Due to Corona epidemic, a large number of people are currently facing cash problem. Due to this, many people are planning to overcome their cash crisis by taking a personal loan in these dire times. A personal loan is a weapon that can be availed anytime. Especially when you need cash, you can take a personal loan. But these loans have a higher interest rate than other loans including home loans and auto loans. There are many factors involved when you are offered a loan.
For example, all information includes the amount of the loan, whether the customer will be able to repay the loan or not, whether the customer is employed by the company. The most important requirement for taking a personal loan from any bank is your credit score, if the credit score is more than 750, the bank can give you some relief on the personal loan interest. Your credit score determines how much personal loan you can get. Customer’s credit score is very important while taking a loan.
It is important for a customer to have a good credit score for taking a personal loan. A good credit score can be maintained by keeping your credit utilization ratio in the 30 percent range. A customer must compare the interest rates charged by various lenders on personal loans before taking a loan. Many lenders bring good seasonal offers on personal loans from time to time.
This bank offers personal loans at the rate of 8.90
The cheapest personal loan in the country is currently offered by Union Bank of India. The bank offers personal loans to those with a credit score above 700 at an interest rate of 8.90. Punjab National Bank, the second largest state-owned bank in the country, offers personal loans at an interest rate of 8.95 percent. However it is for para military and defense personnel on interest. Interest rates on bank personal loans for general public start from 11.30 percent.
The personal loan amount is determined based on the repo rate
The Central Bank of India determines the personal loan amount based on the repo rate. Therefore, along with the change in the repo rate of the Reserve Bank of India, the interest rate also changes. At present, the bank offers personal loans at an interest rate of 9.85 percent, while the medium risk category has an interest rate of 10.05 percent. Indian Bank, the 7th largest bank in the country, offers personal loans at an interest rate of 9.05 percent. However, this interest rate is for women and personal loan rates for men are 9.20 percent.
Bank of Maharashtra offers personal loans to those with a credit score above 750
Bank of Maharashtra offers personal loans at 9.55 percent to those with a credit score above 750. While those with credit scores of 600 to 649 are given personal loans at an interest rate of 10.55 percent. State Bank of India, the country’s largest bank, offers personal loans at an interest rate of 9.60 percent. While the largest private bank HDFC Bank offers personal loans at an interest rate of 10.50 percent. If you want a low interest rate personal loan, you should have a good repayment history.
A customer should try to pay his credit card bills in full and pay off his debt every month. In this case, the customer will be able to get a low interest rate personal loan. Employees working in reputed companies or multinational companies have job stability. It is also assumed that the income of those employees will be stable and they will repay the loan on time. Hence, they also get the benefit of lower interest rates.
Here you are told about the personal loans offered by some selected banks of the country.
Union Bank – 8.90-12%
State Bank of India 9.60-13.85%
Interest rates of Punjab National Bank 8.95% to 11.80%
Bank of Baroda 10.25-15.60%
HDFC Bank- 10.75-21.30%
ICICI Bank -11.25-21%
Axis Bank – 12-24%