At a time when there’s a lot of advertisements doing the rounds for loans, the competition among the lenders has become ever so intense, making them customize the offers regularly. So, you hear ICICI Bank as one of the choices for a personal loan.
The brand is big and so it has a cynosure around its products such as a personal loan. But, should you not compare ICICI Personal Loan with that of the others? You should, to know which is offering you the best and saving the bucks to fulfill other needs of life. Without wasting any time, let’s start comparing the offers.
ICICI Personal Loan Interest Rate & Other Details
ICICI Bank offers a personal loan to fulfill purposes such as marriage, education, medical emergencies, home renovation, travel, etc. Now, what many would first think of is the interest rate charged on the loan amount as it would greatly set the pattern of repayment. ICICI Personal Loan Interest Rate ranges from 10.99%-22% per annum. The loan comes with a processing fee equivalent to 2.25% of the loan amount along with the applicable GST.
The loan, which can be given for a maximum of 5 years, is allowed for a prepayment before the original tenure. However, it will attract charges and that too at 5% per annum of the principal outstanding as well as the applicable GST. Any late payment would levy a penalty of 2% interest on the instance.
HDFC Personal Loan Offers Detailed
Giving neck and neck competition to ICICI Personal loan is the offer from HDFC Bank. It charges the borrowers with an interest rate ranging from 15%-20.99% per annum. The loan can be processed at about 2.50% of the loan amount. The minimum and maximum processing fee amount to ₹1,999 and ₹25,000, respectively. Like ICICI, HDFC also allows prepayment but only up to 25% of the principal outstanding.
You can prepay once in a financial year and twice during the overall loan tenure, which can be a maximum of 5 years. The charges for prepayment are levied at 2%-4% of the principal outstanding. Late payment charges would be 2% penalty interest per month on the instance
How Does SBI Personal Loan Fare in Competition?
The country’s largest lender offers a variety of personal loans under the brand name Xpress Credit at 10.65%-15.15% per annum. The bank charges a fee at 1% of the loan amount plus applicable GST to process the loan, which can be availed for up to 5 years. Although the prepayment charge is levied at 3% of the principal outstanding, there won’t be charges if the loan is closed with a fresh credit under the same scheme. 2% penalty interest would be debited on the month of default.
Does Axis Bank Pose a Competition to ICICI in Personal Loan Segment?
Well, it does by providing customized offers at an interest rate of 15.50%-24% per annum for a maximum of 5 years. You must be ready to pay a processing fee calculated at 1.50%-2% of the loan amount plus applicable GST.
The best part is that the prepayment comes with no charges. There will be 2% penalty interest on the overdue installment the moment the default happens.
So, the details of ICICI Personal loan and the ones offered by other lenders are explained for you to take a right call.