Gwalior is one of the largest cities in the state of Madhya Pradesh.A number of industrial and commercial zones have developed around Gwalior.it is the tourist capital of Madhya Pradesh and is one of the largest cities in central India.
A personal loan is a kind of unsecured loan which can be used for any purpose that the borrower deems necessary. An unsecured loan is an umbrella term used for loans which do not require collateral. Banks, credit unions, and other financial institutions offer personal loans on an ongoing basis.
|Interest Rate (Monthly reducing balance)||13.49% - 34%|
|Loan Tenure||1 year to 5 years|
|Pre-closure Charges||2% - 5%|
|Guarantor Requirement||No guarantor required|
Top banks and NBFCs in the country offer personal loans for those who need emergency cash to clear debts or clear medical expenses, fund their wedding, take a trip abroad, etc. When loan shopping, customers can make use of financial portals such as BankBazaar to choose a particular loan offered by a particular bank. On the BankBazaar website, customers can compare loans offered by its partner banks and choose one offering the best interest rate - relative to the tenure. Customers can also make EMI calculations on the BankBazaar website to determine what exactly will be their debt-to-income ratio if and when they do avail the personal loan.
Listed below are the top banks and NBFCs in Gwalior that are offering personal loans.
Customers generally make the mistake of choosing the bank holding their salary account without actually loan shopping as it relaxes the paperwork, but in most cases, availing a loan elsewhere will result in them saving money. Customers need to look at all the components that affect the overall interest rate added to the personal loan. To ensure that you are offered a loan at the lowest possible interest rate, one will have to look at the below mentioned components that affect the interest rate.
Credit score: A credit score of 750 plus is ideal when availing a personal loan. If your credit score is below 750, banks usually offer personal loans at a higher interest rate. The higher your credit score, the lower will be the interest rate offered to you by the bank or the NBFC.
Down payment: Making an upfront down payment anything north of 20% of the total loan amount will result in the bank offering you a lower interest rate.
Debt-to-income ratio: Banks and NBFCs usually prefer for the loan applicant's debt-to-income ratio to be below 40% or 50%. If it above, in most cases reject the application as it reduces the bank’s trust in your repaying the loan amount in time. Having a debt-to-income ratio anything less than 40% of your net monthly income will result in the bank or NBFC offering you a personal loan at the best possible interest rate.
Loan shopping: Financial portals such as Bank Bazaar aid customers when it comes to choosing a loan as they compare the loan offers (with the interest rate, processing fee, etc.) of all its partner banks and displays the bank or NBFC offering personal loans at the lowest interest rate.
Your company’s reputation and your experience: When availing a personal loan, having a good number of years of experience as well as working for a reputed company is a big bonus as it enhances the bank’s trust in your repaying the loan in time.
Negotiating: Making a negotiation with the bank availing you a loan on the interest rate might just get you a better deal. If you have a good past relationship with the bank, it’s a good chance that the bank will give you the best interest rate possible.
|Bank||Interest Rate Range||Processing Fee Range||Loan Amount||Tenure|
|ICICI Bank||11.00% - 17.99% (Fixed)||2.25% (min. Rs.1149) One time fee||Rs.20 lakh (Max)||1-5 Years|
|Citibank||11.49% - 15.99% (Fixed)||1% to 2.5%||Rs.30 lakh (Max)||1-5 Years|
|Kotak Mahindra Bank||11.49% - 20.15% (Fixed)||Up to 2%||Rs.15 lakh (Max)||1-5 years|
|Fullerton||17.25% - 37% (Fixed)||1.5% to 6.0% (One time fee)||Rs.15 lakh (Max)||1-4 Years|
|Bank of Baroda||11.35% - 14.35% (Fixed)||Rs.1,000 to Rs.10,000 (One time fee)||Rs.20,000 - Rs.2 lakh||4 Years (Max)|
|State Bank of India||12.90% - 14.90% (Fixed)||1% (One time fee)||Rs.24,000 - 15 lakh||5 Years|
|Aditya Birla||11.5% - 13.25% (Fixed)||Nil||Rs.30 lakh (Max)||1-5 Years|
|Allahabad Bank||13.10% (Fixed)||1.22% (One time fee)||Rs.50,000- Rs.7.5 lakh||1-5 Years|
|Yes Bank||14% (Fixed)||Up to 2% (One time fee)||Rs.20 lakh (Max)||1-5 Years|
Banks and NBFCs take into consideration the income of the individual during the verification process. During this part, the debt-to-income ratio of the applicant usually decides whether the bank will either accept or reject the application. The salary requirements varies from bank to bank and also depend on the loan amount one wishes to take and.
For salaried individuals: In general, the salary requirement - depending on the bank and type of loan - ranges between Rs.7,500 and Rs.50,000 of the applicant's monthly net income.
For self-employed individuals: Banks and NBFCs take into consideration the self-employed individual’s income over the last two years. In most cases, the profit of the individual for the year should be between Rs.1 lakh and Rs.2 lakh for the individual’s loan application to be approved.
What is the personal loan amount limit one can avail?
Salaried individuals can avail loans anything up to Rs.25 lakh. In the case of availing a joint loan, the loan amount will increase as the income of both parties are taken into consideration.
Are there any foreclosure charges for personal loans?
Banks and NBFCs charge anything between 2-4% of the outstanding amount when the customer makes a foreclosure. That said, in most cases customers can make a foreclosure only 6 months after commencement of the loan.
Can you tell me the best way to pay an EMI towards a loan?
There are several ways to pay an EMI. You can use your net banking account, credit card, debit card, etc.
Tell me the best way to calculate the EMI towards a personal loan?
You can calculate the EMI using online EMI calculators. The BankBazaar EMI calculator is accurate.
What affects the credit score of an individual?
Failure to pay your credit bills and loan dues in time affects the credit score of an individual. A good credit score is anything above 750.
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