Bank of Baroda Personal Loan Eligibility
Bank of Baroda offers a Personal Loan of up to Rs. 20 Lakhs at interest rates of 11.10% p.a., processing fee up to 1-2% of the loan amount, and tenure of up to 5 years.
BOB Personal Loan Eligibility
Eligible Borrowers:
- Employees can avail loan of Proprietorships, Private Limited companies, Partnership firms, and trusts having a minimum of 1 year of continuous service.
- Employees of Central or State Government, Autonomous Bodies, Public or Joint Sector Undertakings, Public Limited Companies, MNCs, and Educational Institutions who have a minimum of 1 year of continuous service.
- Self-employed professionals (including doctors, architects, engineers, interior designers, practicing company secretaries, technology and management Consultants) having a minimum of 1 year of a stable business.
- Insurance Agents who have been doing business for at least the last 2 years.
- Self-employed can avail loans if they have a minimum of 1 year of stable business.
Age Eligibility:
- The minimum age for applying for a Personal Loan in the Bank of Baroda is 21 years
- The maximum age at the maturity of the loan should not be more than the retirement age of the salaried borrower or 60 years, whichever is lower.
- The maximum age is 65 years in the case of a self-employed borrower
FAQs
Yes, a self-employed person is also eligible for a personal loan with the Bank of Baroda.
Yes, Personal Loans are available for individuals not maintaining an account with Bank of Baroda. However, the maximum quantum of loans is 2 lakhs.
The rate of interest depends on various factors:
- The external benchmark rate - in this case, it is the repo rate
- The spread over the benchmark rate - also known as the mark-up
- The specific premium over the RLLR
- The CIBIL rating of the borrower
- The occupation of the borrower
The primary reason for the difference in the interest rates is the consistency of income. The salaried person has a fixed income, whereas the self-employed person has a fluctuating one. It places the self-employed borrower in a higher risk category. Therefore, the rate of interest for a self-employed borrower is higher when compared to the salaried individual.
Bank of Baroda does not permit any co-applicants in a clean Personal Loan. However, co-applicants are permissible in the case of a loan against property.
A third-party guarantee is not necessary when the employer undertakes to deduct the EMI from the salary and credit it to the loan account. In other cases, it is essential to bring in a guarantor.
The applicant should submit the following documents when applying for a Personal Loan.
- KYC documents to establish the identity, residential address, and age of the applicant
- Income papers to determine the repaying capacity of the borrower
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