Personal Loan For Salaried Employees

Hey, do you rely on a monthly paycheck to manage your finances? Do you meticulously plan your expenses around the salary credited to your bank account at the end of every month? Perhaps you often dream of indulging in a luxury vacation, enrolling in online/offline courses to upgrade yourself, pursuing an overseas education, planning a wedding, or even renovating your home. If you can relate to these aspirations and financial considerations, you understand the dread of unexpected expenses, emergencies, or sudden cash crunches. These situations often force you to dip into your hard-earned savings — if you don’t have savings, this would lead to extreme helplessness, right?

In such times, you all truly need a well-organized personal loan designed exclusively for salaried employees. It should offer a highly competitive interest rate, flexible repayment options, easy-to-meet eligibility criteria, and a customized tenure that suits your requirements and budget.

However, by availing a personal loan for salaried employees, one can effortlessly meet the cost of any expense or fulfil his/she aspirations. So, if you are a salaried employee seeking a salary-based personal loan, here are a few key things you need to know.

Features and Benefits of Personal Loans for Salaried Employees

Generous Loan Amount

Some financial institutions in India offer loan amounts as high as Rs. 40 Lakhs. However, it is crucial to recognise that the ultimate loan quantum is contingent upon several determining factors, encompassing one's credit score, income level, overall creditworthiness, and the maximum lending threshold established by the institution.

Competitive Interest Rates

The interest rates of Personal loans for working professionals commencing from as low as 9.99% per annum. And it is significantly low when you compare it to other loans such as credit card loans, personal loans, travel loans, business loans, etc.

Rich in Loan Tenure

Suppose poor loan tenure gives you the blue, worry not! When it comes to personal financing for employees, financial institutions are generally willing to offer a high loan tenure, allowing you more flexibility in managing your repayments. Typically, you can choose a loan tenure ranging from 12 months to 84 months, equivalent to 7 years. Thereby you can adjust your personal loan EMIs and minimise the likelihood of default.

Quick and Convenient Process

Getting a salary-based personal loan is a swift process, usually taking anywhere between 24 hours to 2 working days. And the entire process can be done online, ensuring a nearly instantaneous experience. Nevertheless, it is worth noting that certain financial institutions in India go the extra mile by claiming to offer loans for salaried individuals in less than a day. Namely, HDFC Bank stands out as one such institution, providing loans below 4 hours.

Collateral Free

A key advantage of salary-based personal loans is their collateral-free nature. In most cases, these loans are unsecured; thereby, you are not required to provide any collateral or security against the loan amount. Ultimately, this borrower-friendly feature allows you to acquire the necessary funds without jeopardising your assets.

Moderate eligibility criteria

Lenders won’t ask for much when it comes to Loans for salaried individuals; only the basic eligibility criteria are enough. From start to end, get rid of tedious paperwork and multiple back-and-forth calls with lending experts. Instead, embrace the sheer convenience of a Salary-based personal loan, offering moderate eligibility criteria that are hassle-free, easy to understand, and will be completed in a jiffy.

Elevating Credit Score

Timely repayment of personal loans can positively impact your credit score. By showcasing responsible borrowing habits, you can build a robust credit history, which can be beneficial for future financial endeavours.


You can use a Personal Loan for salaried for multiple purposes. Be it a medical emergency, debt consolidation, higher education, family wedding, financing for children's needs, going on a holiday, or even buying a mobile phone or other gadgets, personal loans for salaried employees can seamlessly address all your personal requirements.

List of Top Banks Offering Personal Loans for Salaried Individuals

Bank Interest Rate (p.a.) Loan Amount Loan Tenure Processing Fee
HDFC Bank 10.50% onwards Up to Rs. 40 lakhs 12 to 60 months Up to Rs. 4,999
IDFC FIRST Bank 10.49% onwards Up to Rs. 40 lakhs 12 to 84 months Up to 3.5% of the loan amount
ICICI Bank 10.75% onwards Up to Rs. 25 lakhs 12 to 60 months Up to 2.5% of the loan amount
Axis Bank 10.49% onwards Up to Rs. 15 lakhs 12 to 60 months 1.5% to 2% of the loan amount
Tata Capital 10.99% onwards Up to Rs. 35 lakhs 12 to 72 months Up to 3% of the loan amount
Kotak Mahindra Bank 10.99% onwards Up to Rs. 20 lakhs 12 to 60 months Up to 3% of the loan amount

Eligibility Criteria

The eligibility criteria of Personal financing for employees may differ from one lender to another. However, you don’t need to meet an extensive set of requirements to avail of a loan for salaried individuals. As discussed below, you can effortlessly secure a loan for salaried individuals by fulfilling a few fundamental prerequisites.

  • The applicant’s age must fall between 22 and 60 years 
  • The applicant should have a monthly income that is not less than Rs. 15,000
  • The applicant should have at least one year of work experience, preferably in the same company
  • The applicant should have a good credit score; ideally, 750 or above is required. 
  • The applicant should be an Indian resident

Documents Required for a Salaried Person

  • Proof of Identity: PAN Card, Voter’s ID, Passport, or Driving Licence
  • Proof of Residence: Utility bill, Ration Card, Passport, or Property Tax
  • Proof of Income: Latest 3 months’ salary slips or bank statement

Apply for Instant Personal Loan For Salaried Employees

For the utmost convenience, applying for a salary-based personal loan is a breeze with various options available. You can apply online — through the bank's official website — for a Salary-based personal loan. Alternatively, you can utilise the bank's user-friendly mobile app or leverage its NetBanking facility to complete the application process effortlessly. Besides, if you prefer a more traditional approach, you have the option to physically visit a nearby bank branch and apply with the guidance of the bank's staff.

Frequently Asked Questions (FAQs)

Can a salaried person take a personal loan?

Yes, of course, a salaried person can take a personal loan from various banks and NBFCs. However, a few easy-to-meet eligibility criteria need to be fulfilled. The applicant should be at least 22 years old, with a minimum monthly income of Rs. 15,000. Additionally, a minimum of one year of work experience and a credit score of 750 or above are typically required. These criteria are designed to be easily achievable for most salaried individuals, enabling them to access the benefits of a personal loan.

How much personal loan can I get if my salary is 35000?

Generally, individuals with a salary of Rs. 35,000 can avail of a loan amount ranging from approximately 5 to 6 lakhs.

How much personal loan can I get if my salary is 60000?

Typically, individuals with a salary of Rs. 60,000 can access a loan amount of up to 12 lakhs.

Is taking personal loans risky for Salaried Employees?

Taking personal loans can be risky for salaried employees if they are not careful about the terms and conditions, the interest rate, the repayment schedule, and their financial capacity. So it is crucial for individuals to carefully assess these factors before committing to a loan, ensuring that they can comfortably manage the repayment obligations without straining their financial stability.

Which bank provides loans easily for Salaried Employees?

Some of the banks and NBFCs that offer personal financing for employees easily are HDFC Bank, Tata Capital, Clix Capital, ICICI Bank, IDFC FIRST Bank, and Axis Bank.

Can I get a loan only on the salary slip?

Salary slip plays a pivotal role in getting Personal financing for employees. However, a salary slip alone may not be sufficient to get a loan from a bank or an NBFC. You may also need to submit other documents, such as identity proof, address proof, bank statements, IT returns, etc., depending on the lender and the type of loan you are applying for

Can a new employee get a loan?

Getting a loan as a new employee is possible, but it may not be easy. Different lenders may have different eligibility requirements for personal loans, such as your credit score, income level, debt-to-income ratio, etc. However, length of employment is typically not a standard requirement for a personal loan for a new employee.

Which loan is best for employees?

There is no definitive answer to which loan is best for employees, as different loans may have different features, benefits, and drawbacks depending on the purpose, amount, tenure, interest rate, etc. of the loan. However, some of the common types of loans that employees can avail of are Employee loans, Home loans, Car loans, and Personal loans.

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