Personal Loans for Defence, Para Military and Railway Personnel
Growing aspirations and needs of individuals have manifested itself in demand for finances to fulfill the same. A popular way of funding one’s financial requirements in recent years has been through Personal Loans. A Personal Loan is an unsecured loan given to customers on pre-set criteria by lenders typically including income base, type of employment, work experience and credit history. Usually such loans are used to meet personal needs such as home renovation, marriage, medical expenses, and higher education as well as addressing sudden and unexpected expenses. Typically such loans are available from a variety of lenders and the tenure of the same can vary from 1 year to a maximum of 7 years. Such loans are expected to be repaid through equated monthly instalments (EMIs) throughout the loan period but options of pre-payment are also possible subject to pre-payment terms and conditions.
|Bank||Interest Rate||Tenure||EMI (Per lakhs)||Disbursed|
|HDFC Personal Loan||5 Years||Rs. 2,162||Instant Disbursed only for HDFC Customer|
|ICICI Personal Loan||5 Years||Rs. 2,187||3 to 4 days|
|SBI Personal Loan||5 Years||Rs. 2,149||5 to 7 days|
|PNB Personal Loan||5 Years||Rs. 2,122||5 to 7 days|
|Bajaj Finserv Personal Loan||5 Years||Rs. 2,273||24 Hours|
|Tata Capital Personal Loan||5 Years||Rs. 2,174||5 to 7 days|
|Indiabulls Personal Loan||5 Years||Rs. 2,224||24 Hours|
|Citibank Personal Loan||5 Years||Rs. 2,127||5 to 7 days|
|Yes Bank Personal Loan||5 Years||Rs. 2,174||5 to 7 days|
Demand for Personal Loans has been growing on the back of rationalization of interest rates, easy availability of such loans from banks and financial institutions, online credit scoring as well as emergence of intermediaries and third party financial product distributors such as MyMoneyMantra who has reached out the customers from all walks of life.
Despite its relatively wide reach amongst the salaried employees, till recently Personal Loans were slightly difficult to access for certain categories of government employees, especially those serving in the Defence and paramilitary forces as well as some other working with the Indian Railways. Traditionally, whilst Personal Loans have been available for such category of employees from Public Sector Banks, especially those having salaried accounts with such banks, the private sector banks extended Personal Loan services to higher ranks in such profiles.
The reluctance to provide such loans was understood to be based on multiple factors some of which include – frequent transfers, changing banking relationships, low salary (before seventh pay commission).
However, change is in the air, and over the last few months some leading private sector banks have proactively started offering Personal Loan products to employees (mentioned in the table below) serving in Defence, Paramilitary and Railway services.
|Service Type||Rank/Grade||Typical Net Income Requirement||Eligibility Criteria / Any Other Info|
|Indian Army||JCO & Above||25-35,000 P. M.||3-5 years job continuity|
|Indian Navy||JCO & Above||25-35,000 P. M.||3-5 years job continuity|
|Indian Airforce||JCO & Above||25-35,000 P. M.||3-5 years job continuity|
|CRPF||All Ranks||25-35,000 P. M.||3-5 years job continuity|
|CISF||All Ranks||25-35,000 P. M.||3-5 years job continuity|
|SSB||All Ranks||25-35,000 P. M.||3-5 years job continuity|
|SPG||All Ranks||25-35,000 P. M.||3-5 years job continuity|
|Indian Railways (Grade 3 & Above)||Loco Pilots, Drivers, Guards, Technicians, Ticket Collectors, Station Masters||25-35,000 P. M.||3-5 years job continuity|
Till verification of the documents and disbursal of funds, applicants have to be posted at the same location and they also require job confirmation proof from their department head. After receiving the funds, they can repay the loan amount in EMIs from anywhere through auto debit option.
Large private sector banks including HDFC Bank, ICICI Bank and Axis Bank seem to have finally recognized the important role such employees have in serving the nation and are open to offering various types of Personal Loan products to such individuals. For the men and women serving in these organizations of national importance, there is finally recourse to get funds through the Personal Loan route which is amongst the quicker ways to liquid funds without collateral. It is understood that these loans are being offered at interest rates ranging from 14 to 15%.
If you fall under any of the categories mentioned above, you can apply online for Personal Loans with MyMoneyMantra to get access to quick funding.
To apply online for Credit Cards, Secured Loans and Unsecured Loans, visit www.mymoneymantra.com, the leading online lending marketplace that offers financial products from 100+ Banks and NBFCs. We have served 4 million+ happy customers since 1989.