Personal Loan

• The rate of interest: Personal loan interest rates start from 9.99% p.a., depending on your credit score, income, lender’s policy, and other factors.
• Loan amount: You can get a loan amount from as low as Rs. 1,000 to as high as Rs. 50 Lakhs, depending on your requirements and eligibility.
• Repayment tenure: Personal loans are available for tenures ranging from 2 to 84 months, depending on the loan amount and the borrower’s requirements.
• Security: Due to its unsecured nature, collateral is not required for a personal loan.
• Turnaround time: A personal loan typically has the fastest turnaround time. Many lenders offer personal loan approval online within 48 hours after submission of the application.
• Processing fees: It depends on the individual lender and usually ranges from 0.50% to 3.5% of the loan amount.
• Prepayment penalty: Lenders levy a prepayment penalty on partial and full prepayment of a personal loan before its maturity. The charges may vary between 1% to 4% of the outstanding loan amount.

Below is the list of banks offering personal loans with interest rates (floating), loan amount range, and repayment tenure.

Below is a list of banks offering personal loans, including interest rates, loan amounts, and repayment tenures.

Choosing the best online personal loan requires is easy with the 5 smart tips given below:

• Compare multiple offers: Check various personal loan offers of different lenders available online based on interest rates, prospective EMI, loan amount, expected disbursal time, processing fee, tenure, and document requirements. Shortlist a top few offers that meet your requirements and budget.
• Check with your existing bank for a special offer: Existing relationships (salary account, savings account, fixed deposit, credit card) can provide you with a pre-approved personal loan offer with faster KYC, minimal documentation, better interest rates and lower processing fees.
• Compare the total cost of the loan: Apart from interest rates, personal loans involve processing fees, documentation charges, prepayment penalty, late payment fee, and other charges. Be thorough to avoid any shock later.
• Estimate affordability: Use the personal loan EMI calculator to select different interest rates and tenures. Choose the shortest tenure you are comfortable with to cut total interest outgo, but don’t forget to leave room for emergencies. 
• Assess your requirements and capacity: Don’t over-borrow. Avail of an amount you actually need and repay comfortably. Prefer lenders that allow free/ low-cost part prepayments to help you reduce tenure later.

• Short-term Personal Loan: This personal loan type has a short tenure of 1 year or even less and small loan amounts, making it an ideal option if you want smaller amounts for your short-term needs. These loans have more relaxed eligibility criteria, but high interest rates.
• Travel Loan: These personal loans are ideal for covering your travel-related expenses, such as booking airfare, hotels, activities, and more. 
• Medical Emergency Loan: If you face any medical emergencies, you can avail a personal loan to cover medical emergency-related costs like hospital bills, diagnosis, medication, consultation, and treatment.
• Pre-approved Personal Loan: These loans are offered by banks and NBFCs exclusively to their select customers with a good credit profile. These loans do not require any documentation and are disbursed immediately.
• Debt Consolidation Loan: If you are an existing borrower, you can apply for a new personal loan to consolidate your multiple high-interest rate loans and credit card bills into a single loan at lower rates for longer tenures.
• Personal Loan Balance Transfer: Existing loan borrowers of other lenders can transfer their outstanding loans to new banks/NBFCs at lower interest rates and better terms using this facility. This facility is offered to select segments with a strong credit profile.
• Top-Up Personal Loan: Various lenders offer a personal loan top-up facility to their existing borrowers to avail additional funds over and above their existing loan amount.

• Occupation: Salaried employees, self-employed professionals, and self-employed non-professionals.
• Age: Minimum 21 years at loan application and maximum 65 years at loan maturity
• Monthly income: Rs. 15,000.
• Job/business continuity: 2 years of continuous job or 3 years of business continuity.
• Credit score: 700 or above.

• Keep your credit score high: A credit score represents your creditworthiness based on your past repayment history. Try to repay your existing debts on time and regularly. Clear your existing loan before applying for a new loan. This will improve your credit score. To avail of a personal loan, you should have a good credit score (preferably 700 or above).
• Compare all offers before application: Make sure you compare the interest rates, eligibility, and other features of all personal loan options available for you before applying for a loan. This will ensure you get the low-interest-rate personal loan and the best available deal.
• Check with your existing bank: Your existing bank might offer you a pre-approved personal loan that comes with better rates and zero to minimal documentation.
• Assess the entire cost: Before finalising the deal, make sure you have assessed the entire cost of your personal loan, including interest rates, processing fees, prepayment charges, and so on.
• Analyse your needs: Don't take a personal loan to fulfil any of your fancy. Remember that it's only you who is going to repay the loan and that too with an added interest. Consider borrowing a personal loan to finance your needs and not your wants.
• Evaluate your repayment capacity: Before borrowing, evaluate how capable you are for its repayment. Make sure your income is enough to repay EMIs each month for a few years without creating any financial burden.
• Don't fall for fake offers: All that glitters is not gold. Someone may offer you a concession on the interest rate on online loans, but can trick you with other additional costs, making your instant loan a more expensive deal

Here are the steps to apply for a personal loan online from MyMoneyMantra:

• On our portal, open the ‘Personal Loan’ page given under the ‘Loans’ tab and choose your preferred loan partner. 
• Click on the ‘Apply Now’ tab and complete the online application by providing some personal, professional, and financial details. 
• After an initial pre-assessment of your eligibility, you will be required to upload some documents.
• Once your information and documents are verified and your loan request is approved, the sanctioned loan amount will be transferred to your bank account within a short time.

• Travel: A Personal loan can be availed for covering travel expenses like booking flight/train tickets, accommodation, etc.
• Wedding: Weddings in India come with a long list of expenses. It's once in a lifetime experience for everyone, and to make it more memorable, many people often need financial support. Therefore, many lenders offer personal loans to pay for the wedding-related expenses like venue booking, catering, honeymoon vacation, etc.
• Celebration: Personal loans can be used for celebrating festivals, throwing parties, and arranging functions. Festival loans help you prepare for the festivities and host parties.
• Purchasing consumer durables: Personal loans can be used for the purchase of appliances or consumer durables.
• Home renovation: Personal loans can be sought for house renovation, repair, interior, and other such expenses.
• Education: You can use these loans to pay the tuition fees of your child, or any other big academic requirements, like going abroad.
• Cadget purchase: Many lenders nowadays offer personal loans for the purchase of computers, laptops, and smartphones.