loan amount

State Bank of India

Starting from 11%

1% of the loan amount

Syndicate Bank

13.25% to 13.65%

0.50% of the loan amount

TATA Capital

Starting from 11.25%

Up to 2.5% of the loan amount + GST

I2i finance ltd

Starting from 18.00%

1% of the loan amount

Union Bank of India

Starting from 14.40%

0.50% of the total Loan

Yes Bank

Starting from 10.75%

Up to 2.50% of the loan amount

Note: Interest rates are subject to change from time to time at bank descretion, last updated on 20 June 2019.

Fixed Rate of Interest.

Fixed Interest Rate is an roi that remains fixed throughout the personal loan tenure. In other word if an individual has taken a personal loan for 5 years, the interest rate offered by the bank will remain same throughout the tenure.

Floating Rate of Interest.

Floating interest rate is an roi that changes during the loan tenure. For this type of  personal loan, there is a basic rate that is informed to the borrower while availing the loan and the interest rate keeps on fluctuating above and below this basic rate as per floating components.

Whats the Factors that Influence Your Personal Loan Interest Rates?

Personal loan roi basicaly starts from 10.75% but is not same for everyone and if you are planning to avail a personal loan, it is important for you to understand the factors that may influence your interest rate. Depending  on the following factors two individuals can get different interest rates on a personal loan from the same lender:

  • Credit score

 A cibil score not only helps you to avail a personal loan but also it helps in pull down your interest rate. How? A cibil score is a 3 digit number that acts as a validation of how you have handled the past repayments of your credit cards and personal loans etc

  • You need every time to repay your EMI on time, score are added to your cibil score and defaults or late payments take your cibil score down by a few score.

 

  • It is most important to maintain a good cibil score of 750 or above as it proves your creditworthiness and such individuals are considered reliable by the lenders during offering a personal loan and hence a lower interest rate may be offered.
  • Income:

As personal loans are\ unsecured loans and  you do not need to involve any collateral against them and a higher monthly income of an individual works as an assurance to the lenders. The lenders tend to believe that high income borrowers able to repay the loan without any delay and hence offer a lower interest rate to them. For example, a borrower with a monthly income of Rs. 80,000 might get a personal loan with an interest rate of as low as 10.99% but on the other hand, a borrower with a monthly income of Rs. 24,000 might get an interest rate of 13.50% from the same bank.

  • Reputed employer

: If you are working with a reputed organisation, you are most likely to crack a great deal on your personal loan interest rate. This happens because lenders believe that such borrowers have a stable job and receive salary on time thats why he able to repay the EMIs on time. Apart from this, the nature of your job also influences your credit score as a salaried professional might get a different interest rate as compared to a self- employed individual.

  •  
  • Relationship with your bank

If you have a salary account with any bank and share a good history of repaying the past EMIs with the bank on time, the bank is most likely to     offer you a personal loan with lower interest rate or processing fee. The lenders might also offer you a few more benefits.

Best Deal on Your Personal Loan Interest Rate.

Availing a normal personal loan is quick and easy but availing a personal loan at the lowest interest rate might be dificult if you don’t consider the following points before applying for a personal loan.

  • Improve your credit score  of 750 or above as it defines your credit worthiness and convinces the lenders to offer you a cheaper  interest rate. If your credit score is below 750, you will have to make efforts to maintain  it. The easy ways to do so are to keep paying the EMIs of your existing loans and credit cards on time and keep checking your credit report for any defaults

 

  • Pay existing loan, if any: Your loan to Income Ratio (LTI) that is calculated by dividing your monthly loans and credit cards by your monthly income is also taken into consideration by lenders as this ration helps the lenders to determine your ability to manage monthly EMIs along with the other expenses. If your LTI is more than 50%, you will either not be considered for a loan or the lender will charge you a high interest rate. Before applying for a personal loan, it is suggestion to pay your existing loan to bring the LTI ration down, which will actuly help you to get a lowest interest rate.

 

  • Compare lenders: Don’t go for the very first personal loan offer you get or see. It is a good practice to compare interest rates offered by different lenders on a personal loan and then go for the lender offering the lowest interest rate. At Paisapaid.com, you can compare the interest rates offered by different banks under one roof and can choose the desired one. Also, do not forget to compare other hidden charges and terms and conditions as well.

 

  • Apply with a co- applicant: If your credit score is below 750, lenders may be sanction your personal loan but with a higher interest rate. Under such situations, you can apply for a personal loan with a co- application (maybe spouse or a parent) having a credit score of 750 or above. This way, the financial information of both your co- application and you will be considered and you might get a lower interest rate.

 

  • Consider pre- approved offers: Lenders after considering your repayment history may offer you a pre- approved loan. When such an offer comes from the bank side, a lower interest rate might be offered because the bank has already analysed each and every aspect. So, keep looking for personal loan pre- approved offers.

Asked Questions – Answare

Ques: Can I go for banks offering lower personal loan interest rates for my existing personal loan with additional top-ups?

Ans: Its depends on the existing top ups that one has on the loan. There are a lot of factors where you can consider for going on the lower interest rate. The best option would be to contact your financial lender so they can guide the suitable offer for you.

Ques: How much interest rate is charged on a personal loan?

Ans: An interest rate on a personal loan varies from bank to  bank but usually the interest rate offered on a personal loan starts from 10.99%.

Ques: How can I get personal loans with a lower interest rate?

Ans: Taking a personal loan with lower interest rate involves a many factors. Some of the factors include paying down existing debt, checking and rectifying your credit reports on time, repaying EMI on timely basis.

Ques: Who is the best lenders to get a personal loan with low interest?

Ans: All banks have different personal loan interest rates to offer. They depend on various factors for different loan applicant. Some of the factors include age, credit history, self-employed or salaried etc. On the basis of these factors, the interest rate is decided by the particular lenders.

Ques: How can i  choose the ideal repayment tenure for personal loans?

Ans: You can Choos ideal repayment tenure includes a lot of points. One has to analyse the monthly budget, calculate the Interest Rates involved, the future financial planning prospects, the existing liabilities etc.

Ques: How much time does it take for a personal loan to get disbursed?

Ans:  Personal loan is disbursed to your account within 3 to 5 working days.

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