About Shriram Finance Personal Loan
Shriram Finance Personal Loans are offered by Shriram Finance Ltd. (Shriram Finance) an entity of the Shriram group. Their foray into the banking and financial sector services offers an array of loans targeted at their existing and new customers who may not have access to financing by banks as in rural areas and those with inadequate CIBIL scores. It also offers loans with quick turn-around time for their short-term and medium finance requirements covering both existing and new customers. Customers with business relationships with the group's other entities are also eligible and preferred customers for Personal Loans.
It is a known fact that nearly all of us need funds at one time or another to tide over situations like meeting sudden expenses including buying appliances or gadgets, to meet educational expenses or wedding expenses and so on. A Personal Loan is a short-term loan tailored to these situations and is normally offered without any collateral security. However one must have a sufficient regular income, a good CIBIL score, and creditworthiness to avail quick Personal Loans from banks. It is not uncommon for persons with an inadequate CIBIL score to get Personal Loans easily.
|Shriram Finance Personal Loan Interest Rate - Nov 2020|
11.49% to 28 %
Loan turn around period
2.5 % of loan sanctioned + Taxes
Who can apply?
500 per instance
3,297 Per Lakh
Shriram Finance targets this segment by offering loans in both rural and urban areas and helping people to convert their dreams into reality with speedy solutions albeit with collateral security.
Why Shriram Finance Personal Loan?
Shriram Finance Personal Loan like all Personal Loans helps you when you are in need of a hassle-free, quick and short-term loan to fund your immediate financial requirement. At this crucial juncture when a quick loan from banks is not available, the Shriram Finance Personal Loan can be really helpful.
The Shriram Finance offers tenures ranging from 12 to 36 months speedily with loan amounts varying depending upon your requirement and repayment capacity.
Not just salaried individuals, but self-employed, business owners and professionals also need funds very often to tide over temporary crisis periods and the Shriram Finance Personal Loan is a huge boon for them whether in rural or urban areas.
Features and Benefits of Shriram Finance Personal Loan
Shriram Finance, a leading non-banking financial company (NBFC) offers a single Personal Loan product and is targeted at both new and existing customers of the Shriram Group entities.
Shriram Finance Personal Loans score high because of its following features:
- Online application: Quick eligibility check, online application and speedy disbursal are Shriram Finance's forte.
- Flexible tenure for repayment: You can repay your loan amount with the tenure of 12 to 36 months, as per your convenience.
- Multiple branches: Over 2,400 all over India with a 7.5 million customer base, and excellent customer-centric support measures.
- Collateral-free loan: Shriram Finance Personal Loan does not require you to submit any collateral or security.
- Competitive interest rates: Starting from 11.49%, which is very competitive.
- Customer log-in feature: It allows you to check your account and resolve issues at any time.
Shriram Finance Personal Loan Interest Rates
The interest rates for Shriram City Union Finance Personal Loan vary between 11.49% to 28% per annum currently.
The interest rate varies depending on the applicant's income, CIBIL score, type and location of profession, age, and other eligibility factors set by the lender.
Shriram Finance Personal Loan Eligibility
Given below are eligibility criteria for the salaried, self-employed, professionals and business owners who wish to avail Personal Loan from Shriram Finance:
- Shriram Finance offers Personal Loans to its existing/ old customers, and customers of other entities of Shriram Group.
- Applicant must be minimum 18 years of age at the time of applying for the loan
- Applicant must not be older than 59 years of age at the time of loan maturity
- There should not be any cheque bounces in the applicant's bank statements
- Applicants must provide the declaration of their existing loan commitments
- Applicant must be either a salaried or self-employed individual
- A salaried individual must be employed with the current employer for minimum 1 year
- A self-employed applicant must have minimum 2 years of work experience
- The applicant should be residing in the same residence for at least last 1 year
The EMIs are payable through any of the following ways.
- Post dated cheques where you issue one cheque per EMI and involves the issue of many cheques
- Electronic Clearing System Mandate where the bank is authorized to pay the EMI on a particular date and you need to ensure sufficient funds in the account before the due date.
- Online payments
Your CIBIL score is important to decide your credit-worthiness. Generally, a CIBIL score of 600 and above is required. The CIBIL score is read along with your past credit history, loan repayments default in EMI payments and credit card dues etc.
The time taken for dispersal can range from 48 hours to 10 days depending on the scheme under which you have applied for a loan, your documentation being acceptable and meeting the eligibility criteria of Shriram Finance.
The interest rates range between (presently 15%) 11.49% to 23% and the loan tenure is between 12 to 36 months. The foreclosure charges are specified by Shriram Finance. A processing fee of 2.5% of the loan amount is levied along with GST of 18%.
Insuring your loan with a one-time premium will ensure security for you and your family in case of any unforeseen circumstances.
Documents Required for Shriram Finance Personal Loan
Below mentioned are the documents required for all the applicants including the salaried applicant, self-employed, professional, and business owners to avail a Personal Loan from Shriram Finance:
- Valid Identity Proof (any one of the following)
- Driving Licence
- Voter's ID Card
- Aadhaar Card
- PAN Card
- Valid Residence Proof (any one of the following)
- Driving Licence
- NREGA Card
- Gas Bill with Gas Book
- Income Proof Documents
- Last 6 months' Bank Statement
- Post Dated Cheques (PDCs) and Electronic Clearing (ECS) Mandates
- Legal Documents: As stipulated by Shriram Finance
- Collateral Security: As advised by Shriram Finance
- Any other document as required by Shriram Finance
Other Products by Shriram Finance
Shriram Finance Limited offers many other products as well apart from short-term Personal Loans. Here are those products:
Two Wheeler Loans
Non Corporate Small Business Loans
How to Calculate Shriram Finance Personal Loan EMI?
The Equated Monthly Instalment (EMI) is the amount you are required to pay back each month to the lender till the end of your Personal Loan tenure. This can be easily calculated through Shriram Finance's EMI Calculator or the MyMoneyMantra EMI Calculator.
If you are using MyMoneyMantra's EMI Calculator, you will need to enter three parameters including the required loan amount, tenure, and proposed interest rate to get the accurate result.
Here is how these factors influence your EMI.
Example: If you take a Personal Loan of 2 Lakhs at 11.49% interest rate for 12 months, the EMI would be 17,722. If the loan tenure is increased to 24 months the EMI reduces to 9,367 and when it is 36 months the EMI reduces further to 6,594.
Loan Tenure: This clearly indicates that longer the tenure, the lower is your EMI. However, it is advisable to consider the factors of your income, tenure, interest rate, and pre-closure charges when deciding your loan amount and tenure. Generally, it is better to go for shorter loan repayment period and just as much loan amount as is required. If your age is closer to 60 years or retirement age, you must opt for shorter tenure.
Interest Rate: The interest could be fixed or variable during the loan tenure. If it is fixed, it will remain constant for the entire loan tenure. If it is floating, the rate will fluctuate with the changes in the prime lending rates of RBI and MCLR of Shriram Finance..
Example: For a loan amount of 2 Lakhs at 11.49%, the EMI for a 36-month loan is 6,594. If the interest rate let us assume is 16.5%, the EMI would go up to 7,081.
Lower interest rates are always preferable though this is at the discretion of Shriram Finance and also depends on your creditworthiness, lender's terms and conditions, your relationship with the lender, CIBIL score (which should be 700 or above), good track record of repayments of previous loans, lack of cheque bounce in the bank statement, and other factors. Always read the fine print and compare loans before deciding.
Loan Amount: As the loan amount increases so do the EMI.
Ex: For a loan amount of 2 Lakhs at 11.49% the EMI for a 36-month loan is 6,594. Let us assume the loan amount is 10 Lakhs at the same interest rate and tenure. Your EMI is now 32,971.
Shriram Finance Personal Loan Customer Care
A number of customer-centric options to contact Shriram Finance are available for ease of operations and to overcome the need to walk-in to a branch or wait for customer service.
A toll-free number for Shriram City Union Finance Personal Loan for product related queries and resolution is:
1800 103 6369
The numbers are promptly attended to by customer care executives round the clock.
Shriram Finance Head Office address:
Shriram City Union Finance Ltd
144, Santhome High Rd, Santhoshi Nagar, Kuil Thoppu, Mylapore,
Chennai, Tamil Nadu, 600004
Tel: (044) 43925300 www.shriramcity.in
Latest Shriram Finance Latest News
Shriram group to merge STFC and SCUF
Shriram group may consider merging Shriram Transport Finance Company (STFC) and Shriram City Union Finance (SCUF) to be able to list Shriram Capital, the holding company of the group's financial businesses.
Shriram Transport Finance Company Limited to launch Smart Branch
Shriram Transport Finance Company Limited (STFC) announced the launch of its 24 X 7 Smart Branch at Delhi offering a unique Smart Solution in the NBFC Branch Management in April 2018.
Shriram City Union Finance Q1 net profit rises by 15% to 230 cr
Shriram City Union Finance reported a 15% increase in its standalone net profit to 230 Crores for the first quarter this fiscal. It had registered a net profit of 200 Crores in the April-June period of 2017-18.
Frequently Asked Questions
What is acceptable proof of address at Shriram Finance for Personal Loan?
The documents you can use as proof of your residential address are:
- Driving Licence
- NREGA Card
- Gas Bill with Gas Book
Am I eligible for Shriram Finance Personal Loan if I am working and under 21 years of age?
Yes. The age criterion for Shriram Finance Personal Loan is 18 to 59 years.
Are pensioners eligible for Personal Loans at Shriram Finance?
No, Shriram Finance doesn't offer Personal Loans to pensioners.
What is the maximum loan tenure for Shriram Finance Personal Loan?
Being a short-term loan, the maximum tenure offered by Shriram Finance for the repayment of their Personal Loan is 36 months.
Can I apply online for a Shriram Finance loan?
Yes, you can apply for Shriram Finance Personal Loan online through MyMoneyMantra.
What is the minimum interest rate offered on Shriram Finance Personal Loan?
Shriram Personal Loan interest rate starts at 11.49% p.a.
Can I access my loan account to get its status?
Yes, you can log-in as a customer and clear doubts. This facility is for loan and deposit customers where you have access to your loan account or deposit account and can clear your doubts using any of the above options.
Can I get a loan from Shriram Finance if my credit score is low?
No. To get an unsecured loan you must have a good credit score (typically 700 or above). The loan approval is at the lender's discretion. If CIBIL score is not good enough you can try for a Secured Personal Loan or Loan Against Property.
Can I apply for a Shriram Finance Personal Loan if I am nearing retirement?
Yes. The loan should be paid back before you retire though.
Whom can I contact to get more information?
You can get more information through Shriram Finance's official website or you can also contact their customer service. If your doubts persist you can also contact MyMoneyMantra.
Why Apply for Shriram Finance Personal Loan on MyMoneyMantra?
Whenever you apply for a Personal Loan it is imperative to understand the impact and consequences of availing a loan. Further, matching your needs and finding the best product available in the market with the lowest interest rate, long tenure, and sufficient loan amount can be a daunting research ordeal for many.
Compared to a decade ago, the interest rates and loan products available in the market are very competitive with many banks and NBFCs. Shriram Finance Ltd has also entered the banking and financial sector with its customised Personal Loan solutions. Shriram Finance has previously thrived in the chit fund business and has a very large customer base of 7.5 million and 2,800 branches all over India, especially South India. Its financing solutions under the Personal Loan segment have risen phenomenally to allow Shriram Finance to emerge as a leading category among the NBFCs.
When in doubt and if you need support in financing your needs, you can rely on MyMoneyMantra - a leading online marketplace for loans. We are associated with almost 70+ leading banks and NBFCs including Shriram Finance. The entire loan process and understanding of the agreements can be made hassle-free when you avail the door-step service of MyMoneyMantra. Our loan experts are committed to finding the best solution for you, offering you a choice of products with the lowest interest rates, doing your paperwork, and even hand-holding you through the entire process.
How to Apply for Shriram Finance Personal Loan on MyMoneyMantra?
At MyMoneyMantra, we assist you with a quick loan application and fund disbursal. We guide you through the various Personal Loan schemes available in the market and help you select the one that is best suited to your needs.
You can instantly apply for Shriram Finance Personal Loan by following the steps mentioned below:
- Visit MyMoneyMantra
- Click on Personal Loan under Loans section
- Fill up the required details like your name, required loan amount and tenure, employment type (salaried/ self-employed business/ self-employed professional), the city of residence, the purpose for availing the loan and so on.
- Enter your e-mail ID and mobile number
- Accept the terms and conditions mentioned and click on "show me the best offers".
- You will see a new page displaying various Personal Loan offers of our lending partners.
- Choose Shriram Finance Personal Loan from the list
You will be contacted by our loan specialists soon after you have successfully applied online.