Personal Loan: Lowest Interest Rates offered by Bank on Loan of Rs.1 Lakh

A personal loan is unsecured and does not require any collateral. A good credit score makes it easier to obtain personal loans instantly. You could apply for a personal loan if you need money for an emergency, such as unexpected and uninsured medical bills, issues coming from job loss, and so on. Personal loan interest rates are high, so proceed with caution.

It is easier to obtain a loan, but if you miss your Equated Monthly Instalments or, worse, fail to return the principal, your debt balloons, your credit score suffers, and you face the fury of debt collectors. It is preferable to redeem from low-yielding or dud investments for emergency purposes.

According to recorded data, these are the banks that offer the cheapest personal loans with interest rates ranging from 9.47 to 12.4%.

Induslnd Bank

IndusInd Bank, a private sector lender, offers personal loans with interest rates starting at 10.49%. The EMI on a Rs 1 lakh loan with a four-year repayment period is Rs 2,560.

Axis Bank

Axis Bank, Bank of India, Citibank, HDFC Bank, and IDFC First Bank charge interest rates on personal loans beginning at 10.75%. The EMI for a Rs 1 lakh loan with a four-year repayment period is Rs 2,572.

ICICI Bank

ICICI Bank, a private sector lender, charges interest rates on personal loans starting at 10.8%. The EMI for a Rs 1 lakh loan with a four-year repayment period is Rs 2,575.

Bandhan Bank

Starting at 9.47%, Bandhan Bank has the lowest interest rate on personal loans of Rs 1 lakh with a four-year repayment term. The equated monthly installment (EMI) will be Rs. 2,592.

SBI Bank

The State Bank of India, India’s largest bank, charges personal loans with interest rates starting at 11.15%. The EMI for a loan of Rs.1 lakh with a four-year repayment period is Rs.2,592.

Kotak Mahindra Bank

Personal loans from Kotak Mahindra Bank and Yes Bank have interest rates that start at 10.99%. The EMI for a Rs 1 lakh loan with a four-year repayment period is Rs.2,584.

Union Bank of India

Union Bank of India charges an interest rate of 11.75% on personal loans. The EMI on a Rs 1 lakh loan with a four-year repayment period is Rs 2,621.

Bank of Baroda

The government-owned Bank of Baroda offers personal loans with interest rates starting at 11.4%. Canara Bank also provides a personal loan with an interest rate starting at 11.4%. The EMI for a Rs 1 lakh loan with a four-year repayment duration at these banks is Rs 2,604.

Punjab National Bank

Punjab National Bank, a public sector bank, charges interest rates starting at 12.4% on four-year personal loans of Rs.1 lakh. The EMI will be Rs. 2,653.