Personal loan is offered for personal use instead of business or commercial purposes. Different banks charge different interest rates for Personal Loans. The rate of interest also vary based on

(a) the quantum of the loan
(b) period for which loan is intended to be availed etc.

Banks personal loan Rate of Interest 2015-

Name of the Bank Rate of Interest %

Union Bank of India 12.00% - 14.75%
Bank of India 13.20% - 15.20% (concession to women and senior citizens)
Allahabad Bank 14.95%
IDBI Bank 13.00% - 14.00%
ICICI Bank 12.99% - 20.00%
Bank of Baroda 14.40%
Central Bank of India 13.45%
Punjab National Bank 13.00% - 16.00%

The above rates are floating rates, and are linked to base rate.

Personal Loan - Eligibility Criteria

Any salaried, self employed or professional Indian national is eligible for a personal loan.

Should have been employed by your current organization or been involved in your business for a certain number of years

Should have some monthly repaying capacity or the required minimum salary

Must qualify the age bracket defined by the lending bank or institution

Should not have bad credit history under your name for three months prior to submitting the loan application