State Bank of Mysore is a nationalized bank in India, with headquarters at Bangalore. Bank is one of the five associate banks of State Bank of India. During 1953, "Mysore Bank" was appointed as an agent of Reserve Bank of India to undertake Government business and treasury operations, and in March 1960, it became a subsidiary of the State Bank of India under the State Bank of India (subsidiary Banks) Act 1959. Now the bank is an Associate Bank under State Bank Group and the State Bank of India holds 92.33% of shares. The Bank's shares are listed in Bangalore, Chennai, and Mumbai stock exchanges. State Bank of Mysore is offering personal loans to individuals to meet their personal expenses like marriage, family functions, medical expenses, travel etc. To know more, follow some simple steps given below to get best interest rates
|Processing Fees||1.00% of loan amount|
|Loan Tenure||36 months|
|Guarantor Requirement||Guarantor required|
Established in 1913, State Bank of Mysore has been an associate of State Bank of India in 1960. A traditional go to option for personal banking for most Indians based in South India, State Bank of Mysore is spread over a 1000 locations.
Amid a plethora of loan facilities offered from State Bank of Mysore, personal loans are a hot commodity for people wanting to fulfil any kind of long term or short term financial needs. Since the end use of the loan isn’t bound by any restrictions, these loans can be utilised for a fancy spending spree, home improvement, meeting financial crunches or for sudden occasions like weddings, parties, etc.
A Personal Loan is still considered by many to be an eyesore, but availing one in the time of need might not be such a painful ordeal. Especially, State Bank of Mysore is a subsidiary of the State Bank of India and thus, a state owned bank. That makes it one of the most trustworthy banks around to avail a personal loan from. In addition to that, if you have had a good sense of investment or savings in the form of shares, NSC and LIC policies, you automatically get a higher credibility for being a preferred customer for loans. Compared to most other banks, you don’t have to pay a pre-closure fee if you decide to pay up the loan sooner.
Personal loans are named as such because of the personal touch to them. To emphasize the same, State Bank of Mysore has made the process of availing the loan easy and the list of requirements quite short. The salient features of a Personal Loan from State Bank of Mysore can be mentioned in the following points
Faster Processing Time for Personal Loans - Owing to the lesser documentation and pre-validated eligibility, the time taken to actually receive a personal loan from State Bank of Mysore is shortened by a lot.
Low Interest Rates - Being a state owned bank, State Bank of Mysore offers a Lower Interest Rate than most other banks in the market which allows for an easier and hassle-free repayment without an overload on your finances.
Zero Prepayment Charges - Since the personal loan availed from State Bank of Mysore is for a maximum term of 36 months, prepayment charges are waived off, thus reducing the burden of the loan even further.
SBM personal loans can be used for multiple purposes, with competitive interest rates ensuring that repaying a loan doesn’t become a hassle. Interest rates are primarily determined after factoring operating costs, with two benchmarks in place: MCLR and Base Rate.
MCLR benchmarks were introduced by SBM in April this year, following RBI directives. These benchmarks take a number of operating factors into account, reflecting current economic trends. The table below highlights the current MCLR benchmark rates at SBM.
|MCLR Benchmark Tenure (Period)||Benchmark Rates (MCLR)|
All borrowers who availed a loan after MCLR benchmarks were introduced will automatically be charged an interest based on these values. The repayment tenure plays an important role in determining the final interest payable. Current interest rates for a personal loan stand at 16.85% per annum, computed as follows.
Interest rate = MCLR (1 year) + 7.35% = 16.85%
|Base Rate||9.65% per annum, effective 07/10/2015|
|Prime Lending Rate||15% per annum, effective 04/03/2013|
Customers who availed a SBM personal loan before MCLR benchmarks were introduced have an option to continue with their existing interest payment plan or migrate to an MCLR based one. Those who choose to continue with their existing plan will be charged an interest based on a few factors, as indicated in the table.
|Borrower relationship with SBM||Interest Rate|
|Corporate salary package with/without check-off||BR + 3.75% = 13.40%|
|Salary accountholder with corporate salary package||BR + 4.25 = 13.90%|
|No salary account or corporate salary package||BR + 6.75%= 16.40%|
Note: All interest rates mentioned above are subject to change, without prior intimation. SBM reserves the right to modify/alter rates at its sole discretion. Rates mentioned above are as of June 16, 2016. Applicants are advised to check rates before applying for a loan.
All citizens of India are eligible to apply for a personal loan from State Bank of Mysore provided they fulfil the following criteria -
Bankbazaar.com offers a very user friendly, nifty tool known as the Loan EMI Calculator. Users can avail the functionality of this tool to instantly know what their liabilities are in terms of EMIs.
Upon entering the personal loan amount, the loan tenure and the applicable rate of interest, a user can easily find out what would be the payable EMI as per his/her chosen options.
A set of documents is required by State Bank of Mysore in order to effectively process the loan application and allow for faster availability of the loan. They are listed as below -
State Bank of Mysore 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 State Bank of Mysore personal loan is Rs. 6,000 per month. If you fall into this group, you can definitely apply for a State Bank of Mysore personal loan.
You can repay the loan in Equated Monthly Installments (EMI's) using the ECS facility or through post-dated cheques.
State Bank of Mysore offers personal loans as high as Rs. 1.50 Lakhs depending on repayment capacity of the individuals for successful applicants depending on their financial record and repayment history.
State Bank of Mysore offers Personal Loan with a tenure period ranging from 12 months to 36 months making it suitable for all loan seekers.
The following persons are eligible to apply for personal loans from State Bank of Mysore:
Personal loans acquired from State Bank of Mysore can be used to meet any personal expenditure such as marital expenses, medical expenses, travelling expenses etc
State Bank of Mysore offers applicants personal loan amounts ranging from a minimum of Rs 50,000 to a maximum of Rs 1,50,000 depending on the repayment capacity of the individual.
State Bank of Mysore offers Personal loan tenures of a minimum of 12 months and a maximum of 36 months
State Bank of Mysore offers its customers interest rates of up to 17.5% on personal loans
State Bank of Mysore will take 7 working days to process and approve the personal loan application submitted by you, providing all documentation is in order.
State Bank of Mysore charges applicants a one-time processing fee of 1% of the total loan amount
State Bank of Mysore accepts a third party guarantee of equal means as well as securities such as LIC policies, National Savings Certificates, KVIP, Shares etc
You can calculate your EMI payments by using the EMI Calculator facility, which can be accessed through the official website of State Bank of Mysore. EMI can be calculated by following these steps:
Applicants are required to meet the following eligibility criteria:
The following documents are required to be submitted to the bank at the time of applying for a personal loan:
State Bank of Mysore does not levy any fees or charges on applicants who wish to prepay their loan.
Customers can repay their personal loans in Equated Monthly Installments (EMIs) via the ECS facility. Repayments can also be made through post-dated cheques.
*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 State Bank of Mysore. For further information about any of the products mentioned above please contact State Bank of Mysore.
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