Personal loans are unsecured loans available for both salaried and self-employed individuals. People opt for such loans for various reasons like emergencies or planned events. One can take a loan for medical emergencies, bill repayment, debt consolidation, flight tickets, to buy assets, etc. The rates of these loans can be high compared to the secured loans as no security documents or deposits are required for short term loans. These loans are very popular among young professionals and demand of it high due to the flexibility. There are many lenders in the market that will provide personal loans.
You can get a loan from various lenders if you require immediate funds. The interest rate is one of the major deciding factors when it comes to a personal loan. It is important that do thorough research before opting for any loan. You don’t want to spend more money by paying a heavy interest rate. Since there are multiple options it is a must to see who can offer a better deal to you. Below are some of the banks and their interest rates which can help you decide:
State Bank of India: The interest rate offered by personal loans annually is 12.50% along with a processing fee of 2 to 3 %.
Punjab National Bank provides personal loan at the rate of 12 % with a minimum processing fee of 0.99% and maximum procession fee at 1.8%
HDFC Bank offers personal loan with 11.25% of interest rate with processing fee starting at 0.99% which goes up to 2.5%
ICICI Bank gives out a personal loan at 11.25% and again the processing fee starts 0.99% which can go up to 2.25%
Axis Bank charges 11.25% on any personal loan and their processing fee starts at 1.50% and can go up to 2 % of the loan amount.
Personal loan app like CASHe provides instant cash loan starting from Rs. 10000 to Rs. 2 lakhs and the interest rate start from as low as 2.5%. The interest rates depend on your loan amount and the duration of the loan. The duration can be 15, 30, 90 or 180 days. Once you enter the loan amount and the duration, the app will show you the interest rate.
To avail a personal loan, you will need to submit certain documents. These documents include your identity proof, address proof, and income proof. It will be difficult to get a loan if you fail to showcase any of these documents. Before committed to any loan, many sure you can pay the EMIs without fail. If you are a salaried employee you might get some discounts.
In short, in-dept research around the interest rate is a must before you apply for a personal loan.