Federal Bank personal loan eligibility is quite simple. The bank offers personal loans to salaried individuals who are earning at least Rs. 25,000 monthly income and are aged up to 60 years at the end of loan tenure. Applicants must be Indian residents and should have completed at least 3 years in the present job.
The first step for applying for any bank's Personal Loan is to make sure that you satisfy the eligibility criteria of the bank. The eligibility criteria depend upon the age, residency, income and other factors that the bank finds necessary.
Please find the eligibility criteria for Federal Bank Personal Loan mentioned below:
Please find the main features of the Personal Loan below:
|Purpose||The usage of this loan is at the personal discretion of the borrower|
|Maximum loan amount||The maximum loan amount depends on the type of loan. For FedPremia, the maximum loan amount is Rs - 25 Lakhs.|
|Maximum tenure||48 months|
|Interest rate||10.49% to 17.99%|
|Loan processing||Loan applications are speedily processed within a few days|
|Minimal documentation||The documents required to apply are few and quite easy to obtain from relevant issuing bodies.|
|Processing fee||Borrowers are charged a 3% processing fee on the loan amount|
|Foreclosure||Loan can be foreclosed after the first 12 months of issue|
|Flexible repayment plan||EMI is broken down into smaller amounts monthly for ease of payment on your part.|
|Multiple repayment channels||You enjoy the luxury of picking a repayment channel that suits you from among the numerous options available.|
Applying for a Federal Bank Personal Loan is relatively straightforward and in many cases, applicants receive the funds they apply for. However, rejections are also common due to the ineligibility of applicants.
Here are some of the factors that may affect your eligibility and by extension, your ability to access this loan:
Now that you know more about some of the factors that may affect your eligibility for a Personal Loan, let's discuss some of the tips to improve them to make you creditworthy and less of financial risk.
Ahead of festival season, Kotak Mahindra Bank has announced Rs 999 flat processing fee offer on Personal Loans. Customers can avail of instant approvals on personal loan applications up to Rs. 20 Lakhs at lowest interest rate starting at 10.25% p.a for maximum of 5 years.
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Federal Bank does not prevent anyone from applying to any of its products or services however, your request will not be granted. Only applicants who earn at least 25,000 will get the loan. Any amount below this figure will not be considered. You can choose to apply with an earning co-applicant. This way, your combined incomes can help reach the minimum income for the Personal Loan and increase your chances of approval.
Although the maximum amount you can borrow is 25 Lakhs, this is not an indication that you will be issued this amount. Federal Bank will evaluate your ability to repay the principal amount you have requested for alongside the interest based on your income, your age and other factors that may not be disclosed to you. Personal Loans are issued at the discretion of the Federal Bank.
This depends on the loan tenure at which the loan is issued. Federal Bank Personal Loans have a maximum tenure of 48 months. This translates to 4 years so you can spread your repayments over this period but definitely not beyond it.
Yes, the primary benefit of Federal Bank Personal Loans is that there is no limit to the end-use of the Personal Loan. You can use the funds availed by the Personal Loan to pay off any existing debt. Moreover, Personal Loans can have a lower rate of interest than credit card debts too.
Yes, Federal Bank offers you the option of applying for the Personal Loan online as well as offline. For an online application, you just to visit the Federal bank website. The procedure is similar to a physical application where you need to fill up and application form and submit it after uploading and attaching the relevant documents and photographs. Alternatively, you can apply for the Personal Loan through MyMoneyMantra's website.
Federal Bank allows loan foreclosure under a special condition. You cannot foreclose the loan before the first 12 months of issue. After 12 months, you are free to do so. Loan foreclosure attracts a foreclosure fee. Please contact any Federal Bank customer agent for more information about loan foreclosures.
An existing loan can mean a higher Interest rate for your Personal Loan application. You can, however, still apply for the loan if you have enough income to be able to pay for multiple EMI's. The bank will scrutinize your application carefully to determine your income eligibility. Another option is to consider paying off the existing loan or to increase its tenure to decrease the EMI amount. This will increase your chances of approval.
Federal Bank does not demand collateral for Personal Loan. Once you are eligible for the loan and you submit all the relevant documents along with the completed application form, they will be reviewed and the funds will be disbursed within days.
The residential proof document is a mandatory document for Personal Loans. You can use any of the following documents to prove your identity:
The bank needs to make sure that you are capable of paying off the loan in time. For this, the bank will need documents that prove your income and your liabilities and expenses.
Federal Bank will demand the following documents as income proof for Personal Loan:
Federal Bank will decide your eligibility by reviewing the documents you have provided. For your age, your personal document like your Voter ID Card will be reviewed. As for your income, your salary account statement will be reviewed to ascertain the same.