IndusInd Bank Personal Loan
IndusInd Bank was established in 1994. It is a next generation bank using technology extensively to have better efficiency and customer experience. It is engaged in commercial lending as well as in retail lending providing personal loans as well as housing loans.
Why Personal Loans?
Personal loans come to your rescue when you have to meet emergency medical expenses or other unplanned expenditure like wedding or holidays. People even take personal loans to furnish their newly bought home when they have already exhausted their all available savings for paying the down payment. The IndusInd bank offers personal loans for specific needs like education, wedding, renovation of a house or to meet medical expenses. Even you can avail the facility of transferring the balance in the personal loan with any other lender to IndusInd bank under its balance transfer facility.
Who can get a Personal Loan from IndusInd Bank?
Salaried, as well as self-employed both the categories of Individuals, can avail personal loans from IndusInd Bank. For salaried to be eligible for the personal loan applicant should be over 21 years of age and should not have completed 60 years of age. However in case retirement age as per the terms of your employment is lower than 60 years, an applicant should not have completed that age of retirement. The salaried applicants should have a minimum of two years of work experience and should be working with the current employer for at least one year at the time of making the application.
Additionally, the applicant should have been staying at the current residence for minimum one year on the date of application, if staying in rented premises. The requirement of minimum stay at the current address is not applicable in case the house is owned by the applicant or his family members. A person who wishes to apply for the personal loan of IndusInd bank should have a minimum monthly salary of Rs. 25,000/-. For a self-employed whether professionally quailed or engaged in a business, the minimum age required is 25 years but the maximum age up to which a self-employed person can apply for the personal loan is set higher at 65 years.
Moreover, the net takes home annual income for both the category of self-employed should be minimum 4.80 Lakhs a year if you want your personal loan application to be considered at all. As far as minimum work experience at the time of making application for a personal loan is concerned for self-employed professional it is 4 years but for other categories of self-employed, it is 5 years as compared to 2 years for salaried applicants.
How to apply for the Personal Loan from IndusInd Bank?
The bank has an online EMI calculator for determining the loan amount which you can avail depending on the proposed tenure and the amount which you can pay every month for servicing of it. You can submit your personal loan application online and thus ensure faster sanction and disbursement. In case the applicant is not tech savvy he can approach and apply with the physical application.
Personal Loan available and Tenure for Repayment
The amount of personal loan available from IndusInd bank varies between Rs. 50,000/- and 15 lakhs depending on the age of the applicant, the regular income, tenure opted etc. The personal loan taken from IndusInd bank can be repaid over a period ranging from 1 year to 5 years.
IndusInd Bank Personal Loan Interest Rates and Other Charges
Since personal loans are generally given without any security or guarantee and thus run the higher risk of default by the borrower so the rate of interest is bound to be on the higher side as compared to other secured loans. The rate of interest for IndusInd bank personal loan varies between 10.75% to 30.50% p.a. The rate applicable varies from person to person and is dependent on a host of factors like type of job, your past credit history, credit score etc.
Documents Required for IndusInd Personal Loan
The applicant of IndusInd bank personal loan has to submit some documents with his signed application form. The documents are categorized into three categories. First is proof of Identity, second is address proof and the third is income proof. The documents needed for salaried and self-employed are generally the same for identity proof and address proof but differ as regards documents to be submitted for proving your income.
The documents like PAN card, Voter card, Aadhaar Card, driving license, passport etc serve the purpose for establishing your identity. For address proof, you may submit the ownership documents if the house is owned by you. Alternatively, you can submit leave and license agreement, copies of electricity bills, gas bill, bills of landline telephone etc. The self-employed professional has to submit proof of his professional qualification as well as membership document of the professional body. The self-employed businessman has to submit the documents like registration under GST, shop and establishment license etc.
As far as income proof are concerned the salaried have to submit copies of salary slip and a copy of the bank statements where the salary is credited for latest three months. The self-employed have to submit a copy of the current bank account of the business entity, ITR for latest two years with profit and loss account and balance sheet duly certified by a Chartered Accountant.
Prepayment and Part-payment of the IndusInd Bank Personal Loan
Salaried can prepay full loan any time after Equated Monthly Installments for 12 months have been paid. Self-employed however are allowed to prepay the personal loan any time after EMI for 6 months has been paid. The bank does not allow you to partly prepay the personal loan. For prepaying full amount outstanding after the lock-in period, you have to pay a penalty of 4% of the principal amount being repaid. So one should very care full when opting for the repayment tenure of the personal loan because if you have selected longer tenure for enhancing the eligibility and prepay it, you land up paying steep prepayment charges and if you do not pre-pay even if you have funds to do so, you have to pay higher interest rates as compared to the rate at which the surplus funds can be invested.