From the point of view of the borrower personal loans are one of the easiest means of financing. The reason: it does not need any collateral asset to be pledged to the lender. But before applying for such a loan, the loanee should be diligent enough to find out the interest being charged by the banks.
SBI personal loan interest rate
State Bank of India charges 11.45% to 12.95% (2.40%-3.90% over two-year MCLR) for defence, Central Armed Police and Indian Coast Guard personnel. This is the lowest rate. Employees of PSUs/police/railways get the second cheapest rates between 11.6% and 14.1%. Applicants working with private sector organisations will be charged 12.6% and 14.6%. Those with salary accounts with SBI will get
HDFC Bank personal loan interest rate
The biggest private sector bank in the country HDFC Bank charges interest rates between 10.75% to 24%. Add to it processing charges that can reach a maximum amount of Rs 4,999. The bank also levies a delayed EMI payment charge of 18% + applicable government taxes on overdue instalment amount.
PNB personal loan interest rate
The second biggest PSU bank PNB charges the following rate of interest – a minimum of 12.4% (applicable to defence/paramilitary personnel) to a maximum of 17.95% for general applicants and it all depends on credit scores, tenures etc.
ICICI Bank personal loan interest rate
The interest rate for a personal loan from ICICI Bank is between 10.85% and 16.15%. The ICICI Bank advises that in order to secure the lowest possible interest rate the borrower should improve the credit score, enlist a co-applicant and not take it in his/her single name and try to pay up quickly ie, apply for a short repayment tenure.
Axis Bank personal loan interest rate
Axis Bank can charge interest on personal loans anywhere between 10.25% and 22%. The bank states that in case of a default, penal charges of 8% per annum above the applicable interest rate on the overdue amount will be levied and GST will be added to it.
Please note that some banks add processing fees and documentation charges to personal loans. Some banks also provide a small discount to senior citizens under this head.
Personal loans fuel consumption, one of the key growth engines in the Indian economy. For the borrower, the interest rate is a key determinant of the cost. Personal Finance Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
