Which Bank is best for personal loan?
A home, holiday, destination wedding, or a car - who does not want all these! We all have aspirations and want to fulfill these. Now, fulfilling it is easy and simple, even if you did not have the necessary funds. Personal Loan is the best answer to all your financial needs and aspirations. Even for emergency needs, a personal loan can be a great savior. And of course, you should consolidate all your debts and pay with a personal loan because you can save a considerable amount of money with a low-interest rate. Personal Loan sounds interesting. Right. Now, you need to know about the best lenders and their conditions to make a wise decision.
Most public and private banks and NBFCs (Non-banking financial companies) offer the best personal loan in India. You should conduct a detailed comparison of personal loan interest rates, processing fees, pre-closure charges, eligibility criteria, and other such important factors before choosing the Best bank for a personal loan.
Best Personal loan Interest Rates 2020
| Banks | Interest Rates |
| HDFC Bank | 11.25% – 21.50% |
| ICICI Bank | 10.99% – 18.49% |
| SBI Bank | 10.90% - 15.30% |
| Bajaj Finserv | 10.99% – 16% |
| Axis Bank | 16% - 24% |
| Kotak Mahindra Bank | 10.99%-20.99% |
10 Best banks & NBFCs for availing a personal loan in India.
👉 1#. State Bank of India personal loan
SBI personal loan is available for salaried professionals and self-employed individuals. It offers personal loans under three categories – Xpress Credit Loan, SBI Pension Loan, and SBI Saral Personal Loan.
State Bank of India (SBI) Xpress Credit Personal Loan
| Loan amount | Up to Rs. 15 lacs |
| Age | 21 to 60 years |
| Interest rate | 10.90% - 15.30% p.a. |
| Processing fee | 1% of the loan amount + applicable tax |
| Minimum income requirement | Rs. 5000 per month |
| Loan tenure | Maximum 60 months or residual service period whichever is less |
Why should you apply for an SBI personal loan?
- The process is online and fast
- The interest rate is competitive
- No hidden fees and ethical policies
👉 2#. ICICI Bank Personal Loan
ICICI Bank offers personal loans at an attractive interest rate starting from as low as 10.99% p.a. In fact, the interest is charged on a reducing balance i.e. interest will be calculated on the outstanding loan balance every month. The notable features of ICICI bank personal loans are as under.
| Interest rate | 10.99% to 18.49% p.a. |
| Age | For salaried: 23 to 58 years; self-employed: 25 to 65 years |
| Loan amount | Up to 20 Lacs |
| Processing fee | Up to 2.25% p.a. of loan amount + GST |
| Prepayment charge | 5% p.a. of principal outstanding + GST |
| Loan tenure | From 12 to 60 months |
Why should you apply for an ICICI Bank personal loan?
- ICICI products are backed by ethical policies
- The competitive interest rate of 10.99%
- Instant and hassle-free loan
👉 3#. HDFC Bank Personal Loan
HDFC is a leading private sector bank that offers various banking products at an affordable rate of interest. You can take up to Rs. 15 lacs personal loan, in case if you are self-employed without having a guarantor or collateral security. Important features of HDFC bank personal loan are as follows:
| Interest rate | From 11.25% to 21.50% p.a. |
| Age | From 21 to 60 years |
| Minimum income requirement | Rs. 15,000 per month |
| Processing fee | Up to 2.5% of the loan amount with a minimum of Rs. 1,999 |
| Loan amount | Up to Rs. 15 Lacs |
| Loan tenure | From 12 months to 60 months |
Why should you apply for an HDFC Bank personal loan?
- Zero hidden charges, lowest processing fee, and convenient repayment process
- Minimal paperwork and documentation
- Special offers for top corporate personnel
👉 4#. Kotak Mahindra Personal Loan
Kotak Bank offers personal loans to all individuals whether they are salaried or self-employed. You can avail Kotak Bank's personal loan for sudden and unavoidable expenses also like medical emergencies. Important features of Kotak Mahindra Personal Loan are as under.
| Interest rate | From 10.99% - 20.99% |
| Age | From 21 to 58 years |
| Loan amount | Up to Rs. 15 Lacs |
| Loan processing charge | Up to 2.5% of the loan amount + GST and other applicable statutory levies |
| Prepayment charge | Lock-in period for 12 months. After 12 months, 5% foreclosure charge + GST on principal outstanding |
| Loan tenure | Up to 60 months |
Why should you apply for a Kotak Mahindra Personal Loan?
- You can take anywhere between Rs. 50,000 to Rs. 15,00,000
- Hassle-free and quick approval
- Kotak Mahindra Bank allows you to refinance an existing personal loan
- No collateral or security required
👉 5#.Axis Bank Personal Loan
Axis Bank offers great features and benefits on its personal loans such as flexible repayment tenure, lower processing fees, attractive interest rates, etc. Some important features of Axis Bank personal loan are as under.
| Interest rate | From 16% - 24% p.a. |
| Processing charge | 1.5% to 2% + GST as applicable |
| Prepayment/foreclosure charge | Nil |
| Age | 21 – 60 years |
| Income requirement | Rs. 15,000 |
| Loan amount | Rs. 50,000 to 15 Lacs |
| Loan tenure | Up to 60 months |
Why should you apply for an Axis Bank personal loan?
- A reputed name in the market
- Quick approval with minimal documentation
- No foreclosure charges
👉 6#.Citibank Personal Loan
Citibank offers personal loan for salaried class at a lower interest rate compared to the self-employed class. Some notable features of Citibank's personal loan are as under.
| Interest rate | From 10.99% to 18.99% p.a. |
| Loan amount | Up to Rs. 30 Lacs |
| Processing fee | Up to 3% |
| Late fee | 24% p.a. |
| Pre-closure charge | 4% |
| Loan tenure | 1 to 5 years |
Why should you apply for a Citibank personal loan?
- Special offers
- Minimal documentation for Citibank customers
- Full and part-prepayment options
- The fixed interest rate for predictable monthly payments
👉 7#. Bajaj Finserv Personal Loan
Bajaj Finserv is a leading NBFC (Non-Banking Financial Company) that offers a wide range of products. It offers personal loans at the competitive interest rate for several personal requirements. Some notable features of Bajaj Finserv's personal loan are as under.
| Interest rate | From 10.99% to 16% p.a |
| Processing fees | 2.25% to 3% |
| Age | 25-58 years |
| Minimum income requirement | Rs 30,000 |
| Loan amount | Up to Rs. 25 Lacs |
| Loan tenure | 12 to 60 months |
Why should you apply for Bajaj Finserv personal loan?
- Flexible repayment term
- Instant disbursal within 48 hours
- The loan procedure is an entirely online process
- No charge for partial preclosure
👉 8#. Bank of Baroda Personal Loan
Bank of Baroda offers personal loans for both salaried and self-employed individuals. The loan amount can be up to Rs. 10 lacs, depending upon your eligibility. Some prominent features of Bank of Baroda are as follows.
| Interest rate | From 11.60% to 16.60% p.a. |
| Processing fee | 2% |
| Pre-closure Charges | 6% in case within 6 months, after 6 months no charges |
| Loan tenure | 4 years |
| Loan amount | Up to 10 lacs |
Why should you apply for Bank of Baroda's personal loan?
- No pre-closure charges after 6 EMIs
- The best option for borrowers who want to avail of personal loan as small as Rs. 20,000
- Low processing fee
👉 9#.Standard Chartered Personal Loan
Standard Chartered is one of the best online personal loan providers in India. The bank offers personal loan for various expenses which include but not limited to vacations, daughter’s wedding, home renovation, higher education and so on. Some prominent features of Standard Chartered Bank's personal loan are as under.
| Age limit | From 23 to 58 years |
| Interest rates | From 11.99% to 19% p.a |
| Loan amount | Up to 30 lacs |
| Processing fee | 1% |
| Pre-closure Charges | Nil |
| Loan tenure | From 12 to 60 months |
Why should you apply for Standard Chartered Personal Loan?
- Lower interest rate starting from 10.99%
- Flexible repayment tenure
- Easy and convenient online process
- No collateral, no security, no guarantor required
👉 10#. Tata Capital Personal Loan
Tata Capital’s personal loan comes with several benefits like simple documentation, no collateral, no restriction to use. Notable features of Tata Capital personal loan are as under.
| Interest rate | From 11.25% to 19% p.a. |
| Age limit | From 25 years to 65 years |
| Loan amount | Up to 25 Lacs |
| Processing fee | 2% |
| Pre-closure charge | Up to 4% |
| Loan tenure | 12 months to 84 month |
Why should you apply for a Tata Capital personal loan?
- Minimal documentation and paperwork
- Flexible repayment term ranging from 12 months to 84 months
- Less processing fee
- The personal loan amount ranges from Rs. 75,000 to 25,00,000
- Special Note: Bank & NBFC Interest Rates are subject to periodic change.
Compare NBFC/P2P Lender Interest Rate 2020
|
NBFCs/P2P Lenders |
Rate of Interest (p.a.) |
Processing Charge |
|
Up to 35.99% |
Up to 5.00% of the loan amount |
|
|
Up to 24.03% |
Up to 2.00% + GST |
|
|
Up to 18% |
N/A |
|
|
Up to 27.6% |
Up to 2.5% of the loan amount |
|
|
11.25% |
Up to 2.5% + GST |
|
|
Up to 36% |
Up to 3% of the loan amount |
|
|
Up to 36% |
₹ 650 /- |
Is Personal Loan an unsecured loan?
Yes, it is. Personal loans are unsecured loans issued to both salaried and self-employed individuals to fulfill their general household expenditures that are urgent and immediate in nature. Unsecured loans are not supported by any asset as collateral and are issued on the basis of key criteria such as income level, credit history, and repayment capacity. However, the rate of interest on personal loans is higher than that of any secured loans. You can avail personal loans for expenses like home renovation, dream vacation, medical bills, lavish Indian marriage, or miscellaneous expenses.
These are some of the leading personal loan lenders & companies that provide attractive personal loan options at competitive interest rates. You do not have to submit any collateral or security for procuring these personal loans. For more information about the personal loan, please contact Afinoz.com as explained below.
