Check out Personal Loan Rates in Top 5 Banks & Apply Now!

Personal loans, as you know, are generally unsecured (without collateral) which means the applicant does not have to provide any security to the finance company. This loan can be taken by anyone with a good source of income and a positive credit score. Having said that, banks and NBFCs have certain eligibility criterion on the basis of which they provide the fund and is also subject to change from one applicant to another.

Now when a person plans to take this loan, he would look for the best deal for sure. With the term best deal, I mean the one that gives a lower rate of interest, a higher loan amount and flexible tenure option. Being one of the most demanding loans of all kinds, personal loans are offered by many banks and NBFCs with attractive offers. So, how can you actually decide which one if the best for you? Well, the first and foremost important thing to keep in mind while applying for a personal loan is the interest rate. So, let us have a look at the interest rates in top 5 lenders in India:

Personal Loan Rates

• SBI Personal Loan Rates- 11.95% p.a. onwards
• Axis Bank Personal Loan Interest Rates- 15.50% p.a. onwards
• ICICI Bank- 11.50% p.a. onwards
• Bajaj Finserv Personal Loan Interest Rates- 13.99% p.a. onwards
• HDFC Bank- 11.49% p.a. onwards

You must know that there are some factors that affect the eligibility which is as follows:

Factors affecting personal loan eligibility-

Monthly Income: A regular and good source of income if one of the most important factors in the loan amount that a borrower can get from the banks or NBFCs. So, if you have a good in-hand monthly income, you are probably going to get higher loan amount at a lower rate.

Age: Just like in any other loan, a borrower must fulfill the age criteria which is variable depending upon the banks. Generally, the age criteria for a loan borrower is between the age of 21-58 years. However, some lenders have the upper limit of 65 years as well.

Monthly Expenses: To get a personal loan, monthly expenses like investments and other responsibilities of the borrower are considered by the banks. If the monthly expenses are higher, getting high loan amount can be hard.

Any Other Loan: Banks often find it easier to lend money to the borrower's who have no other running loan. As the repayment capacity of the borrower if higher if he/she is free from any other loan.

Credit History: The credit history of the applicant is most importantly taken care of as cibil score play a very important role in getting this loan. Hence, maintaining a higher cibil score can really prove to be very helpful to get more fund.

Job Stability: A good job stability is another important factor when it comes to a personal loan. A person who has good working experience with a minimum of 2-3 years can get a hassle-free loan.

Relationship with the Bank: Maintaining a healthy relationship with the banks/NBFCs is very important to get a personal loan smoothly. Since there are chances that the borrower can get the higher loan amount at low-interest rates.

Category of Your Employer: If the borrower is working in an MNC or the employer comes under fortune 100 companies, the loan eligibility increases as the loan repayment capacity also increases.

Now, let us have a look at the general personal loan eligibility criteria for a personal loan in India:

 For Salaried:

• The applicant must be between 21-58 years
• Minimum Net Monthly Income of the applicant should be ₹15,000/-.
• Good score
• Minimum work experience of the applicant should be 1 year

For Self-employed:

• The age of the applicant should be between 24-65 years
• Net Monthly Income of the applicant should be ₹2 lakhs
• The applicant must have a minimum work experience of 3 years
• Good cibil score

Hence, with the all the above information provided, you will now be prepared to apply for a personal loan online or offline. So, what are you waiting for? Apply now!