Best Personal Loan Interest Rates
The best personal loan interest rates range from 8.65% to 24% p.a. currently. The interest rate you get depends on several factors including your annual income, CIBIL score, debt-to-income ratio, relationship with the bank, and so on. It is important to Compare the personal loan interest rates of all lenders before choosing the most suitable one for you.
How to Get the Best Personal Loan Interest Rates?
Here are some useful tips to avail of the best personal loan interest rates in India:
- Improve your CIBIL score: Having a high credit score shows your creditworthiness. Banks, NBFCs (non-banking financial companies), and financial institutions offer the lowest personal loan interest rates to those applicants who have a high credit score. Always check your CIBIL score before applying for a loan. If you have a credit score of below 750, you should improve it. Applicants with a credit score of 750 or more have higher chances of getting a personal loan at a low interest rate.
- Don’t miss repayments: Missing a loan or credit card repayment will adversely affect your credit score. Banks and other loan providers consider your repayment history before deciding the rate on your loan. If you have paid your past EMIs and credit card bills timely, you will be charged a lower interest rate.
- Keep checking for offers: Many lenders introduce offers in the form of special interest rates and processing fee waivers for a limited time during festive seasons. Applying for a personal loan during such a festive period can get you the best deal on the interest rate.
- Compare rates of interest: Before applying for a personal loan, you must compare the interest rates charged by various banks and NBFCs on personal loans. Ding this will help you get the best personal loan interest rate.
- Negotiate for the best deal with the lender: If you are already a customer of the lending bank, you can bargain for the lowest interest rate. Many lenders consider good banking relationships when deciding the interest rate.
Best Private Sector Banks Personal Loan Interest Rates
Following are the latest best personal loan interest rates in India for private sector banks along with the EMI (for Rs. 1 Lakh loan amount and 5 years tenure):
| Bank | Interest Rate | EMI | Processing Fee |
|---|---|---|---|
| Bandhan Bank Ltd | 10.50% - 18% | Rs. 2,149 - Rs. 2,539 | 1% of loan amount + GST |
| Catholic Syrian Bank Ltd | 10.49% - 25% | Rs. 2,250 - Rs. 2,877 | 1% of the loan amount, minimum Rs. 250 |
| Dhanlaxmi Bank Ltd | 12.90% | Rs. 2,219 - Rs. 2,416 | Up to 2.5% of the loan amount, minimum Rs. 1,250 |
| Federal Bank Ltd | 11.49% | Rs. 2,149 - Rs. 2,539 | Up to 3% |
| HDFC Bank Ltd | 10.75% | Rs. 2,149 - Rs. 2,705 | Up to 2.50% of the loan amount, maximum Rs. 25,000 |
| ICICI Bank Ltd | 10.80% | Rs. 2,137 - Rs. 2,594 | Up to 2.5% of loan amount + GST |
| IndusInd Bank Ltd | 10.49% onwards | Rs. 2,149 | Up to 3% of loan amount |
| IDFC First Bank | 10.99% | Rs. 2,149 - Rs. 2,539 | Up to 3.5% of loan amount + GST, minimum Rs. 6,999 |
| Karnataka Bank Ltd. | 12% | Rs. 2,247 | 0.50% of loan amount, minimum Rs. 250 |
| Karur Vysya Bank Ltd | 12% | Rs. 2,224 - Rs. 2,594 | Up to 1% of loan amount |
| Kotak Mahindra Bank Ltd | 10.99% | Rs. 2,147 - Rs. 2,877 | Up to 2.50% of loan amount + GST & other charges |
| RBL Bank Ltd | 14% - 23% | Rs. 2,327 - Rs. 2,819 | Up to 3.5% of loan amount + GST |
| South Indian Bank Ltd | 13.10% | Rs. 2,154 - Rs. 2,545 | 2% of loan amount + GST |
| Tamilnad Mercantile Bank Ltd | 14.15% | Rs. 2,329 | 1% of loan amount + GST |
Best Public Sector Banks Personal Loan Interest Rates
Following are the best personal loan interest rates in 2024 of the best public sector banks along with the EMI (for Rs. 1 Lakh loan amount and 5 years tenure):
| Bank | Interest Rate | EMI | Processing Fee |
|---|---|---|---|
| Bank of Baroda | 11.10% | Rs. 2,059 - Rs. 2,432 | 2% of the loan amount (minimum Rs. 1,000 & maximum Rs. 10,000) + GST |
| Bank of India | 10.85% | Rs. 2,162 - Rs. 2,263 | 0.50% of the loan amount, minimum Rs. 500 & Maximum Rs. 2,500 |
| Bank of Maharashtra | 9.70% - 14.20% | Rs. 2,117 - Rs. 2,286 | 1% of the loan amount + GST |
| Canara Bank | 12.65% - 15.30% | Rs. 2,207 - Rs. 2,342 | 0.50% of the loan amount + GST, minimum Rs. 1,000 & maximum Rs. 5,000 |
| Central Bank of India | 12% | Rs. 2,117 - Rs. 2,127 | 1% of the loan amount, Nil for defence personnel |
| IDBI Bank Limited | 9.50% - 14% | Rs. 2,100 - Rs. 2,327 | 1% of the loan amount, minimum Rs. 2,500 |
| Indian Bank | 10% | Rs. 2,071 - Rs. 2,095 | 1% of the loan amount |
| Indian Overseas Bank | 11.40% - 12.40% | Rs. 2,144 - Rs. 2,194 | 0.40% to 0.75% of loan amount |
| Punjab & Sind Bank | 10.90% - 12.90% | Rs. 2,120 - Rs. 2,219 | 0.50% to 1% of the loan amount + GST |
| Punjab National Bank | 11.40% | Rs. 2,090 - Rs. 2,335 | 1% of the loan amount, Nil for defence personnel |
| State Bank of India | 11.35% | Rs. 2,115 - Rs. 2,240 | Up to 1.50% of the loan amount + GST |
| UCO Bank | 10.95% | Rs. 2,147 - Rs. 2,159 | Up to 1% of loan amount, minimum Rs. 750 |
| Union Bank of India | 11.40% - 13.40% | Rs. 2,090 - Rs. 2,296 | Up to 0.50% of the loan amount (minimum Rs. 500) + GST |
Best Personal Loan Interest Rates for Salaried Employees
Personal loan interest rates for salaried applicants are usually lower than those for self-employed because the former have a regular source of income. The rates may vary from lender to lender based on the borrower’s creditworthiness. Below is the table for different banks with the best personal loan interest rates for salaried employees:
| Bank | Rate of Interest |
|---|---|
| Bank of Baroda | 11.10% |
| Bank of India | 10.85% |
| Bank of Maharashtra | 9.70% - 14.20% |
| Canara Bank | 10.95% |
| Central Bank of India | 12% |
| IDBI Bank Limited | 11% |
| Indian Bank | 10% |
| Indian Overseas Bank | 11.40% - 12.40% |
| Punjab & Sind Bank | 10.90% - 12.90% |
| Punjab National Bank | 11.40% |
| State Bank of India | 11.35% |
| UCO Bank | 10.95% |
| Union Bank of India | 9.30% - 13.40% |
| Bandhan Bank Ltd. | 10.50% - 18% |
| Catholic Syrian Bank Ltd. | 10.49% - 25% |
| Dhanlaxmi Bank Ltd. | 12.90% |
| Federal Bank Ltd. | 11.49% |
| HDFC Bank Ltd | 10.75% |
| ICICI Bank Ltd. | 10.80% |
| IndusInd Bank Ltd | 10.49% onwards |
| IDFC First Bank | 10.99% |
| Karnataka Bank Ltd. | 12% |
| Karur Vysya Bank Ltd. | 12% |
| Kotak Mahindra Bank Ltd | 10.99% |
| RBL Bank Ltd. | 14% - 23% |
| South Indian Bank Ltd. | 13.10% |
| Tamilnad Mercantile Bank Ltd. | 14.15% |
Best Personal Loan Interest Rates for Self-employed
Personal loan interest rates for self-employed applicants vary from lender to lender. The rates may differ for different borrowers based on their credit score, income, banking relationship, and other eligibility factors. Below is the table for the best bank personal loan interest rates for self-employed applicants offered by different banks:
| Bank | Rate of Interest |
|---|---|
| Bank of Baroda | 11.10% |
| Bank of India | 10.85% |
| Bank of Maharashtra | 9.70% - 14.20% |
| Canara Bank | 10.95% |
| Central Bank of India | 12% |
| IDBI Bank Limited | 11% |
| Indian Bank | 10% |
| Indian Overseas Bank | 11.40% - 12.40% |
| Punjab & Sind Bank | 10.90% - 12.90% |
| Punjab National Bank | 11.40% |
| State Bank of India | 11.35% |
| UCO Bank | 10.95% |
| Union Bank of India | 11.40% - 13.40% |
| Bandhan Bank Ltd. | 10.50% - 18% |
| Catholic Syrian Bank Ltd. | 12.50% - 24% |
| Dhanlaxmi Bank Ltd. | 12.90% |
| Federal Bank Ltd. | 11.49% |
| HDFC Bank Ltd | 10.75% |
| ICICI Bank Ltd. | 10.80% |
| IndusInd Bank Ltd | 10.49% onwards |
| IDFC First Bank | 10.99% |
| Karnataka Bank Ltd. | 12% |
| Karur Vysya Bank Ltd. | 12% |
| Kotak Mahindra Bank Ltd | 10.99% |
| RBL Bank Ltd. | 14% - 23% |
| South Indian Bank Ltd. | 13.10% |
| Tamilnad Mercantile Bank Ltd. | 14.15% |
Best Personal Loan Interest Rates for Women
Many lenders offer a concession of up to 50 basis points on personal loan interest rates for women applicants. The rates may differ based on the borrower’s credit score, income, banking relationship, and other eligibility factors. Below is the table for the best personal loan interest rates today for women applicants offered by different banks:
| Bank | Rate of Interest |
| Bank of Baroda | 11.10% |
| Bank of India | 10.85% |
| Bank of Maharashtra | 9.70% - 14.20% |
| Canara Bank | 10.95% |
| Central Bank of India | 12% |
| IDBI Bank Limited | 11% |
| Indian Bank | 10% |
| Indian Overseas Bank | 11.40% - 12.40% |
| Punjab & Sind Bank | 10.90% - 12.90% |
| Punjab National Bank | 11.40% |
| State Bank of India | 11.35% |
| UCO Bank | 10.95% |
| Union Bank of India | 9.30% - 13.40% |
| Bandhan Bank Ltd. | 10.50% - 18% |
| Catholic Syrian Bank Ltd. | 10.49% - 24% |
| Dhanlaxmi Bank Ltd. | 12.90% |
| Federal Bank Ltd. | 11.49% |
| HDFC Bank Ltd | 10.75% |
| ICICI Bank Ltd. | 10.80% |
| IndusInd Bank Ltd | 10.49% onwards |
| IDFC First Bank | 10.99% |
| Karnataka Bank Ltd. | 12% |
| Karur Vysya Bank Ltd. | 12% |
| Kotak Mahindra Bank Ltd | 10.99% |
| RBL Bank Ltd. | 14% - 23% |
| South Indian Bank Ltd. | 13.10% |
| Tamilnad Mercantile Bank Ltd. | 14.15% |
Best Personal Loan Interest Rates for Govt Employees
Some lenders offer low interest rates on personal loans to government employees due to their income and job stability. Below is the table for the best personal loan interest rates for government employees offered by different banks:
| Bank | Rate of Interest |
| Bank of Baroda | 11.10% |
| Bank of India | 10.85% |
| Bank of Maharashtra | 9.70% - 14.20% |
| Canara Bank | 10.95% |
| Central Bank of India | 12% |
| IDBI Bank Limited | 11% |
| Indian Bank | 10% |
| Indian Overseas Bank | 11.40% - 12.40% |
| Punjab & Sind Bank | 10.90% - 12.90% |
| Punjab National Bank | 11.40% |
| State Bank of India | 11.35% |
| UCO Bank | 10.95% |
| Union Bank of India | 9.30% - 13.40% |
| Axis Bank Ltd. | 13.75% |
| Bandhan Bank Ltd. | 10.50% - 18% |
| Catholic Syrian Bank Ltd. | 10.49% - 24% |
| Dhanlaxmi Bank Ltd. | 12.90% |
| Federal Bank Ltd. | 11.49% |
| HDFC Bank Ltd | 10.75% |
| ICICI Bank Ltd. | 10.80% |
| IndusInd Bank Ltd | 10.49% onwards |
| IDFC First Bank | 10.99% |
| Karnataka Bank Ltd. | 12% |
| Karur Vysya Bank Ltd. | 12% |
| Kotak Mahindra Bank Ltd | 10.99% |
| RBL Bank Ltd. | 14% - 23% |
| South Indian Bank Ltd. | 13.10% |
| Tamilnad Mercantile Bank Ltd. | 14.15% |
FAQs
Currently, Bank of Baroda provides the best personal loan interest rates, ranging from 8.65% to 16% p.a.
If you are confused about who has the best personal loan interest rates, the answer is that usually, public sector banks offer the lowest interest rates on personal loans.
The personal loan interest rate starts from 8.65% p.a. at present. The private bank loan interest rate starts from 10.24% p.a.
The current range of personal loan interest rates varies from 8.65% to 24% p.a.