In India, personal loan interest rates can vary significantly based on several factors, including the borrower’s credit score, income, employment history, and the lender’s policies. As of 2024, here is a general overview of the personal loan interest rates offered by various financial institutions in India:

Typical Interest Rate Ranges:

• Banks: 9% to 24% per annum
• Non-Banking Financial Companies (NBFCs): 11% to 26% per annum
• Online Lenders: 10% to 28% per annum

Major Banks and Their Interest Rates:

1. State Bank of India (SBI): 9.60% to 15.65% per annum
2. HDFC Bank: 10.50% to 21.00% per annum
3. ICICI Bank: 10.75% to 22.00% per annum
4. Axis Bank: 10.49% to 20.00% per annum
5. Kotak Mahindra Bank: 10.99% to 24.00% per annum

Factors Affecting Personal Loan Rates in India:

1. Credit Score: Higher credit scores can secure lower interest rates.
2. Income and Employment Stability: Steady income and stable employment history can favor better rates.
3. Loan Amount and Tenure: Larger loan amounts and shorter tenures might attract lower rates.
4. Relationship with the Lender: Existing customers with good banking history might get preferential rates.
5. Market Conditions: RBI policies and economic conditions impact interest rates.

Tips to Secure a Lower Interest Rate:

• Maintain a Good Credit Score: Ensure timely payments of bills and existing loans.
• Compare Offers: Use online comparison tools to check offers from various lenders.
• Negotiate with Lenders: Especially if you have a strong financial profile.
• Consider Pre-approved Loans: Banks often offer pre-approved loans at lower rates to existing customers.
• Check for Seasonal Offers: Lenders sometimes offer special rates during festivals or promotional periods.