Banking on personal loan? Experts advise rate comparison

Loan rate comparisons: When faced with a sudden shortage of funds and no immediate income in sight, many people naturally turn to banks for personal loans. Comparing interest rates with various lenders before choosing one is a sensible step when considering a personal loan, say experts. Typically, lenders offer lower rates to those with high credit scores and higher rates to those with lower scores.

Leading the pack with the lowest interest rates are:

HDFC Bank

Offering rates ranging from 10.75 per cent to 24 per cent per annum, with processing fees of Rs 4,999 plus GST and loan tenure between 3 and 72 months. The maximum loan amount is Rs 40 lakh.

ICICI Bank

Charging between 10.65 per cent to 16 per cent per annum, with processing fees of up to 2.50 per cent of the loan amount plus taxes.

State Bank of India (SBI)

Starting from the 11.15 per cent interest rate, SBI offers loans up to Rs 20 lakh even for non-account holders.

Kotak Mahindra Bank

Starting at a 10.99 per cent interest rate, with processing fees of up to 3 per cent of the loan amount plus taxes, offering loans ranging from Rs 50,000 to Rs 40 lakh.

Punjab National Bank (PNB)

Charging between 13.75 per cent to 17.25 per cent based on credit scores for corporate employees, with the lowest rate for government employees at 12.75 per cent and 12.40 per cent for defence personnel.