SBI Personal Loan: A Comprehensive Guide

State Bank of India (SBI), one of the leading banks in India, offers a special personal loan scheme for salaried employees. This scheme is designed to cater to the financial needs of individuals who have their salary accounts with SBI. Here’s everything you need to know about the SBI Personal Loan scheme.

Key Features of SBI Personal Loan

The SBI personal loan scheme for salaried employees comes with several attractive features:

Loan Amount: Borrowers can avail a loan of up to 20 lakhs.
Interest Rates: The scheme offers low interest rates, calculated on a daily reducing balance.
Processing Charges: The processing charges for the loan are low.
Documentation: The scheme requires minimal documentation, making the loan application process hassle-free.
Hidden Costs: There are no hidden costs involved in this loan scheme.
Second Loan: The scheme provides a provision for a second loan.
Security and Guarantor: No security or guarantor is required to avail this loan.

Eligibility Criteria for SBI Personal Loan

The eligibility criteria for the SBI personal loan scheme for salaried employees are as follows:

The applicant must be an Indian resident.
The applicant should be aged between 21 to 58 years at the time of loan maturity.
The applicant should have a good credit history.
The applicant should have a work experience of a minimum of 1 year.
The applicant must have a Salary Account with SBI.
The applicant’s minimum monthly income should be Rs. 15,000.
The EMI/NMI ratio should be less than 50%.
The applicant should be an employee working with Central/ state/ quasi government, Central PSUs and profit-making state PSUs, educational institutions of national repute, or selected corporates with or without a relationship with the bank.

SBI Personal Loan Amount

The loan amounts for term loans and overdraft loans under this scheme are:

Term Loans: The minimum loan amount is Rs. 25,000, and the maximum loan amount is Rs. 20 lakhs or 24 times NMI( Net Monthly Income).
Overdraft Loans: The minimum loan amount is 5 lakhs, and the maximum loan amount is Rs. 20 lakhs or 24 times NMI.
A second loan is eligible any time after the disbursement of the first loan, subject to the overall EMI/NMI ratio of 50%.

Interest Rates

The interest rate for SBI Xpress Credit Personal Loan varies depending on the borrower’s income and repayment capacity. Here are some details based on the web search results:

The interest rate starts from 10.10% p.a. and can go up to 13.85% p.a.
For para-military, defense, or Indian Coast Guard personnel, the interest rate for a Term Loan facility is between 11.50% to 12.00% p.a.
For others, the interest rate for a Term Loan facility is between 11.50% to 13.50% p.a.
Borrowers who provide ‘Check-Off’ or apply for a loan greater than or equal to Rs.10 lakh will receive special concessions on the interest rate.

Please note that these rates are subject to change and it’s always a good idea to check with the bank for the most accurate and up-to-date information.

Terms and Conditions

The terms and conditions of the SBI personal loan scheme for salaried employees include:

A penal interest of 2% p.m would be charged over and above the applicable interest rate on the overdue amount for the period of default.
Prepayment charges of 3% on the prepaid amount. No prepayment/ foreclosure charges if the account is closed from the proceeds of a new loan account under the same scheme.
The minimum repayment period is 6 months, and the maximum repayment period is 6 years or the remaining period of service (whichever is lower).

How to Apply

Applying for an SBI Personal Loan is quite straightforward. Here are the steps you can follow:

Online Application: You can apply for the loan online through the SBI’s official website or through other financial services websites.
Fill in the Details: Click on the Personal Loan tab under the Loans section and enter all the required details.
Document Submission: Upload the necessary documents or schedule a document pickup.
Verification: After entering all the details and submitting the necessary documents, the bank’s executive will call you for verification.
Approval and Disbursal: Once your application is verified and approved, the loan amount will be disbursed to your account.

Festive Dhamaka Offer

As part of the Festive Dhamaka offer, borrowers can avail a 0.50% extra concession in the interest rate till 31st December 2023 and zero processing fee till 31st January 2024.

Here are some of the highlights of this offer:

The Festive Dhamaka offer is valid till 31st December 2023.
The offer applies to various loan products, such as personal loans, home loans, car loans, education loans, etc.
The offer provides a concession in interest rate ranging from 0.50% to 2%, depending on the loan product and the tenure.
The offer also waives the processing fee for some loan products, such as home loans and car loans.
The offer is applicable only to new customers who have not availed any loan from SBI before.

For more information or to apply for the SBI personal loan scheme for salaried employees, dial 1800-11-2211 or give a missed call on 7208933142 or SMS “PERSONAL” on 7208933145 to get a call back from the Contact Centre. Please note that this information is subject to change, and it’s always best to contact the bank directly for the most accurate and up-to-date information.

This SBI personal loan scheme for salaried employees is a great opportunity for eligible individuals to meet their financial needs. So, don’t wait, avail the benefits of this scheme today

Frequently Asked Questions (FAQs)

What is the maximum loan amount I can get under this scheme?
- The maximum loan amount you can get is up to 20 lakhs.
Do I need to provide any security or need a guarantor for this loan?
- No, there is no requirement for any security or guarantor for this loan scheme.
What is the interest rate for this loan?
- The scheme offers low interest rates, however, the exact rate may vary and it’s best to check with the bank for the most current rates.
Can I apply for this loan if I don’t have an account with SBI?
- No, one of the eligibility criteria for this loan scheme is that the applicant must have a Salary Account with SBI.
What is the Festive Dhamaka offer?
- As part of the Festive Dhamaka offer, borrowers can avail a 0.50% extra concession in the interest rate till 31st December 2023 and zero processing fee till 31st January 2024.
What is the minimum and maximum repayment period for this loan?
- The minimum repayment period is 6 months, and the maximum repayment period is 6 years or the remaining period of service (whichever is lower).
Are there any prepayment charges?
- Yes, there are prepayment charges of 3% on the prepaid amount. However, no prepayment/ foreclosure charges apply if the account is closed from the proceeds of a new loan account under the same scheme.