HDFC Personal Loan Interest Rates

HDFC Personal Loan Features and Benefits

1. If you are a customer of HDFC Bank and if you apply for a personal loan, the loan amount will get approved within 10 seconds if you meet the required criteria. If you are not a customer of HDFC and have applied for a loan, you will get the loan amount credited to your bank account within 4 hours post the approval of your loan.
2. You can apply for a HDFC personal loan by visiting the official website of the bank.
3. On availing a personal loan from HDFC Bank, you can protect yourself by availing the insurance cover provided by the bank. You can opt for a personal accident cover of up to Rs.8 lakh and a critical illness cover of up to Rs.1 lakh. In case something happens to you due to an accident or you get hospitalised after getting diagnosed with a critical illness, you can claim the cover amount. The premium amount will be deducted from your loan amount including the tax and surcharge fees.
4. As a customer of HDFC Bank, you get to enjoy various special benefits, charges, and offers if you avail a personal loan from them. If you are availing a personal loan from HDFC Bank for the first time, you get to choose your repayment tenure and the EMIs that you will have to pay will be cheap and affordable.

Factors Affecting HDFC Personal Loan Interest Rates

1. Loan tenure: Shorter term loans may attract a higher rate of interest when compared to loans having a higher tenure.
2. Repayment capacity: HDFC Bank checks a person's repayment capacity before offering him a loan and before deciding the interest rate. Borrower's income, his assets and his creditworthiness is looked into before the bank offers a rate to him. CIBIL Score gives detailed information his repayment capacity as it has all the details of the previous loans he had taken and repaid and it also gives information on how he is paying off his credit card bills.
3. Borrowing class: The borrower's age also plays a crucial role in deciding the interest rate. HDFC Bank offers personal loan to the salaried individuals only.
4. Relationship with the bank: HDFC Bank offers special offers, interest rates and charges for the existing HDFC Bank account holders. Women are offered a special loan, HDFC Bank Personal Loan Diva, this is a tailor-made loan and has more than 100 Diva offers across premium brands and products. This makes it vital for the applicant to have a very good rapport with the bank to avail special discounts and offers. You may even get a discount on the processing charges or the bank might reduce your interest rate to those who have managed to show commitment to making their payments on time in the past.

The interest rates are charged at the sole discretion of the bank and are subject to change.

HDFC Personal Loan Fees and Associated Charges

1. Cheque swapping charges: Rs.500
2. Amortization schedule charges: Rs.200
3. Cheque bounce charges: Rs.550

Key Points About HDFC Personal Loan Interest Rates

Before applying for a HDFC Personal Loan, you must know the following factors:  

1. Fixed interest rate is when a fixed rate is set on the personal loan and you have to pay a fixed amount of interest throughout the tenure.
2. Floating interest rate will change as per the change in the bank's base lending rate.
3. To avail a HDFC Personal Loan, you need not have a guarantor or provide security.
4. When the repo rate goes up, your interest rate will also go up. This must be considered before choosing a floating interest rate.
5. HDFC banks offer personal loans to salaried individual and they offer the interest rate based on the applicant's credit score.

How to Calculate HDFC Personal Loan Interest Rates?

There are two formulas you can use to calculate the interest. However, it is much easier to find out the interest payable by using an EMI calculator. You can use HDFC Personal Loan EMI Calculator to figure out your monthly repayment amount. Just enter your loan details and click the 'Calculate' tab.

Example: How HDFC Personal Loan Interest Is Calculated

1. For Salary of Rs.25,000 Per Month

Mr.Singh earns a monthly salary of Rs.25,000 and has a credit score of only 600. He avails a loan of Rs.2 lakh from HDFC Bank with a repayment tenure of 1 year. Due to his low credit score, he is charged with an interest rate of 18%. The monthly EMIs that he will have to pay are given in the table below:

2. For Salary of Rs.50,000 Per Month

Mrs. Mehta earns a monthly salary of Rs.50,000 per month and has a credit score of 750. She avails a personal loan of Rs.2 lakh for a tenure of 1 year. Due to her impressive credit score she is charged a relatively lower interest rate of 15%. The monthly EMIs that she will have to pay are given in the table given below:

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