Top 5 Banks & NBFCs That Offer the Lowest Rates on Personal Loans

If you have been considering getting a personal loan for some time now, then chances are, you have also wondered about the banks and NBFCs in India that offer the lowest interest rates on personal loans. And thus, in today’s article, we will share with you the list you have been looking for, starting right now.

Banks & Financial Institutions

a.      State Bank of India

Starting the list with everyone’s favorite and the national bank of India, SBI. SBI, which is truly the banking partner to millions of Indians across the world, has established itself in this domain as one of the most trustworthy and reliable sources for all our lending needs.

About 3 years ago, SBI released its personal loan offering under the name of SBI Saral Personal Loan, through which anyone between the age of 21 to 59 years can get a loan of up to 59 years. The interest rate charged on this loan varies from 10.9% to 15.30% per annum, and an individual needs to have a minimum monthly income of ₹5000 in order to apply and get approved for this loan. Additionally, this loan comes with a maximum tenure of 60 months or the remaining service period of the borrower, whichever is less.

b.      ICICI Bank

If approaching government institutions for a personal loan isn’t your thing, then the next entrant on our list is ICICI Bank, a favorite among private Indian citizens. ICICI Bank is known across the country for their inclusive programs and practices, and under the same umbrella, they also offer their personal loan products.

The ICICI Bank personal loan comes with an interest rate of between 10.99% to 18.49%, and an individual can avail of up to ₹20 lakhs as a loan under this offering. Along with this, it needs to be noted that you need to be between 23 to 65 years of age in order to qualify for this loan and also have a minimum monthly income of ₹15,000. The loan comes with a tenure of 12 to 60 months so that you can plan your finances accordingly and still benefit from the loan.

c.       HDFC Bank

By far, the largest private sector bank in India, HDFC has a variety of different offerings under the personal loan umbrella. Having a wide presence across the country, HDFC, in its own words, aims to create truly inclusive financial products and services for every Indian. Some of the most notable features of personal loans from HDFC include a loan amount of up to ₹15 lakhs along with an interest rate between 11.25% to 21.50%. Additionally, in order to apply for this loan, you need to be between 21 to 60 years of age and have a minimum monthly income of ₹15,000.

Along with this, this loan comes with a tenure between 12 to 60 months.

d.      Kotak Mahindra Bank

Personal loans from Kotak Mahindra Bank are designed to be an emergency resource. If you take a look at the official website of personal loans from Kotak Mahindra, you will come to realize that the main USP of all their offerings is their instant disbursement facility meaning that they can be easily relied upon in time-sensitive situations.

The personal loan offer from Kotak comes with a loan amount of up to ₹15 lakhs and has an interest rate of 10.99% to 20.99%. Along with this, in order to apply for this, the applicant needs to be between 21 years and 60 years of age and have a minimum monthly income of ₹15,000. Additionally, this loan comes with a total tenure of up to 60 months.

e.      Axis Bank

Last but not least is Axis Bank, which is easily the only private bank in India with the widest coverage. There are multiple personal loan offerings from Axis Bank, and they generally arrive with an interest rate of 16% to 24%. Along with this, an individual between 21 to 60 years of age can get a loan amount of up to ₹15 lakhs if he has a minimum monthly income of ₹15,000. Personal loans from Axis come with a 60-month tenure at maximum and have a processing fee of 1.5% to 2% of the total loan amount.

NBFCs & Private Lenders

a.      Dhani by IndiaBulls

The first NBFC on our list is Dhani by IndiaBulls. A true lending partner for Indian millennials, Dhani offers personal loans at an interest rate of 1% to 3.17%. Along with this, an individual between the age of 21 years to 59 years can get a loan amount between ₹1000 to ₹500,000 and pay it back via a flexible repayment plan.

b.      MoneyTap

Instead of offering a personal loan to its lenders, MoneyTap offers a pre-approved line of credit to its customers based on their individual creditworthiness. One of the best aspects of this feature is the fact that customers only need to pay on the amount they borrow, which can range from ₹3000 to ₹500,000. MoneyTap charges an interest rate of 1.08% to 2.03% and offers a repayment period of up to 36 months.

c.       Money View

If you are looking for a private lender who will deliver the loan amount fastest to you, then Money View is the choice you should be after. Popular among millennials across India, Money View offers personal loans up to ₹5 Lakhs and has one of the lowest rates of interest in the market of 1.33%. Along with this, the NBFC also offers a flexible repayment plan and quick onboarding of new borrowers.

d.      KreditBee

First started as a leading portal for college students, KreditBee offers personal loans upto ₹100,000 and has an interest rate of 2% to 3%. Along with this, KreditBee is known to be accepting towards first-time borrowers as well, which has significantly contributed to their wide popularity. The lender offers a repayment plan of up to 36 months.

e.      Credy

Last but not least is Credy. If you are thinking about getting a personal loan for the first time and have never before utilized your credit score, Credy will be the perfect choice for you. The lender offers personal loans of up to ₹100,000 and arrives with 1% to 1.5% interest rates. Along with this, you also get the benefit of fast approvals and repayment tenure of up to 36 months.

 

Ending Lines

So here is the list of the top 5 banks and NBFCs in India for personal loans. Now all that remains is for you to go ahead and apply for one from your personal lender.