Multiple banks. Different interest rates. Call it a "conflict of interest".
Punjab National Bank (PNB) is an Indian financial services company based in New Delhi, India. Founded in 1895, the bank has over 5,800 branches and over 6,000 ATM's across 764 cities. Bank serves over 80 million customers. PNB is the 3rd largest bank in india with assets 4.97 trillion. Punjab National Bank offer many credit schemes to customer like Personal Loan, Two Wheeler Loan, Car Loan, Home Loan, Loan against property. Punjab National Bank offer loan with Minimal processing fee with minimal documentation
| Interest Rate | 11.7% to 14.7% |
| Processing Fees | 1.80% of the loan amount |
| Loan Tenure | 5 years |
| Guarantor Requirement | Guarantor required |
Punjab National Bank, also known as PNB, is one of the most popular Indian public sector banks offering personal loans along with other core banking services across India. Personal loans at PNB are available for salaried, self employed, as well as pensioners drawing their pension through any of the PNB branches in the country. PNB personal loans are offered to eligible individuals to offset any immediate financial requirement or need without any security or collateral requirements. The money made available to the borrower through a PNB Personal Loan can be used as per the personal requirements of the individual without any restrictions. PNB Personal Loans are useful for any of the following:
PNB offers personal loans at low interest rates making it one of the most popular choices for borrowers. Low processing fee with zero prepayment penalties and no hidden charges make PNB personal loans a popular choice with salaried, self employed, working professionals and pensioners.
PNB offers a personal loan up to 20 times the net monthly income for salaried individuals and pensioners, subject to a ceiling of Rs.10 Lakhs with repayment tenure of 60 months. Instalment for repayment of any personal loan offered by PNB commences one month after disbursement of the loan, making it convenient for the borrower.
PNB is the bank of choice when it comes to personal loans for a wide range of loan applicants as the bank offers a number of intrinsic advantages including:
Attractive Rate of Interest: Punjab National Bank charges very nominal interest rate for its personal loans, making it one of the most popular banks when it comes to personal loan requirements.PNB is one of the few public sector banks that calculates the interest on personal loan on a daily recurring balance basis, thereby ensuring maximum benefit is transferred to the loan borrower.
Availability of Various Discounted Schemes: PNB is one of the few banks that offer personal loans at discounted rates under various loan schemes at different times of the year. PNB offers discounted schemes for various individuals including government employees, doctors and other working professionals.
No Hidden Charges: PNB is known for its transparent services and PNB personal loan comes with no hidden charges. The lack of any hidden charges makes PNB the first choice for a majority of personal loan borrowers.
Zero Prepayment Charges: PNB does not charge any prepayment penalty, allowing loan borrowers the freedom to prepay their loan as per their convenience. The lack of any prepayment fee makes PNB personal loans more attractive than other banks and NBFCs.
Quick Loan Approval: Punjab National Bank is one of the few public sector banks that have streamlined its personal loan division in order to facilitate quick loan approval and disbursal, bringing it at par with international banks. PNB personal loans follow a quick approval mechanism for both urban and rural centres.
Availability of Online Loan Request: PNB offers an online loan submission tool, making it easier for people of all walks of life to apply for a personal loan while sitting in the comfort of their home or office, without having to physically visit the nearest bank branch.
PNB is a popular choice for personal loans as the bank offers personal attention to each loan applicant with a quick loan approval and disbursal mechanism in place. Some of the prominent features of PNB personal loan include:
Low Interest Rates: PNB offers competitive interest rates for its personal loans on a daily reducing basis, making it one of the best personal loan service providers in India. PNB reserves the right to revise the rate of interest and processing fee from time to time, at its sole discretion. Currently, PNB personal loan is available at 3% above base rate floating currently 16.25% per annum.
High Quantum of Loan: PNB offers a high quantum of personal loans, making it one of the most preferred banks for a large number of self employed, salaried, working professionals and pensioners. Punjab National Bank offers a personal loan up to 20 times the net monthly income for salaried individuals and pensioners, subject to a ceiling of Rs.10 Lakhs.
Specialized Loan Schemes: Punjab National Bank offers discounted personal loan schemes during major festivals and at other times, making it a popular choice for both rural and urban applicants. Punjab National Bank schemes offer attractive discounts on PNB Personal Loan Interest Rates for working professionals, government employees and others from time to time.
Quick Loan Disbursal: PNB has streamlined its personal loan division, allowing for quick loan approval and disbursal. PNB personal loan is now approved almost instantly with a disbursal rate comparable with most international banks.
24/7 Customer Support: PNB offers a dedicated customer support that is available 24/7 catering to the needs of all personal loan applicants and their queries.
Punjab National Bank offers personal loans to customers so that financial emergencies of various types can be taken care of.
The interest on this loan is computed after factoring operating costs, current repo rate, CRR, etc. Dual interest platforms exist for customers, with the date of loan sanction determining the platform each one is eligible for.
Individuals who have availed a loan after April 1, 2016 will be required to pay interest as per the MCLR platform. This follows directives released by the RBI, with benchmark rates expected to change regularly.
| MCLR Benchmark Tenure (Period) | Benchmark Rates (MCLR) |
|---|---|
| Overnight | 9.15% |
| 1 month | 9.20% |
| 3 months | 9.30% |
| 6 months | 9.35% |
| 1 year | 9.40% |
| 3 years | 9.55% |
| 5 years | 9.70% |
| The interest rate for loans up to the amount of Rs.10 lac, (This is for individuals whose salary is being disbursed through any of the Punjab National Bank branches). | MCLR+3.10% |
| The interest rate for loans up to the amount of Rs.5 lacs and up to Rs.10 lacs (this is for individuals who do not having their salary account with Punjab National Bank). | MCLR+4.10% |
| The interest rate for Loans up to the amount of Rs.5 lac (this is for customers who are avail the loan under check-off facility). | MCLR+5.10% |
| The interest rate for others, up to the amount of Rs.5 lac | MCLR+6.10% |
| Base Rate | 9.60% per annum, effective 1st October 2015 |
| Prime Lending Rate | 14.00% per annum, effective 1st October 2015 |
Customers who avail the personal loan from the bank after 1st of April, 2016, will have their interest rate computed using the MCLR system. Those who availed a loan before 1st of April, 2016, can choose to get the interest rate calculated based on base rate or they can choose to migrate to an MCLR platform. The interest rate is also dependent on the relationship the borrower has with the bank.
Note: Rates mentioned above are valid as of June 14, 2016. These rates are subject to change without prior intimation thus borrowers must check rates with the bank when applying for a loan.
Find out PNB Personal Loan Interest rates
PNB is one the few banks that has a very flexible eligibility criteria for providing personal loans. The bank offers personal loans for salaried as well as self-employed individuals with a criterion that the minimum age of the age applicant should be 21 years. Personal loans of Punjab National Bank can be availed till you reach 58 years for salaried individuals. The bank offers a flexible tenure of up to 60 months for personal loans, but while applying, you will have to consider your age. For instance, if you are 55 years old and applying for PNB. Personal Loan, the maximum tenure for which you can avail the loan is 3 years, considering you will reach the maximum age limit of 58 in 3 years. Self-employed individuals can avail a loan up to the age of 65 years.
The main attraction of Punjab National Bank Personal Loan is that the bank is one of only few to offer personal loan for pensioners, who have their pension account with them.
For an assurance of prompt repayment, the bank also puts forth that working professionals applying for loan should be at least 2 years in the job while applying for a PNB Personal Loan.
| Age | Minimum: 21 Years Maximum: 58 Years |
| Minimum Income | Salaried individuals with minimum monthly income of Rs10,000 per month for eligible customers at Semi-Urban and Rural Centers, Rs2,500 per month for eligible customers at Urban Centers and Rs.15,000 per month for eligible customers at Metro Centers. |
| Total years in job/profession | 2 Years |
| Years in current residence | 1 Year |
| Age | Minimum: 21 Years Maximum: 65 Years |
| Minimum Income | Self-Employed individuals or working professionals earning a minimum of Rs. 20,000 per month |
| Total years in Profession | 2 Years |
| Age | All types of pensioners who are drawing their pension through our branches are eligible. |
| Minimum Income | NA |
| Loan Amount | For Pensioners above the age of 70 years and up to 75 years, the maximum amount of loan would be Rs.1,50,000/- or 18 times net monthly pension, whichever is lower. For Pensioners above the age of 75 years, the maximum amount of loan would be Rs.70, 000/- or 12 times net monthly pension, whichever is lower. |
Know more about PNB Personal Loan Eligibility for taking Personal loan
BankBazaar.com offers users a unique tool to calculate their EMI for their loans. The easiest way to calculate your PNB Personal Loan EMI is by using the EMI calculator tool provided by BankBazaar.com. Users simply need to add the amount of their personal loan, loan tenure and rate of interest. The Personal Loan EMI Calculator then calculates and displays the EMI liability for the loan. The BankBazaar.com EMI calculator tool helps you know the EMI in advance for various tenure options and helps you plan your finances by choosing a repayment tenure that suits you best.
Calculate your Loan EMI with PNB Personal Loan EMI Calculator
Punjab National Bank 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 Punjab National Bank personal loan is Rs. 15,000 per month. If you fall into this group, you can definitely apply for a Punjab National Bank personal loan.
You can repay the loan in Equated Monthly Installments (EMI's) using the ECS facility or through post-dated cheques.
Punjab National Bank offers personal loans as high as Rs. 4 Lakhs or 20 times monthly net salary for successful applicants depending on their financial record and repayment history.
Punjab National Bank offers personal loan with a tenure period ranging from 12 months to 60 months making it suitable for all loan seekers.
Yes, the following eligibility criteria should be met in order to avail a personal loan.
This personal loan can be disbursed in two ways, either as an overdraft or a term loan, with the borrower having an option to choose between these two.
Yes, Punjab National Bank offers an option for borrowers to apply for a personal loan through their official website. There are 4 parts for this application, three of them being mandatory and one optional. The mandatory information is related to personal details like ID proof, name, contact number, address, loan amount, repayment mode, EMI, etc. Optional information relates to security and collateral on offer.
Yes, personal loans offered by Punjab National Bank have an upper limit of Rs 10 lakhs for individuals who have a salary account with the bank. The quantum of loan varies according to the job profile and location of an individual, with the minimum loan amount being Rs 50,000.
Yes, an income proof will be required before a loan is sanctioned. This proof is used to assess the repayment capacity of an individual and determine the loan quantum he/she is eligible for.
The processing fees charged by PNB depend on the quantum of loan, with an upfront fee equivalent to 1.8% of the loan amount to be paid. The bank will charge an additional GST and educational cess on this amount. PNB also charges a documentation fee ranging between Rs 270 and Rs 450 on each loan. These charges are waived for all defence personnel.
Yes, borrowers can choose to prepay a loan, with Punjab National Bank not charging any additional prepayment charge.
No, it is not compulsory for an applicant to have an account with PNB. While it is easier for individuals with an account with PNB to get a loan sanctioned, others can also apply, utilising the check off facility on offer.
A personal loan from PNB can be repaid through regular EMIs, with a maximum repayment tenure of 5 years. A borrower can choose to repay the loan before this tenure ends, using the prepayment option.
*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 Punjab National Bank. For further information about any of the products mentioned above please contact Punjab National Bank.
A GST rate of 18% will be applicable on banking services and products from 01 July, 2017.
Punjab National Bank - a 123-year old multinational banking institution of India - has recently crossed a huge milestone of total business worth Rs.11 lakh crore. While the country’s second largest public sector bank is all set to make profit its central focus, the capital adequacy ratio of PNB currently stands to be more than 9% against the required margin of 8%. Subsequent to the rationalisation call by the Indian Government, the bank has also initiated the process of rationalisation at some of its branches. As part of a ‘New Year Bonanza’ scheme, Punjab National Bank has not only waived the documentation and processing fee for car, housing, and two-wheeler loan borrowers, but has also increased the fixed deposit interest rate by up to 1.25% for select maturity items during the onset of the year.
30 January 2018
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