Andhra Bank Personal Loan Interest Rate

• Andhra Bank offers Personal Loans to salaried individuals at a low rate in comparison to self-employed.
• Apart from the interest rate, the bank also charges processing fees and penalty fees for pre-payment, foreclosure, and late payment as Andhra Bank personal loan rates and charges.

Andhra Bank Personal Loan	Rates and Charges
Interest Rate	8.90% to 13.00%
Part Prepayment Charges	Allowed after paying 0 with charges ranging from, Nil prepayment charges of the outstanding loan amount.
Foreclosure Charges	Allowed with charges ranging from, Nil prepayment charges of the outstanding loan amount.
Processing Fees	Case to Case

Andhra Bank Personal Loan interest rates are lower for existing customers of the bank with a strong CIBIL Score and for those working with reputed corporations with a stable employment history. The lowest rate on Andhra Bank Personal Loan remains unchanged at 8.90% as of 25 May, 2021. Andhra Bank also runs special schemes with lower rates for defense, armed forces and government employees. Personal loan interest rate for government employees and defence personnel is different from private salaried employees.

Here is a comparison of Andhra Bank Personal Loan with top lenders based on the interest rate, loan tenure, amount, processing fee, and other charges. It is always better to compare various personal loan lenders before proceeding with the personal loan process.

Particulars	Andhra Bank	HDFC Bank	SBI
Rate of Interest	Starting from 8.90%	Starting from 10.25%	Starting from 9.60%
Loan Tenure	12 - 60 months	12 - 60 months	6 - 72 months
Minimum Age	18 years	21 years	21 years
Processing Fee	Case to Case	Upto 2.50% Min ₹ 999	Nil
Maximum Loan Amount	₹ 5 Lakh	₹ 75 Lakh	₹ 15 Lakh
Prepayment charges	Allowed after 0 EMI's, Nil prepayment charges	Allowed after 12 EMI's, 2-4%	Not allowed
Pre closure charges	Allowed after 0 EMI's, Nil prepayment charges	Allowed after 12 EMI's, 2 - 4%	Allowed after 6 EMI's, 3%

Andhra Bank personal loan balance transfer facility is ideal for existing personal loan customers, who are paying high interest to their existing lender. Through this facility, you can transfer your existing personal loan with Andhra Bank at a lower rate of interest, without closing the account. However, you do need to check the foreclosure charges that you have to pay to your existing lender. Currently, Andhra Bank offers the lowest personal loan balance transfer rate of Nil.

You can get the lowest Andhra Bank personal loan rate by ensuring the below-mentioned things:

• Ensure that you are aware of the Andhra Bank personal loan eligibility and documentation requirements beforehand so that you do not end up paying a higher rate as compensation for lack of any document.
• Ensure that you maintain a good credit score of 650. The higher the credit score, the higher is your chance of getting a personal loan interest rates Andhra Bank.
• Always check if you are eligible for a pre-approved offer from Andhra Bank to get instant loans at the best rates.
• Compare lenders to get competitive interest rates. Further, keep track of the loan rates trends, as Andhra Bank may offer lower interest rates in the festive season.
• If you are a high salary earning employee and work in a reputed firm, then leverage it. Andhra Bank offers lower rates to employees working in top firms drawing high salaries.

✅What is the Interest Rate on Personal Loan in Andhra Bank?

Today, the lowest interest rate on Andhra Bank Personal Loan is 8.90% and ranges up to 13.00%. Borrowers with high income and CIBIL score are eligible for the lowest interest rate. Also, Andhra Bank personal loan interest rates for salary account holders are comparatively lower than that for other customers.

✅How can I reduce my interest in Andhra Bank personal loan?

You can reduce the interest to be paid on Andhra Bank personal loan by any of following ways: (i) Maintaining a good CIBIL score. (ii) By showing all proofs of income. (iii) By maintaining a good debt to credit ratio. (iv) Applying at peak time when Andhra Bank provides discounted personal loan offers.

✅Is Andhra Bank personal loan a floating rate loan or a fixed-rate loan?

Andhra Bank is offered at both fixed and floating rates. In the case of the fixed-rate, the interest remains the same whereas in the case of the floating rate the personal loan rates keep varying according to the market.

✅Did Andhra Bank's personal loan rate drop in 2022?

Presently, Andhra Bank offers personal loans at an interest rate starting at 8.90%. There has been no change in personal loan rates of Andhra Bank since 25 May, 2021.

✅How do I check my eligibility to get a personal loan at a low rate from Andhra Bank?

The lowest rate on Andhra Bank is mostly offered to individuals with high CIBIL and high income. You can check the eligibility for the personal loan at the official website of Andhra Bank. Apart from that, you can also use MyLoanCare Personal Loan Eligibility Calculator to calculate online eligibility without any hassles.

✅Can I ask for a reduction in the Andhra Bank personal loan interest rate?

You can ask for a reduction in your Andhra Bank personal loan interest rate. However, it depends upon the policy of the bank, whether it allows negotiation or not. Good credit score, high income, and existing relationship with the bank are some of the points which can contribute to the talks going your way.

✅Is there any need for security or collateral while availing Personal loan from Andhra Bank?

No, there is no need for any collateral or security while availing of a personal loan from Andhra Bank. Andhra Bank personal loan is an unsecured loan; thus, it does not require pledging of any asset as security to avail the loan.

✅How can I close my Personal Loan from Andhra Bank early?

If you want to prepay your entire personal loan from Andhra Bank, then you can make a lump sum payment. However, you should also inquire about the prepayment and foreclosure charges based on the Andhra Bank personal loan scheme availed by you, before making any decision.

✅How does Andhra Bank calculate the interest on a personal loan?

The interest for Andhra Bank personal loan is calculated based on the following methods:

Flat rate method:   Under this method, Andhra Bank personal loan rate is estimated on the original loan amount throughout the original loan tenure. Thereby, the principal amount for calculation remains the same. This method is also called the fixed method of Andhra Bank personal loan interest calculation.

Reducing rate method:  As per the Andhra Bank personal loan reducing balance method the interest rate is calculated on the outstanding loan amount. Therefore, the principal component that is paid during the monthly EMI is not chargeable for interest calculation. In this case, the outstanding balance and the interest reduces with time, and the interest is charged only on the remaining principal amount.