Personal loans are always helpful when we’re in a little bit of a financial struggle. Personal loans can help get us out of serious debt but you should still be careful when it comes to applying for a personal loan as it might be a debt trap.
Those who are looking for a decent loan option should look into the SBI Personal Loan. The bank offers one of the best and most competitive interest rates and has some of the best features that you can find out of any personal loan.
If you’re looking to find a good provider for a personal loan, you should be looking into the SBI Personal Loan. Check out the article below to learn more about the loan and how to get an SBI Personal Loan.
Main Features of the SBI Personal Loan
When it comes to personal loans, the SBI Personal Loan is one of the best in India. It has very low processing charges which is very uncommon in India. The loan also has zero hidden costs which makes it more reliable.
A lot of loaners out there tend to offer very affordable personal loans but you end up paying more due to some hidden charges. Another feature that the SBI Personal Loan is that applying for the loan is a lot easier especially if you have a salaried account with SBI.
You are immediately qualified for the personal loan. With over 25,000 branches all over India, it is very easy for you to apply for a loan and you get approved almost immediately.
What’s more, is that you also do not get charged when you pay early with your personal loan. This will highly encourage loaners to pay earlier so you can get out of your debt a lot earlier and faster.
The Types of Personal Loan
There are several types of personal loans that SBI offers. There are two specific types of personal loans that SBI has to offer. These are for salaried or self-employed individuals and pensioners which can be defense, government, or family pensioners.
They offer different interest rates and processing fees for both types. For salaried or self-employed individuals, the interest rate is 10.55% which is one of the lowest in the market while pensioners get an 11.50% interest rate.
The salaried class is available for individuals aged 21 years old up to 58 years while pensioners are specifically for individuals ages 78 years and above.
Eligibility Requirements Before You Can Apply
If you’re planning on applying for any type of personal loan, you should learn the requirements depending on your status.
Applicants who are considered salaried individuals will need to be ages 21 to 60 years of age and must have a regular monthly income. They must also be citizens of India and must have an active SBI bank account.
Applicants in this category are required to present documents related to personal identification, proof of residency, salary slip for the last 6 months, and employment status as well as their credit score.
For individuals who are self-employed or have their own business, they are required to provide personal identity documents, documents that prove that they operate a business, income tax returns, the company’s balance sheets, and a status report about overall liquidity.
How to Apply
To apply for a personal loan, you only need to go to any SBI branch near you and bring the required documents. Head over to the bank representative and provide the information that you want to apply for the SBI Personal Loan. You can also apply online through their official website.
Fill up the application form and hand over the documents that they need. Take note that they may review the documents and check your credit score before they continue to process your application or provide you with their decision.
This might take several days as they will need time to do the background check. You will also be asked a few questions regarding your finances during the application so be prepared to answer those as well.
How to Improve Your Chances of Getting Approved
There are a lot of ways for you to improve your chances of getting approved for the SBI Personal Loan. First, you need to know the entire application process and what are the red flags when it comes to loan applications.
SBI tends to reject people who have a bad credit history, have pending bills, and if they have frequent job changes. They are also very strict when it comes to the information provided during the application.
Any inaccurate or incomplete information will most likely lead to a rejection. Always make sure that you have a steady source of income as any irregularities with your income will be reviewed and you will have to defend it during questioning.
For more information, you can call them at 1800 1234 and 1800 2100 or you can write to them at Customer Service Department, State Bank of India, State Bank Bhavan, 16th Floor, Madam Cama Road, Mumbai 400 021.
Background and Credit Checks
SBI will also perform background and credit history checks before you are approved. The bank will require you to have a minimum credit score of 750 and above to get a personal loan. A bank representative will be reviewing your credit history to check if there are any late payments to previous loans as well as your expenses and other pending bills.
Make sure that you have paid all of your pending bills before you apply for the personal loan. Always maintain financial discipline before your application as it will help you get the personal loan that you need. Additionally, you should also have no pending criminal cases against you and you must be regular in your employment with companies that provide regular salaries.
When you apply for the loan, they will be checking your employment history and are more likely to give you approval if you have been in a reputable company for several years.
The SBI Personal Loan offers some of the best benefits out of any bank in India. Not only do they provide a very affordable interest rate for both salaried and business people, but they also offer very simple eligibility requirements so you can get the funds that you need. Make sure that you discuss the terms with the bank representative during your application for more information.