Personal Loans have been very common this year owing to the pandemic. Many of us have been going through a financial crisis due to the uncertainty of jobs. This has made it difficult for people to pay for certain inevitable expenses such as medical bills or wedding bills. Taking a loan with a trusted bank can and has come in handy in such situations.
Personal loans are simple loans that one can avail of if he or she has to pay for expenses that cannot be afforded. They do not require an individual to submit an asset as collateral to the bank. The only thing that the bank needs are an individual’s documents. When he or she submits them the bank will verify the documents and provide a loan to the individual. The borrower will then have to repay the amount, failure to do which will affect the credit score.
While availing of a personal loan, one must choose banks that provide a low-interest rate for their benefit, among other factors. A lower interest rate is beneficial as it lowers an individual’s interest payout throughout the tenure. Some of the banks providing a low interest rate for personal loans are:
Union Bank of India provides a low-interest rate of 8.90% for a loan of Rs. 5 lakh. Punjab National Bank (PNB) and the Central Bank of India follow Union Bank with an 8.95% interest rate. The government-owned bank of State Bank of India (SBI) offers an interest rate of Rs. 5 lakh for Rs. 5 lakh. The SBI is followed by the UCO Bank which offers a 10.05% interest rate. Bank of Baroda and Federal bank provide an interest rate of 10.10% and 10.49% interest rate, respectively. Lastly, the HDFC Bank allows an interest rate of 10.75%.
The EMI is determined based on the interest rate provided by the bank and Rs 5 lakh loan amount for a period of five years. While personal loans can be a god-sent for anyone suffering from a financial crisis, an interested individual needs to check the rates to see which bank provides a lower interest rate that suits your interest.
Taking a loan can be very stressful as there are many questions that people ponder over when it comes to taking a loan. Dialabank comes to your aid and clears all your confusion. So stop fretting and call 9878981166.