HDFC Personal Loan

	For Salaried	For Self-Employed
Interest Rate	10.99% onwards	10.99% onwards
Loan Tenure	Up to 5 years	Up to 5 years
Loan Amount	Min. Rs. 50,000	Min. Rs. 50,000
Processing Fee	2.5% of loan amount, min. Rs.1000, max. Rs. 25,000	2.5% of loan amount, min. Rs.1000
Pre-payment Charges	Between 2% and 4% of amount pre-paid	Based on individual customer profile
Foreclosure Charges	Between 2% and 4% of outstanding principal	Based on individual customer profile

*The above information is indicative and liable to periodic change

The following documents need to be submitted for availing the loan as they are compulsory personal loan requirements:

• Identity Proof – Aadhar, Copy of Passport / Voter ID card / Driving License. Any one of the document can be submitted as a valid Identity Proof because all the listed documents have the individual’s photograph along with his or her name against the photograph proving the identity of the applicant.
• Address Proof – Copy of Ration Card / Electricity or Telephone Bill / Rental Agreement / Passport. The applicant needs to submit any one of the afore-mentioned documents which state the correct address of the applicant needed for the verification process of the bank.
• Last 3 months’ bank statement or last 6 months’ bank passbook. These documents seek to verify the applicant’s income status prior to making the application for loan which also depicts the individual’s financial picture depicting the credit worthiness of the person.
• Latest Salary Slip or current dated Salary Certificate with latest Form 16 which is used to legally depict the current net salary of the individual and to check whether it matches the level of minimum net monthly income as laid down in the eligibility criteria checklist.

The Personal Loan offered by the bank has the following features:

• Loan can be availed for up to 15 lakhs and the approval is made within 48 hours of application both through the online feature and also for walk-in customers. Walk-in customers are those who choose to visit the nearest branch of the bank and complete the loan application process. Loan is granted instantly with minimal documentation and easy application process
• The minimum period granted to pay off the loan is 12 months or 1 year while the maximum period sis equal to 60 months or 5 years. The applicant can choose any suitable term of repayment as long as the minimum and the maximum specified term bracket is honored.
• Interest rates are competitive with special offers and rates for existing accountholders of the bank. The actual rate of interest charged is competitive and along the lines of the rates charged by other banks so that the bank stays in the race. Individuals who already have a Savings or Current Account with the bank are offered differentiated rates and also given the privilege of availing special offers if they choose to avail a Personal Loan form the bank itself.
• Complete transparency in granting the loan. It means that there are zero hidden charges, reasonable processing fees and complete clarity on the loan process with up-to-date information about loan application status at each stage. So when you avail a loan, you can rest assured that there are no hidden charges which may burn a hole in your pocket and which are not informed to the customer at the time of loan application. The processing fees is not proportionately high but corresponds to the amount of loan availed. Moreover, the customer is given the facility of checking the loan application status online by providing the relevant information pertaining to loan. it clearly shows at what stage the loan is in and when will it be granted and money received in the account. The customer thus remains updated of the entire loan process at every stage without there being any ambiguity.
• Special rates for women employees under the Personal Loan Diva option which promises 100 free alliance offerings across 100 locations in India and a Pre-approved Personal Loan of up to 3 Lakhs. Women employees are given special privileges and discounted personal loan schemes under the Personal Diva Loan scheme which offers products, gift voucher, m-coupons and online offers. A woman applicant can avail discounted schemes for personal loans at no extra cost whenever she avails a loan from the bank which seeks women empowerment.
• Individuals can connect with the bank through SMS, Webchat, Click2Talk and Phone Banking. The customer can pick any medium or communication as per his or her suitability and connect with the bank. Their queries, complaints or feedbacks would be heeded and correctly resolved. Moreover, the bank also tries to make its services more user-friendly for the customer through solving the customer’s grievances and feedbacks. One can call the bank, text it, request for a call back or simply write an email to the bank with his or her questions or problems and the bank would do the needful.
• No guarantor / security / collateral required. A guarantor is someone who guarantees to pay the loan himself/herself if the applicant fails to repay the loan himself. Under the Personal Loan scheme, the bank does not ask for any guarantor who should undertake to guarantee the loan repayment. A security or collateral is an asset against which loan is issued and in case of failure to repay the loan, the bank has the power to possess the asset and sell it off to meet the outstanding loan amount. However, HDFC Bank, under its Personal Loan Scheme goes easy on the customer and does not demand any security or collateral for issuing the loan and the loan is given hassle-free.
• At a nominal rate, one can avail a Personal Accident Cover of up to 8 lakhs and Critical Illness Cover of up to 1 lakh. The customer needs to pay only a minimal extra amount and he or she can get insurance up to the specified amount against Personal Accident, disability and Critical Illness.
• Both Personal Accident Cover and Credit Illness Cover is granted under the option of Sarv Suraksha Pro. Under this facility, credit shield is provided up to the outstanding amount of loan, accidental hospitalization cover is granted for up to a maximum of 8 lakhs, Accidental Death or Permanent Disablement cover is granted for up to a maximum of 1 lakh and the Critical Illness Cover is also granted for a maximum of Rs.1 lakh. The cover is granted as per the terms and conditions of the insurer namely HDFC Ergo General Insurance company Limited.
• Existing personal loans taken from other banks or financial institutions can be transferred to HDFC Bank and continued. This transfer would entitle the transferee attractive benefits and features which are promised by the bank. There is a flat processing fee of Rs.999 for an existing Personal Loan Transfer and the interest rate is also as low as 12.99% p.a.
• Though one can choose the repayment of loan though post-dated cha=eques, the facility of Electronic Clearance System (ECS) is also available. So applicants can pay their instalments through ECS or standing instructions to the bank to debit the amount of loan through the existing HDFC Bank savings account.

The full form of TAT is Turn Around Time and it means the time taken to get the HDFC Personal loan sanctioned. Below are the mentioned time periods within which the loan is principally sanctioned by the bank.

Branch Classification	Platform Used	In-Principal Approval TAT	Final Credit Decision TAT
			CPV Waived	CPV Fired
DAP Branches	DAP	30 minutes	4 hours	8 hours
	Imaging	NA	4 hours	8 hours
Non Imaging Branches	NA	NA	8 hours	12 hours
WBO Branches	NA	NA	12 hours	16 hours

Individuals interested to apply for a HDFC Personal loan can also manage their EMI payments by knowing beforehand the required instalment amount. This is possible through the EMI calculator which the bank has and which can be used to calculate EMI for HDFC Personal loan. The below instances would show the EMIs required.

• Mr. Verma wants to go on a foreign trip to Europe with his wife to celebrate their 25^th wedding anniversary. The tour operator gives a figure of 5 lakhs for the all-inclusive trip for which Mr. Verma seeks a loan. As per his financial planning process, he feels that he will be able to repay the loan within a period of 5 years. He is an existing accountholder of the bank and inquires about the rate of interest chargeable and the EMI. He uses the EMI calculator which gives him the EMI figure of Rs.11, 634 at an interest rate of 14%.
• Mr. Mishra has a daughter who is all set to marry. Being a grand celebration, Mr. Mishra starts making a budget. After utilizing all his existing savings for the marriage, he faces a shortfall of 3 lakhs for which he decides to avail a loan. He approaches HDFC bank with the proposal and agrees to repay the loan in 5 years. The bank charges him an EMI of Rs.6980.
• Ram recently got a transfer and is now relocated to Pune. He buys a house and needs Rs.1 lakh for purchasing the necessary appliances for his new home. He doesn’t want to put a dent in his meagre savings and so he decides to seek a loan from HDFC Bank. The bank charges him a meagre Rs.2327 in EMIs at an interest rate of 14%.

The following table records the EMI of each of the above-mentioned cases for easy understanding:

Applicant	Loan Amount	Interest Rate	Term	EMI
Mr. Verma	5 lakhs	14%	5 years	11, 634
Mr. Mishra	3 lakhs	14%	5 years	6980
Ram	1 lakh	14%	5 years	2327

One can apply for a HDFC Personal Loan online through the portal of our website as we provide easy loan application through online medium. Interested applicant can follow the below steps for applying online:

Visit the website www.paisabazaar.com – click the ‘Personal’ tab – fill up the required details to check eligibility, calculate instalment amount and apply for this Personal Loan.

The bank boasts of issuing the loan within the day if the application details are correct and the applicant can complete the documentation facility immediately. There is no inconvenience caused to the applicant through the online application process because it is a simple process and can be done anytime which suits the individual and also from any place.

The personal details of the applicant are required to be filled which is required to identify him before the bank would issue the loan. The individual’s identity, address, occupation, etc. are some of the details which are required for processing the personal loan requests of the applicants. The details about the loan may also be sought. The next step involves the submission of relevant documents and the application process is then deemed complete. The bank would then analyze the information to assess the eligibility of the applicant and if satisfied, the loan would be granted at the earliest possible time.

Checking Loan Status

By visiting the website of the bank and opting for the relevant Loan Application Tracker, one can successfully view the status of the loan application made with the bank. The loan takes some time to get sanctioned and the applicant may want to know the stage at which his loan is stuck. Every answer is available with the bank in the application status tool which is available online. One would have to provide the tool the application number which is provided by the bank at the time of application and the status would be seen.

The HDFC Personal loan is called a multi-purpose loan which can be put to various uses. However, customers may get confused when they apply for a HDFC Personal Loan or researching the features of the HDFC Personal Loan which they want to borrow from the bank. Here are some questions which are discussed which provide a quick reference on the various nitty-gritties of the loan.

Some Frequently Asked Questions:

Q – What is the amount of loan available under the category of Personal Loans from HDFC?

A – HDFC Offers Personal Loans in the absolute values ranging from Rs.50, 000 in the minimum and Rs.15 lakhs as the maximum. However, the actual amount of HDFC Personal loan which is allowed is entirely dependent on the application submitted. The bank scrutinizes the applicant’s income, creditworthiness, repayment capacity, etc. before determining the amount of loan which would be granted to the applicant and every scrutiny is case-dependent. The absolute values serve as the minimum and maximum limit and define the condition that the amount sanctioned must remain within these limits

Q – When should the HDFC Personal loans be paid back?

A – The minimum and maximum tenure for HDFC Personal loan granted is 1 year to 5 years. The applicant may choose any period which is within this limit to repay HDFC Personal loan and the EMI would be decided based on the tenure of repayment chosen by the borrower. Higher tenure would imply a lower EMI and vice-versa

Q – Can the HDFC Personal loan be partly prepaid?

A – Partial prepayment of the HDFC Personal Loan is not allowed. The borrower wishing to prepay the loan would have to pay off the entire outstanding amount at once or would have to pay the equated instalments as and when they fall due. Partial prepayment of any amount is not allowed by the bank

Q – What is the meaning of de-pledge?

A – Just as pledging means assigning a security in the name of the bank, de-pledging of the security has the opposite meaning. It means that the bank revokes its rights on the pledged property and the property reverts back in the name of the applicant

Q – Do the HDFC Personal loans have any additional charges?

A – Other than the charges mentioned in the schedule of charges as mentioned above, charges are payable in case of defaulting on the Equated Monthly Instalments payable and also when the applicant changes the mode of repayment of the loan. These charges have been revised by the bank and currently a service charge of Rs.500 is payable for changing the mode of repayment of the loan

Q – Does having a Salary Account with HDBC Bank entail any benefits in availing HDFC Personal Loans?

A – If the applicant has an existing Salary Account with HDFC Bank and chooses to avail of HDFC Personal Loans, the applicant can avail the benefit of preferential treatments in respect of the interest rate charged on the loan, the relevant processing fee for the loan, a faster loan processing and requirement of minimal documents. A Standing Instruction to debit the relevant Salary Account for paying off the Personal Loan instalment can be placed on the account.

Q – What is the period within which the HDFC Personal loan is processed?

A – After completing the submission of the Application Form and all the other relevant documents, HDFC Personal loan is processed and simultaneously disbursed by the bank within a period of 7 days if all the documents which are relevant are in order and duly submitted and the Application Form is also free from ambiguity.

Q – Can any individual avail of the HDFC Personal Loans?

A – Personal Loan offered by the HDFC Bank is not available to all and sundry. Only salaried individuals employed in a steady job can avail of the loan. Such salaried employees should also have a minimum monthly income of Rs.12, 000 or Rs.15, 000 depending on the individual’s city of residence. Salaried individuals also include in its context professionals like Doctors, lawyers, CAs, etc. who are employed with any organization rendering their services. If they run their independent practice, they would be classified as self-employed professionals and cannot avail of the loan. Moreover, individuals employed in the public sector with Government organizations are also eligible for availing of the HDFC Personal loan. Other than the occupation criterion, the loan also has the age criterion and individuals aged 21 years and above and within the age of 60 years can only avail of the HDFC Personal loan

Q – What documents are required to be submitted for banks to offer personal loans?

A –Other than the mandatory requirement of the KYC (Know Your Customer) documents like the Identity Proof, Address Proof and the Photograph, the documents supporting the income details of the applicant are also required. Such income documents include the Salary Slip, Form 16 and bank statements are required.

Q – What is the rack interest rate for HDFC personal loans?

A – The bank charges a rack interest rate which ranges from 15.00% to 20.99% per annum on the outstanding balance of the HDFC Personal loan.