Loan eligibility depends upon various factors. The main factor is your ability to repay. The bank would like that the instalment you pay should not exceed more than 30 to 40% of your net salary. Apart from that your profile in terms of residence and the place of your work also matter. You should be in the managerial cadre and residing in a location approved by the bank. Sometimes if you reside in a chawl or at places termed negative by the bank, your loan approval becomes very difficult.
Fees and charges payable
Usually two types of charges are levied. Once when you are applying for the loan and once when you are preclosing the loan.
The fees when charged at the time of processing called as Processing Fees vary from 2-3% of the loan amount. This could be reduced if you have the ability of bargaining. the second charge is the prepayment penalty paid at the time of preclosure. This too varies from 2 –3 %. Similar to processing charges, you can also try to get this fees reduced.
Rate of interest
The interest rate varies from bank to bank. It usually varies from 17 to 26% depending upon the policies and the scheme you opt.
Uses of a personal loan
Personal loans can be used for anything and everything. There is no restriction on the end use, so you could use the money to finance the latest DVD player or buy your wife a washing machine or anything which seemed impossible, can be funded through personal loans.
Maximum tenure of a personal loan
Personal loan is a short tenure loan. Most of the banks provide you loan for maximum 3 years (36 months). However there are options of 5 years (60 months) also.
How to repay the loan
At the time of applying for the loan, banks ask you to submit all the post dated cheques (PDC). The numbers of cheque leaves depend upon the tenure you opt. There is an option of prepayment after completing the lock-in-period of 6 months where you only have to pay the outstanding principal. However the option of part payment is not available
Can I apply jointly with my spouse?
Yes, personal loans can be applied together with a co-applicant who can either be your spouse or your parents. This will help you to increase your income eligibility and you can avail a larger amount of loan. Your co-applicants income gets added to your income and the total is taken into consideration for calculating the loan amount you will be eligible for. So if you want a higher loan then you should apply jointly with a co-applicant.
What is a relationship discount
Lenders offer relationship discounts if you already have a relationship with them. This means that if you are already banking with the lender from whom you want to avail a loan then they give you certain discounts in the form of reduction in interest rates or other charges.
They may even give you a free credit card with fees waived for the first year. Sometimes they even give you additional services
Personal loans from HDFC
Whatever the occasion, HDFC's range of Personal Loans can help. The procedure is simple, documentation is minimal and approval is quick.
Lets have a look at their unique features:-
Borrow up to Rs 10,00,000 for any purpose depending on your requirements.
Flexible Repayment options, ranging from 12 to 48 months.
Repay with easy EMIs.
One of the lowest interest rates.
Hassle free loans - No guarantor/security/collateral required.
Speedy loan approval.
Convenience of service at your doorstep.
If you are an HDFC Bank account holder, we have special rates for you.
If you are an existing Auto Loan customer with a clear repayment of 12 months or more from any of our approved financiers or us, you can get a hassle free personal loan (without income documentation).
If you are an existing HDFC Bank Personal Loan customer with a clear repayment of 12 months or more, we can Top-Up your personal loan.
To secure a instant personal loan, all you need is ONE of the following:
A Salary Slip
Your Credit Card statement
Repayment Track of an existing loan
So not only do you get a loan instantly if you are salaried you can even get an ICICI Bank Personal Loan on your existing Home Loan, Car Loan or credit card relationship with any bank easily.
Salient features of an ICICI Bank Personal Loan:
Personal loans available for both salaried & self employed individuals
No security, collaterals or guarantors required
Loans ranging from Rs. 20,000 to Rs. 15 lakhs
Easy repayment through flexible EMI options ranging from 12 - 60 months.
Special Offer for ICICI Bank Customers:
With the 'Loan on Phone' facility, it is possible to secure a loan even without having to visit your bank branch. If you've been an ICICI Bank customer for the past 6 months you might have a pre-approved loan offer waiting for you. All you need to do is speak to our phone banking officers (PBO) and quote your ICICI Bank relationship number to know about the pre approved offer.