Personal Loan in Pune

Personal Loan Interest Rates in Pune and Other Charges

Lenders make money on loans by means of interest charges. Let us take a look at the prominent loan charges levied by banks, along with interest rates.

1. Interest Rates: Personal loan interest rates in Pune can range from 9%-35% p.a. Generally, lenders in Pune levy a fixed rate of interest on personal loans. A high-interest rate would imply higher EMIs and vice versa.
2. Processing Charges: Processing charges range from 1%-3% on personal loans. These charges aim to recover the administrative costs incurred by the bank while processing a loan application. 
3. GST: The government mandates lenders in India to charge a GST of 18% on banking services. Except for interest rates, charges like processing fees, stamp duty and others are subject to GST.
4. Stamp Duty: These charges extend legality to a loan agreement. The costs incurred in the process are recovered by the bank in the form of Stamp Duty Charges. These charges are levied in accordance with the Maharashtra Stamp Act.
5. Prepayment Fees: Prepayment refers to early settlement, partial or full, of a loan account. A borrower has to pay an additional charge for prepaying a loan. These charges vary from one bank to another.
6. Duplicate Statement Fee: Banks charge extra fees for duplicate statement requests of EMI schedules and other loan-related documents. These charges also differ from one bank to another.
   

Several other charges like late repayment fees, verification charges and cheque bounce charges are also applicable to Personal loan finance in Pune. 

Top Personal Loan Providers in Pune

Personal loan finance in Pune is provided by banks and NBFCs. Take a look at the loan offers of some of the popular lenders in Pune. 

Top Bank Offers

Compare the loan offers from the city’s popular banks below. 

Bank	Loan Amount (₹)	Loan Tenure	Rate of Interest (p.a.)	Processing Fee
Bank of Maharashtra	Up to 20 lakhs	Up to 7 years	10%	1%
State Bank of India	Up to 30 lakhs	Up to 6 years	11.05%	1.50%-3%
Canara Bank	Up to 30 lakhs	Up to 7 years	9.25%-14.65%	NIL
Axis Bank	Up to 40 lakhs	Up to 5 years	10.49%	2%
HDFC Bank	Up to 40 lakhs	Up to 5 years	10.5%-21%	2.5%

Top NBFC Offers

Personal loans from NBFCs in Pune offer an alternative to the mainstream banks.

NBFC	Loan Amounts (₹)	Loan Tenure	Interest Rate (p.a.)	Processing Fee
L&T Finance	Upto 7 lakhs	Up to 4 years	12% onwards	2% + GST
HBD Financial Services	Up to 20 lakhs	Up to 5 years	Vary depending upon an applicant’s profile	As per the lender’s T&Cs
Poonawala Fincorp	Up to 30 lakhs	Up to 5 years	9.99%	2%
TATA Capital	Up to 35 lakhs	Up to 6 years	10.99%	3%
Bajaj Finance	Up to 40 lakhs	Up to 8 years	11% – 35%	3.93%

Eligibility Criteria for Personal Loans in Pune

Candidates satisfying the following criteria can apply for personal loan finance in Pune.

• Age: 21-60 years

• Nature of Employment: Salaried/ Self-Employed individuals

• Minimum Income: ₹10,000-15,000 per month/ 2-3 lakhs annually

• Work Experience: 1-2 years of consistent experience

• Credit Score: 700 or higher

• Citizenship: Indian

Documents Required for Personal Loans in Pune

Instant personal loans in Pune can be gained by submitting updated versions of the documents listed below:

 

1. Duly filled loan application form
2. Identity Proof: Aadhar card/ Driver’s licence/ Other documents 
3. Address Proof: Utility bills/ Aadhar card/ Other documents
4. Employment Proofs: Employee ID card/ Joining Letter/ Shop Registration
5. Income Statements: Bank statements of past few months/ Tax filings/Business financial statements
6. Passport size photos
7. Co-application, if needed

Tips for Getting Approved for a Personal Loan in Pune

Several parameters impact a borrower’s personal loan eligibility. Follow these tips to improve your chances of approval and get high personal loan amounts. 

• Improve Your Credit Score: The higher the score, the better the chances of approvals. Prospective borrowers must improve their credit ratings over time by showcasing appropriate financial behaviour before submitting a loan request.
• Use Eligibility Calculator: Urban Money offers a free personal loan eligibility calculator. The calculator can help increase an applicant’s chances of approval by allowing them to submit loan requests that align with their incomes.
• Maintain a Low Debt-to-Income Ratio: A low debt-to-income ratio signifies good financial health. A personal loan seeker should ensure that their income is always higher than their debt.
• Keep All the Documents Ready: Discrepancies in documents are a major reason for delays in loan approvals. Applicants seeking personal loan finance in Pune should keep all the required documents handy at the time of application.