Bank of India Personal Loan Interest Rate

Disclaimer: Bank of India is not a Paisabazaar partner for personal loan and all content herein is strictly informative in nature. Paisabazaar is not affiliated with, sponsored by or in any way connected to Bank of India for personal loans. No offers/services from Bank of India are being provided by Paisabazaar for personal loans. For further information about Bank of India for personal loans, users are required to reach out directly to Bank of India .

Bank of India Personal Loan Interest Rate

Floating rates

Clean/Unsecured	14.60% p.a.
Financing secured under tie-up arrangements	13.60% p.a.
For senior citizens aged 60 years and more for loan amount of up to Rs 50,000	12.60% p.a.
Star Pensioner Loan Scheme	11.60% p.a.
Star Suvidha Express Personal Loan	Salaried/Pensioner: 11.60% Others: 12.60%

Fixed Rates

Clean/Unsecured	16.20% p.a.
Financing secured under tie-up arrangements	15.20% p.a.
For senior citizens above 60 years of age and above loan of Rs 50,000	14.20% p.a.
Star Pensioner Loan Scheme	13.20% p.a.
Star Suvidha Express Personal Loan	Salaried/Pensioner- 12.20% Others- 13.20%

Note: Interest rates as of 10 April 2025.

What are the factors affecting personal loan interest rates?

The differential interest rates of various Bank of India Personal Loan schemes and for different categories of its personal loan applicants have not been disclosed. Note that as with any other lender, Bank of India may also factor in various parameters such as monthly income, job profile, credit score, employer’s profile, etc. of its personal loan applicants for setting their personal loan interest rates. Let us walk you through some of the prime factors that influence the interest rates of your personal loan.

Credit score

Many lenders consider the credit scores of their loan applicants when fixing their interest rates. Applicants with higher credit scores (750 and above) are more likely to avail loans at lower interest rates compared to those with lower credit scores. Timely repaying credit card bills and EMIs, avoiding multiple credit card applications or loans within a short period and maintaining minimum credit utilisation ratio helps maintain higher credit scores, and thereby improves your credit card, home loan and personal loan eligibility.

Moreover, errors in the credit report can also lower the credit score, which is why it is crucial to keep checking the credit reports at regular intervals, identify such errors and take necessary precautions to avoid this from happening.

Income

Bank of India offers personal loans to individuals with high net worth. Higher income indicates higher loan repayment capacity, which further lowers the credit risk of banks. Like Bank of India, other lenders also prefer offering lower personal loan interest rates to applicants with higher income.

Employer

Many banks consider the employer profile of their loan applicants when setting their interest rates. Lenders usually offer personal loan for salaried at lower interest rates than those set for personal loan for self-employed. Salaried applicants of government and PSUs are also offered lower interest rates considering their higher job and income security. Personal loan applicants working in MNCs and reputed private sector organisations are also offered lower interest rates as such organisations have higher capacity of tackling economic downturns compared to the applicants employed in other private sector organisations.

Existing relationship with the lender

Many lenders offer personal loans at concessional interest rates to applicants having existing lending or deposit accounts with them. Hence, those planning to apply for personal loan should always contact the banks/NBFCs with whom they already have an existing banking or lending relationship to enjoy lower interest rates.

What are the tips to avail personal loans at low interest rates?

• Maintain a credit score of 750 or above.
• Check for pre-approved personal loan offers from banks and NBFCs.
• Keep track of personal loan interest rates offered by top banks/NBFC, especially during festive seasons.
• Enquire with banks/NBFCs with whom you have deposit or loan accounts.
• Visit online financial marketplaces to check and compare personal loan offers from different banks.

FAQs

What is the interest rate of personal loan in Bank of India?

Ans. Bank of India offers personal loan interest rates ranging from 11.60% to 16.20% p.a. depending on the credit score, occupation profile, type of personal loan schemes and lender’s existing relationship with the applicants.

How to get lowest personal loan interest rate from Bank of India?

Ans. Bank of India offers personal loan interest rates depending on the credit score, occupation profile, lender’s existing relationship with the lender and types of personal loan schemes. The lender offers lowest interest rates to salaried applicants availing personal loans from Bank of India.

Are Bank of India Personal Loan interest rates offered at fixed or floating interest rates?

Ans. Bank of India offers personal loans at floating interest rates. As Bank of India Personal Loan interest rates are linked to RBLR (Repo Base Lending Rate), any change in the repo rate is leads to similar change in the personal loan interest rate, depending on the interest reset date of the borrower.

How can I calculate the interest cost of Bank of India Personal Loan?

Ans. The interest cost of Bank of India Personal Loan can be calculated with the help of Bank of India Personal Loan EMI Calculator. All you need to do is enter your loan amount, loan tenure and interest rate in the EMI calculator and get the interest cost and EMIs payable instantly.

Does Bank of India offer special discounts or offers on its personal loan interest rate?

Ans. Bank of India has not specified any discount or concession on its personal loan interest rate. Applicants can connect directly with the bank to check if they qualify for any discount or offer on personal loan interest rate.

How can I reduce my Bank of India personal loan interest rate?

Ans. As the Bank of India personal loan interest rates are linked to the repo rate, the interest rate of the bank’s existing personal loan borrowers would reduce automatically on any reduction in the repo rate. In case an existing personal loan borrower still insists on rate reduction, then he should contact the bank for making a rate reduction request or opt for personal loan balance transfer at lower interest through Paisabazaar if Bank of India refuses to reduce their interest rate.

What is the interest cost for Rs 5 lakh personal loan in Bank of India?

Ans. Interest cost for Rs 5 lakh personal loan can be calculated with the help of Bank of India Personal Loan EMI Calculator. Applicants need to enter the loan amount, interest rate and loan tenure in the EMI calculator and get the interest cost instantly.

How does Bank of India set personal loan interest rates of its applicants?

Ans. Bank of India sets its personal loan interest rates based on the credit score, lender’s relationship with the bank, types of personal loan schemes and occupation profile of the applicant.