Lowest Personal Loan Interest Rates in India (2026) — Bank-wise

Interest rate

9.75% - 15.00%

Loan amount

₹1,00,000 - ₹30,00,000

Tenure

12 - 60 months

Processing fee

Up to 1.50%

HSBC offers the lowest starting rate at 9.75% — but this is reserved for premium customers with high income and excellent credit scores. Instant approval for existing HSBC account holders makes the process seamless. The ₹40K/month salary requirement means it exclusively targets upper-income professionals.

• Lowest starting rate for premium customers
• Instant approval for HSBC account holders
• Flexible prepayment options

Interest rate

10.49% - 18.00%

Loan amount

₹50,000 - ₹25,00,000

Tenure

12 - 60 months

Processing fee

1.50% - 2.00%

Axis promises loan disbursal in 24 hours with zero foreclosure charges — a big plus for early repayers. The ₹15,000/month salary requirement is among the lowest, making it accessible for early-career professionals. A good choice if you might want to prepay the loan early without any penalty.

• Personal Loan in 24 hours
• No foreclosure charges
• Simplified application process

Interest rate

10.49% - 21.00%

Loan amount

₹1,00,000 - ₹50,00,000

Tenure

12 - 60 months

Processing fee

Up to 2.00%

IDFC First leads the market with zero foreclosure charges from day one — a significant advantage if you plan to prepay your loan. The step-up EMI option lets you start with lower payments that increase over time, useful for those expecting salary growth. The wide rate range means your CIBIL score matters a lot here.

• Zero foreclosure charges
• Instant disbursal for pre-approved
• Minimal documentation needed

Interest rate

10.49% - 16.00%

Loan amount

₹1,00,000 - ₹30,00,000

Tenure

12 - 60 months

Processing fee

Up to 2.25%

SC's same-day disbursal for existing customers and zero-documentation pre-approved process set it apart from competitors. The top-up facility lets you borrow additional amounts on your existing loan without fresh paperwork or processing. Best for SC banking customers who have a strong, established relationship with the bank.

• Same-day disbursal for existing customers
• Zero documentation for pre-approved
• Top-up loan facility available

Interest rate

10.49% - 22.00%

Loan amount

₹50,000 - ₹25,00,000

Tenure

12 - 60 months

Processing fee

Up to 2.50%

IndusInd offers doorstep documentation service, saving you multiple trips to the bank branch. The approval process is fast with instant digital verification of your documents. The wide rate range of 10.49-22% means rates can vary significantly based on your employment type and overall credit profile.

• Instant loan approval
• No collateral required
• Part-prepayment facility

Interest rate

10.49% - 17.99%

Loan amount

₹50,000 - ₹25,00,000

Tenure

12 - 60 months

Processing fee

Up to 2.00%

Federal Bank's FedMobile app enables a fully digital loan journey from application to final disbursal. Competitive rates for NRIs make it a standout choice for non-resident Indians seeking personal loans back home. Quick 24-hour disbursal and no guarantor requirement keep the entire process simple and efficient.

• Quick disbursal within 24 hours
• Digital loan journey via FedMobile
• No guarantor needed

Interest rate

10.50% - 15.00%

Loan amount

₹50,000 - ₹40,00,000

Tenure

12 - 72 months

Processing fee

Up to 1.50%

HDFC's personal loan is the gold standard for quick disbursal — existing customers can get funds in just 10 seconds flat. The 10.50% starting rate is competitive, and the 72-month tenure gives good repayment flexibility. Best for salaried professionals who already hold an HDFC salary account.

• Funds in 10 seconds for HDFC customers
• No collateral required
• Flexible repayment tenure

Interest rate

10.60% - 14.50%

Loan amount

Up to ₹20,00,000

Tenure

12 - 84 months

Processing fee

Up to 2.00%

BoB offers special concessional rates for government employees that often undercut private banks by 1-2 percentage points. The 84-month tenure is the longest available, keeping your monthly EMIs very manageable. The BoB World app makes the entire application process fully digital from start to finish.

• Special rates for government employees
• No foreclosure charges on floating rate
• Digital application via BoB World app

Interest rate

10.75% - 19.50%

Loan amount

Up to ₹50,00,000

Tenure

12 - 60 months

Processing fee

Starting from 2.00%

ICICI offers one of the highest loan amounts at ₹50 Lakh, making it suitable for large expenses like weddings or medical emergencies. The balance transfer facility lets you consolidate expensive loans from other lenders. The 19.50% upper rate means your actual rate depends heavily on your CIBIL score and employment profile.

• Instant approval online
• Minimal documentation
• Rate conversion facility

Interest rate

10.85% - 14.50%

Loan amount

Up to ₹10,00,000

Tenure

12 - 60 months

Processing fee

1.00% + GST

PNB's personal loan is straightforward with no prepayment penalty and wide branch availability across India. The ₹10 Lakh cap is lower than most private banks, but the rates are competitive for government sector employees. The dedicated pensioner loan scheme is a unique offering not found at most other banks.

• Low interest for government employees
• No prepayment penalty
• Available at all PNB branches

Interest rate

10.99% - 18.00%

Loan amount

₹75,000 - ₹35,00,000

Tenure

12 - 72 months

Processing fee

Up to 2.50%

Tata Capital assigns a dedicated relationship manager even for personal loans, which is uncommon in the industry. The 24-hour disbursal and no collateral requirement make it hassle-free to apply. A solid choice for those who value personalized service over chasing the absolute lowest interest rate.

• Quick disbursal in 24 hours
• Flexible EMI options
• No collateral or security deposit

Interest rate

10.99% - 16.00%

Loan amount

₹50,000 - ₹50,00,000

Tenure

12 - 60 months

Processing fee

Up to 2.50%

Kotak's standout feature is zero pre-closure penalty after just 12 months, giving you real flexibility to pay off early. The ₹50 Lakh maximum loan amount is among the highest available in personal loans. Best for Kotak salary account holders who benefit from faster approval and potentially lower negotiated rates.

• Instant approval for Kotak customers
• Digital application process
• No pre-closure penalty after 12 months

Interest rate

11.00% - 16.00%

Loan amount

₹1,00,000 - ₹40,00,000

Tenure

12 - 84 months

Processing fee

Up to 3.00%

Bajaj's unique Flexi Loan facility lets you withdraw and repay multiple times within your sanctioned limit, paying interest only on the amount actually used. The 84-month tenure is the longest available in personal loans, keeping your EMIs low. Pre-approved offers for existing customers mean near-instant approval.

• Pre-approved offers for existing customers
• Flexi loan facility — withdraw as needed
• Part-prepayment allowed

Interest rate

11.15% - 14.30%

Loan amount

Up to ₹20,00,000

Tenure

Up to 72 months

Processing fee

0.50% - 1.00%

SBI's personal loan stands out for its rock-bottom processing fees of just 0.50-1.00%, the lowest in the industry. Government and corporate employees get preferential rates that are hard for private banks to match. Interest calculated on reducing daily balance saves you real money over the full tenure.

• Lowest processing fees
• No hidden charges
• Second loan availability