Personal loans are quite handy in satiating the immediate financial needs of an individual. Being an unsecured type of loan it does not require collateral and is quite easy to obtain. Also, there are no specific reasons for which one can avail a personal loan. From funding a vacation or spending over a luxury item to repaying other borrowings or gathering money for a wedding, it can be used to take care of them all.
There are a number of Banks and NBFCs all over India offering personal loans both online and offline. And the eligibility criteria made mandatory by each one of them keep on changing from time to time. Out of all the mandates, it is the interest rate charged by an individual bank that mostly makes or breaks the deal. After a thorough analysis of the entire loan procedure, SBI Personal Loan can be termed as the best. Continue reading to know why.
The best bank for personal loans – State Bank of India
Highlights of SBI Personal Loan
|Interest rate charged||9.60% p.a – 13.85% p.a|
|Loan Amount (max)||Up to Rs.20 Lakh|
|Duration||6 to 72 months|
|Monthly Income (minimum)
SBI personal loan type
SBI offers a variety of products in the form of personal loan settlements to choose from. Some of them are listed here.
SBI Pension Loan
Central/state pensioners, family pensioners and defence pensioners can make use of this arrangement to fulfil a plethora of financial needs. The person must be under 76 years of age and maintain a PPO (Pension Payment Order) with SBI.
SBI Express Credit Personal Loan
Both term loans and overdraft loans are made available under this particular scheme. Salaried employees with a dedicated account and earning a minimum of Rs.15,000 per month can avail of a loan up to Rs.20 Lakh.
SBI Pre Approved Personal Loan
Existing customers with a quality repayment history can avail of this loan as per convenience.
SBI Quick Personal Loan
Non-salary accounts with SBI, earning a minimum of Rs.15,000 per month can apply for this loan. The person must be aged between 21-58 years and have a service experience of 1 year (minimum).
SBI Xpress Bandhan Loan
The maximum repayment tenure stands at 60 months and under this scheme, both overdraft and term loan facilities are made available.
SBI Kavach Personal Loan
Put into action from 01.04.2021 the SBI Kavach Personal Loan is made available at an interest rate of 8.50%. Non-salaried, salaried and pensioners can apply for this loan to get themselves or a family member treated against COVID.
SBI personal loan eligibility criteria and documents required
- The minimum age of the applicant must be 21 years.
- The NMI/EMI ratio must stand at 50%.
- Two passport size photographs
- Identity proof in the form of passport, aadhaar, job card.
- Address proof in the form of ration card, property purchase deed, telephone bill, electricity bill.
SBI personal loan distinctive features and benefits
When compared to other banking and non-banking organisations, SBI Personal Loan stands out from the rest. Here is why.
- SBI offers collateral less personal loans to COVID patients and their families in the form of ‘Kavach Personal Loan’. The interest rate charged is only 8.5% having a tenure of 60 months and the loan amount has a maximum range of 5 lakhs.
- The bank charges only 2% p.a of the loan amount as a prepayment penalty.
- The interest rate of an SBI Personal Loan is based on a regular reducing method. Where the EMI is being calculated based on the outstanding balance of the principal amount, at the end of each day. Thus bringing down the total payable, every time a person prepays a certain amount.
- SBI offers customised loan arrangements from time to time. These types of personalisation facilities are made available for government employees, employees having their salary accounts with SBI and pension account holders.
- SBI also offers instant personal loans to pre-existing customers.
How to apply and check out the real-time status of an SBI personal loan?
SBI Personal Loan application is made possible both online and offline. So, you can either visit the nearest branch or the bank’s website. Once done with the application part, borrowers are provided with a unique application number. That can be used along with a registered mobile number to check out the real-time status of the loan, online. If faced with a problem one can reach out to the customer care executive of the bank and receive thorough assistance.
The State Bank of India has been successfully helping people financially with their many loan schemes. You can select any of these schemes as and when required. Just make sure that you meet the eligibility criteria and produce all required documents within the given time.