5 banks charge lowest interest rates on personal loans; check full list here (2024)

When you face a sudden paucity of cash and have no immediate inflow in sight, knocking on a bank’s door to seek personal loan seems like a natural thing to do for most of us.

When you decide to raise a personal loan, it is rational to compare the interest rates charged by most lenders before you zero in on the one that suits your needs.

Usually, most lenders charge a lower rate from borrowers with a high credit score and a high interest rate from the ones who have a low credit score.

Let us take a look at which banks charge which interest rates.

Top 5 banks charge the lowest interest rates:

HDFC Bank: HDFC Bank charges interest rate that ranges between 10.75 percent to 24 percent per annum on the loans it disburses. The processing fees for the loan is 4,999 plus GST. The loan tenure is between 3 to 72 months. The bank gives a loan up to 40 lakh

ICICI Bank: ICICI Bank charges anywhere between 10.65 to 16 percent per annum on loans. The loan processing charges of loan are up to 2.50 percent of loan amount plus applicable taxes.

BankLowest interest rate (%)
HDFC Bank 10.75
ICICI Bank 10.65
State Bank of India 11.15
Kotak Mahindra Bank 10.99
Punjab National Bank 12.75

(Source: Banks’ websites, lowest rates are offered to borrowers with high credit score)

State Bank of India (SBI): SBI charges interest rate that starts from 11.15 percent. The state lender lends loans up to 20 lakh even to customers who don’t have a bank account with SBI.

Kotak Mahindra Bank: Kotak Mahindra Bank gives personal loans in the range of 50,000 to 40 lakh at an interest rate that starts at 10.99 per cent. The loan processing charges are up to 3 percent of loan amount plus applicable taxes.

PNB: Punjab National Bank (PNB) charges 12.75 to 16.25 percent based on the credit score from corporate employees. Lowest interest rate on personal loans disbursed to government employees is 11.75 percent. The lowest rate for defence personnel is 11.40 percent.

Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it's all here, just a click away! Login Now!

Catch all the Business News, Market News, Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.

MoreLess

Published: 06 Feb 2024, 04:53 PM IST

5 banks charge lowest interest rates on personal loans; check full list here (2024)

FAQs

What bank has the lowest personal loan rate? ›

Compare the best low-interest personal loans
INTEREST RATESLOAN TERMS (YEARS)
PenFed7.99% to 17.99%1 to 5
Prosper6.99% to 35.99%2 to 5
LightStream6.99% to 25.99%2 to 7 (up to 12 for some types of loans)
U.S. Bank8.74% to 24.99%1 to 7 (5-year maximum for non-U.S. Bank customers)
4 more rows

What banks are best for personal loans? ›

Summary: Best Personal Loans From Banks
CompanyForbes Advisor RatingLoan amounts
Discover3.5$2,500 to $40,000
Wells Fargo3.5$3,000 to $100,000
PNC Bank3.0$1,000 to $35,000
Citibank3.0$2,000 to $30,000
2 more rows

What loan has the lowest interest rate? ›

Discover Interest Rates

Discover has one of the lowest minimum APRs on our list, 7.99%, and a competitive maximum APR of 24.99%, but your exact rate will depend on your credit profile. Loan amounts vary from $2,500 to $40,000, and repayment terms run from three to seven years.

What is the current bank interest rate on a personal loan? ›

Average Overall Personal Loan Rates
This week's ratesLast week's rates
Average overall rate21.11%20.90%
Average low rate11.58%11.18%
Average high rate30.64%30.62%
Highest rate99.99%99.99%
1 more row
3 days ago

What banks have the easiest personal loans? ›

The easiest banks to get a personal loan from are USAA and Wells Fargo. USAA does not disclose a minimum credit score requirement, but their website indicates they consider people with scores below 640, so even people with bad credit may be able to qualify.

What is the best bank for quick personal loan? ›

HDFC Bank offers pre-approved loans to customers in 10 seconds flat*. Non – HDFC Bank customers can get loans in 4 hours. If you've wondered how to get an instant loan, wonder no more.

How to get a low personal loan rate? ›

The bottom line. An excellent credit score, consistent income and low debt-to-income ratio are key to securing a low-interest personal loan.

Who is the easiest to get a personal loan from? ›

Easiest-to-get personal loans compared 2024
TitleAPRMin. credit score
Avant9.95% to 35.99%580
LendingClub9.57% to 35.99%600
OneMain18% to 35.99%Undisclosed
LendingPoint7.99% to 35.99%600
6 more rows
Mar 28, 2024

What is the easiest bank loan to get approved for? ›

Easiest personal loans to get
  • Best for bad credit: Avant Personal Loans.
  • Best for flexible terms: OneMain Financial Personal Loans.
  • Best for no credit history: Upstart Personal Loans.
  • Best for fast approval: LendingPoint Personal Loans.
  • Best for small loan amounts: Oportun.

What is the easiest bank to get approved for? ›

Summary: Easiest Bank Accounts To Open in 2024
AccountApproximate time to complete applicationMinimum opening deposit
SoFi Checking and Savings Account: Best for Member Perks1 to 3 minutes$0
Wise: Best for Non-Residents1 to 3 minutes$0
Chime® Checking Account: Best for Bad Credit3 to 4 minutes$0
7 more rows
Apr 2, 2024

Where can I get the cheapest loan? ›

What is an EMI?
PERSONAL LOAN - RATES AND CHARGES
Name of LenderInterest rate (p.a %)Processing fee (% of loan amount)
HDFC Bank10.50 onwardsUp to Rs 4,999
Tata Capital10.99 onwardsUp to 5.5%
State Bank of India11.15-15.301.50%(Minimum Rs 1,000 to Maximum Rs 15,000)
21 more rows
Apr 17, 2024

Does Bank of America offer personal loans? ›

Unlike many banks, Bank of America does not offer personal loans. It has quite a few credit card options — and a small loan for unexpected expenses — but you will need to look elsewhere if you want to borrow a large personal loan.

Is it hard to get a personal loan from Huntington Bank? ›

Huntington Bank's application process for personal loans is straightforward, especially for current customers. An advantage is the ability to check rates without affecting your credit score. A full application will involve a hard credit inquiry, which can affect your credit score.

How much would a $5000 personal loan cost a month? ›

Advertising Disclosures
Loan AmountLoan Term (Years)Estimated Fixed Monthly Payment*
$5,0003$153.54
$5,0005$104.98
$10,0003$313.32
$10,0005$207.54
13 more rows

Is there a 0% personal loan? ›

Zero-interest loans are typically facilitated through third-party lenders, not by the stores themselves. These lenders may have specific eligibility criteria that borrowers must meet to qualify for 0%-interest personal loans, such as a certain minimum credit score, income level, and employment history.

Can I get a 0% bank loan? ›

It is important to note that even though a loan may not carry any interest, it is not necessarily free. However, the terms may vary from lender to lender. Many lenders may charge an extra fee to offer an interest-free personal loan.

Top Articles
Latest Posts
Recommended Articles
Article information

Author: Jamar Nader

Last Updated:

Views: 5655

Rating: 4.4 / 5 (55 voted)

Reviews: 86% of readers found this page helpful

Author information

Name: Jamar Nader

Birthday: 1995-02-28

Address: Apt. 536 6162 Reichel Greens, Port Zackaryside, CT 22682-9804

Phone: +9958384818317

Job: IT Representative

Hobby: Scrapbooking, Hiking, Hunting, Kite flying, Blacksmithing, Video gaming, Foraging

Introduction: My name is Jamar Nader, I am a fine, shiny, colorful, bright, nice, perfect, curious person who loves writing and wants to share my knowledge and understanding with you.