Find out the 5 best banks for personal loans in India 2021: Personal loans are the most popular choices to meet a variety of financial needs varying from person to person. As the time goes, banks and financial institutions are coming with newer ways to lure the customers by offering attractive options ranging from low interest rates to waiver of processing charges etc. So, with the too much information available right there, the borrowers are indifferent to choose the best loan provider. Here in this post, we try to help you get the best personal loan option by enumerating the best banks and loan providers in terms various parameters.
List of 5 best banks for personal loans in India
1. Standard Chartered Bank (SCB):
- SCB offers personal loans ranging from ₹ 1, 00,000 to ₹ 30, 00,000 depending on your eligibility, income and repayment capacity.
- Loan tenure options available are 12 to 60 months
- Processing fee – Starting from nil, it varies from loan to loan based on the credit history of the applicant. However, the maximum rate is 3% of the loan amount. 50% discount on processing fees for online applications.
- Rate of interest is as low as 10.99% with average and highest being 12.23%, 19.16% respectively.
- The disbursement usually takes 4 to 7 working days.
2. HDFC Bank:
- Loans of up to ₹ 15,00,000 are available under personal loan section
- Loan tenure options available are 12 to 60 months
- Processing charges: Up to 2.50% of the loan amount subject to a minimum of ₹ 1,999 & Maximum of ₹ 25000 for Salaried Customers
- Rate of interest is as low as 10.45% with average and highest being 13%, 20.78% respectively.
- Pre –Payment charges: While No pre-payment permitted until repayment of 12 EMIs, pre- payment charges are after that would be as below:
13-24 Months – 4% of Principal Outstanding,
25-36 Months – 3% of Principal Outstanding
>36 Months – 2% of Principal Outstanding
3. State Bank of India (SBI):
- Loans of up to 24 times of applicant’s monthly income or ₹ 15, 00,000 as maximum are available under personal loan section. This amount is determined purely based on the income level of the individuals.
- Loan tenure: Maximum 60 months or residual service period whichever is less
- Processing charges starts from 1% with maximum being 3% in addition to the applicable GST on the same.
- Rate of interest: refer https://www.sbi.co.in/portal/web/interest-rates/other-schemes
- prepayment charges of 3% on prepaid amount are levied
4. ICICI:
- Loans of up to ₹ 20,00,000 are available under personal loan section
- Loan tenure varies from 12 to 60 months
- Processing charges are up to 2.25% of loan.
- Interest rates start from 10.99% while it was as low as 10.75% with average and highest being 13.699%, 20% respectively during July to Sept 2017.
- Prepayment charges are 5% per annum of principal outstanding plus GST.
5. Axis Bank:
- Loans of up to ₹ 15,00,000 are available under personal loan section
- Loan tenure varies from 12 to 60 months
- Processing Charges vary from 1.50% to 2.00% + GST as applicable
- Interest rates are 15.50% to 24%, while it was as low as 10.99% with average and highest being 14.52%, 24% respectively during the 1st quarter of this year
- The best feature of Axis bank personal loans is nil pre-payment charges.
Disclaimer:
Interest rates are subjected to change from time to time. Check the website of bank for to know the prevailing standard interest rates. This article is only for information purpose and cannot be taken as an endorsement. We do not endorse any products or services.
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