Find Best Personal Loan Offers From
10+ Lenders

Find Best Personal Loan Offers From
10+ Lenders

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Loan Solutions from Our Trusted Members

Aditya Birla Capital

SMFG

Fibe

Stashfin

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Rates & Charges Loan Terms

Finance Amount

₹5,000 - ₹20,00,000

Processing Fee

1.5% of loan amount upto 5%

Pre Closure Charges

2% of outstanding principal

Tenure

6 months - 5 years

Interest Rates & Penalty Charges

Monthly ROI

0.9% to 3%

Annual APR

10.5% to 45% other charges

Cheque Bounce

₹500 per instance

Late Payment

2% per month on overdue EMI

Illustrative Annual APR Calculation

The Annual Percentage Rate (APR) ranges from 10.5% to 45%. The Annual Percentage Rate is the total annual cost of your loan expressed in percentage. It includes the yearly rate of interest charged by the lender and other fees levied such as processing fees, administrative charges, loan insurance costs, etc.

Case 1
For example, assume that you have availed a personal loan of Rs. 5 lakhs @ 10% p.a. with a repayment tenure of 5 years. The processing fee charged for this loan is 1.5% of the loan amount, which amounts to Rs 7,500. And you have taken an insurance guarantee for loan of Rs 1,500 and there are administrative charges of Rs 1,000 Therefore, the total borrowing cost of your personal loan will be Rs 1,47,411 and its APR will be 10.88%.
Case 2
For example, assume that you have availed a personal loan of Rs. 5 lakhs @ 10% p.a. with a repayment tenure of 12 months. The processing fee charged for this loan is 1.5% of the loan amount, which amounts to Rs 7,500. And you have taken an insurance guarantee for loan of Rs 1,500 and there are administrative charges of Rs 1,000 Therefore, the total borrowing cost of your personal loan will be Rs 37,495 and its APR will be 13.84%.
Variable
Case 1
Case 2
Loan Amount/Principal
₹5 Lakhs
₹5 Lakhs
Tenure
60 Months
12 Months
Interest Rate
10% p.a
10% p.a
Monthly EMI
₹10,643
₹43,643
Total Interest (A)
₹1,37,411
₹27,411
Processing Fee (B)
₹7,500
₹7,500
Insurance Cost (C )
₹1,500
₹1,500
Admin Cost (D)
₹1,000
₹1,000
Total Borrowing (A+B+C+D)
₹1,47,411
₹37,411
APR
10.88%
13.88%

Documents Required for Personal Loan

Lenders require different kinds of documents to be submitted for the verification of your identification, source of income, capacity to repay, and residence address while applying for an instant personal loan. Most follow common standards, but their criteria may vary a little in each case.

 

For Salaried Individuals: 

 

Requirements 

Salaried individuals

Proof of identity

Aadhaar card, Driving license, Voter’s ID, PAN card or Passport. 

Proof of address

Aadhaar card, Voter’s ID, PAN card or Utility bill. 

Proof of income 

Salary slips, Bank statement, Form 16. 

 

For Self-Employed Individuals: 

 

Requirements 

Salaried individuals

Proof of identity

Aadhaar card, Driving license, Voter’s ID, PAN card or Passport. 

Proof of address

Aadhaar card, Voter’s ID, PAN card or Utility bill. 

Proof of income 

Bank Statements, Previous Years’ ITR, P&L Statement and Balance Sheet. 

 

Personal Loan Interest Rate 2025

The interest rate provided on a personal loan depends on the credit profile of the applicant, the lender's credit risk-based pricing model, the cost of funds, and other such factors. Therefore, borrowers have to continuously look for the best interest rates according to their credit history, as an interest rate defines the overall cost of borrowing of a personal loan.

 

Banks

Interest rates

HDFC Bank 

10.85% onwards

State Bank of India 

11.45% onwards

Axis Bank 

11% onwards

Kotak Mahindra Bank 

10.99% onwards

IndusInd Bank 

10.49% onwards

Bandhan Bank 

9.47% onwards

ICICI Bank 

10.85% onwards

IDFC Bank 

10.99% onwards

Canara Bank 

10.95% onwards

Federal Bank 

11.49% onwards

Punjab National Bank 

9.40% onwards

Union Bank of India 

11.35% onwards

Indian Bank 

10% onwards

Yes Bank 

11.25% onwards

Bank of India 

10.85% onwards

Bank of Baroda 

11.05% onwards

IDBI Bank 

11% onwards

AU Bank 

Up to 30% 

 

Source: Bank’s Website

FAQs

What is the maximum amount of a personal loan I can take?

Your income and credit score are some factors which determine the loan amount that one can take. As reported by Paisabazaar, personal loans are given to a bank client up to ₹50 lakh in general.

What is the duration for a personal loan to be approved?

Applications for personal loans are usually assessed and approved in seven business days after they have been submitted. However, other circumstances may delay the approval time.

Can a personal loan be used for business?

Yes, personal loans are flexible, and one can use them to meet a wide range of purposes, including commercial needs. Personal loans are not only limited to personal expenses.

How is my credit score affected by a personal loan?

A personal loan may have a positive or negative impact on your credit score. Over time, responsible repayments and timely EMI payments would increase your credit score. However, even one delayed or missed payment can significantly bring down your credit score.

Does early repayment of my personal loan result in a penalty?

You can remove the monthly EMI burden early if you clear the personal loan fully. However, most banks do charge an amount known as a foreclosure fee when repaying before time. This amount depends upon the respective policies of the banks.