Personal loans are one of the best financial tools which can be used by an individual to meet his/her expenses. However, a personal loan is not only about the interest which is charged on the loan amount. There are a few other fees and charges which should be taken into consideration.
Thus, it is important to ascertain the affordability or the overall cost of a loan only after considering the fees and charges that are associated with it.
The charges and fees that are related to personal loan can be listed down as follows:
The fees and charges in relation to the personal loans for the top banks in India are listed below:
|Name of bank||Processing Charges||Pre-payment charges||Late payment charges|
|HDFC Bank||Up to 2.5% [Subject to a minimum of Rs.1,999 and a maximum of Rs.25,000]||
||On the overdue principal or EMI – 2% per month|
|ICICI Bank||Up to 2.25% p.a. + GST||5% p.a. of the outstanding principal + GST||24% p.a. on the outstanding amount from the date of default|
|Kotak Mahindra Bank||Up to 2.5% p.a. + GST||Lock-in period of 12 months, post 12 months – 5% charges for foreclosure + GST||3% per month (compounded monthly)|
|The State Bank of India (SBI)||Nil to 1% of the loan amount – on the basis of the loan applied for||3% for Xpress Power Loans, Xpress Credit group of loans, and Xpress Pension Loans||For each EMI dishonoured – Rs.500 + applicable tax|
|Yes Bank||Up to 2.5% of the loan amount [subject to a minimum of Rs.999 + tax]||
||24% p.a. on the outstanding amount from the date of default|
|Union Bank of India||0.5% of the loan amount [subject to a minimum of Rs.500 + GST]||-||-|
|Bank of Baroda||2% of the loan amount + tax [subject to a minimum of Rs.1,000 and a maximum of Rs.10,000]||-||2% on overdue amount|
|IndusInd Bank||Up to 2.5% of the loan amount + tax||
||Rs.450 + tax|
|Bank of India||2% of the loan amount + tax [subject to a minimum of Rs.1000 and a maximum of Rs.10,000]||
|Dena Bank||1% of the loan amount||Nil||-|
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