Industrial Development Bank of India (IDBI) Overview
IDBI Bank, formerly the Industrial Development Bank of India, is a public sector financial services bank operating out of Mumbai, Maharashtra. It is among the 27 commercial banks owned by the government of India, and in terms of reach it is in the top 10 development banks around the world. IDBI operates more than 1600 branches and 1100 centres, apart from a scattering of international presence in countries like UAE, China, and Singapore.
About IDBI personal loan
IDBI personal loans are available for salaried individuals and self-employed professionals. The loans are meant to meet any expected or unexpected financial requirements such as marriages, house renovation, a child’s education, paying credit card dues, hospitalization expenses, holidays and various other things. Also, loan money from IDBI may come in handy when looking for funds for applying to other schemes of the bank such as Earnest Money and Margin Money – meant for buying properties.
Why choose IDBI personal loan?
IDBI bank, with its wide network of branches in the country, apart from a scattering of centres and branches overseas,is a good option for applying for personal loans .
The plans are available for two basic categories- Salaried and Self-employed professionals; these can be availed from any of IDBI branches.
IDBI is among the fastest growing public banks in India. It is a high-achieving bank that has also been featured in the coveted Fortune 2000 Top Companies in the World (#1197). It has also received awards such as ‘Best Public Sector Bank’ and ‘Overall Best Bank’ - Dun & Bradstreet banking awards. Apart from this, IDBI has also been at the forefront of business intelligence usage as well as providing best in class services in risk management.
Features of IDBI personal loan
IDBI personal loans are available as 3 variants:
- Salaried and self-employed professionals
- Salary a/c in IDBI with built-in Overdraft (OD) facility
- Salary a/c in IDBI with built-in OD facility to IDBI Bank Pensioners
Loans are available up to a maximum of 10 lakhs, with flexible tenures ranging from 12 months to 60 months. Professionals over 22 years of age (at application) and under 60 years (at time of loan maturity) can apply for a IDBI Personal Loan. IDBI Bank offers competitive interest rates and has a speedy application processing system in place.
IDBI Loan against Securities
Have a share or any other security in your name? You can utilise these securities purchased in your name to apply for a loan. IDBI Bank offers loans against securities that can be availed at attractive interest rates. Under this scheme, one can apply for an optional overdraft facility if required. The bank provides loans to those who have purchased mutual funds, life insurance policies, dematerialised equity shares, Kisan Vikas Patra, RBI bonds, national savings certificates, etc. The loan limit will depend on the market value of the securities. To find out more about IDBI Loan against Securities, click here.
IDBI Loan against Property
Looking for an economical loan option? If you are a property owner, why don’t you try applying for an IDBI Loan against Property? Whether you are a salaried employee or a self-employed individual, you will be eligible to apply for this loan if you want to meet personal expenses. The maximum tenure for this loan scheme is 15 years. You can choose from regular, overdraft, and interest saver options. The interest rate for this product ranges from 11.25% to 11.50% p.a. The maximum loan amount offered by this product is Rs.10 crore.
IDBI Reverse Mortgage Loan
Are you looking for ways to get some extra income? If you are a senior citizen, you can apply for a reverse mortgage loan from IDBI Bank to make some additional money. You can utilise this loan scheme to renovate your living space, to pay the insurance premium for your home, or for family emergencies. In order to apply for this loan, your age will need to be above 60 years. You will need to repay this loan within 20 years. The loan amount will be Rs.2 crore. The rate of interest for this loan is 11% p.a.
What are the interest rates on IDBI personal loan?
The interest rate on personal loans and its variants offered by IDBI Bank are as mentioned below. These rates are applicable from 1 July 2017.
The Marginal Cost of Fund Based Lending Rate (MCLR) that is effective from 7 May 2017 is as follows:
| Overnight |
8.05% |
| 1 month |
8.20% |
| 3 months |
8.30% |
| 6 months |
8.35% |
| 1 year |
8.65% |
| 2 years |
8.70% |
| 3 years |
8.75% |
|
Pensioners or salaried customers maintaining pension/salary accounts with IDBI Bank
|
12.99% |
|
Salaried customers who do not maintain salary accounts with IDBI Bank and self-employed professionals who have liability relationship with IDBI Bank
|
13.49% |
|
Salaried and self-employed professionals who have taken home loans or loans against property from the bank. This is relevant only to cases where the loans are fully disbursed.
|
12.49% |
| Pension Account with overdraft facility, for IDBI Staff who are retired |
1 year MCLR + 1.15% |
| Pension/Salary Account with overdraft facility, for others |
1 year MCLR + 3.90% |
What is the eligibility criteria for IDBI personal loan?
For personal loans for salaried and self-employed professionals
- Aged between 22 years and 58 years.
- (Salaried) At least ?20,000 Annual Average Balance (
bove criteria.
- (Self-employed) AAB of ?25,000, and at least ?2,40,000 in annual net income.
- Minimum loan amount is ?50,000 and maximum loan amount of ?10,00,000.
- The maximum available loan duration here is 60 months.
- After 12 months of uninterrupted loan repayment, customers will have the option of availing a Top-Up Loan.
For salaried in-built OD a/c and in-built OD IDBI Pensioners a/c
- Aged between 22 years and 58 years. Age up to 70 years for IDBI pensioners.
- Maximum loan amount is 5 times of net salary.
- Overdraft facility of 1 year for IDBI pensioners, 2 years for salaried account holders.
How do I calculate IDBI Personal Loan EMI?
There is a dedicated EMI Calculation Tool in the BankBazaar website. The tool i.e. the Personal Loan EMI Calculator, can be accessed from the homepage in the ‘Financial Tools’ sub-category at the top of the page.
On reaching the EMI calculator page, you will see two scales marked as “Loan Amount” and “Tenure”. Drag the scale to the relevant amount and loan tenure that you are looking to pay. Under the scales, there are two boxes marked “Interest Rate” and “Processing Fee”. Both are self-explanatory and the exact figures may be entered by you.
On entering the details and clicking “Calculate”, you will be taken to a new page with charts and graphs that show you the loan breakup, amortization, and repayment details in a visually attractive and easy-to-understand way.
IDBI personal loan FAQs
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Am I eligible for IDBI Personal Loan?
IDBI Personal Loan 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 IDBI Personal Loan is Rs. 20,000 per month. If you fall into this group, you can definitely apply for a IDBI personal loan.
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How do I repay IDBI Personal loan?
You can repay the loan in Equated Monthly Installments (EMI's) using the ECS facility or through post-dated cheques.
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What is the maximum loan one can get from IDBI?
IDBI offers personal loans as high as Rs. 10 Lakhs for successful applicants depending on their financial record and repayment history.
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What is the tenure for IDBI personal loan?
IDBI offers personal loan with a tenure period ranging from 12 months to 60 months making it suitable for all loan seekers.
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What are the reasons for which I can avail a personal loan from IDBI Bank?
Personal loans from IDBI Bank can be availed for any personal reason. Most customers who avail the loan do so to meet unforeseen financial crunches or to make payments to an increasing credit card debt. Personal loans from IDBI Bank can be taken out to meet expenses related to household purchases, immediate expenses, childrens education, hospitalisation, etc. Personal loans from the bank can also be availed to fund payments of your home loan.
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What are the documents I will have to furnish when applying for a personal loan from IDBI Bank?
Customers will have to fill in the loan application form and submit it to the bank for approval along with proof of identity, proof of residence, form 16, latest salary slip, and bank statement for the past six months. A passport sized photograph must also be affixed to the loan application form prior to submission. For proof of identity, customers may submit any one of passport, Voters ID, driving license, Defence ID card, ration card, PAN card, Government employee ID card, or Aadhaar card. For proof of address, customers may submit any one of passport, ration card, Voters ID, registered lease / rent agreement, driving license, telephone / water / electricity bill, property tax bill, or gas bill.
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How is the calculation of interest done on a personal loan?
A predetermined rate of interest will be applied to the personal loan and interest will be charged on reducing balance method. The amount of interest will be debited to your loan account on a monthly basis. Interest rates are subject to change from time to time at the discretion of the bank.
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Can anybody apply for an IDBI Bank personal loan?
Customers of IDBI Bank are the only ones who can avail a personal loan from the bank. Salaried individuals who have a savings account with IDBI for at least three years or preferred customers who have been banking with IDBI for a minimum of one year can avail loans from the bank. There are other eligibility criteria that must be met for the bank to approve your application for a personal loan, such as your income, your job security, your credit score, etc. The bank will take into consideration these factors and others before confirming whether or not you have the ability to repay the loan and only then will it approve your application.
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What are the benefits of availing a personal loan from IDBI Bank?
There are many advantages to approaching IDBI Bank for a Personal loan. First and foremost, the rate of interest offered by the bank is attractive in comparison with its competitors. Interest is charged on reducing balance method, and the documentation process if fairly simple and quick. The bank also offers personalised services to customers and the borrower will not be levied with any insurance fees for loan insurance.
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How can I make repayments towards the personal loan?
Your personal loan from IDBI Bank can be repaid in EMIs by putting standing instructions / a mandate to debit your saving / salary account with the bank on a predetermined date each month.
*This article is provided only for consumer information on an as is where is basis and BankBazaar does not claim or represent to be connected with IDBI. For further information about any of the products mentioned above please contact IDBI.
IDBI Personal Loan Customer Care Number
Have a few doubts about your personal loan from IDBI Bank? You can get in touch with the bank’s customer care representatives by calling on their customer care helpline number. If you are calling from India, you can use the toll-free number or the non-toll-free number of the bank. You can send a message to the bank at 9220800800 with the following text: ‘IDBICARE’. You may also fill an online grievance redressal form for getting your troubles resolved. You may also send an email to the bank with your complaint details.
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