HDFC Bank Personal Loan
HDFC Bank is an Indian banking and financial service company headquartered in Mumbai. The bank provides a number of financial services including personal loans, travel loans, medical loans, credit card and others. To help people handle their financial requirements with ease, the bank promises to offer quick loan and disbursal process. One can get a personal loan up to Rs. 40 lakhs from HDFC for a tenure of 12 months- 60 months at an interest rate starting from Rs. 2187/lakh. A personal loan from HDFC bank is offered at less processing fee for flexible tenures. The bank promises to offer disbursal in 10 seconds, subject to eligibility criteria and certain terms and conditions.
HFDC Bank Interest Rates
Interest rates on personal loan offered by HDFC Bank are nominal, starting from 10.99%. The interest rate can go up to 21.50% depending on an individual’s credit history, credit score, age, employer, years of employment and others. The interest charged by HDFC bank has to be paid along with the principal amount and is a part of the EMIs that the customer has to pay. The interest rate forms a major part of the EMI calculation as the EMI is calculated using the below formula.
EMI is calculated using the formula: P x R x (1+R)^N] / [(1+R)^N-1]
P= Principal or your loan amount
R= Rate of interest
N= Tenure (loan term in number of years)
In the early part of the tenure, the rate of interest charged is higher and progressively decreases towards the end of the tenure and principal amount forms a major part of the EMI.
HDFC Bank Rates and Fees
|Loan processing charges||Up to 2.50% of the loan amount subject to a minimum of Rs. 2,999/- & Maximum of Rs. 25000/- for Salaried Customers. |
|Prepayment in Part or full (Refer FAQ section for detailed terms)||Salaried - No pre-payment in part or full permitted until repayment of 12 EMIs |
Part Payment allowed up to 25% of Principal Outstanding. It is allowed only once in a financial year and twice during Loan tenure.
|Pre-payment charges (on PrincipalOutstanding) / |
Part Payment Charges [on Part Payment amount]
|Salaried - 13-24 Months - 4% of Principal Outstanding, |
25-36 Months - 3% of Principal Outstanding
>36 Months - 2% of Principal Outstanding
|Loan Closure Letter||NIL|
|Duplicate Loan Closure Letter||NIL|
|Solvency Certificate||Not applicable|
|Overdue EMI Interest||2% per month on EMI / Principal overdue|
|Floating rate||Not applicable|
|Charges for changing from floating to fixed of interest||Not applicable|
|Stamp duty & other statutory charges||As per applicable laws of the state|
|Credit assessment charges||Not applicable|
|Non standard repayment charges||Not applicable|
|Cheque swapping charges||Rs 500/-|
|Amortization Schedule charges||Rs 200/-|
|Loan cancellation charges||NIL (However client would be charged interest for the interim period between date of loan disbursement and loan cancellation and processing fees would be retained).|
|Cheque bounce charges||Rs. 550/- per cheque bounce|
|Legal/incidental charges||At actual|
Rates offered to customer during the period of Apr’19 to June'19.
|IRR||Q IV (2018-19)|
HDFC Bank Personal Loan Eligibility Criteria
When processing personal loan applications, HDFC Bank has the below eligibility criteria based on which the loan is sanctioned. In case you are applying for an HDFC Bank personal loan, then you should comply with the below eligibility requirements stated by the bank.
- You should be aged between 21-60 years.
- You should have work experience of at least 2 years and should be employed for at least 1 year with the current employer.
- You should earn a minimum of Rs. 15,000 per month.
- You should be employed with a private or public limited company including central, state or local bodies.
HDFC Personal Loan Documents
To apply for a personal loan from HDFC Bank, you will have to submit the below documents
- Address proof i.e. Aadhar card, driving license, voter ID or passport
- Identity proof i.e. Aadhar card, driving license, voter ID or passport
- Last 3 months bank statement
- Salary slip of last 6 months along with latest year’s Form 16
HDFC Bank Personal Loan Features
Below are few of the benefits of availing HDFC bank personal loan:
- Quick disbursal: You can check your personal loan eligibility online using the HDFC bank personal loan calculator. The calculator makes it easy for you to calculate the EMI based on the principal amount and the tenure you wish to opt for. The bank offers a personal loan in just 10 seconds if you are a pre-approved HDFC bank loan customer. Additionally, HDFC bank customers can get a personal loan in just 2-4 hours, subject to several terms and conditions. And in case of fresh application, you can expect the loan to be disbursed in one working day of successful document submission.
- Online application: HDFC Bank has a simplified loan application process that allows you to make an application online and also submit copies of your KYC documents. The process is simple and hassle-free and does not require you to do any paperwork!
- Loan amount up to 40 lakhs: HDFC offers you personal loan starting from Rs. 50,000 to Rs. 4,00,000 depending on your needs and eligibility.
- Insurance benefits: With a personal loan, you can insurer yourself with a personal accident cover up to Rs. 8 lakh and a personal loan security cover that can be utilized to cover your outstanding loan if in case you die or become permanently due to an accident anytime during the tenure of the loan.
- Personal loan balance transfer: You can switch your personal loan from any other bank to HDFC at a processing fee of just Rs. 3999.
How to apply for a personal loan with HDFC Bank?
You can apply for a personal loan easily through the bank's official website www.hdfcbank.com
Follow the below steps to make a loan application online.
- Click on personal loan on the home page
- Enter your mobile number, you will receive an OTP to process the application
- Enter the required details i.e. your name, mobile number, email ID
- Upload the required documents i.e. your identity proof, address proof, salary slip and others
- You will receive a call from the bank for verification of the details submitted
- You will also have to submit your employer details and the bank will conduct verification at your home or office address
- Post your eligibility check and verification clearance, you will receive the loan amount you are eligible to receive.
- You will then have to submit a few additional details, if required and sign the loan agreement
- You will then receive the approved loan amount in 1-2 days.
Existing HDFC bank customers can apply for a personal loan with the bank through net banking or can visit the branch to do so.
HDFC Personal Loan Pre-Closure Process
HDFC bank enables its customers to pre-close their existing loans or make a partly pre-payment. However, this can be done only after a year i.e. after payment of 12 EMIs.
- HDFC personal loan pre-payment or part payment charges:
For salaried employees, below-mentioned pre-payment or part payment charges are applicable:
- 4% of principal outstanding for loan tenure of 13-24 months.
- 3% principal outstanding for loan tenure of 25-36 months.
- 2% of principal outstanding for loan tenure above 36 months
- Documents required for pre-closure or part payment of HDFC bank personal loan
- Identity proof i.e. passport, PAN card, Aadhar card or any other government-issued identity document
- Loan-related documents i.e. personal loan account number, loan approval letter and loan account statement issued by the bank.
- Cheque or demand draft mentioning the pre-closure or pre-payment amount
- Steps to follow for pre-closure or part payment of HDFC Bank Personal Loan
- Visit the bank with the above set of documents. You will have to visit the branch that has sanctioned the loan amount.
- You will have to fill out a form or write a letter requesting pre-closure or part payment of the loan amount
- Hand over the cheque or demand draft to the bank representative
- Take an acknowledgement of the amount you have paid
- On clearance of the cheque or demand draft, your loan will be closed or the part payment will be done. It will reflect in your bank account once the bank receives the payment.
- You will then receive a loan closure or part payment document from the bank on your registered address as well as on your email address.