• Bank of Baroda (BOB) Personal Loan Interest Rates

    Bank of Baroda offers personal loans for customers residing in urban and semi-urban areas up to Rs.10 lakh at attractive interest rates between 10.50% - 12.50% p.a. with flexible repayment tenures up to 60 months. The processing fee charged on the loan amount is 2%, subject to a minimum of Rs.1,000 and a maximum of Rs.10,000. The loan repayment period can be extended up to 60 months.

    Particulars Salaried/Self-employed
    Interest Rate 10.50% p.a. - 12.50% p.a.
    Processing Fee 2% of the loan amount (Minimum of Rs.1,000 and maximum of Rs.10,000)
    Loan Tenure Maximum of 48-60 Months
    Loan Amount
    • Urban Areas:
      • Minimum: Rs.1 lakh
      • Maximum: Rs.15 lakh
    • Semi-urban areas:
      • Minimum: Rs.50,000
      • Maximum: Rs.50 lakh
    Age criteria
    • Minimum: 21 years old
    • Maximum of 60 years old for salaried individuals
    • Maximum of 65 years old for non-salaried individuals
    Employment Status Salaried, self-employed, insurance agents, etc.
    Credit Score 750
    Lowest EMI per Lakh Rs.2,149
    Pre-Payment/Foreclosure Charges As per the terms and conditions set by Bank of Baroda
    Overdue EMI Interest 2% of the due amount

    Bank of Baroda Personal Loan scheme details

    Particulars Interest Rate Processing Fee Loan Tenure Loan Amount
    Customers having relationship with the bank for at least 6 months 10.50% p.a. onwards 2% Up to 5 years
    • Rs.1 lakh to Rs.15 lakh for metro or urban areas
    • Rs.50,000 to Rs.15 lakh for semi-urban or rural areas
    Customers having relationship with other bank for at least 6 months 12.50% p.a. onwards 2% Up to 5 years
    • Rs.1 lakh to Rs.10 lakh for metro or urban areas
    • Rs.50,000 to Rs.5 lakh for semi-urban or rural areas

    Factors affecting Bank of Baroda personal loan interest rates

    • Age of the applicant: If the applicant is towards his/her retirement age, the interest rate is usually set higher as the risk involved is more.
    • CIBIL score: The repayment track record of the applicant is taken into consideration. If the applicant has a low CIBIL score (anything below 750) and has failed to repay his/her past loans or credit card bills in time, the interest rate will be set higher.
    • Loan Tenure: As in most cases, the repayment tenure chosen by the applicant has an effect on the interest rate. The longer the tenure, the higher the interest rate.
    • Resident location: The interest rate decided by Bank of Baroda could also be based on whether the applicant resides in an urban or semi-urban area.

    Illustration:

    1. For individuals with a salary of Rs.25,000

    Let’s assume that Mr. Ram has secured his first job and wishes for a personal loan of Rs.50,000 to meet personal commitments. Since Mr. Ram has a poor CIBIL score as he/she has not had any prior loans and is yet to own a credit card, Bank of Baroda sets the highest interest rate of 12.50% p.a. on the loan amount of Rs.50,000. Mr. Ram has chosen a tenure of 12 months to repay the loan.

    To repay the personal loan on time, Mr. Ram has to pay an EMI of Rs.4,454 and in doing so, he is giving himself the chance to improve his CIBIL score.

    Year Principal Paid(A) Interest Paid(B) Total Payment (A+B) Outstanding Loan Balance
    1 Rs.3,933 Rs.521 Rs.4,454 Rs.46,067
    2 Rs.3,974 Rs.480 Rs.4,454 Rs.42,092
    3 Rs.4,016 Rs.438 Rs.4,454 Rs.38,077
    4 Rs.4,058 Rs.397 Rs.4,455 Rs.34,019
    5 Rs.354 Rs.4,454 Rs.29,919
    6 Rs.4,142 Rs.312 Rs.4,454 Rs.25,777
    7 Rs.4,186 Rs.269 Rs.4,455 Rs.21,591
    8 Rs.4,229 Rs.225 Rs.4,454 Rs.17,362
    9 Rs.4,273 Rs.181 Rs.4,454 Rs.13,089
    10 Rs.4,318 Rs.136 Rs.4,454 Rs.8,771
    11 Rs.4,363 Rs.91 Rs.4,454 Rs.4,408
    12 Rs.4,408 Rs.46 Rs.4,454 Rs.0

    2. For individuals with a salary of Rs.65,000

    Let’s assume that Mr. Paul is a middle-aged man with a monthly salary of Rs.65,000 and has a brilliant credit score as he has never missed a loan payment in the past. Mr. Paul wishes to avail a loan amount of Rs.3.5 lakh for a tenure of 1 year and Bank of Baroda offers him the lowest possible interest rate of 10.50% p.a. To repay the loan on time and keep his credit score optimum, Mr. Paul will have to pay an EMI of Rs.30,852.

    Year Principal Paid(A) Interest Paid(B) Total Payment (A+B) Outstanding Loan Balance
    1 Rs.27,790 Rs.3,063 Rs.30,853 Rs.3,22,210
    2 Rs.28,033 Rs.2,819 Rs.30,852 Rs.2,94,178
    3 Rs.28,278 Rs.2,574 Rs.30,852 Rs.2,65,900
    4 Rs.28,525 Rs.2,327 Rs.30,852 Rs.2,37,374
    5 Rs.28,775 Rs.2,077 Rs.30,852 Rs.2,08,599
    6 Rs.29,027 Rs.1,825 Rs.30,852 Rs.1,79,573
    7 Rs.29,281 Rs.1,571 Rs.30,852 Rs.1,50,292
    8 Rs.29,537 Rs.1,315 Rs.30,852 Rs.1,20,755
    9 Rs.29,795 Rs.1,057 Rs.30,852 Rs.90,965
    10 Rs.30,056 Rs.796 Rs.30,852 Rs.60,904
    11 Rs.30,319 Rs.533 Rs.30,852 Rs.30,584
    12 Rs.30,584 Rs.268 Rs.30,852 Rs.0

    FAQs on BOB Personal Loan Interest Rates

    1. What is the minimum repayment tenure I can choose to pay back my personal loan?

      The minimum repayment tenure is 12 months. The maximum if between 48 months to 60 months.

    2. Do I need a guarantor to avail a personal loan from Bank of Baroda?

      No, you will not need a guarantor to avail a personal loan from Bank of Baroda.

    3. Is it possible to add my spouse as a co-applicant? Does Bank of Baroda allow co-applicants?

      No, Bank of Baroda does not allow co-applicants.

    4. Does Bank of Baroda allow personal loan pre-payments?

      Yes, Bank of Baroda allows pre-payments subject to their terms and conditions. Foreclosure charges will be applicable.

    5. If I have an optimum credit score, can I assume that I will be offered the lowest rate possible?

      Your credit score is just one of the factors that decide the interest rate. Bank of Baroda takes into consideration numerous factors when deciding the interest rate.

        

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