Kotak Mahindra Bank Personal Loan
Kotak Mahindra Bank a new gen bank, started its operations in 2003 and within 15 years it has become one of the prominent private banks in the country. It was ranked as the second most valued bank as per its market price on 16th April 2018. With extensive use of technology and aggressive focus on retail lending, the Kotak Mahindra Bank personal loan has witnessed rapid growth in its loan book. The Personal loan is a segment where the Kotak Mahindra Bank is very active.
How Personal Loan can help you?
Life is all about uncertainty and it throws positive and negative surprises constantly. You may need money for an emergency medical need or even for an unplanned holiday. You may also need to get newly bought house furnished after you have exhausted all your savings for buying the new house. For all such situation and many more kotak mahindra bank personal loans come handy to you especially when you do not have any tangible asset to offer as security to the lender.
How much Personal Loan one get from Kotak Mahindra Bank?
Kotak Mahindra Bank offers personal loan from a minimum of Rs. 50,000 to 15 lakhs depending on the profile of the borrower. The tenure chose for the loan, age of the applicant, any existing running loan, net monthly income and number of a dependent are few factors amongst many variables which affect your overall loan eligibility in monetary terms.
Who is eligible for the Kotak Mahindra Personal Loan?
Only Indian residents are eligible for the personal loan from Kotak Mahindra Bank. All the salaried who have a minimum salary of Rs. 20,000/- can get a personal loan provided one has completed 21 years of age and is yet to complete 58 years of age. The applicant should have completed at least minimum one year of working experience. The applicant should be working with the same employer for at least 12 months and should also have work experience of 12 months on the date of application.
Kotak Personal Loan Interest Rates
Since personal loans are granted without any collateral security and thus carry a higher risk of default and therefore are priced at higher rare of interest. The rate of interest charged by Kotak Mahindra Bank on its personal loan varies from 10.99% to 24% depending on the profile of the borrower. People with good credit history and better credit score are able to get a lower rate of interest for their personal loans. Likewise even if one is working in a reputed listed company or an MNC one is able to get the better rate of interest. In addition to the interest which you have to pay on the personal loan, you also have to pay one-time processing fee up to 2.50% of the loan amount. This processing fee needs to be paid upfront with the application form and generally is not refundable.
Tenure of the Personal Loan and Repayment Charges
The personal loan of Kotak Mahindra Bank is repayable over a minimum period of 12 months to a maximum period of 48 months. Though longer tenure helps you get higher loan eligibility in terms of amount, it entails higher interest costs as well. Moreover, in case you opt for a longer tenure for repayment but decide to pre-pay the personal loan fully or partly, you have to pay a prepayment penalty of 5% of the amount being repaid. The option to pre-pay the personal loan from Kotak Mahindra Bank can only be exercised after you have paid the EMI for 12 months. So while determining the optimal tenure for which you should take the personal loan, you have to do a trade-off between higher amount personal loan eligibility coupled with higher interest cost and the steep prepayment charges of 5% in case you decide to prepay it partly or fully.
How can you apply for Kotak Mahindra Bank Personal Loan?
As it is gen next bank, it has made the making of personal loan application process online and one get the personal loan sanctioned and disbursed quicker than what was feasible in physical era. One can even find out the Equated Monthly Instalments (EMI) amount for the desired amount of loan online with the help of online EMI calculator. One can apply offline as well for a personal loan by submitting the physical application to the branch.
Can you transfer your personal loan from any other bank to Kotak Mahindra Bank
Yes. Kotak Mahindra bank offers you the facility of balance transfer for the personal loan also like one is available in the case of a home loan. In case of an existing personal loan, you can also get an additional top up personal loan up to 75% of the original personal loan.
Documents required to be submitted for Kotak Mahindra Personal loan
With the application form for the personal loan, you have to submit a few mandatory documents which are generally known as “Know Your Customer” (KYC) documents with two recent photographs. The KYC documents are the basic documents needed to establish your identity and you prove your address. For proving your identity you need to submit a copy of any of the documents namely PAN card, Aadhaar Card, Voter Card, passport etc. For address proof, you can submit ownership documents if the place where you stay is owned by you or your family members. In case of rented place, you need to submit the leave and license agreement.
In case of rented place, the bank may insist on a minimum period of stay at the same place prior to you being eligible to apply for the personal loan. Copies of utility bills like electricity, gas connection, landline telephone will be sufficient for the address proof. Some of the documents listed under identity proof may also serve as address proof if the current address is printed on the document.
In addition to the basic documents, you have to submit signature proof, copies of the bank statement and proof of income to justify the proper service of the personal loan. For salaried, the last three months salary slips with form no. 16 are needed. For self-employed copies of ITR, profit and loss account with the balance sheet with registration for the business with government authorities like GST will be sufficient.