Personal loans have become a go-to solution for individuals seeking immediate financial assistance for various purposes, such as medical emergencies, weddings, or debt consolidation. However, finding the cheapest personal loan in India can be challenging with numerous options available. This guide highlights the top 10 banks and NBFCs offering low-interest personal loans in India, ensuring you make an informed decision.
1. State Bank of India (SBI)
Interest Rate: Starting from 10.10% per annum
SBI's personal loans are among the most affordable in India, offering competitive rates and flexible repayment tenures. The bank caters to salaried employees, self-employed professionals, and pensioners with minimal documentation and no hidden charges.
2. HDFC Bank
Interest Rate: Starting from 10.50% per annum
HDFC Bank offers quick disbursal of personal loans, often within a day of application approval. With features like pre-approved offers for existing customers and low processing fees, HDFC is a preferred choice for low-interest personal loans in India.
3. ICICI Bank
Interest Rate: Starting from 10.75% per annum
ICICI Bank provides personal loans with flexible repayment options and no need for collateral or guarantors. Their digital application process ensures convenience and speedy approvals.
4. Kotak Mahindra Bank
Interest Rate: Starting from 10.99% per annum
Kotak Mahindra Bank is known for its customer-friendly personal loan offerings, including affordable interest rates and personalized loan structures for salaried and self-employed individuals.
5. My Mudra
Interest Rate: Starting from 10.49% per annum
My Mudra provides personal loans with competitive interest rates and zero foreclosure charges on select loans. Its easy-to-use mobile app simplifies the application process for customers.
6. Bajaj Finserv
Interest Rate: Starting from 11.00% per annum
As one of India's leading NBFCs, Bajaj Finserv offers quick and flexible personal loans. With features like instant approval, no hidden fees, and flexible EMIs, it is a great option for individuals seeking affordable financing.
7. Tata Capital
Interest Rate: Starting from 10.99% per annum
Tata Capital offers multi-purpose personal loans with competitive rates and flexible repayment terms. Its minimal documentation requirements and speedy processing make it a top NBFC choice.
8. Fullerton India
Interest Rate: Starting from 11.99% per annum
Fullerton India is an NBFC that offers personalized personal loans based on an applicant's credit profile. With a user-friendly online application platform, it ensures convenience and fast loan disbursal.
9. IDFC FIRST Bank
Interest Rate: Starting from 10.49% per annum
IDFC FIRST Bank is known for its transparent loan processing and attractive interest rates. It caters to both salaried and self-employed individuals with flexible repayment tenures and minimal processing fees.
10. IndusInd Bank
Interest Rate: Starting from 11.00% per annum
IndusInd Bank offers personal loans with attractive interest rates, customizable EMIs, and hassle-free online processing. The bank also provides pre-approved loans for its existing customers.
Tips to Get the Cheapest Personal Loan in India
- Maintain a High Credit Score: A score above 750 often qualifies you for lower interest rates.
- Compare Loan Offers: Use online aggregators to compare interest rates, processing fees, and hidden charges.
- Negotiate with Lenders: If you are an existing customer or have a strong repayment history, you might get better rates.
- Check for Seasonal Offers: Many banks and NBFCs provide discounts on personal loans during festive seasons.
Conclusion
Choosing the cheapest personal loan in India requires thorough research and comparison. Leading banks like SBI, HDFC, and ICICI, along with top NBFCs such as Bajaj Finserv and Tata Capital, are reliable options for low interest personal loans in India. Always consider factors like interest rates, processing fees, and repayment flexibility to make an informed decision.
With the right lender and a clear repayment strategy, you can manage your financial needs effectively and affordably.
