About HDFC Insta Loan
HDFC Insta Loans are pre-approved loans offered for HDFC Bank Credit Cardholders. Keeping in mind the value of time HDFC has designed this scheme which requires no documentation and the turnaround is almost instant. When in dire need of cash availing this Insta Loan could be a relief.
The loan can be utilised for any purpose with no restriction on end-use like an unsecured Personal Loan except for a speculative purpose. This loan can be a respite at a time when you are under severe financial stress.
The Credit Card limit will be blocked to the extent of the loan. Cash withdrawal facility for your card will be blocked and will be restored only on clearing the Insta loan in full.
Key Loan Features
The Key features of HDFC Insta Loans are:
- This is a pre-approved loan which will be instantly credited to your HDFC Savings Bank Account. For customers who do not have an HDFC Savings Bank Account, the loan will be disbursed vide Demand Draft in the name of the applicant as per HDFC Credit Card Records. The Demand Draft will be delivered to your billing address. The credit limit on your card will be blocked to the extent of the loan amount. The cash withdrawal facility for your card will be withdrawn and will be restored only on clearing the Insta Loan in full.
- The pre-approved loan will be based on your spending, transaction pattern and repayment of your earlier Credit Card dues.
- The quantum of the loan will be either be equal to or below your Credit Card limit. The equated monthly instalment (EMI) for the Insta Loan along with the GST will be billed in the monthly statement generated immediately after the loan is disbursed. The EMI will be a part of the Minimum Amount Due (MAD) appearing in your monthly Credit Card statement.
- Payment of MAD promptly on or before the due date is required to keep your card regular. Interest and other applicable charges are levied on the balance outstanding.
- No documentation required for availing the loan
- Interest will be charged at 1.25% p.m. The monthly payment dues will include EMI and GST on the interest amount of EMI.
- Flexible repayment option available ranging from 12 months to 48 months
- Select cardholders will be provided with this Insta loan facility
Terms and Conditions of HDFC Insta Loan
The following are the terms and conditions of the loan. The loan will be disbursed only if you accept the terms and conditions.
- The loan sanctioned will be at the sole discretion of the Bank.
- A processing fee of 799 exclusive of GST for all loan amounts for salaried customers and fee of 899 exclusive of GST for all loan amounts for self-employed customers will be collected.Processing fee 899 (exclusive of GST) for all amounts is collected for both salaried and self-employed persons belonging to Ludhiana, Noida, Faridabad, and Ghaziabad regions and for customers with an existing Insta Loan or for those who have availed Insta Loan previously.
- For the first EMI, interest will be charged from the loan booking date till the payment due date. For subsequent EMI the interest will be as per the statement billing cycle.
- If you avail the loan, it will be deemed that you have accepted the terms and conditions and you will be bound by them.
- Only select cardholders are eligible for the loan. HDFC reserves the right to decide the eligibility as per the internal policies of the Bank.
- CIBIL verification will be done post application for the loan and only cardholders with a good credit score will be considered for further processing.
- Customer ID, Name and, Date of Birth updated in the Credit Card system should match with the Customer ID, Name and Date of Birth updated in the savings bank account to get instant credit of the loan amount. Else, the loan will be rejected/ processed on the next working day post verification.
- The loan will be processed subject to available credit limit i.e., the loan amount should be less than or equal to the available credit limit on the Credit Card at the time of processing of loan request. The loan amount will be blocked against the credit limit. Cash withdrawal limit will be blocked and will be restored only after the Insta loan is repaid in full.
- If the loan is availed through Demand Draft, it will take 7 working days to deliver the Demand Draft. If the Credit Card billing date falls between this period, then the first EMI will be billed to this statement.
- The monthly payment dues will include the loan EMI and GST on interest amount of EMI. The monthly payment due will be billed to the statement generated in the immediate billing cycle after the disbursement of the loan and will be a part of the Minimum Amount Due that appear in your Credit Card statement. Prompt payment of MAD is essential to keep your card regular.
- You have to understand that EMI = Principal + Interest. The monthly payment due will include EMI and GST on interest amount of EMI. The first EMI will include interest charged for a month irrespective of the loan disbursement date.
- An amortization table will be sent after the loan is set up which will give you details of principal and interest amount separately for the entire repayment period.
- You can view the monthly repayment schedule with the help of HDFC EMI calculator. Interest rate shown in Net banking is per annum. In the EMI calculator choose the interest per annum and mention the interest rate given in Net banking.
- The loan quantum will be credited to the savings account for customers with HDFC Bank savings account. The savings accounts eligible for the loan disbursement are HDFC Bank Savings Account and HDFC Bank Salary Account.
- For customers, without HDFC Savings Account the loan disbursement will be done vide Demand Draft in the name of the applicant as per HDFC Credit Card records. The Demand Draft will be sent to the billing address within 7 working days.
- The bank will not be held responsible for non-receipt or delay in delivery of the Demand Draft due to non-availability of the customer at the time of delivery to the registered address as per HDFC Bank Credit Card records. The Bank will not be responsible for any debit on account of charges/fees from the loan amount credited to your account.
- HDFC reserves the right at its discretion to change the mode of disbursement requested by the customer at the time of booking.
- Processing charges will be levied in the immediate billing cycle post the disbursement
- Partial prepayment or partial -closure is not allowed on this loan
- Tenure confirmed at the time of booking the loan cannot be changed. Pre-closure of the loan is permitted with a charge at 3% of the balance principal outstanding.
- Along with the pre-closure charges, pro-rata interest at the time of pre-closure and the Credit Card balance outstanding at the time of pre-closure also should be paid for pre-closure of the loan.
- Since the pre-closure charges are prone to change from time to time, confirm the charges to be paid by contacting the HDFC Credit Card helpline if you decide to pre-close the loan. HDFC Bank reserves the right to change the pre-closure charges. Additional interest on the principal outstanding from the last billing date till the pre-closure has to be paid.
- GST will be applicable for the interest amount of EMI, processing charge and pre-closure charge.
- Applicable GST depends upon the place of provision (POP) and the place of sale (POS). If both the POP and POS are the same then the GST applicable is CGST and SGST/UTGST. Otherwise, it is IGST.
- GST on fees and charges/interest transactions billed on statement date will reflect in the next monthly statement.
- Interest rate and processing fee confirmed at the time of application will be collected. Interest is calculated on the reducing balance.
- Processing charges will not be refunded under any circumstance
- Tenure confirmed at the time of applying for the loan cannot be changed
- The loan proceeds should not be used for speculative purpose
- Only 2 Insta Loans can be availed at any point in time
- If your HDFC Credit Card gets closed before all the instalments are charged, the loan outstanding will get debited to your card account.
- Your loan account services along with the related Credit Card will be suspended in case of default in EMI payment on the due date. The further usage of the card may also be terminated. The continuation of the loan is at the sole discretion of the bank and the outstanding will be payable on demand to the bank.
- HDFC Bank reserves the right to add/ alter/ modify all or any of the terms and conditions or to replace this scheme wholly or in part by another offer, whether similar to the offer or not or to withdraw it altogether at any time without previous notice.
- You shall not hold HDFC Bank responsible or liable for, any actions, losses, damages, claims, demands, costs, charges, expenses, which a participant may suffer/ sustain/ incur by the offer. All disputes (if any) arising out of/ connected with/ as a result of the offer/ otherwise relating hereto will be subject to the exclusive jurisdiction of the competent Courts/Tribunals in Chennai only.
- The terms and conditions contained in the Card Member Agreement apply over and above the terms and conditions for this loan. In case you do not agree to any of the details above or require any further assistance you can contact the HDFC Card helpline.
Eligibility for HDFC Insta Loan
The following are the eligibility criteria to avail the Insta Loan:
- The applicant should hold an HDFC Credit Card
- The repayments of the existing Credit Card should have been made promptly on the due date
- The applicant should have a good income, good repayment capacity, and a good credit score
- The loan is based on the Credit Card spends, transaction pattern, and previous payment history.
- You can check the eligibility for the Insta Loan by following a few simple steps as mentioned below:
- To begin with log in to HDFC Net banking. Choose the 'Cards' option. Then proceed to 'Credit Cards' and later click on 'Transact' and then choose 'Insta Loan'. Give details of your Credit Card and the pre-approved limit will appear on the screen.
- You can also get the details of the loan by Phone banking. You can call the HDFC Credit Card helpline.
- If you are eligible for the loan and have not registered for DND/NDND/DNC an executive of HDFC Bank will give you a call and explain about the loan details. The information regarding the loan amount, interest rate and the other loan details will be given and you can immediately book for the loan since no documentation is required.
- If you are eligible for the loan and have not registered for DND/NDND/DNC you will get an SMS on your registered mobile number regarding the loan amount, interest rates and the other loan details. If you are interested in availing the loan and accept the terms and conditions listed in their website, you can send the shortcode mentioned on the SMS.
Documentation Required for HDFC Insta Loan
No documentation is required for this loan.
Processing Fees and Rates for HDFC Insta Loan
- A processing fee of 799 exclusive of GST for all loan amounts for salaried customers and fee of 899 exclusive of GST for all loan amounts for self-employed customers will be collected. Processing fee 899 (exclusive of GST) for all amounts is collected for both salaried and self-employed persons belonging to Ludhiana, Noida, Faridabad, and Ghaziabad regions and for customers with an existing Insta Loan or for those who have availed Insta Loan previously.
- No partial payment or partial closure is allowed for this loan. Only pre-closure is allowed. A pre-closure charge at 3% of the outstanding principal amount along with applicable GST will be collected. Along with pre-closure charges, pro-rata interest applicable and the outstanding Credit Card balance also have to be paid.
Frequently Asked Questions - HDFC Insta Loan
What is Insta Loan?
Insta Loan is a pre-approved loan provided for select HDFC Credit Cardholders up to the credit limit available at the time of processing the loan account. The credit limit will be blocked to the extent of loan amount and the cash withdrawal facilities will be blocked. Cash withdrawal facility will be restored once the Insta Loan is repaid in full.
What are the purposes for which the loan can be used?
The loan can be used for any purpose except for speculation.
What is the rate of interest charged on the loan?
Interest at 1.25% per month will be charged on the loan.
What is the tenure available for the loan?
The loan can be repaid within 12 months to 48 months.
What is the processing fee applicable on the loan?
A processing fee of 799 exclusive of GST for all loan amounts for salaried customers and fee of 899 exclusive of GST for all loan amounts for self-employed customers will be collected.
Processing fee 899 (exclusive of GST) for all amounts is collected for both salaried and self-employed persons belonging to Ludhiana, Noida, Faridabad, and Ghaziabad regions and for customers with an existing Insta Loan or for those who have availed Insta Loan previously.
What are the benefits of the Insta Loan?
The benefits of the Insta Loan are:
- It is a pre-approved loan and will be credited instantly to the savings account on booking
- The loan does not require any documentation
- The interest rates depend on the income and creditworthiness of the applicant
- Quick and hassle-free processing
Nominal processing fees