All about SBI personal loans

Whether weddings, vacations, paying for college, unexpected medical expenses, and any other unexpected financial needs, personal loans are here to help you. In today’s time, the personal loan market has become more specialised and personalised. Usually, the interest on a personal loan is higher than the interest on secured loans. This guide will help you understand all aspects of SBI personal loan, one of the most popular products by India’s largest public lender. 

Features of SBI personal loan

SBI has a varied variety of personal loans. You can easily apply for these loans online in a hassle-free manner. It has loans according to everyone’s needs and wants. They offer special instant loans for any kind of emergency needs. A few basic features of SBI loans are given below:

Loan amount 

SBI offers you a minimum amount of Rs 25,000 to Rs 20 lakh or 24 times your NMI (post-tax net monthly income), whichever is lower. Whereas SBI overdraft loans offer you a minimum amount of Rs 5,00,000 to Rs 20 lakh or 24 times of your NMI, whichever is lower.

Repayment tenure

You are offered a period of 72 months to 6 years to pay back the instant personal loan from SBI.

Interest rates 

SBI personal loans start with a minimum interest rate of 8.60% and can vary upto 15.65% per annum. It depends on a few things like loan type, borrower’s income and repayment capacity.

Personal Loans for everyone

The bank ensures a lot of schemes which differ from person to person according to their profession and credit score. To meet the financial demands of various borrower categories, SBI offers a variety of loans. For example, there is a personal loan for government employees.

Types of SBI personal loans

SBI Kavach Personal Loan

Get an instant loan from SBI Personal loans named Kavach Personal Loan for up to Rs. 5 lakh for COVID-19 treatment for both you and your family members. With this loan programme, SBI hopes to give all its customers access to immediate financial support during the COVID 19 pandemic.

It also includes a 3 month moratorium period. The covid report should not be older than 30 days. Additionally, you are entitled to reimbursement for any medical costs linked to COVID-19 that you have previously paid. 

This SBI loan has an interest rate that starts at just 8.50 per cent annually and may be readily repaid over a period of up to 5 years. This loan is only available to salaried or non-salaried existing customers of the bank.

SBI Xpress Credit 

You can avail of a loan of upto Rs 20 lakh under this scheme. The applicant must be a salaried individual with a minimum salary of Rs. 15,000. The applicant must work under Central or State governments, Central and state PSUs, Educational institutions with a national reputation, Quasi-government, or any other corporations that work only with SBI. The processing charge of this loan is 1.50% of the loan amount, which should be not less than Rs. 1,000 + GST & not more than Rs. 15,000 + GST.

Their EMI/NMI ratio should not be more than 50%. The interest rate of this SBI personal loan is always between the range of 10.60% and 13.85%.

Companies are subject to specified terms and circumstances and do not have a commercial relationship with SBI or any Emigration Check Required (ECR). 

Pre-approved Personal Loans (PAPL) on YONO

An SBI account holder can easily avail PAPL in a hassle free way at their convenience, 24/7 in just four basic and easy taps using the YONO app. Currently, this loan is only provided to a pre-selected group of consumers based on a set of pre-established SBI criteria. 

You can easily calculate the loan interest and total payback amount using SBI personal loan calculator. It avails you with an SBI loan of not more than Rs 8 lakh. SBI also charges a very low processing fee for a pre-approved personal loan if you apply through the YONO aap. Not only this, the interest of this pre-approved loan varies from 9.60% to 12.60% per annum.

These four tap SBI loans can be instantly processed and disbursed. No branch visits or physical copies of documents are required for these loans. As the loan is only available to selected customers, you can check your eligibility by sending a text “PALP” to 5676767. 

SBI Quick Personal Loan

Only salaried individuals who do not maintain a salary account in SBI can avail this SBI loan. The maximum repayment period of this loan is not more than 72 months. SBI personal loan calculator helps you calculate the payable amount by the end of the repayment tenure.

The processing fee of this loan is 1.50% of the loan amount, which should be not less than Rs. 1,000 + GST & not more than Rs. 15,000 + GST. The annual interest rate ranges from 10.85 to 12.85%. The applicant must have an EMI/NMI ratio of not more than 50%. They should also have a minimum work experience of 1 year. The applicant should be between the age range of 21-58 years, and their minimum monthly income should be at least Rs 15,000.

SBI Pension Loan

It is a special loan offered to defence personnel, Central & State Government employees, and Family Pensioners. Pensioners below 76 years of age can only apply for this. For retirees whose benefits are paid out by government treasuries, the pensioner in question must authorise the treasury to send the pension payment to the specific bank branch. 

The interest rate of these SBI personal loans ranges from 9.75-10.25%. The loan amount to be approved by SBI will be based on the person’s age, pension income, repayment tenure and a few other factors. 

The repayment tenure for Defence personnel and Central and State Government employees is a maximum of 84 months, and for Family Pensioners it is 60 months. The defence personnel, Central & State Government employees can avail of a loan of not more than 14 lakhs, whereas a Family Pensioner can avail of a loan of not more than 5 lakhs. 

SBI personal loan processing fees and charges

For SBI Xpress Credit: Prepayment charge of 3% on the prepaid amount and 2% per month penal interest is charged.

For SBI Quick Personal Loan: Prepayment charge of 3% on pre paid amount and 2% per month penal interest is charged.

For SBI Kavach Loan: 0 processing fee, 0 prepayment penalty and 0 foreclosure charges are required.

For SBI Pension Loan: Prepayment charges of 3% on prepaid amount, 0 foreclosure charge, EMI/NPI ratio should be upto 33% in case of family pensioners and 50% in case of other pensioners.

How to apply for SBI Personal Loans?

1. Visit the SBI – Loans, Accounts, Cards, Investment, Deposits, Net Banking – Personal Banking site. 
2. Bring your cursor on the “Loan” tab, and a menu will drop down.
3. Click on “Personal Loans” from the menu.
4. A list of all the available loans is available there. Check and choose the loan that is best for your requirements and matches all your eligibility.
5. Click on “Apply now”. A new web page will open.
6. Fill up all the details it is asking for and provide a soft copy of the required documents.
7. Click on “Submit”.
8. A representative from the bank will call you to walk you through the remaining steps.

Follow the given steps to apply for pre-approved SBI loan from the YONO app:

1. Login to the YONO app on your phone.
2. Find the “Pre-Approved personal loan” option in your account.
3. Enter the loan amount and repayment tenure.
4. You will soon receive an OTP in your registered mobile number. Enter the OTP.
5. Click on “Submit”.
6. The loan amount will be disbursed on your account immediately.

Eligibility for YONO app personal loan

The eligibility criteria for applying for SBI Personal Loans through the YONO app are very simple. You can check them in the following ways:

1. Customers of CSP (Customer Service Points) and non-CSP(Customer Service Points) can apply for these loans.
2. The applicant must be a savings account holder to apply for SBI Personal loans 
3. Owners of SBI savings bank accounts can text “PAPL####” to 567676 to see if they qualify for the pre-approved SBI loan( “####” being the last four digits of your SBI savings bank account number)

SBI personal loan documents 

You need to submit a few documents to get your loan approved. Check the given list to know which ones are needed:

1. Proof of Identity: Aadhaar Card, Pan Card, Voter’s ID card, Driving Licence and Passport
2. Proof of Residence: Property Tax Receipt, Photocopy of electricity bill or telephone bill, Passport, Voter’s ID card
3. Proof of Income: Copy of Identity Card issued by the employer, bank statement for the previous six months of the account to which the salary is credited, Income Tax Return (ITR), Pay slip or bank statement for the previous six months, ITRs from the past two years and account statements from self-employed people.

How to check SBI personal loan application status?

1. Visit the Application status (sbi.co.in) site.
2. Enter the Unique reference number (URN)
3. Put in your mobile number and ISD code (91 for India)
4. Click on the “Track” button.
5. And the status of the application will be shown on the screen.

SBI personal loan EMI calculation 

1. Visit the Calculators – Calculate your EMI for Different Types of Loans Online in India | SBI – Personal Banking site.
2. Click on the calculator you need to use.
3. Adjust the loan amount, interest rate and course period. 
4. And the results will be visible below.

See also: Know more about SBI IFSC code