Lowest Personal Loan Interest Rates

India has more than 50 Banks and NBFCs offering personal loan which makes choosing the best bank to take the loan a difficult process. The key criteria to choose a personal loan are the current interest rate, minimum monthly income required, loan tenure, processing fees, product features as well as level of customer service. Personal loan is not just about small amounts and fund requirements. Some banks offer high value personal loan to their customers as well. Although high value personal loan is advanced to individuals with higher income as they have the capability to repay the loan amount of this size on time. The interest rates on such high value loan is slightly lower than the small size personal loan rates. Some of the banks that offer high value personal loan are:

Bank	Rate of Interest	Maximum Loan Amount
HDFC Bank	10.50%	₹ 75,00,000
Standard Chartered Bank	11.50%	₹ 50,00,000
IDFC First Bank	12.00%	₹ 40,00,000
ICICI Bank	10.75%	₹ 30,00,000
Citibank	10.90%	₹ 30,00,000

In order to provide credit facility to more and more people many banks and financial institutions have very low minimum monthly requirement so that more people can avail credit and take advantage of its benefits. Some of the popular personal loan schemes by leading personal loan providers are listed below:

Bank	Interest Rates	Minimum Monthly Income
Muthoot	14.00%	₹ 10,000
Canara Bank	13.00%	₹ 15,000
Fullerton India	11.99%	₹ 17,000
Yes Bank	10.45%	₹ 18,000
Karur Vysya Bank	12.00%	₹ 20,000

Muthoot offers personal loan starting from 14.00%. Thus, even younger people who have just started their career or people in low income group can avail personal loan and build their credit history along with meeting their requirements. Other than Muthoot, other top lenders with low monthly income requirements are Muthoot, Canara Bank, Fullerton India, Yes Bank, Karur Vysya Bank as per the latest update as on 31 Oct 2020.

Work experience is one of the important criteria for banks to advance personal loan. More experience suggests stability and security of income and assures the bank that the borrower is reliable. Banks attach a great importance to the job stability of the borrower, especially in case of unsecured loans like personal loan. Thus, lenders who have lower work experience requirement serves a entry door for the young workforce to avail personal loan in order to build their credit history and meet the requirement of funds. As on Oct 2020, HDB Financial, Fullerton India, HDFC Bank, IDFC First Bank, Axis Bank are providing personal loan to individuals with less than 18 months of total work experience.

Bank	Total work experience (min)	Rate of Interest
HDB Financial	6 Months	13.99%
Axis Bank	12 Months	10.49%
IDFC First Bank	12 Months	12.00%
Fullerton India	12 Months	11.99%
HDFC Bank	12 Months	10.50%

Balance transfer of personal loan allows existing personal loan borrowers to switch from one lender to another who offers a lower interest rate. A personal loan balance transfer is a popular scheme as it is a smart way to lower the loan repayment EMIs. Various lender offers the balance transfer facility as listed below:

Bank	Interest Rates	Processing Fee
Yes Bank	10.45%	Starting from Rs.9999
Axis Bank	10.49%	Upto 1.75%
Kotak Bank	10.50%	Starting from Rs.999
HDFC Bank	10.50%	Upto 2.50% Min Rs. 1,999
ICICI Bank	10.75%	Upto 2.25% of Loan Amount

Any applicant who is planning to transfer their personal loan can consider opting for personal loan transfer with SBI as it offers lowest rates on personal loan balance transfer starting at 9.60%. Some of the best banks for personal loan balance transfer are Yes Bank, Axis Bank, Kotak Bank, HDFC Bank, ICICI Bank.

Most of the Non-Banking Financial Companies (NBFCs) offer personal loans like banks to meet urgent fund requirements. The process to apply for personal loan from an NBFC is instant, paperless and easy. Some of the NBFCs that offer low rates on personal loan are:

Bank	Interest Rates	Maximum Loan Amount
Tata Capital	11.25%	₹ 25,00,000
Fullerton India	11.99%	₹ 25,00,000
IIFL	12.99%	₹ 25,00,000
Bajaj Finserv	12.99%	₹ 25,00,000
Axis Finance	13.00%	₹ 25,00,000

✅Which bank is best for lowest personal loan interest rates?

As per the current rates, PNB is offering the lowest interest rate on personal loan starting at 8.95% and is one of the best banks for personal loan.

✅ Which bank personal loan with lowest income?

Muthoot is the best bank to take a personal loan with minimum monthly income of ₹ 10,000.

✅ Which bank is best for personal loan?

PNB, SBI, Yes Bank are considered as the best banks for personal loan as they are highly customer focussed and offer easy process and quick turn around on personal loan.

✅ What is the minimum work experience required for personal loan?

The minimum work experience required to get a personal loan is 6 months.