HDFC personal loan for ₹10 lakh: Eligibility, interest rates and application process explained | Mint
Source: Live Mint
A ₹10 lakh personal loan is a big financial decision, knowing what interest rates are offered by the various lenders, including HDFC Bank, will go a long way in making that decision. Here’s an in-depth rundown of HDFC’s personal loan interest rates and application process.
Understanding personal loans
An unsecured loan called a personal loan allows you to borrow a specific amount for a variety of reasons, including:
- Debt consolidation
- Home remodelling
- Health emergencies
- Major life events, such as weddings or vacations
Personal loans do not require collateral. Instead, they are approved based on your creditworthiness. Repayment involves fixed monthly payments over a specified period of time.
How to secure lower interest rates on HDFC personal loans for ₹10 lakh?
Consider the following tips to get a good HDFC personal loan interest rate,
HDFC’s personal loan for ₹10 lakh interest rate calculation method
HDFC Bank calculates interest on personal loans through the lowering balance approach as a month. It goes like this:
HDFC personal loan interest rates begin at 10.85% per annum. The repayment periods are one to five years. However, factors such as loan tenure, credit score, and income stability determine the exact rate.
Eligibility criteria for applying in HDFC Bank personal loan for ₹10 lakh
If you meet these criteria, you may be eligible for an HDFC personal loan:
- Employment: Employees of private companies, state or central governments, or public sector undertakings.
- Age group: 21–60 years.
- Work experience: Must have worked in the current company for at least one year and a minimum of two years in total.
- Income: Minimum net income is ₹25,000 per month.
Documents required for HDFC Bank personal loan for ₹10 lakh
Following is the document required for applying to HDFC personal loan:
In conclusion, a personal loan can be a handy financial tool for various purposes. It is, therefore, important to understand the terms and conditions well, compare the interest rates from different lenders, and evaluate your financial condition before applying. Remember that loan terms and interest rates vary according to certain conditions, so for the latest details, visit HDFC Bank’s website. Do not always depend on personal loans, as they generally have higher interest rates in comparison to other types of loans, and it can lead you to enter a debt trap.
(Note: Personal loan interest rates and other provisions keep changing with time. Readers are advised to check the relevant bank’s official website for the latest updates.)
