Personal Loan in Delhi
As Delhi is the metro city and capital of the country it is a centre of political activities. It attracts people from surrounding states like Haryana, Punjab, Himachal Pradesh and Uttar Pradesh to come to Delhi for education as well for taking up employment.
Personal Loan Banks in Delhi
Almost all the leading public and private banks like SBI, Axis Bank, ICICI Bank, Kotak Mahindra bank offer personal loans in Delhi. NBFCs like Fullerton, Bajaj Finserv and Tata Capital are also equally active in providing personal loans in Delhi.
Personal Loan Interest Rates in Delhi
The rate of interest for personal loans in Delhi varies between 11.99% to 33%.
Since the personal loan is given without any collateral security or guarantee, these are costlier than other secured loans. Still, personal loans come very handily for meeting any unplanned expenses especially for the younger generation who have a steady income but do not have any asset to offer as collateral.
Personal Loan Eligibility in Delhi
Personal loans in Delhi are available to salaried as well as self-employed people. Since the risk of default by salaried on personal loans is minimal, employees of reputed listed companies easily get personal loans at lower rate of interest.
The personal loans in Delhi are available for tenure between 12 months to 72 months though standard tenure of the personal loan is 12-60 months. The personal loans are repayable by way of equal monthly payments known as Equated Monthly Installments (EMI). The amount of EMI is arrived to include interest on the personal loan as well as some amount towards repayment of the principal repayments so that the entire personal loan gets repaid by end of the tenure. Since the amount of EMI is fixed at the time of sanction/disbursement of the personal loan, these are given at a fixed rate of interest. Only a few lenders offer personal loans at floating rate of interest.
Documents Required for Personal Loan in Delhi
For availing the personal loans in Delhi, the applicant has to submit some basic documents KYC documents to establish their identity and address for their residence/business. Different documents are accepted by different lenders but generally, the copy of the passport, voter card, driving license are generally accepted for the twin purpose of identity and address proof. In addition to KYC documents, the applicants have to substantiate the income stated in the application form with the help of third-party documents.
For this purpose, the lenders ask few latest months’ salary slips as well as copy of form no, 16 for last two years. The self-employed can substantiate their income by way of Income Tax Returns (ITR) filed by them. However, they have to also furnish copies of their profit and loss account and balance sheet for the same period. The application form has to be accompanied by two photographs and a cheque for processing fee towards personal loans. The processing fee varies between 0% to 2.5% of the personal loan applied for.
The borrowers have to repay the personal loans by way of EMI which can be either by way of post dated cheques or by direct ECS debit every month. However, in case the borrower wishes to pre-pay the personal loan partly or in full, he can do so but has to pay a penalty termed as a prepayment penalty. The penalty for prepayment of the entire personal loan is higher than for part prepayment which varies between 2% to 5%.