Personal loans are a saviour when it comes to catering for any immediate financial needs, like marriage in the family, medical emergency, any big purchase, managing business expenses, and so on.
Due to the popularity of this credit option, there are many personal loan providers available in India right now. At times, it becomes difficult to choose the best lender among so many alternatives. However, there are some most reliable lenders that you can trust at any time.
The State Bank of India (SBI), Punjab National Bank (PNB), and HDFC Bank are some of the most trustworthy lenders when it comes to availing of a personal loan.
If you want to choose any of these lenders, below is the personal loan interest rate comparison between these three banks:
SBI Personal Loan Interest Rates
SBI Personal Loan interest rates are linked to the MCLR (Marginal Cost of Funds Based Lending Rate) of the bank and vary depending on the type of scheme.
- Xpress Credit (including Pre-Approved Xpress Credit)
| Defence/ Paramilitary/ Indian Coast Guard Salary Account Holders | |
| Term Loan | 10.60% – 11.10% |
| Overdraft | 11.10% – 11.60% |
| Other Applicants | |
| Term Loan | 10.60% – 12.60% |
| Overdraft | 11.10% – 13.10% |
Special concession of 50 bps in the rate of interest is available for the following category of borrowers:
- Customers availing loan amount of Rs. 10,00,000 or above.
- Platinum Salary Package customers.
- Central Public Sector Enterprises Considered Under ‘RATNA’ Status.
- Concession is subject to a total maximum of 100 bps over the card rate.
- Xpress Credit – Non-Permanent Employees
| Applicant Type | Interest Rate |
| Central & State Govt., Quasi Govt., Central & State PSUs, Defence Personnel, and Educational Institutions of National Repute | 11.50% – 13.60% |
| Co-operatives/Institutions which are not covered under regular Xpress Credit scheme & Unrated Corporates | 12.25% – 13.85% |
- Xpress Elite Scheme
| Applicant Type | Interest Rate |
| SBI Salary Account Holders | 9.60% – 11.10% |
| Other than Salary Account Holders | 9.85% – 11.35% |
- Other Unsecured Personal Loans
| Scheme | Interest Rate |
| Pension Loan (including Pre-Approved Pension Loans) | 9.75%-10.25% |
| Xpress Credit Insta Top-Up | 10.70% |
| Clean Overdraft | 15.65% |
| Pre-Approved Personal Loans | 12.60% |
| Special Pre-Approved Personal Loan | 9.60% |
| SBI Quick Personal Loans through CLP Portal | 10.85% – 12.85%
*0.25% higher than Xpress credit scheme. for all brackets |
PNB Personal Loan Interest Rates
PNB Personal Loan interest rates are linked to Repo Linked Lending Rate (RLLR) of the bank, which is 6.80% w.e.f. 01.09.2020. The rates vary depending on the type of scheme.
| Scheme | Interest Rate | CIC Score |
| Loan to Defence/Para Military Personnel drawing salaries through PNB & customers covered under Rakshak Plus scheme | 8.95% | Not applicable |
| · Loan to Govt. Employees drawing salary through PNB.
· Loan to Central Govt. Gazette Officer (Section Officer/ equivalent/above) not having a salary account with PNB. |
9.30% | 800 |
| 10.30% | 750 to below 800 Or Nil credit history (-1 or 0) | |
| 11.30% | 650 to 749 | |
| 11.80% | Below 650 | |
| · Loan to Corporate or other Employees drawing salary through PNB.
· Loan to Govt. Employees not drawing salary through PNB |
10.30% | 800 |
| 11.30% | 750 to below 800 Or Nil credit history (-1 or 0) | |
| 13.30% | 650 to 749 | |
| 13.80% | Below 650 | |
| Loan to employees under check off facility | 11.80% | 800 |
| 12.30% | 750 to below 800 Or Nil credit history (-1 or 0) | |
| 14% | 650 to 749 | |
| 14.50% | Below 650 |
Special concession in interest rate:
- 0.10% concession in applicable rate to the customers who opt for coverage under Credit Life Insurance.
- 0.50% concession in applicable rate to the employees of the institutions or corporates having exclusive Tie-Up with PNB and at least 100 employees (50 for Educational Institutions) maintaining salary accounts with PNB.
| Scheme | Rate of Interest |
| PNB Doctor’s Delight | · 8.95%
· Concession of 1% in the rate of interest if the customer is maintaining their salary account/receipt collection account with PNB or where tangible Collator Security value is 100% of the loan amount. |
| Personal Loan Scheme for Pensioners | 9.30% |
HDFC Personal Loan Interest Rates
HDFC Personal Loan interest rates start from as low as 10.50% and can go up to a maximum of 21% p.a.
Based on the information given above and the features of all three personal loans, here is the comparison:
| Bank | Rate of Interest | Processing Fee | Prepayment Charges | Loan Amount | Tenure |
| PNB | 8.95% – 14.50% p.a. | · Personal Loan: 1% of the loan amount
· PNB Doctor’s Delight: 0.90% of loan amount · Defence Personnel: Nil |
Nil | Up to Rs. 10 Lakhs | 12-60 months |
| SBI | 9.60% – 15.65% p.a | · Xpress Credit: 1.50% of the loan amount, minimum Rs. 1,000 + GST & maximum Rs. 15,000 + GST
· SBI Pension Loan: 1% of the loan amount, minimum Rs. 1,000 + GST & maximum Rs. 10,000 + GST · Jai Jawan Pension Loan & Clean Overdraft: Nil |
3% | Rs. 24,000 – Rs. 20 Lakhs | 6-72 months |
| HDFC | 10.50% – 21% p.a. | Up to 2.50% of the loan amount, maximum Rs. 25,000 for salaried customers | 2% – 4% | Rs. 50,000 – Rs. 40 Lakhs | 12-60 months |
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