Authors: Super User If you are getting married, or contemplating a vacation or facing a medical emergency, then you can avail personal loan to sail through these contingencies.
The rate of interest in case of personal loan is generally on the higher side since it jumps as high as 24%, but you can get it for a lower rate also if your credit worthiness is high.
The repayment is allowed in the time period that ranges between one year and five years.
Some banks, including HDFC Bank, offer insurance cover, insurances cover along with the loan.
While disbursing the loan amount, they deduct the premium so as to cover you for any accident, illness risk whatsoever.
The banks generally charge a processing fee that ranges between 1% to 2.5%.: SBI Loans: How You Can Avail Home Loan, Education Loan, Car Loan And OthersPersonal Loans from HDFC Bank, ICICI Bank, Axis Bank comparedHDFC Bank:The financial institution says that a loan seeker can use a HDFC Bank personal loan for a variety of purposes, that include home renovation, travel, wedding expenses or a medical emergency or to even buy a gadget.
The interest rates on personal loans range between 10.99% and 16%, says the bank website.
You can take a loan upto Rs 40 lakh and the equated monthly instalments (EMIs) start at Rs 2,174 lakh.
As the process is quick, the loan disbursal can be done in four hours, says HDFC Bank on its official website.
For repayment, you can take anywhere between one to five years (12 months to 60 months).:Going For a Personal Loan Try These Options FirstAnother personal loan benefits include personal accident cover and personal loan security.
For a premium, one can even get a personal accident cover of up to Rs 8 lakhs, and critical illness cover of up to Rs.
1 lakh.
The premium for these policies will be deducted from the loan amount at disbursal.
Applicable taxes and surcharge/cess will be charged extra.ICICI Bank:The interest rate for personal loan starts at 10.99% and goes upto 20%.
The loan repayment schedule can be fixed for anywhere between 12 months and 60 months.
The personal loan doesn't require any collateral against the loan.
One can raise as much as Rs 20 lakh for any requirement whatsoever.
In order to circumvent the possibility of missing the EMIs, the bank also offers you the option to give permission to the bank to auto-deduct the EMIs via ECS (electronic clearing service), PDC or auto debit.Loan Processing Charges / Origination Charges (Non-Refundable)Upto 2.25% per annum of loan amount plus GSTPrepayment Charges5% per annum of principal outstanding plus GSTAdditional Interest on late payment24% per annumRepayment Mode Swap Charges 500/- per transaction plus GSTAmortisation Schedule Charges 200/- per schedule plus GSTStatement of Account Charges 200/- per schedule plus GSTPrepayment/Foreclosure Statement Charges 100/- per schedule plus GSTDuplicate No Objection Certificate/ No Due Certificate 500/- per NOC plus GST/ 200/- per NDC plus GSTDuplicate Prepayment/Foreclosure Statement Charges 200/- per schedule plus GSTLoan Cancellation Charges 3000/- plus GST^EMI Bounce Charges 400/- per bounce plus GSTLegal and Incidental charges.At actualsIncidental charges are those expenses that are not budgeted or specified, but are incurred by the bank on behalf of the customer.Axis Bank:The personal loan amount offered by Axis Bank can be a minimum of Rs 50,000 and a maximum of Rs 15 lakh.
The rate of interest that is charged by the bank ranges between 15.5% and 24%.
The bank even gives you the scope of transferring the existing loan from some other bank to Axis Bank.
However, one can transfer the loan at higher rates only can be transferred to Axis Bank.Loan Processing Charges1.50% to 2.00% + GST as applicableCheque Bounce ChargesRs.
500 per cheque bounce + GST as applicableCheque/ Instrument Swap chargesRs.500 per instance + GST as applicablePrepayment/ Forclosure ChargesNilDefault Interest Rate@24.00% per annum i.e 2% per month on the overdue installmentDuplicate Statement Issuance ChargesRs 250 per instance + GST as applicableDuplicate Amortization Schedule ChargesRs 250 per instance + GST as applicableDuplicate Interest Certificate (Provisional/ Actual) issuance ChargesRs 250 per instance + GST as applicableCibil Report Issuance ChargesRs.
50/- per instance per set+ GST as applicableStamp Duty ChargesAs per State Stamp ActIssuance Charges for Photocopy of Loan Agreement/ DocumentsRs 250 per instance + GST as applicableHowever, one must make sure that the personal loan is taken only in the extreme emergency since the rates of interest are high and the penalty for delay in payments are also high.
Besides, in case you miss the repayment, your credit worthiness is likely to suffer a setback.