Best Personal Loan Interest Rates in India. Compare the latest personal loan interest rates and processing fees of all banks and apply today.
Personal loan interest rates in India range from 10.40% to 22.00% with lower rates for employees of reputed corporate or borrowers with existing relationships with the bank.
Here are some Best Personal Loan Interest Rates comparisons are available in India.
How to Get Lowest Interest Rate on Personal Loan?
Improve Your Credit Score
A high credit score indicates that you are a credit. Banks and financial institutions offer the lowest personal loan interest rate to applicants who have a high credit score. Thus, you should check your credit score before applying for a personal loan. If your credit score is less than 750, then you should look for ways to improve it. If your credit score is more than 750, then you are more likely to get a personal loan at a lower interest. Know about Gold Loan Interest Rates.
Avoid Missing Repayments
If you miss a loan or credit card repayment, your credit score may be adversely affected. Loan providers usually take into consideration your repayment history before deciding the interest rates of personal loans. Those who have paid their previous EMI and credit card bills on time are likely to charge less interest.
Keep an Eye Out for Offers
Banks and financial institutions usually offer special interest rates for a limited period during festive occasions. If you apply for a loan due to such an offer, you may be offered a lower interest rate.
Compare Interest Rates
Before applying to a particular bank for a personal loan, it is necessary to compare the personal loan interest rates charged by various NBFCs and banks. This will help you to take a personal loan at a competitive interest rate.
Negotiate with the Lender
If you are an existing customer of the bank or have a good relationship with the loan provider, you can negotiate for the lowest interest rate. While doing so, it is appropriate to submit a formal written request to the loan provider.
Best Personal Loan Interest Rates Comparison
| Bank Name | Interest Rates | Processing Fee |
|---|---|---|
| SBI Personal Loan Rates | 9.60% | 1.00% |
| HDFC Bank Personal Loan Rates | 10.50% | Up to 2.50% Min Rs. 1,999 |
| ICICI Bank Personal Loan Rates | 10.75% | Up to 2.25% of Loan Amount |
| Bajaj Finserv Personal Loan Rates | 12.99% | Starting from 1.50%, Up to 3% |
| IDFC First Bank Personal Loan Rates | 10.49% | Up to 2.00% |
| Axis Bank | 10.49% | Up to 1.75%,Min Rs.4,999 |
| Tata Capital | 11.25% | Up to 2.50% of Loan Amount |
| Fullerton India | 11.99% | 2% |
| IndusInd Bank | 10.49% | Min 0.75% to Max 1.75% |
| Kotak Bank | 10.40% | Starting from Rs.999 |
| RBL Bank | 13.99% | Up to 2% |
| IIFL | 12.99% | 1 – 2% |
| HDB Financial | 13.99% | Up to 2% of Loan Amount |
| IDBI Bank | 12.00% | 1.00% |
| Karur Vysya Bank | 12.00% | 0.40% |
| Muthoot | 14.00% | 2.5-3.5% |
| Yes Bank | 10.40% | Min-Flat Rs.2021 |
| Standard Chartered Bank | 11.50% | 1.00% |
| Union Bank of India | 11.00% | 0.5%, Min Rs. 500 |
| Canara Bank | 13.00% | 0.50% |
| Bank of Maharashtra | 10.85% | 1.00%, Min Rs. 1,000 |
| Andhra Bank | 11.55% | Case to Case |
| Allahabad Bank | 12.15% | 1.06%, Min Rs. 1068 |
| Federal Bank | 11.49% | 0.5%, Min Rs. 500 |
| Syndicate Bank | 13.40% | 0.5%, Min Rs. 500 |
| Bank of Baroda | 10.50% | 2%, Min Rs. 250 |
| PNB | 8.95% | 1.8% + Taxes |
| Indian Overseas Bank | 11.50% | Rs. 204 Per Lakh |
| Indian Bank | 11.05% | 0.5%, Min Rs. 508 |
| Corporation Bank | 12.95% | 1.5%, Min Rs. 500 |
| Axis Finance | 13.00% | 2% |
Factors Affecting Personal Loan Rates
Credit score
Personal loans are unsecured loans that are offered only on the basis of the repayment capacity of a person. However, this is ensured with the help of a credit score. All personal loan lenders ensure a loan to a person with a good credit score of 700 and above. In the case of a relatively low credit score, you can either get a personal loan at a higher interest rate or not at all.
Income
Income is another factor that ensures the lender of the loan repayment capacity of the borrower. Thus, the higher the income, the lower the personal interest rate. Many lenders set income criteria for lending personal loans, failing which you cannot be considered a qualified personal loan borrower.
Repayment History
A good repayment history reflects the financial discipline related to the payment and repayment of debit and credit card bills. In case of any default in the repayment schedule, the lender may doubt your abilities and charge a higher interest rate. Thus, the credibility of your repayment history can help you grab a lower interest rate.
Existing relationship with the Bank
If you are an old customer of a lender through a savings or investment account, it is likely that you will be offered a lower interest rate from that bank. This is because banks often offer pre-approved personal loans to their existing customers at discounted rates to maintain their relationship with existing customers.
Your organization’s reputation
The reputation of the organization you are currently working for plays an important role in grabbing a significant personal loan interest rate. This is because a well-known and stable organization will ensure the security of your jobs.
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