Home Credit Personal Loan is most suitable for any type of borrower who is looking a short-term personal loan. Home Credit offers personal loans of maximum upto Rs. 2 Lacs only with a maximum repayment period of 48 months and @14% annual interest rate. However, the funds can be availed easily by completing a digital application process through the mobile app with zero physical documentation.
Moreover, Home Credit allows every kind of borrower, be it salaried, self-employed or pensioners and even ones who doesn’t have a credit score.
|Home Credit Personal Loan|
|Annual Interest Rate||14%|
|Loan Term||12 Months - 48 Months|
|Loan Amount||Rs. 25,000 - Rs. 2 Lacs|
|Time of Funding||Within 24 hours of Approval|
|Personal Loan Type||Applicable Interest Rate|
|Home Credit Personal Loan||14% per annum|
The interest rate levied by Home Credit Finance on personal loan starts from 14% per annum as compared to the other private lenders like Bajaj Finance who offers personal loans at minimum 12.99%, and Indiabulls who offers unsecured personal loans starting from 11.99% per annum.
|Age||Minimum 19 Years|
Home Credit offers personal loan to everyone even if the borrower doesn’t have any credit score yet unlike the peers like Aditya Birla Capital who demands the borrower to have a minimum credit score of 750 points.
Home credit is best suitable for you if you wants to avail a small amount of funds, between Rs. 25,000 to as high as Rs. 2 Lacs only.
Home Credit doesn’t charge any charges on prepayment of the loan unlike the many of the banks and competing financial institutions such as, in case of availing a personal loan from Indiabulls Dhani where the borrower has to pay the pre-closure charges of upto 5% of the principal outstanding.
With home credit, the applicant can avail the funds instantly after getting approved by the financial institution. Hence, the borrower doesn’t need to wait to receive the funds.
A borrower can avail payment holiday after the repayment of first 2 EMI on or before the payment due date. And, home credit will simply postpone the EMI for a month without hurting the credit history of the borrower. All the borrower needs to do is, simply call the customer care 6 days prior to the date when he/she wants to avail the facility. A borrower can avail a maximum of two payment holiday with a time difference of 6 months.
With home credit personal loan, the borrower can also opt for a life cover equal to 1.25 times of the loan amount, where he/she can ensure the repayment of the loan in case of death.
With home credit, you don’t need to worry about those high charges in regards to loan cancellation. The borrower can simply return the total outstanding amount within 15 days of disbursal without paying any charges.
The maximum amount home credit offers to personal loan borrower is limited to only Rs. 2 Lacs. Hence, if the borrower is an existing Home Credit customer but needs a loan amount higher than Rs. 2 Lacs, then he/she will have to look for other lender like Indiabulls Consumer Finance and Aditya Birla who offers upto Rs. 15 Lacs with instant disbursal facility.
Unlike many of the banks and financial institutions, Home Credit doesn’t give its personal loan customer the option to avail additional funds until they have completed the repayment on existing loan account.
Although, home credit offer instant funds through digital application processing, a borrower can still fail to get the funds on time since disbursal cannot be made on bank and national holidays.
In case of Home Credit, if a borrower wants to prepay his loan amount, then he/she have to wait for at least 6 months after the disbursal. Although, some of its competitors like Bajaj Finserv allow its customers to prepay the loan anytime after the 1 month of disbursal.
Although, home credit offers repayment two repayment holidays, but the borrower cannot avail both repayment holidays one after another. The borrower has to wait for at least 6 months after the first repayment holiday, to avail the 2nd repayment holiday where the borrower shouldn’t be making any default during the 6 months period.
Home Credit doesn’t allow its borrower to change the payment due date. Hence, the borrower has to manage the monthly installments accordingly which can be difficult if the borrower is a salaried person with little to no savings at the moment, and he/she would end-up paying a minimum of Rs. 350 in case of default by only one day.
|Bank Name||Home Credit||Indiabulls||Aditya Birla Capital|
|Typical APR||14%||11.99% - 26%||14% - 26%|
|Loan Term||12 Months - 48 Months||3 Months - 72 Months||6 Months - 36 Months|
|Maximum Lending Amount||Rs. 2 Lacs||Rs. 15 Lacs||Rs. 15 Lacs|
|Processing Fee||Nil||1.50% to 5% of the loan amount||2% of the loan amount|
|Time to Funding||Within 24 hours of Approval||Within 3 minutes of Approval||Within 30 minutes of Approval|
|Pre-Closure||Nil||5% of the principal outstanding||Nil|
Home credit offers personal loans at annual interest rate of 14% which is average as compared to its peers like Indiabulls Finance who offers funds at 11.99% to 26% per annum and Aditya Birla Capital Finance who offers funds at 14% to 26% per annum. However, the offered interest rates are pretty high as compared to what most of the banks are offering, except in case of indiabulls dhani.
Apart from the interest rate, Home Credit offer repayment period of minimum 12 months to maximum 48 months whereas aditya birla offers tenure as low as 6 months and indiabulls offers personal loans with tenure as low as 3 months. Moreover, out of all the three, indiabulls is the only one which offers personal loan with repayment period longer than 4 years. As far as the maximum loan amount is concerned, home credit offers only Rs. 2 Lacs as compared to both, Indiabulls and Aditya Birla Finance where the borrower can avail as high as Rs. 15 Lacs.
Home credit offers personal loans of minimum Rs. 25,000 to a maximum upto Rs. Rs. 2 Lacs. The interest rate at home credit starts from 14% per annul. However, the borrower doesn’t need to pay any other charges related to the loans since they levies no cost in regards to processing of the loan and documentation etc.
As for the tenure if concerned, the borrower can opt for the tenure between 12 months to maximum 48 months, as he/she find suitable in regards to the monthly installment amount.
|Type of Charges||Applicable Amount|
Allowed after first 6 EMIs
|Penal / Default Charges||Rs. 350 for delay by 1 day.
Rs. 800 for delay upto 30 days.
Rs. 1350 for delay upto 60 days
Rs. 2100 for delay beyond 60 days.
|Direct Debit Bounce Charges||Rs. 300 per instance|
The fees and charges levied by Home Credit is comparatively cheaper than it competitors. It offers zero processing charges and have nil charges in regards to foreclosure. Whereas, it’s competitor, Indiabulls charges processing fee of upto 5% of the sanctioned loan amount and Aditya Birla finance equals to 2% of the loan amount. And, in case of foreclosure, indiabulls charges 5% of the principal outstanding amount but aditya birla charges no prepayment cost as same like Home Credit.
However, the default charges ranges from minimum Rs. 800 to maximum Rs. 2100 depending upon the days past the payment due date whereas the competitors charging 2% to 3% of the overdue EMI amount.
Pay your EMI through Home Credit Website
Pay your EMIs through Home Credit Mobile App
Fund Transfer via NEFT