Andhra Bank Personal Loan can be used to deal with various personal financial needs including medical expenses, purchase of consumer durables, debt consolidation, etc. Currently Andhra Bank offers three types of personal loans – Andhra Bank Consumer Loan, Andhra Bank Clean Loan and Andhra Bank Loan against NSC/KVP/LIC Policy. These loans all feature the option of foreclose so that you can save on the interest charges associated with the personal loan. Read the article below to have an insight into the foreclosure process, charges and benefits associated with Andhra Bank personal loans.
Andhra Bank Personal Loan Foreclosure Charges and Other Processing Fees
Foreclosure refers to paying off a loan completely before the end of its contracted tenure. Partial pre-payment, on the other hand, refers to paying an amount in excess of the actual EMI amount payable. The charges associated with foreclosure, part pre-payment and processing an Andhra Bank personal loan are given below:
| Type of Charge | Applicable Charges |
| Foreclosure charges | Nil* |
| Part Prepayment Charges | Nil* |
| Processing Fees | As per guidelines in force |
* Prepayment charges may apply in case of Loan against NSCs, KVPs and LIC Policies as per the loan agreement.
How to Foreclose an Andhra Bank Personal Loan
Currently, an Andhra Bank personal loan cannot be foreclosed online. To foreclose your Andhra Bank Personal Loan, you can either contact the bank’s customer care or visit the nearest Andhra Bank branch and follow the applicable offline process. The loan can be foreclosed at any time with Nil foreclosure charges being levied.
Documents Required for Preclosure of Personal Loan
Usually, the following documents are needed to foreclose your Andhra Bank personal loan:
- Valid Photo Identity proof
- Loan Account Statement
- Cheque/ cash/ demand draft to make the loan foreclosure payment
Preclosure Benefits
Some benefits of pre closing your Andhra Bank personal loan are as follows:
Full Prepayment/ Foreclosure
- Allows you to save on the overall interest payout.
- You are freed from the burden of making regular loan repayments.
Partial Prepayment
- It helps you partially save on the interest component of the loan.
- You also get the option to either lower the EMI amount or loan tenure.
Also Check: Andhra Bank Personal Loan Status: Track Application & Check Active Loan Online
FAQs
Q1. What is Andhra Bank Personal Loan interest rate?
Andhra Bank Personal Loan interest rate is linked to the repo rate and thus, the rate of interest charged on personal loans ranges between RLLR + 3.00% to RLLR + 5.65%.
Q2. Who can avail a personal loan from Andhra Bank?
Salaried and self-employed individuals, pensioners as well as LIC agents can avail a personal loan from Andhra Bank under different schemes provided they meet the lender’s personal loan eligibility criteria. Andhra Bank Loan against NSC/KVP/LIC Policy, on the other hand, can be availed by individuals possessing appropriate security instruments such as National Savings Certificate (NSC), Life insurance policies, Kisan Vikas Patra (KVP) or any other security as specified by the bank.
Q3. What is the tenure option available on Andhra Bank personal loans?
Andhra Bank personal loans come with a repayment tenure ranging between 12 to 60 months.
Q4. What is the bank’s customer care number in case I have queries relating to my Andhra Bank personal loan?
You can get in touch with Andhra Bank’s customer care executives on 1800-425-1515 (toll-free) or 040-23234313/040-23252000; Extensions: 2422/2577
Q5. How can I compute the EMIs payable on my Andhra Bank personal loan?
You can use the Paisabazaar personal loan EMI calculator to compute your Andhra Bank personal loan EMIs for free. Simply select the loan amount, interest rate and tenure to know the EMI payable on your personal loan.
Q6. How long does Andhra Bank take to disburse its personal loans?
Andhra Bank does not specify the exact time that it takes to disburse its personal loans. However, once all the required documents are received and verified, the loan is usually approved within 4 to 7 working days. The actual disbursal may take place longer in certain cases depending on several factors such as loan amount, loan tenure, applicant type, etc.