Bank of Maharashtra offers personal loans for salaried individuals with minimum annual income of Rs.2.5 lakh at flexible tenures and low interest rates.
Bank of Maharashtra, a public sector bank in India offers a wide range of financial products and services including Personal Loans. The bank was founded in 1935 by a group of missionaries.The government of India holds a major stake in the bank by owning 81.2% of the total shares in the bank.
The bank offers a personal loan scheme called ‘Mahabank Personal Loan’. The loan amount granted under this scheme can be used for any personal expenditure including weddings, house renovation, a vacation or a medical procedure. The bank offers an attractive rate of interest and various benefits on the Mahabank Personal Loan.
|Processing Fees||1.00% of the Loan Amount (Min.:Rs.1000/-)|
|Loan Tenure||36 months|
|Guarantor Requirement||Guarantor required|
Listed below are the features of Bank of Maharashtra personal loan.
Bank of Maharashtra offers personal loans to allow individuals to cover a range of personal expenses like medical expenses, travel, fulfilling social obligations, etc. All new personal loans offered by Bank of Maharashtra will now be linked to the MCLR interest rate system. Existing loans will continue to be offered on the Base Rate system of interest calculation.
For new borrowers
As per the RBI guidelines, all loans (including personal loans) offered by Bank of Maharashtra will be linked to MCLR (Marginal Cost of Funds based Lending Rate). MCLR rates are dependent on various factors like cost of funds, cost of maintaining cash reserve ratio (CRR), minimum rate of return (margin / profit) and bank’s operating expenses. With effect from April 1, 2016, following is the schedule of MCLR rates applicable on loans provided by Bank of Maharashtra.
|Overnight MCLR||9.10 %|
|1 month MCLR||9.35 %|
|3 month MCLR||9.45 %|
|6 month MCLR||9.60 %|
|1 year MCLR||9.65 %|
For all new loan customers, personal loans will be linked to the new MCLR based interest rate system. MCLR is subject to change with every review. Following are the MCLR linked rates of interest applicable on personal / consumer loans offered by Bank of Maharashtra.
|Loan Type||Proposed MCLR linked Rate of Interest|
|Mahabank Consumer Loan||MCLR + 5.00 %|
|Mahabank Personal Loan||MCLR + 5.50 %|
For existing borrowers
Existing personal loan borrowers will continue to have their interest charged on the Base rate system. With effect from October 5, 2015, the bank revised its Base Rate structure which, set by the RBI, is essentially the minimum rate which the bank is allowed to charge its customers. Additionally, the bank also revised its Prime Lending Rate (BPLR) in 2011. BPLR is the average interest rate which is charged by banks on loan products. Following is the base rate (BR) and the Benchmark Prime Lending Rate (BPLR) for Bank of Maharashtra.
|Base Rate (w.e.f 5/10/2015)||9.70 %|
|BPLR (w.e.f 1/10/2011)||15.00 %|
For existing personal loans, interest will be calculated on the Base Rate system. Following are the Base Rate linked interest rates applicable on the Personal Loans provided by Bank of Maharashtra. Also, kindly note that that existing loan borrowers have the option of migrating to the MCLR linked interest rate system for their personal loans.
|Loan Type||Base Rate linked rate of interest|
|Mahabank Consumer Loan||Base Rate + 5.50%|
|Mahabank Personal Loan||Base Rate + 5.50%|
Note: The MCLR rates given above are effective as of April 1, 2016. To know the currently applicable interest rates for personal loans, please contact the bank at the time of applying for the same. Also, interest rates for personal loans are subject to change with change in MCLR / Base Rate.
Bank of Maharashtra doesn't have a stringent eligibility criteria when it comes to the Mahabank Personal Loan. The eligibility criteria for Bank of Maharashtra personal loan is pretty relaxed. Listed below is the eligibility criteria to avail a Bank of Maharashtra Personal Loan.
EMI for Bank of Maharashtra personal loan can be calculated with the help of a tool known as EMI calculator. EMI calculator helps you figure out the EMI payable of your loan with no hassles. The tool is very easy and convenient to use.
The customer needs to enter a few details such as the loan amount, tenure of the loan, rate of interest charged and the processing fee in order to get the EMI of the loan. Once the details of the personal loan is entered in the EMI calculator, the calculator will output the result immediately. The EMI calculator not only gives out details about the EMI of the loan but it also outputs the break up of the total loan amount payable to the lender by the borrower. This includes the principal amount, rate of interest and the processing fee.
Bank of Maharashtra offers personal loans only for salaried individuals earning more than the minimum stipulated amount per month depending on the city of their residence. The minimum monthly income required for Bank of Maharashtra personal loan is Rs. 15,000 per month. If you fall into this group, you can definitely apply for a Bank of Maharashtra personal loan.
You can repay the loan in Equated Monthly Installments (EMI's) using the ECS facility or through post-dated cheques.
Bank of Maharashtra offers personal loans as high as Rs. 1.5 Lakhs for successful applicants depending on their financial record and repayment history.
Bank of Maharashtra offers personal loan with a tenure period ranging from 12 months to 36 months making it suitable for all loan seekers.
Bank of Maharashtra offers only one kind of personal loan scheme for its customers.
The main purpose of the loan is to provide finance for those who are in immediate need of finance. The loan amount is usually offered to fund personal expenses including expenses such as wedding expenses, house renovation, etc. The main aim of the personal loan is to offer immediate finance for personal expenses.
The loan amount can be used for any personal expenditures that’s legal. The bank does not have any restriction on what the loan amount can be used for as long as the reason is legal.
The applicant has to be between the ages of 21 to 60 years in order to be eligible for the loan. The loan is available for salaried existing house loan borrowers and corporate account salary holders. The applicant must be earning a minimum income to be eligible.
The maximum loan amount granted under the scheme is Rs. 1.50 lakh, subject to deduction.
The bank offers a rate of interest of the Base rate plus 5.50%. The final rate of interest offered will depend on the base rate offered. A discount of 1% will be offered to existing home loan borrowers from the bank and corporate salary account holders with the bank.
The bank offers long flexible tenures to choose from. The highest tenure period offered by the bank for this particular personal loan scheme is 36 months.
One can apply for the loan online through the comforts of their house. An individual can apply for the loan online through the bank’s official website or they can apply for it through a third party financial website which also provides information about the loan.
The bank accepts one guarantor for the personal loan scheme.
The bank charges a processing fee of 1% for the loan for a minimum amount of Rs.1,000.
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