Personal loans are important during those times of financial crunch when no one else is out there to help you. It is impossible for any particular person to save money for every moment of life. In such cases, there is nothing better than having a personal loan.

A personal loan can be defined as loan that you can take both from bank and non-bank financial institutions for fulfilling your personal requirements. Like any other loans, you have to submit certain documents that would show your past credit history, your income, your employment details and your capacity to repay the amount. There is something that you should know about these loans. They are unsecured, and thus nothing you own can be auctioned by your lender. So, you need not submit any collateral to get the loan like property or gold.

You can use your personal loans for a wide number of reasons. Suppose you are planning to open a new business, you can’t have the entire amount of capital you need. In such cases, personal loans come handy. Also, during any medical emergencies or sudden additional expenditures can be well dealt with personal loans.

Like any other loans it is very important to keep in mind that you need to repay the loan to the bank or the non bank financial company. So, before you take a personal loan you must definitely take time to wisely check the amount of EMI you have to pay for your loan and also the other expenditures that you have every month. It is necessary to calculate them as if your expenditure exceeds your limit, this loan will be another burden on you.

The banks have various rates of interest for different personal loans. This variation depends on factors like monthly income, amount that can be repaid and so on. Given below are the list of banks and the interest rates that they offer. Have a close study before you take a loan.

Standard Chartered Bank Personal Loan

  • Interest Range: 11.25%-14.49%
  • Eligibility Criteria:
  • The age of the personal loan claimer should be more than 22 and less than 58.
  • The minimum income of the person who is claiming the loan should be more than or equal to 22,000 per month.
  • The person claiming the loan must produce valid identity cards like, voter card, aadhar card, pan card, driving license, passport etc.
  • Features:
  • Up to 30 lakh rupee loan is provided for the remunerated employees and about 10 lakh for those who are industrialist or entrepreneurs.
  • The loan is available without any collateral, security or guarantor.
  • No processing fee is charged by the bank.
  • It doesn’t charge any processing fee.
  • Fees and Charges: 1% pre-closure fee is charged of the principal that is outstanding along with the service tax. Also, the pre-closure is permitted after the first year only.

Tata Capital Personal Loan

  • Interest Rate Range: 11.99%-19.00%
  • Eligibility Criteria:
  • If you claim the loan, your age should be between 21 and 58.
  • The minimum income of 20,000 is necessary for applying the loan.
  • The necessary identity proofs that are required include voter card, aadhar card, pan card and other government proofs.
  • Features:
  • The loan is 15 lakh for government job employees and 10 lakh for entrepreneurs .
  • Again here you do not need any collateral assets.
  • No processing fee is charged.
  • Fees and Charges:
  • After 180 days there are no pre-payment charges. However, within the span of these 180 days no charge deducted for the 25% of principal amount only 2% of the prepayment charge is deducted.
  • During the foreclosure 4.5% of the principal outstanding along with service tax is deducted.

IndusInd Personal Loan

  • The interest rate is about 11.99%-19.00%
  • Eligibility Criteria:
  • Here the maximum age limit is 60 and the minimum is 21.
  • The net monthly salary amount should be 25,000 and more.
  • The borrower must have a two year employee experience and one in the current office if they want a loan.
  • If the person who is about to borrow the loan is staying at a rented apartment he or she must have to be in that current residence for one year.
  • Like all other bank, they too demand for your authentic ID proofs like aadhar card, voter card, pan card and driving license.
  • Features:
  • They provide 15lakh loan to the borrower depending on the salary, past credit details etc.
  • No guarantors, no security or collateral is required.
  • There is no processing fee charged.
  • Fees and Charges:
  • After repayment of 12 EMIs 4% of the principal amount is charged during the foreclosure.

ICICI Bank Personal Loan

  • Interest Range: 11.59%-22.00%
  • Eligibility Criteria:
  • You should be at least 23 years and less than 65 years for salaried professionals.
  • Minimum net monthly income should be Rs. 15,000.
  • You should have a valid ID proof like passport, pan card, driving license, voter ID card and photo ration card.
  • Features:
  • It offers loans up to Rs. 15 lakhs depending on your eligibility, income, nature of job and repayment capacity.
  • After six months there is a pre-closure.
  • No collateral, security is needed.
  • Fees and Charges:
  • 5% of the outstanding amount of principal is charged as the foreclosure.
  • They charge a processing fee of 2.25% p.a. of loan amount along with service tax.

HDFC Bank Personal Loan

  • Interest Range ranges between 11.49%-19.80%
  • Eligibility Criteria:
  • For salaried professionals they age should be between 21 to 60.
  • The minimum amount of salary should be 15, 000 with increases to Rs. 20,000 for borrowers in Mumbai, Bengaluru, Delhi, Hyderabad, Pune, Chennai, Kolkata, Ahmadabad, and Cochin.
  • You should at least have three years work experience in total, out of which minimum one year should be in the current company.
  • The applicant should have valid identity proof like voter card, pan card, driving license etc.
  • Features:
  • Loans up to 25 lakhs are offered depending on your eligibility, income, nature of job and repayment capacity.
  • Security or guarantors are not mandatory.
  • Fees and Charges:
  • Processing Fee: Interest rate up to 2.50% of the total loan amount subjecting to a minimum of Rs. 1,000 & maximum of Rs. 25,000 for salaried customers.

Fullerton Personal Loan

  • Interest Range: 17.25%-37.00%
  • Eligibility Criteria:
  • You should be at least 21 years and less than 65 years for salaried professionals.
  • Minimum net monthly income should be Rs. 25,000.
  • You should have a valid ID proof like passport, pan card, driving license, voter ID card and photo ration card
  • Features:
  • Loans up to Rs. 20 lakhs are offered to salaried individuals and up to Rs. 30 lakhs to self-employed individuals.
  • The security, collateral or the guarantors are required.
  • Fees and Charges: Foreclosure charges are 7% of the outstanding principal amount.

There are other important things that you should know about personal loans. To know more check