IDBI Bank Personal Loan

IDBI Bank is considered to be one of the best emerging  public sector banks in India and is covered under Fortune 2000 Top Companies of the world. IDBI Bank, as mentioned above has advanced technology and its products have pioneering and unique features. The products are designed in such a way that it suits almost all the segments of individuals.

Personal Loans are given to

• Salaried Individuals
• Self Employed Professionals.
• Pensioners.
• Salary Account with in Built Overdraft Facility.
• Pension Account within Built Overdraft Facility to Pensioners of IDBI Bank Ltd.

a) Salaried Individuals maintaining salary account:

• Eligibility Criteria:  Customers maintaining salary accounts with IDBI Bank.
• Minimum Net Salary/ Income: No specific average balance is required by those salaried customers who are maintaining salary account with IDBI bank. However, Rs 180000/-of Minimum Annual Net Income (ANI) is needed.
• Minimum Age: 22 Years
• Maximum Age: The maximum age at the time of the closure of the loan should not exceed 60 years or the date of retirement, whichever is earlier.
• Tenure: Minimum Tenure: 1 year, Maximum Tenure: 5 years

• Minimum & Maximum Loan Amount: The minimum loan amount is Rs 50,000 and the maximum loan amount is Rs 10, 00,000.

• Repayment: The repayment has to be done through Standing Instruction from the salary account maintained with IDBI bank.

• Pre-Payment: The personal loan pre-payment without any charges is allowed subject to completion of 6 months post disbursal of loan. If the pre-payment is done before 6 months, then a pre-payment charge @ 2% on outstanding principal amount is levied.

• Part-Payment: Part-payment can be done in same line as pre-payment clause. However, in case of such payments no further loans will be offered to the same customer for a period of 12 months at least.

• Top up facility: Any existing borrower with proven repayment track record of at least 12 months, can apply for top up loan facility.

• Other Features: Other striking feature of IDBI personal loan includes Free Personal Accident insurance cover being offered with the personal loan

b) Pensioners maintaining pension account:

• Eligibility Criteria:  Pensioners/ Family Pensioners from the State Government or the Central Government who have been given promotion or are sponsored entity whose pension is being credited to his/her savings account with IDBI Bank. Ex- staffs of IDBI bank are also offered personal loan under this scheme
• Minimum Net Salary / Income:  No specific average balance is required for those salaried customers who are maintaining salary account with IDBI bank. However, Rs 180000/-of Minimum Annual Net Income (ANI) is needed.
• Maximum Age: The maximum age for pensioners and family pensioners’ is 75 years at the time of the closure of the loan.
•  Tenure: Minimum Tenure: 1 year, Maximum Tenure: 5 years

• Minimum & Maximum Loan Amount: The minimum loan amount is Rs 25000/- and the maximum loan amount is Rs 500000/-. However, the EMI should not exceed 50% of the last credited pension amount in the account.
• Repayment: The repayment has to be done as Standing Instruction from the pension account maintained with IDBI bank.
• Top up facility: Any existing borrower with proven repayment track record of at least 12 months, can apply for top up loan facility.
• Other Features: Other striking features on IDBI personal loan is the Free Personal Accident insurance cover being offered with the personal loan

c) Salaried & Self-employed Professionals with or without existing liability relationship with IDBI Bank

Under this scheme, IDBI Bank has added a special feature in its personal loan area where there are two segments in which the salaried and self-employed people can be fitted into with or without existing liability relationship with the Bank.

• Employees who are permanent staff in various divisions or sub divisions and establishment promoted or sponsored by State as well as Central Government, the three Armed Services which may or may not have any kind of relationship with the bank. However if they are able to fulfill the minimum income criteria as stated above, they are eligible to apply for personal loans.
• For all other cases, the salaried and self-employed individuals having a liability relationship for more than one year and are able to fulfill the minimum income criteria as stated above are eligible to apply for personal loans.
• Minimum Balance: For salaried customers a Minimum Annual Average Balance (AAB) of Rs. 20,000/-  is needed and it is Rs 25000/- for self-employed persons. Additionally, the minimum annual business income should be Rs 2,40,000/- for last 2 financial years.
• Minimum Age: 22 Years
• Maximum Age: The maximum age at the time of the closure of the loan should not exceed 60 years or the date of retirement, whichever is earlier.
• Tenure: Minimum Tenure: 1 year, Maximum Tenure: 5 years

• Maximum Loan Amount:  The minimum loan amount is Rs 50000/-. The maximum loan amount is categorized as below:
• Rs 10,00,000/- is the permissible limit for employees who are permanent in various organizations promoted or sponsored by State as well as Central Government, the three armed services with or without any existing relationship with the bank or not.
• Rs 500000/- is the permissible limit for the customers who are not having any salary account with the bank.
• Repayment Mode: In all the above cases the repayment mode will be Standing Instructions.

d) Salary account with in-built overdraft facility

• Eligibility Criteria:  Employees who are permanent and are in service for a continuous period of 1 year. They should be working in the following mentioned companies.
  • Private Ltd Co.
  • Public Ltd Co.
  • Government/ Quasi Government/ Semi Government.
  • Multinational Companies.
  • Any other company which has been approved by Chief General Manager of the Zone.
  • Reputed Institutions.
• Age: The minimum age is 22 Years and the maximum age is 58 years.
• Tenure: Minimum Tenure: 2 years which means the overdraft facility is valid for 2 years and is renewable after every 2 years.
• Maximum Limit: The maximum limit would be 5 times of the net salary which is again based on the average salary of previous 6 months.

e) Overdraft facility for individuals who are pensioners of IDBI Bank.

• Eligibility Criteria: Customers who are maintaining their pension accounts with IDBI Bank are eligible for the loan.
• Age: The loan is offered to any pensioner up to the maximum age limit of 75 years.
• Tenure: Minimum Tenure: 1 year which means the overdraft facility is valid for 1 year and is renewable after every 1 year.
• Maximum Limit: The maximum limit would be 5 times of the net pension which is again based on the average of monthly basis.
• Guarantee: Any Third Party Guarantee is required for Personal Loans offered to Pensioners.

Interest Rate	12%-14%
Processing Fees	1% of the loan amount
Loan amount	Minimum: Rs. 25,000 Maximum: Rs. 10 Lakh
Prepayment charges	Before 6 months: 2% of the outstanding amount After 6 months : NIL

IDBI Bank allows the facility to foreclose the loan which means, one has the option to close the loan before the maturity date, however certain charges along with terms and conditions apply. Prepayment after 6 months may be allowed by the bank without any charge, but before 6 months from the date of disbursal, a charge of 2% on the outstanding loan amount is charged.

The bank also allows part prepayment on personal loans based on the above two conditions but in such cases additional loan is not provided for 12 months from the date of making the part payment.

Top Up Loan/Addition Loan on Existing Loan

One might need further loan during the running of an existing personal loan. The bank allows such facility where the existing loan tenure has completed 1 year. Also the repayment track record will have to be absolutely clean without any bounce.

Insurance Cover on IDBI Bank Personal Loan

Under Personal Loan, the borrowers are enclosed under Free Personal Accident Insurance Cover.

Below is the set of documents required by any applicant applying for the IDBI personal loan schemes.

For Salaried individuals maintaining salary Account /liability or Asset relationship with the bank

• Duly Filled loan application form.
• Recent colored photograph to be affixed on the loan application.
• A copy of Proof of identity from any one of the below mentioned documents:

1. Voter’s ID,
2. Driving license,
3. Defense ID card,
4. Ration card,
5. PAN card,
6. Government employee ID card,
7. Aadhaar card

• A copy of Proof of Residence from any one of the below mentioned documents:

1. Passport,
2. Ration card,
3. Voter’s ID,
4. Registered lease / rent agreement,
5. Driving license,
6. Telephone / water / electricity bill,
7. Property tax bill, or gas bill.

• Form 16, latest salary slip,
• Bank statement for the past six months.
• Deceleration-cum-undertaking from the employer not to shift the salary without No Objection Certificate from the branch
• Standing Instruction for the deduction of EMI from salary account

For Pensioner / Family Pensioners drawing pension with account held with IDBI bank

• Duly Filled loan application form.
• Recent colored photograph to be affixed on the loan application.
• A copy of Proof of identity from any one of the below mentioned documents

1. Voter’s ID,
2. Driving license,
3. Defense ID card,
4. Ration card,
5. PAN card,
6. Government employee ID card,
7. Aadhaar card

• A copy of Proof of Residence from any one of the below mentioned documents

1. Passport,
2. Ration card,
3. Voter’s ID,
4. Registered lease / rent agreement,
5. Driving license,
6. Telephone / water / electricity bill,
7. Property tax bill, or gas bill.

• ITR/ Income certificate for last 2 financial years
• Bank statement for the past six months.
• Deceleration-cum-undertaking from the pension office not to shift the pension account without No Objection Certificate from the branch
• Standing Instruction for the deduction of EMI from pension account
• Personal Assets and Liabilities Statements in Bank’s standard format
• Delivery letter to DPN
• Co-obligation if required.

Self-employed Individuals with/without any asset/liability relationship with the bank.

• Duly Filled loan application form.
• Recent colored photograph to be affixed on the loan application.
• A copy of Proof of identity from any one of the below mentioned documents

1. Voter’s ID,
2. Driving license,
3. Defense ID card,
4. Ration card,
5. PAN card,
6. Government employee ID card,
7. Aadhaar card

• A copy of Proof of Residence from any one of the below mentioned documents

1. Passport,
2. Ration card,
3. Voter’s ID,
4. Registered lease / rent agreement,
5. Driving license,
6. Telephone / water / electricity bill,
7. Property tax bill, or gas bill.

• ITR/ Income certificate for last 2 financial years
• Bank statement for the past six months.
• Personal Assets and Liabilities Statements in Bank’s standard format
• Delivery letter to DPN
• Co-obligation if required.
• Latest Income Tax Assessment Order, Property statement.

IDBI offers its applicants various online solutions prior to applying for the personal loan. This includes

• Check the eligibility online
• Online application form
• Update the application form
• Track the application status
• Calculate the EMI

However, what personal loan offers is a tentative one and the final sanction of the loan depends on the eligibility and verifications of the documents provided. The final loan amount and loan tenure may vary as per the discretion of IDBI bank.

Apart from online application, any interested applicant may call the IDBI Phone Banking service or visit any of the nearest Retail Asset Centre or IDBI Branch to apply for the personal loan.