Personal Loan in ChennaiApply Now
|Personal Loan in Chennai Details Updated|
|Loan Amount||Rs. 1 lakh to Rs. 1 crore|
|Interest Rate||10.50% onward|
|Tenure||1 year to 5 years|
|Processing Fee||Up to 2% of the loan amount|
|Prepayment Charges||Up to 5% of the outstanding principal|
Personal Loan in Chennai is an unsecured loan which can be availed by any individual for any kind of financial needs. Unsecured loans are the ones that do not require any collateral security for availing funds. Personal loans are quite common in banking industry these days. Loanbaba is your trusted personal loan provider in Chennai. This fintech firm helps you to access top banks such as HDFC Bank, Muthoot Finance, Kotak Mahindra Bank, RBL Bank and other financial institutions for getting funds.
Chennai, a 369-years old city, which was known as Madras earlier, is the state capital of Tamil Nadu and is 6th largest Indian city in terms of population. Considered in world’s one of the fastest growing cities, Chennai also has a rich culture. The city is a major medical tourism destination. Also, as the city is fast paced, the residents often are in need of quick cash for myriad expenses, which can be fulfilled with a personal loan from financial institutions. You can compare personal loans interest rates in Chennai at loanbaba.com.
Features of Personal loan in Chennai
Many NBFCs along with Private and public sector banks offer personal loans in Chennai. Usually, personal loans are granted taking into consideration one’s employment status, annual income and repaying capacity. Here are the features of this type of collateral-free loan:
- Get approved within a short-time. Drop your loan application on Loanbaba.com and get the best offer for your financial requirement.
- Only minimal documents are required for the application process. Submit the income proof and KYC along with other papers online. The lending institution will review the request in no time.
- After approval, receive funds within 48 hours. Get the best personal loan interest rate in Chennai as per your financial profile.
- Choose tenure between 12 months and 60 months as per your repayment capacity. Borrow as per your need and avail flexible repayment structure with easy EMI option.
Benefits of Taking Personal Loan in Chennai
Some of the top banks which offer personal loans in Chennai are HDFC Bank, Kotak Mahindra Bank, ICICI Bank, Axis Bank etc. Before taking personal loan one can check individual eligibility and assess repaying capability through tools like EMI calculator available on our website. Below-given are the benefits of taking Chennai personal loan on Loanbaba.
- There is no restriction on use of funds. You are free to utilize funds anywhere you want.
- These loans require minimal documentation which makes it easy and quick to process.
- Banks take very less time to disburse the loan amount. Generally, it takes a few hours to transfer the loan in your account.
- The interest rate is lower than that of credit card.
Personal Loan Chennai Eligibility Criteria
If you want to apply for a personal loan in Chennai, then we are here with several offers from top banks and NBFCs. To be eligible to apply, you need to meet a few criteria for getting the application approved by the lending institution. Below mentioned are few of such criteria:
- You need to be a resident of India.
- You should be a salaried individual with a regular and stable income.
- Your monthly salary must be at least Rs. 25,000.
- Your age must be between 21 years and 60 years.
- You should have at least a year’s experience at work to obtain the loan. Cash salary is not acceptable.
- You should have a good CIBIL score of at least 750+.
- A consistent employment history, clear repayment record, and higher disposable income will improve your chances of boosting your personal loan eligibility.
Documentation Required to Apply for Chennai Personal Loan
For getting your personal loan sanctioned you need to produce your:
- Identity card (Aadhar, PAN, driving license, voter identity card or passport) along with
- Address proof (Passport, ration card, Aadhaar card, voter identity card, driving license or utility bills)
- There is a requirement of 2 passport size photographs too.
Salaried Individual: In case of salaried employees, salary slips for last 3 months and bank statement (in which salary is credited) for last 6 months needs to be rendered.
Self-Employed Individual: For self-employed people, address proof of the office, proof of business continuity and office ownership, and audited financial statements need to be provided.
Personal Loan in Chennai Interest Rate
State Bank of India offers the lowest rate at 10.50% followed by the HDFC Bank (10.75%). Thus, the lowest monthly instalment for Rs. 1 lakh is Rs. 2,149. Here are some of the features of Personal Loan Interest Rate in Chennai:
- Processing fee on the loan is between 1% and 3% of the borrowed amount.
- Preclosure is possible with payment of additional charges. These charges differ from a financial institution to another.
- Here is an illustration. Suppose you borrow Rs. 1 lakh for 60 months at 11%, with processing fee Rs. 2,000 then the EMI stands at Rs. 2,174. The total interest amount to pay is Rs. 30,455 in 60 months. Thus, the total repayment amount comes to Rs. 1,32,455.
- The interest rate applicable depends on your monthly income, employment history, loan amount, tenure, repayment history, credit score, and other factors.
- To get the lowest interest rate in Chennai, you need to have a good income and CIBIL Score, prove your repayment capacity, probably be employed with top companies as per the grading list of the lender, or have plenty of disposable income to convince the lender of your repayment capacity.
Personal Loan Chennai Repayment Terms and Conditions
One of the best things about taking a personal loan is the flexible repayment terms and conditions. You can literally choose tenure and amount of your choice depending on your repayment ability. In secured loans, the amount of fund approved depends on the value of the asset to be secured with the lender. Here, your monthly income or ability to repay takes a secondary consider, but however remains important. In the matter of a personal loan, your repayment capacity resumes importance because the borrowing is collateral-free. Here are some of the terms and conditions regarding personal loan repayment:
- As per your repayment ability, choose tenure between 12 months and 60 months.
- Avail the option of part prepayment or foreclosure to reduce the total cost of the loan.
- Pay equated monthly instalments (EMIs) towards the loan. Regular repayments will reduce the debt and improve your CIBIL Score.
- You can pay through online banking, portal of the lender, cash, cheque, and other ways.
- In case of missing or delaying payments, you are liable to pay penalties. Thus, avoid this circumstance and be regular with repayments.
Why Choose Loanbaba for Personal Loan in Chennai?
Our website helps you access finance within just a few hours. All you have to do is apply for a personal loan if you are in Chennai, and we are here to do the needful. We will guide you through the loan application process by understanding your need for funds. Based on your requirement, we will find you the right match of bank/NBFC to meet your financial needs.
- You can compare different banks and NBFCs for your personal loan. Know the fees and charges, interest rates, EMI, tenure, loan amount, eligibility criteria, and other details on a single platform.
- No need to step out of your comfort zone. Just drop the loan application online and upload the soft copy of documents. We will carry forward to get you’re an ideal offer.
- We are transparent about our services. There is never any hidden charge or commission that you need to pay us.
- Our platform gives a free access to financial tools such as EMI calculator, eligibility calculator, and a lot more. This eases your decision-taking process in terms of borrowing money.
- Access your account on our website and track the loan application. Get your repayment schedule and other loan information here.
- You can get in touch with us on email or toll-free number. We will be quick to assist you in every respect regarding the personal loan.
Frequently Asked Questions about Chennai Personal Loan
Here are the FAQs on Personal Loan Chennai:
1. Do you need security or guarantor to borrow cash?
A personal loan is collateral-less. Thus, when borrowing funds, you need not submit any security. This is why banks and NBFCs strictly check your income and financial profile along with credit score before approving your loan application. Also, you do not require to refer a guarantor to get the funds. The financial institution will verify documents your end and check for your repayment capacity. Only if the lender is satisfied with the credentials and details, will is approve the loan.
2. How much time it takes for fund disbursal?
It can take up to 48 hours for the financial institution to disburse the funds. But before this process, the approval procedures need to be completed, which can take some time. To get a quick approval on the loan, ensure all the documents you submit are in place and true. If all the documents are good, and you fit the eligibility criteria, then you can get a lending decision as soon as possible from the bank. Sometimes it can take longer than 48 hours for fund disbursal owing bank holiday or other undeniable reasons.
3. What is the role of CIBIL Score in personal loan?
CIBIL score is a credit score, which tells about your financial journey till date. The financial journey includes details about the repayments on loans and credit card bills. The CIBIL report will contain information about your past and ongoing loans, new loan requests, and hard pulls made by banks/NBFCs to check for your credit score. Regular and timely repayments may mean that your CIBIL score is good, and vice-versa. Since a personal loan is granted without collateral and guarantor, you are expected to have a high CIBIL Score to get approval. Thus, you must take efforts to keep your repayment record clean, and establish a strong credit score before applying for the loan.
4. How to find the best bank/NBFC for Personal Loan Chennai?
We at Loanbaba will provide you a great variety of options in banks and NBFCs that offer a personal loan. This way, you can check for the loan offers by the lenders, and take an informed decision. Also, on dropping the loan application on our website, you can be assured that our team will get you an offer that is an ideal fit to your requirements. You will not have to visit the branch of financial institution to apply for the loan. On our website, simply drop the loan application with all the required documents. And then, we will do our bit, and find you the best bank and NBFC in Chennai for a personal loan.
5. What is part prepayment of the loan?
If you can repay a part of the outstanding amount before the end of the loan’s tenure, then it is called part prepayment. So, if you have excess funds with you, direct it towards prepayment and reducing the interest amount. As the bank charges interest on the due amount, reducing the principal outgo will significantly reduce the interest outgo. The EMIs will get smaller and the total loan cost will also decrease. However, lender charge a part prepayment fee. Thus, check for this fee and the impact on repayments before taking a call.
6. What is foreclosure of the loan?
In case you wish to repay the complete loan amount with interest and principal, before end of the tenure, then you foreclose the loan. It is basically, a full prepayment of the loan. On choosing to foreclose the loan, you save big on the interest outgo. You also reduce the cost of the loan. Several financial institutions charge foreclosure fee. So, you need to keep this in mind, calculate the cost of foreclosure and then opt for it, if you want to.
7. What is a processing fee on a personal loan?
A processing fee is not refundable. The banks and NBFCs usually charge this for legal procedure to be carried out for approving and disbursing the loan. The processing fee ranges between 2% and 3% of the loan amount that you borrow. It does not include the interest amount. You can compare this fee across financial institutions and choose the one that has a lower fee. Either the lender will deduct the fee amount from the disbursal amount or take it as one-time payment with the EMI.
8. Which are some of the best financial institutions offering personal loan in Chennai?
Almost every bank and NBFC in Chennai offers a personal loan. However, a few of the notable ones with maximum loan amount and lowest interest rate include SBI (Rs. 20 lakhs, 10.50% to 11.20%), Muthoot Finance (Rs. 10 lakhs, 14%), HDFC Bank (Rs. 40 lakhs, 10.75%), Small Business FinCredit (Rs. 10 lakhs, 13.75%), Axis Bank (Rs. 15 lakhs, 12%), ICICI Bank (Rs. 20 lakhs, 11.25%), Kotak Bank (Rs. 15 lakhs, 10.99%), RBL Bank (R.s 20 lakhs, 14%), TATA Capital (Rs. 25 lakhs, 10.99%), Capital First (Rs. 40 lakhs, 10.75%), Fullerton India (Rs. 20 lakhs, 12.99%), Bajaj Finserv (Rs. 25 lakhs, 12.99%), and several others.
9. What is a top up personal loan?
A top-up personal loan is additional finance you borrow over an existing loan. This is an unsecured loan as well. The only difference is, you can skip the lengthy application and verification process of taking a new loan, and yet get the funds in a short-time. You should contact the lender and put a request for a top-up. Since the lender will have all your details, the approval process is shorter, and you get the funds in your bank account quickly. The personal loan interest rate charged in Chennai for a top-up loan could be similar to that of the original rate of interest on the primary loan.
10. What is balance transfer in matters of a loan?
If you have an existing loan from a bank/NBFC, you can switch this loan to another financial institution without extending the cost of the loan. The new lender will abide by the terms and conditions of the old loan, simultaneously may offer great discounts on the interest rate as well. The new bank/NBFC in question may even offer you better service and customer satisfaction. Opting for a balance transfer thus should be a practical call. You must weigh the pros and cons of switching to a new bank/NBFC with your existing loan before taking a decision.