HDFC personal loan interest rate for ₹1 lakh: Eligibility, other key factors to keep in mind
A personal loan of ₹1 lakh offers immediate access to funds for various needs, with interest rates ranging from 10.50 per cent to 21 per cent. Borrowers should apply cautiously, considering potential drawbacks and eligibility criteria before proceeding.
A personal loan of ₹1 lakh is often a workable solution to handle various kinds of financial requirements such as unplanned expenses or personal goals. Before applying for HDFC Bank loans, you need to know the bank's interest rates and the factors affecting them. The following article gives you interest rates, eligibility, and what else you should look out for before you make your choice.
Understanding personal loans
A type of unsecured loan referred to as a personal loan lets you borrow an amount of money for any number of purposes, such as debt consolidation, house renovation, health emergencies or major life events, including weddings or vacations. Personal loans do not require collateral. For secured loans, your creditworthiness will decide if you'll qualify. Repayment will be an interest-bearing set monthly payment made over a predetermined time period.
Key features of a ₹1 lakh personal loan from HDFC Bank
- Collateral free: There is no need to pledge your house or any other asset to avail an HDFC Bank personal loan because they are a totally collateral-free product.
- Flexible tenure & repayment: Depending upon the loan amount and your financial condition, you can opt for a loan tenure that suits you the best, which ranges from one year to five years.
- Fast disbursement: You can quickly get loans up to ₹1 lakh. Depending on your relationship with the bank, it might take as little as 10 seconds or 4 hours collectively.
- No usage limitations: Your ₹1 lakh personal loan does not have end-use restrictions so you can spend it on nearly anything, from buying electronics, paying medical bills, financing your wedding, or other personal expenses.
- No hidden costs: There are no hidden fees for you. You need to take care of a single loan processing fee and an interest rate that is already fixed.
HDFC Bank personal loan interest rate for ₹1 lakh
Loan amount | Rs. 1,00,000 |
|---|---|
Loan tenure | 12 to 60 months. |
Interest rate | 10.50% - 21.00% p.a. |
Processing fees | 2.50% |
(Source: Bank’s website)
Eligibility criteria for HDFC ₹1 lakh personal loan
Here are the eligibility criteria for a ₹1 lakh HDFC personal loan:
- Age: If you have a salaried job, you must fall within the bracket of 21 to 60.
- Income: Your income should at least be ₹25,000 per month.
- Employment: You must have been in your current workplace for at least one year.
- Credit score: Maintaining a credit score above 750 can help you to get better interest rates and will greatly increase your chances of getting approved for a loan.
Documents required for HDFC ₹1 lakh personal loan
The following information is required in order to submit your loan application:
- Identity proof: Aadhaar card, PAN card, passport or driving licence.
- Address proof: Aadhaar card, PAN card, passport or utility bill.
- Income proof: Latest salary slip (for salaried employees) and bank statement or ITR (for self-employed individuals).
- Employment proof: Employment certificate or offer letter.
Though personal loans ensure that you receive immediate access to money for a range of purposes, you must always remember the drawbacks associated with them. As such, it goes without saying that borrowing should always be done cautiously and only if there is a pressing need.
(Note: Personal loan interest rates and other provisions keep changing with time. Readers are advised to check the relevant bank's official website for the latest updates.)
Catch all the Instant Personal Loan, Business Loan, Business News, Money news, Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.