When you suddenly need money and don’t have enough in your bank account, you might consider getting something called a personal loan.
But it’s important to know that personal loans can be expensive because the banks charge a lot of extra money on top of what you borrow.
You can only get a personal loan if you have a good record of paying back money you’ve borrowed before. Most banks charge interest rates between 10.65% and 24% on personal loans.
Let’s see how much interest five different banks charge on personal loans
HDFC Bank: They charge interest between 10.75% and 24% per year on personal loans. They also charge a fee of Rs 4,999 plus taxes.
You can borrow money for 3 to 72 months, and they’ll lend you up to Rs 40 lakh.
ICICI Bank: Their interest rates range from 10.65% to 16% per year.
They also charge a fee of 2.50% of the loan amount plus taxes.
State Bank of India (SBI): They start charging interest at 11.15% per year.
They offer loans up to Rs 20 lakh to people who don’t have an account with them.
Kotak Mahindra Bank: They start charging interest at 10.99% per year.
You can borrow from Rs 50,000 to Rs 40 lakh, and they charge a processing fee of 3% of the loan amount.
PNB (Punjab National Bank): They charge interest between 12.75% and 16.25% per year, depending on your job and how good you are at paying back loans.
They offer lower rates for government and defense employees.
