What is a Loan?
Getting money from a bank or NBFC through a financial institution constitutes a loan which requires periodic payments with interest. The Indian loan market provides different types of financing opportunities that fulfill individual needs through distinct purposes.
Types of Loans
1) Personal loans: People can access versatile loan solutions through personal finance to get loans for diverse needs. People use personal loans to manage their debt through consolidation while also financing major acquisitions and medical costs and house renovating and travel expenses since personal loans differ from item-specific funding. Lenders grant these loans through assessment of various criteria such as employment standing and income together with credit score information.
2) Instant personal loans: Instant personal loans constitute a type of unsecured funding which grants borrowers immediate money access within a few hours to a single working day. All Fintech companies and digital lenders give instant unsecured loans via their quick digital application system. Quick personal loans function best as temporary funding sources in case of unexpected expenses or medical needs and urgent house maintenance.
3) Business loans: Organisations pursuing different stages of development from start-ups through multinational conglomerates can obtain business loans that finance their operating needs and expansions and equipment acquisitions and workforce expansion and company acquisitions. Banks together with credit unions and online lenders must review business financial standing as well as revenue projections and business plans before approving any loan.
Best Personal Loans
Several purposes trigger people to take personal unsecured installment loans such as debt consolidation and home renovations as well as medical bills and dream vacations. Unsecured personal loans do not require underlying security so you can keep your property assets such as house and car untouched. The decision regarding loan eligibility and interest rates depends on your income and creditworthiness to lenders.
1) HDFC Bank
Loan amount:Up to 40 lakh.
Interest rate:10.85% - 24%.
Loan tenure:Up to 6 years.
Processing fees:Rs. 6500
2) Axis Bank
Loan amount:Up to 10 lakh.
Interest rate:11.1% - 22%.
Loan tenure:Up to 5 years.
Processing fees: 2% of loan amount.
3) Kotak Mahindra Bank
Loan amount: Up to 35 lakh.
Interest rate:10.99% - 16.99%.
Loan tenure:Up to 6 years.
Processing fees:5% of loan amount.
4) IDFC FIRST Bank
Loan amount:Up to 10 lakh.
Interest rate:10.99% - 23.99%.
Loan tenure:Up to 5 years.
Processing fees: 2% of loan amount.
5) ICICI Bank
Loan amount:Up to 50 lakh.
Interest rate:10.85% - 16.65%.
Loan tenure:Up to 1-6 years..
Processing fees: 2% of loan amount.
Top 10 Banks offers Personal Loan Widget
As there are numerous banks and offers in circulation the selection process for finding the best personal loan becomes complex. Searchers can benefit from our list of current affordable personal loans from the top 10 banks. The widget provides you with essential information about interest rates together with loan amounts and processing costs in order to help you select lenders that align with your preferences. Standard rates may vary due to changes in loan conditions and factors resulting from evaluation of individual creditworthiness.
1) HDFC Bank
Loan amount:Up to 40 lakh.
Interest rate:10.85% - 24%.
Loan tenure:Up to 6 years.
Processing fees:Rs. 6500
2) Axis Bank
Loan amount:Up to 10 lakh.
Interest rate:11.1% - 22%.
Loan tenure:Up to 5 years.
Processing fees: 2% of loan amount.
3) Kotak Mahindra Bank
Loan amount: Up to 35 lakh.
Interest rate:10.99% - 16.99%.
Loan tenure:Up to 6 years.
Processing fees:5% of loan amount.
4) IDFC FIRST Bank
Loan amount:Up to 10 lakh.
Interest rate:10.99% - 23.99%.
Loan tenure:Up to 5 years.
Processing fees: 2% of loan amount.
5) ICICI Bank
Loan amount:Up to 50 lakh.
Interest rate:10.85% - 16.65%.
Loan tenure:Up to 1-6 years..
Processing fees: 2% of loan amount.
6) YES Bank
Loan amount:Up to 40 lakh.
Interest rate:11.25% - 21%.
Loan tenure:Up to 5 years.
Processing fees: 0.5% - 2% of loan amount.
7) Tata Capital Limited
Loan amount:Up to 50 lakh.
Interest rate:11.99% - 35%.
Loan tenure:Up to 7 years.
Processing fees: 6% of loan amount.
8) IndusInd Bank
Loan amount:Up to 50 lakh.
Interest rate:10.49% - 26%.
Loan tenure: Up to 1-7 years.
Processing fees:4% of loan amount.
9) Federal Bank
Loan amount:Up to 5 lakh.
Interest rate: 12% - 19.5%.
Loan tenure:Up to 1-4 years.
Processing fees: 1.5% - 2.5% of loan amount.
10) RBL Bank
Loan amount:Up to 5 lakh.
Interest rate:18% - 26%.
Loan tenure:Up to 3 years.
Processing fees: 2% of loan amount.
Securing low Interest rate loans
Your opportunity to secure a decrease in interest rate increases when your credit score reaches a high level.
A positive credit history needs timely payment of your credit card debts and loan responsibilities.
The best available offer can be found by checking interest rates from different banks together with NBFCs.
The holiday season brings lower interest rates which banks offer to their customers.
Loans for Professionals
1) Doctor loans
Loan amount:Up to 80 lakh.
Interest rate:10% - 20%.
Loan tenure: Up to 8 years.
Processing fees:2.95% of loan amount.
2) CA loans
Loan amount:Up to 80 lakh.
Interest rate:10% - 20%.
Loan tenure:Up to 8 years.
Processing fees:2.95% of loan amount.
3) Lawyer loans
Loan amount:Up to 30 lakh.
Interest rate: 10% - 20%.
Loan tenure: Up to 8 years.
Processing fees:2.95% of loan amount.
Wedding Loans
Specific wedding loans from personal loan providers help couples manage their high wedding costs. People can utilize these unsecured loans to cover honeymoon costs as well as acquire jewelry or book venues or catering services for their wedding. Interest rates depend heavily on three important elements such as income and credit score together with financial history.
Short Term Business Loans
Business operations require immediate financing through short-term business loans because these loans provide the most suitable funding solution. The terms for these loans allow repayment within three months to one year but exclude the stringent conditions that long-term loans require.
Personal Loan EMI Calculators
Online EMIs calculators help people examine their personal loan choices before borrowing money. These online calculators provide quick and efficient methods to estimate Equated Monthly Installments (EMIs) of personal loans. The loan calculator generates your EMI prediction at once when you provide the necessary information about loan amount and interest rate and loan period. The calculator provides tools to evaluate different loan amounts combined with interest rates and terms which allows you to inspect their impact on your monthly payment and loan cost.
Interest rates table
| HDFC Bank interest rates | Axis Bank interest rates |
| Kotak Mahindra Bank interest rates | IDFC FIRST Bank interest rates |
| ICICI Bank interest rates | Yes Bank interest rates |
| Tata Capital Limited interest rates | IndusInd Bank interest rates |
| Federal Bank interest rates | RBL Bank interest rates |
EMI calculator table
| HDFC Bank EMI calculator | Axis Bank EMI calculator |
| Kotak Mahindra Bank EMI calculator | IDFC FIRST Bank EMI calculator |
| ICICI Bank EMI calculator | Yes Bank EMI calculator |
| Tata Capital Limited EMI calculator | IndusInd Bank EMI calculator |
| Federal Bank EMI calculator | RBL Bank EMI calculator |
Personal Loan EMI Calculators and Interest Rate Calculators
Calculating Equated Monthly Instalment for the repayment plan of your personal loan is probably one of the most
important tasks. So here is what goes into calculating it and how:
Personal loan EMI Calculation Formula
The formula for EMI calculation is as under:
EMI = [P x R x (1+R)^N]/[(1+R)^N-1],
Where:
- P: Principal loan amount
- R: Monthly interest rate (annual rate divided by 12 and expressed in decimal form)
- N: Loan tenure in months
Although this method provides accurate output, the process of calculating EMI manually is quite time-consuming and error-prone. For this, one can use our online personal loan EMI calculator.
Personal Loan Interest Rate
The final interest rate of a personal loan depends on the applicant's credit score together with the lender's pricing model and operating costs in addition to several other elements. Every borrower needs to find optimal interest rates through proper evaluation of their credit information because personal loan interest rates heavily influence final borrowing costs.
Personal Loan Interest Rate
| Banks | Interest rates |
| HDFC Bank | 10.85% onwards |
| State Bank of India | 11.45% onwards |
| Axis Bank | 11.25% onwards |
| Kotak Mahindra Bank | 10.99% onwards |
| IndusInd Bank | 10.49% onwards |
| Bandhan Bank | 9.47% onwards |
| ICICI Bank | 10.85% onwards |
| IDFC Bank | 10.99% onwards |
| Canara Bank | 10.95% onwards |
| Federal Bank | 12% onwards |
| Punjab National Bank | 10.40% onwards |
| Union Bank of India | 11.35% onwards |
| Indian Bank | 10% onwards |
| Yes Bank | 11.25% onwards |
| Bank of India | 10.85% onwards |
| Bank of Baroda | 11.05% onwards |
| IDBI Bank | 11% onwards |
| AU Bank | Up to 30% |
FAQ’s for Loans
What are the personal loan usage possibilities?
The money you receive from a personal loan will support your investments in home improvements and luxury device purchases as well as travel expenses and debt combination and house down payment funding.
I need to determine whether I qualify for a personal loan or not?
The eligibility factors combine employment status with credit score together with employer reputation and residential location.
Should I borrow an amount exceeding a certain specified limit for personal loan approval?
A majority of lenders demand borrowers obtain a minimum loan sum before accepting them as candidates. Every financial institution imposes a base loan limit of ₹30000 among their products.
Do personal loans have specified terms for loan repayment?
The payment period of personal loans extends between twelve months and sixty months. The length of your loan tenures will depend on your financial situation and ability to repay according to lenders’ needs.
Do I really need to select only the EMI rate minimum?
Not necessarily, choosing a lower monthly payment normally results from either extended loan duration or larger total interest charges. Getting a longer term for repayment helps to reduce your monthly expenses but results in increasing your total interest payments throughout the entire loan period.