Personal Loan for Government Employees - Apply @10.50% Interest Rates,

Q: ✅ What is the repayment tenure available for the Personal Loan to Government Employees?

The repayment tenure for the government employees loan scheme is typically between 12 months to 72 months.

Q: ✅ What are the purposes for which the loan can be utilised?

The government personal loan can be utilised for any personal purpose like education expenses, marriage expenses, travel expenses, and for any medical emergencies. This unrestricted end use has made this product very popular.

Q: ✅ What is the difference between a Personal Loan to government employees and a Personal Loan to defence personnel?

A Personal Loan for government employees is designed to meet the personal financial needs of government employees, whereas a Personal Loan to defence personnel is offered to defence employees to meet their financial needs.

Personal Loan for Govt Employees Features

Loan amount: There is no limit on the minimum loan amount and the maximum amount can go up to Rs. 40 Lakhs.
Rate of interest: Government loan interest rate starts from as low as 8.45% p.a.
Tenure: The repayment tenure typically ranges from 1 year to 6 years.
Processing fee: The processing charges on these loans can go up to 2.50% of the loan amount.
Prepayment charges: You have to pay up to 5% + applicable GST on prepayment, however, some lenders are offering 100% waiver on processing fee as of now.
Collateral: Collateral or security is not required for unsecured loans.

Personal Loan for Govt Employees - Best Banks Offer

Bank	Interest Rate	Max. Loan Amount	Max. Loan Tenure
SBI	10.60% to13.85% p.a.	Rs. 20 Lakhs	6 years
Axis Bank	10.49% to 21% p.a.	Rs. 15 Lakhs	5 years
Union Bank of India	9.30% to 13.40% p.a.	Rs. 15 Lakhs	5 years
PNB	8.45% to 14.50% p.a.	Rs. 10 Lakhs	5 years
HDFC Bank	10.50% to 21% p.a.	Rs. 40 Lakhs	6 years

State Bank of India (SBI) Personal Loan for Govt Employees

Permanent/confirmed employees of State and Central Government can avail of SBI personal loans for govt employees up to Rs. 20 Lakhs for tenure up to 6 years under SBI Xpress Credit and SBI Quick Personal Loan schemes. The SBI loan for govt employee can be used for any purpose.

Features

Loan amount: Up to 24 times Net Monthly Income (NMI) or Rs. 20 Lakhs for Term Loan as well as Overdraft facility.
Eligibility: Indian resident of 21 years or above with the minimum net monthly income of at least Rs. 15,000 and EMI/NMI ratio of below 50%.
Tenure: Minimum 6 months and maximum 72 months or remaining service period (whichever is less).
Interest rate: The interest rate for personal loan for govt employees in SBI is between 10.60% to 13.85% p.a.
Processing fee: 1.50% of the loan amount (subject to minimum Rs. 1,000 and maximum Rs. 15,000) + applicable GST.
Prepayment charges: Up to 3%.
Collateral: Not collateral, security or guarantor is required for this government personal loan.

Axis Bank Personal Loan for Govt Employees

Axis Bank offers up to Rs. 15 Lakhs multipurpose personal loans for government employees including Public Sector Undertakings, Central and Local bodies. The tenure ranges between 12 to 60 months and the interest rate starts from 10.49% p.a.

Features

Loan amount: Minimum 50,000 and maximum Rs. 15 Lakhs.
Eligibility: Confirmed government sector employees of PSUs, Central/Local bodies aged between 21 years to 60 years and having minimum net monthly income of at least Rs. 15,000.
Tenure: Minimum 12 and maximum up to 60 months.
Interest rate: For this government loan interest rate varies from 10.49% to 21% p.a.
Processing fee: Minimum Rs. 3,999.
Prepayment charges: 2% to 5% + applicable GST.
Collateral: No collateral or security is required.

Union Bank of India Personal Loan for Govt Employees

Union Bank of India provides a special personal loan for government employees (SRLGE) scheme. You can get up to Rs. 15 Lakhs under this scheme for tenure up to 60 months. No processing fee is involved and the interest rate starts from 9.30% p.a.

Features

Loan amount: There is no limit on minimum loan amount and the maximum quantum of loan is Rs. 15 Lakhs.
Eligibility: Permanent/confirmed employees of State/Central government organizations, PSUs, defence, ministries, AIS officers, government teaching and non-teaching staff, aged at least 18 years and maximum 60 years.
Tenure: Maximum up to 5 years.
Interest rate: The interest rate is attractive and varies from 9.30% to 13.40% p.a.
Processing fee: Nil processing fee is applied on this govt employee loan scheme.
Prepayment charges: No prepayment charges involved.
Collateral: The spouse of the applicant must join as co-applicant. If the borrower is single/widow/divorcee, personal guarantee of one of the co-employees with sufficient means is required.

Punjab National Bank (PNB) Personal Loan for Govt Employees

PNB offers a government employees loan scheme named Personal Loan Scheme for Public. Under this scheme, government employees drawing salary from PNB can get a loan of up to Rs. 10 Lakhs for tenure of up to 60 months and interest rate starting at just 8.45% p.a.

Features

Loan amount: Up to 15 times of Gross Monthly Salary, subject to a maximum of Rs. 10 Lakhs.
Eligibility: Confirmed/ permanent employees of Central/State government, PSUs and LIC agents with minimum 2 years of service and drawing salary from PNB.
Tenure: The entire loan has to be repaid within the remaining period of service or in maximum 60 EMIs.
Interest rate: The interest rate for this govt personal loan is lowest and ranges from 8.45% to 14.50% p.a.
Processing fee: PNB offers full waiver of processing fees and documentation charges from 01.09.2021 to 31.12.2021.
Prepayment charges: No prepayment charges levied.
Collateral: A suitable third party guarantee is acceptable to the bank.

HDFC Bank Personal Loan for Govt Employees

HDFC Bank offers personal loan for govt employees online for medical emergencies, travel, wedding, home renovation, and other requirements. Employees of PSUs, including central, state and local bodies can get up to Rs. 40 Lakhs loan against salary with little or no documentation for 6 years tenure.

Features

Loan amount: Up to a maximum of Rs. 40 Lakhs.
Eligibility: Salaried employees of PSUs (public sector undertakings), including central, state and local bodies aged between 21 to 60 years and earning at least Rs. 25,000 monthly income.
Tenure: The borrowed amount for this central govt employee loan scheme can be repaid in maximum tenure of 6 years.
Interest rate: The interest rate ranges from 10.50% to 21% p.a.
Processing fee: Up to 2.50% of the loan amount, minimum Rs. 2,999 and maximum Rs. 25,000.
Prepayment charges: Nil charges on foreclosure for salaried after 12 EMIs payment and 2% to 4% for part prepayment.
Collateral: No collateral required as it is a collateral-free personal loan.

Eligibility Criteria for Government Employees

Below is the details personal loan eligibility for government employees:

Applicants should be aged at least 18 years when applying for the loan
The maximum age should not be above 60 years when the loan matures.
Minimum net monthly income required is Rs. 15,000.
Applicants should be confirmed government sector employees working with PSUs, Central or Local government bodies, and government colleges or institutions from at least the last 2 years.
The EMI to NMI ratio after consolidating all the present commitments including the EMI of the proposed loan should not exceed 50%.
It is tough to find personal loans for government employees with bad credit, so a credit score of 700 or above is required by most lenders.

Documents Required

Below are the documentation requirement details for personal loan govt bank:

Personal Loan application form (duly filled and signed), along with 2 recent coloured passport-sized photographs.
Income Tax Returns for the past 2 years.
KYC documents, such as PAN card, aadhar card, driving license, passport, etc.
Proof of residence, such as aadhar card, driving license, passport, utility bills, etc.
Proof of income, such as salary slips, salary certificate, bank statements, etc.
Defence personnel should submit a copy of the identity card issued by the department.

How to Apply?

MyMoneyMantra has made it easier to avail the government personal loan online. All you need to do is to:

Furnish the required details online and upload soft copies of the necessary documents.
If you satisfy the eligibility criteria, you will get instant approval.
The loan will be disbursed within less than 2 days of approval.
The loan proceeds will be credited directly into your bank account.

How much Personal Loan Can I Get on 25000 Salary in India?

Personal loans are very popular owing to the flexible usage options and the quick turnar...

02 Mar 2023 // 8 min read

Personal Loan for Government Employees FAQs

✅ Can government employees get loans?

Yes, most public and private sector lenders offer personal loans to government employees.

✅ How much loan can a govt employee get?

The maximum personal loan amount that a govt employee can get varies from lender to lender. A maximum of Rs. 40 Lakhs can be offered by some private lenders, subject to meeting their prescribed eligibility norms.

✅ What are the 5 types of government loans?

The 5 types of government loans include:

Government loan to pensioners.
Government loan to salaried employees.
Government loan to defence personnel.
Government loan to teachers working with public school/college.
Government loan to self-employed individuals.

✅ What is the repayment tenure available for the Personal Loan to Government Employees?

The repayment tenure for the government employees loan scheme is typically between 12 months to 72 months.

✅ What is the turnaround for these Personal Loans?

With the facility of applying for the loan online available, the turnaround for these loans has drastically reduced. The loan will be disbursed within hours if all the details are furnished accurately.

✅ What are the purposes for which the loan can be utilised?

The government personal loan can be utilised for any personal purpose like education expenses, marriage expenses, travel expenses, and for any medical emergencies. This unrestricted end use has made this product very popular.

✅ What is the difference between a Personal Loan to government employees and a Personal Loan to defence personnel?

A Personal Loan for government employees is designed to meet the personal financial needs of government employees, whereas a Personal Loan to defence personnel is offered to defence employees to meet their financial needs.

Minimum loan amount	No limit
Maximum loan amount	Up to Rs. 40 Lakhs
Rate of interest	8.45% p.a. onwards
Tenure	1 to 6 years
Processing fee	Up to 2.50% of the loan amount
Prepayment charges	Up to 5% + applicable GST
Collateral	Not required for unsecured loans
Age	Minimum 18 years

Axis Bank Credit Card

Axis Bank Kwik Rupay Credit Card

Axis Bank MY ZONE Credit Card

Axis Bank SELECT Credit Card

IndianOil Axis Bank Credit Card

Axis Bank Magnus Credit Card

Flipkart Axis Bank Credit Card

Axis Bank Vistara Credit Card

Axis Bank Rewards Credit Card

Axis Bank Vistara Infinite Credit Card

Axis Bank Neo Credit Card

Samsung Axis Bank Signature Credit Card

Axis Bank Aura Credit Card

Axis Bank Vistara Signature Credit Card

Axis Bank Privilege Credit Card

Samsung Axis Bank Infinite Credit Card

Axis Bank Reserve Credit Card

Axis Bank Airtel Credit Card

Axis Bank Insta Easy Credit Card

Axis Bank Freecharge Credit Card

Axis Bank Forex Card

Axis Bank Rupay Credit Card

Axis Bank Burgundy Private Credit Card

Axis Bank Credit Card Interest Rates

Axis Bank Credit Card Pin Generation

Axis Bank Credit Card Offers

Axis Bank Credit Card Types

HDFC Credit Card

HDFC Freedom Credit Card

HDFC Indian Oil Credit Card

HDFC MoneyBack Credit Card

HDFC Infinia Credit Card

HDFC Diners Club Black Credit Card

HDFC Swiggy Credit Card

HDFC Regalia Credit Card

HDFC Millennia Credit Card

HDFC Business MoneyBack Credit Card

HDFC Regalia Gold Credit Card

HDFC Regalia First Credit Card

HDFC UPI Rupay Credit Card

Paytm HDFC Bank Credit Card

HDFC MoneyBack+ Credit Card

Tata Neu Plus HDFC Bank Credit Card

Shoppers Stop HDFC Bank Credit Card

Flipkart Wholesale HDFC Bank Credit Card

6E Rewards IndiGo Credit Card

HDFC Times Platinum Credit Card

HDFC Bank Corporate Platinum Credit Card

HDFC Rupay Credit Cards

HDFC Forex Cards

HDFC Virtual Credit Card

Best HDFC Credit Cards

SBI Credit Card

SBI Prime Credit Card

SBI Simply Click Credit Card

SBI Elite Credit Card

SBI IRCTC Platinum Credit Card

SBI Simply Save Credit Card

SBI Pulse Credit Card

SBI Cashback Credit Card

IDFC First Bank Credit Card

IDFC Millennia Credit Card

IDFC Classic Credit Card

IDFC Wealth Credit Card

IDFC Wow Credit Card

IDFC Select Credit Card

AU Bank Credit Card

AU Bank Zenith Credit Card

AU Bank Vetta Credit Card

Au Bank Altura Plus Credit Card

AU Bank Altura Credit Card

AU Bank LIT Credit Card

AU Bank Credit Card Eligibility

AU Bank Credit Card Customer Care Number

AU Bank Credit Card Net Banking

AU Bank Credit Card Eligibility

AU Bank Credit Card Bill Payment

American Express Credit Card

Amex Membership Rewards Credit Card

Amex Platinum Reserve Credit Card