Top 10 Best Private Banks in India List 2023
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Looking to raise 1 Lakh from a personal loan in India? Check out the list of top lending institutions that offer funds to a customer base with attractive interest rates and flexible repayment tenure. This piece gives you a complete synopsis of the application process, eligibility criteria, and the risk associated with availing of a personal loan in India. Have a happy read to get the best deal in the market that aligns with your financial objectives.
|Lending Institution||Interest Rates (Per annum)||Processing Fee|
|ICICI Bank||Starts at 10.75%||0.50% to 2% of the loan amount|
|SBI||From 11% – 15%||Upto 0.35% of the loan amount plus taxes|
|Bajaj Finserv||Starts at 13%||Upto 3.93% of the loan amount
|Tata Capital||Starts at 10.99%||Upto 3% of the loan amount
|IndusInd Bank||Starts at 10.49%||Upto 3% of the loan amount|
|IDFC Bank||Starts at 10.49%||Upto 3.5% of the loan amount
|YES Bank||Starts at 10.99%||Upto 2% of the loan amount|
|Kotak Mahindra Bank||Starts at 10.99%||Upto 3% of the loan amount|
|Axis Bank||Starts at 10.49%||At the discretion of the bank|
|MoneyTap||13% to 24.03%||2% plus service tax|
To be eligible for a personal loan of Rs. 1 Lakh. You must meet the following criteria:
– An Indian resident.
– Attain at least 21 years of age.
– Have a regular source of income.
– Maintain a good credit score.
– Have a PAN card and valid identity proof recognized by the Indian government.
– You must have a valid bank account.
The documents required for a personal loan of Rs. 1 lakh will vary from lender to lender. Still, generally, you will need to provide the following documents:
1. Identity proof: PAN card, Aadhar card, Voter’s ID, Driving License, etc.
2. Address proof: Ration card, Utility bill, Bank statement, etc.
3. Income proof: Salary slips, Form 16, Bank statement, etc.
4. Cancelled cheque of the bank account where you want the loan amount to be credited
5. Bank statements of the last six months
7. Loan application form
The following table showcases the EMI amount for a 1 lakh personal loan for 1-5 years.
|Loan Amount||Tenure||Interest Rate||EMI Amount|
EMI calculators are self-help tools that allow users to compute the EMI amount on a personal loan. The user must mention the values on the dashboard to review the EMI amount on the personal loan almost immediately.
Implement the following steps to apply for a 1 lakh personal loan in India successfully.
1. Check your eligibility: Before applying for a personal loan, you must check your eligibility to ensure that you qualify for the loan amount you seek. You must provide the lender with information about your income, savings, debts, and other financial obligations to do this.
2. Compare lenders: Once you have determined your eligibility, you can compare lenders to find the best loan terms and interest rates. Compare loan features such as repayment terms, fees, and customer service.
3. Choose a lender: Once you have compared lenders and found the best loan terms, you can choose a lender and submit an application. Be sure to read the terms and conditions of the loan carefully before signing.
4. Submit supporting documents: You must provide proof of your income, address, identity, and other personal documents to the lender.
5. Wait for approval: The lender will review your application and supporting documents and decide on your loan. Depending on the lender, the approval process can take a few days or weeks.
6. Receive funds: If your loan is approved, the lender will transfer the funds to your bank account. You can then use the funds for any purpose you wish.
Some factors considered by banks and NBFCs for Evaluating 1 Lakh Personal Loans are listed below.
1. Credit History: Banks and NBFCs usually evaluate a borrower’s credit history before evaluating a loan application. A good credit score indicates a borrower’s creditworthiness and helps the lender make an informed decision.
2. Income: Banks and NBFCs consider the applicant’s income when evaluating a loan application. Higher income helps the borrower avail of a higher loan amount and helps the lender assess the borrower’s repayment capacity.
3. Employment Status: Banks and NBFCs usually consider the applicant’s employment status and job stability when evaluating a loan application. The lender will analyze the borrower’s employment history, current job, and salary before approving a specific loan amount.
4. Age: Banks and NBFCs consider the applicant’s age when evaluating a loan application. Generally, banks and NBFCs prefer to lend to borrowers in their productive age group with a steady income.
5. Collateral: Banks and NBFCs may consider collateral when evaluating a loan application. When a borrower cannot provide suitable collateral, the lender may reject the loan application.
6. Debt-to-Income Ratio: Banks and NBFCs consider the borrower’s debt-to-income ratio when evaluating a loan application. This ratio is the total amount of debt the borrower carries divided by their total income. A high debt-to-income ratio indicates that borrowers may be unable to manage their finances properly and may default on their loan payments.
Tips for getting approved for a 1 lakh loan–
1. Check your Credit Score: Before applying for a personal loan, it is essential to check your credit score to know your eligibility for the loan. A good credit score will help you get a better interest rate on a loan.
2. Compare Different Lenders: Thoroughly comparing different lenders and the loan products they offer will help you get the best deal.
3. Choose a Loan Product: Decide on the loan product that best suits your needs. Some lenders offer pre-approved loans, which are often easier to approve.
4. Accurate Information: Provide accurate information when applying for a loan. Lenders will verify the information you provide, and if they find any discrepancies, they may reject your application.
5. Make a Down Payment: A down payment can help you get approved for a more significant loan amount.
6. Secure a Co-Signer: If you have a family member or friend who can co-sign the loan, it will increase your chances of getting approved.
7. Have a Steady Source of Income: A steady source of income will help you get approved for a loan. Lenders want to make.
The following risk factors have been associated with applying for a 1 lakh personal loan in India.
A borrower can repay their 1 lakh loan through the following repayment methods:
|Rs. 50,000 Personal Loan|
|Personal Loan for NRI 2023|
|Personal Loan Balance Transfer|
|Best Education Loan in India|
|Personal Loan for NRIs|
|CIBIL Score for Personal Loan|
|Personal Loan for Pensioners|
Generally, a borrower can conclude the prepayment of the loan after a lock-in period of one year.
Bank often charge a penalty for defaults. The lending institutions are also eligible to take legal action against the borrower if they fail to repay.
The lending institutions generally take seven days to approve a loan application for a personal loan.
The interest rate for a personal loan of Rs 1 Lakh varies from bank to bank. Interest rates are also determined based on the applicants’ profiles.
The processing fee varies from bank to bank. One should glance over the processing fee before applying for a personal loan with the bank.
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