Interest Rate
14.35 - 14.85
Processing Fee
0.51%
Loan amount
25000.00 - 100000.00
Tenure
5 years
Personal loan for Salaried Class only.

Borrow up to five times of the Gross Salary or maximum of Rs.50,000 for account holders whose salary is credited in the Indian Bank’s branch account

Borrow up to 7 times of gross salary or maximum Rs. 1 Lac with employer sponsorship with undertaking letter from the employer to recover EMI from salary and remit to the bank.

Repayment period of up to 36 months long.

Indian Bank Personal Loan

Whether you are a Salaried-Employee, a Self-Employed Professional or a Self-Employed Businessman, Indian Banks offers you funds as high as Rs. 6 Lacs within a span of 4 to 7 days of approval. The Processing fees charged by Bank is 0.51% of the loan amount or maximum Rs. 510 and charges Rs. 255 for Pensioners, it charges Zero to up to Rs. 255. The Interest Rate charged by Indian Bank is ranging from 10.65% to up to 13.20% of the loan amount and the tenure to repay your loan amount is 12 months to up to maximum of 60 months ( 1 Year to up to maximum of 5 years).


Indian Bank is a good fit for you if?

Government Employees – Availing loan from Indian Bank could be a good fit for you if you are a government employee who needs personal loan from Rs. 50,000 to as high as Rs. 1 Lacs since the Interest rate is quite low with 10.65% to up to 11.25% per annum as compared to other competing banks and financial institutions such as Federal Bank, Canara Bank and Bandhan Bank charging interest rate starting from 10.90% to up to maximum of 18.75% per annum.

Indian Bank Personal Loan at a glance

Annual Interest Rate

10.65% - 13.20%

Loan Term

12 Months - 60 Months

Loan Amount

Up to Rs. 6 Lacs

Time of Funding

Within 4 to 7 days

Pre-Payment Charges

Nil

Indian Bank provides personal loan up to Rs. 6 Lacs within 4 to 7 days of approval and the tenure to repay your loan is from 12 month to up to 60 months which is quite a long span of time but at the same time you must keep in mind that a loan with a longer terms means high charges, you don't want to end up taking a loan which you keep paying for many years as the interest rate charged by bank is ranging from 10.65% to up to 13.20% of the loan amount.

Here, the Pre-Closure charges are Nil as compared to other competing bank or financial institutions such as Federal Bank which charges Prepayment fees of up to 2% of the outstanding amount.

Why Choose Indian Bank?

Low Processing Charges – Indian Bank could be a good alternative for you as the processing fees charged by this bank is up to maximum of Rs. 255 for pensioners and 0.51% of the loan amount for salaried-employee with maximum Rs. 510 which is quite low as compare to other banks such as ICICI Bank which charges up to 2% of the loan amount.

Zero Processing Charges for Pensioner Loan of upto Rs. 25,000 – If you are a pensioner who needs funds up to maximum of Rs. 25,000 to fulfill his personal financial goals, then you can avail your personal loan from Indian Bank as here, no processing fee is charged on pensioners who want funds up to Rs. 25,000.

What to watch out for?

No Pension Loan for CRS retirees and EPF Pensioners – If you are a CRS retirees or a EPF pensioners then you must know that Indian Bank does not offer any pension loan for Compulsory Retirement Scheme Retirees (CRS Retirees) and Employee Provident Fund Pensioners (EPF Pensioners).

Compare Indian Bank Personal Loans to Other Banks

Bank Name Indian Bank Federal Bank Canara Bank

Typical APR

10.65% - 13.20%

11.49% - 14.49%

10.90% - 13.90%

Loan Term

12 Months - 60 Months

12 months - 48 months

12 Months - 72 Months

Maximum Lending Amount

Rs. 6 Lacs

Rs. 10 Lacs

Rs. 3 Lacs

Rs. 5 Lacs for Pensioners

Processing Fee

0.51% of the loan amount

Max Rs. 510

Zero to Rs. 255 for Pensioners

0.50% of the loan amount

Min Rs. 500

Zero to upto Rs. 5,000

Time to Funding

Within 4 to 7 days

Within 7 days

Within 7 days

Pre-Closure

Nil

2% of the outstanding amount

Nil

Indian Bank lends up to maximum of Rs. 6 Lacs within 4 to 7 days of approval while Federal Bank lends up to maximum of Rs. 10 Lacs within 7 days of approval and in case of Canara Bank, the maximum amount it can lend is up to Rs. 3 Lacs and 5 Lacs in case of Pensioners. The Processing fees charged by Indian bank is up to 0.51% of the loan amount or maximum of Rs. 510 and Zero to Rs. 255 for pensioners, while in case of Federal Bank, the processing charges are 0.50% of the loan amount or minimum Rs. 500 and Canara bank charges Zero to up to maximum of Rs. 5,000.

The typical APR Charged by Indian Bank is ranging between 10.65% to up to maximum of 13.20%, 11.49% to up to maximum of Rs. 14.49% while in case of Canara Bank, the typical APR ranging between 10.90% to up to maximum of 13.90%. The tenure to repay your loan is ranging between 12 months to up to 60 months, 12 months to up to 48 months in case of Federal Bank and 12 months to up to maximum of 72 months in case of Canara Bank. There is no Pre Closure fees charged by Indian Bank.

Am I Eligible?

  • Minimum age of the regular pensioner should not be less than 75 years at the time of loan application.
  • Maximum age of the regular pensioner should not be more than 78 years at the time of loan maturity.
  • Minimum age of the family pensioner should not be less than 70 years at the time of loan application.
  • Maximum age of the family pensioner should not be more than 73 years at the time of loan maturity.
  • Salaried applicant should have a minimum work experience of 3 years in the current organisation.

Loan Offerings

IB Clean Loan (Personal Loan for Salaried)

  • Indian Bank provides personal loan for permanent Government employees including Public Sector Undertakings and Government Boards, Employees of Reputed Companies and Corporate Industrial Establishments etc. The personal loan equals to 5 times of gross monthly salary or maximum Rs. 50,000 for salary account holders. The loan amount equals to 7 times of gross monthly salary or maximum Rs. 1 Lacs for applicants who have provided an undertaking from their employer along with check-off facility.
  • The interest rate equals to 10.65% if the applicant's loan is availed under Check-off facility and employer's undertaking is available. The interest rate equals to 11.25% of the applicant have Indian Bank Salary Account. The processing charges equals to 0.51% of the loan amount or maximum Rs. 510 with the tenure to repay the loan amount ranging from 12 months to up to 36 months.
  • Documents required:
    • Salary Certificate for last 6 months
    • IT returns/Form 16 for 3 years
    • Bank Account statement for last 6 months
    • Post-dated cheques.
    • Documented authorisation to deduct EMI from saving account of the employee, where salary is disbursing through Indian Bank.
    • An undertaking from the employer stating that he/she will deduct the EMIs from employee salary and submit to the bank directly, where salary isn't disbursing through Indian Bank.
    • If applicant is unable to provide either authorisation to deduct salary from account or employer sponsorship, then he/she must provide the following documents for third party guarantee.

IB Pension Loan

  • Indian Bank provided a scheme named as ''INDIAN BANK PENSION LOAN'' under which an any pensioner either government pensioner, family pensioners, or re-employed pensioners including retired Indian Bank Employees (both under Voluntary retirement scheme and Superannuation) can avail funds. A regular pensioner can borrow equals to 15 months pension or maximum Rs. 6 Lacs, while a Family Pensioner can borrow equals to 12 months pension or maximum Rs. 2 Lacs.
  • There is no processing fee charged by Indian Bank for availing personal loan up to Rs. 25,000 while processing charges equal to Rs. 255 for loan above Rs. 25,000. The interest rate equals to 12.20% per annum for pensioner availing loan for 12 months while the pensioners who are availing loan for more than 12 months, the interest rate charged by bank will be 12.95% per annum.
  • If your pension is being credited into Indian Bank Branch, then Indian Bank would retail the pensioner's portion of PPO with documents. The pensioner should provide an irrevocable undertaking that he/she will not shift pension credited account to other banks during the loan repayment period.
  • If your pension is being credited into Indian Bank Branch, then Indian Bank would retail the pensioner's portion of PPO with documents. The pensioner should provide an irrevocable undertaking that he/she will not shift pension credited account to other banks during the loan repayment period. If pension is being disbursed as well as credited from Indian Bank Branch, them a Xerox copy of pensioner's half is to be kept with the documents.
  • Documents required for pensioners:
    • Copy of pensioner's half with documents to be kept where pension is disbursing as well as credited through Indian Bank.
    • Authorisation to deduct the EMI from Pensioner's PPO portion where pension is not disbursing but only being credited through Indian Bank.
    • Documents for Family pensioner
    • Loan Application along with KYC Documents and passport size photograph.
    • Processing Fee Cheque

Indian Bank Personal Loan Rate of Interest

Personal Loan Type Applicable Interest Rate

IB Clean Loan

10.65% - 11.25% per annum

IB Pension Loan

12.20% - 13.20% per annum

How to Apply for HSBC Bank Personal Loan?

At Paisa

    • Click on ''APPLY NOW'' button
    • Fill the necessary details such as desired loan amount, purpose of your loan, monthly salary, name, email-id, contact no etc.
    • Now, click on ''SUBMIT''

At nearest Indian Bank Branch

    • Walkin to the nearest branch of the Indian Bank along with the loan application form and KYC documents.
    • Fill in your details in the form
    • Submit the application form at any of the nearest branch of Indian Bank.

After I Apply?

Check loan status

  • Through Customer Care
    • Dial 1800-425-00000 / 1800-425-4422
    • For Hindi Press 1, For English Press 2, For Tamil Press 3, For Telegu Press 4, For Canada Press 5, For Malayalam Press 6.
    • Wait for the Customer Care Executive to connect your call.

Fees & Penalties

Type of Charge Applicable Charges

Processing Charges

For Salaried: 0.51% of loan amount or maximum Rs. 510


For Pensioners: Zero for loans upto Rs. 25,000 and Rs. 255 for loans above Rs. 25,000

Foreclosure Charges

Nil

Penal Interest

2% per month of the overdue amount

The processing fees charged by Indian Bank is different for Salaried and Pensioners. In case of Salaried-Employed applicants, the Processing Fees charged by bank is 0.51% of the loan amount or maximum of Rs. 510 and in case of Pensioners, there is no processing fee for applicants who are availing loan up to maximum of Rs. 25,000 and the Penal charges are 2% of the overdue amount. There are no Foreclosure charges charged by the bank means you can prepay your loan amount whenever you have funds which is a good thing as compared to other competing banks or financial institutions which charges a high amount of fees as in case of Federal Bank the applicable interest rate charged by the bank is 2% of the outstanding amount, and in case of ICICI Bank, the interest rate charged by Bank is quite high with 5% per annum on the principal outstanding amount.

FAQs

How do I connect with Indian Bank Personal Loan Customer Care?

You can call on these numbers to talk with customer care executives phone number on their contact number 040-28134300 / 1800-4250-0000 (Toll free) or you can email them on [email protected].

What is the current MCLR rate applicable on Indian Bank personal loans?

Currently, one year MCLR rate equal to 8.60% is applicable on Indian Bank personal loan.

Do I have to provide any margin money in order to avail personal loan?

No, you don't' have to provide any marginal money in order to avail personal loan.

What are the requirements for security / guarantee that I have to provide to avail Personal Loan from Indian Bank?

Security / Guarantee requirements for Clean Loans are required as follows –

  • Authorisation to debit the EMI from saving account, where salary is disbursing through Indian Bank.
  • In case where salary is not disbursing through Indian Bank, a sponsorship from the Employer is required. Employer Sponsorship means an undertaking from the employer stating that EMI of the availed loan by the employee will be directly debited to the bank from his/her monthly salary.
  • If applicant neither have salary account with Indian Bank nor providing employer sponsorship, then a third-party guarantee and/or Encashable collateral security along with Post dated cheques.

Security / Guarantee requirements for Pension Loan are as follows –

  • A guarantee of spouse eligible for family pension. In case spouse is not available, a suitable guarantee from legal heir or family member or a third party guarantee would be necessary.
What is the ratio of EMI and Net take-home salary for IB Personal Loans?

In case of Clean Loans, monthly deductions should not be more than 60% of the Gross Monthly salary. Hence, net take-home pay of the employee should not be less than 40% of the Gross Salary after meeting all the deductions including the purposed EMI.

Personal Loan
1 4 5
2019-07-08

Good Service.

The loan application with Indian Bank is easy, as they provide you good service while applying for the personal loan and also the processing fee charged is also reasonable.

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