Advantages Of a Personal Loan from HDFC Bank
Unsecured Loan
HDFC Bank grants a personal loan without any security or collateral—funds forwarded for personal usage based on the Applicant's income, profile & credit history. Thus, there is no need to mortgage your property or keep jewelry as a guarantee to secure funds. A Personal loan is a convenient way of securing the funds needed.
Convenient & Flexible
A personal loan from HDFC Bank is convenient & flexible. The loan amount can be paid back conveniently via monthly installments; the EMI is automatically deducted through the ECS (electronic clearing systems) on a predetermined date on a month-to-month basis.
The Bank offers a flexible repayment option of 12 to 60 months to the applicants, applied as per the customer’s choice & the terms of the Bank.
Quick Process
The process for a Personal loan from HDFC Bank is efficient & streamlined. An applicant can receive finance from a Personal loan from HDFC Bank in 5 working days. Once the complete application is submitted, there is a turnaround time to complete the process. HDFC Bank account holders & applicants with a previous relationship with HDFC Bank can expect a faster decision. On completion of the process, the funds are transferred to the salary account of the Applicant electronically. Online facilities allow HDFC Bank account holders to disburse their loan amount.
Minimal Documentation for Personal Loan Processing.
The documents required for processing a personal loan from HDFC Bank are simple & readily available. These include KYC & income documents. In addition, various options are available for photo identity & residence proof.
Income documents include salary slips for details for the salary breakup and the Bank statement of the Bank account for proof of transfer. Therefore, it is essential to give clear copies of all documents & self-attest the same before submission.
The Applicant can use the Loan for Any Personal Requirement.
As the name denotes, Financers give a personal loan for personal usage. The loan amount, once granted, can be used by the Applicant as & when required without any restrictions: with the condition that the amount is being used for personal reasons & not for investment or speculation. With the repayment of the Loan on time, additional credit is readily available when needed.
Personal Loan Eligibility Criteria from HDFC bank
Eligibility Criteria from HDFC bank
| Age |
21 Years - 60 Years |
| Educational Qualification |
Graduate |
| Income |
Above 20k Per month |
| Bank Account |
Salary Account In a Recognized Bank |
| Work Experience |
12 Months |
| Current Employer |
Featuring In HDFC Bank Company List |
Age
To apply for a Personal Loan from HDFC Bank, an applicant must be over 21 years.
The maximum age limits up to which one can EMI is 60 years. However, an
extension is given for the Loan tenure up to 62 years if proof of retirement age from
the Government, Ltd or private ltd organization is submitted.
Educational Qualification
For a Personal Loan from HDFC Bank, the Applicant should be a recognized
university graduate or have equivalent qualifications or training. Proof certifying the
same may be required when applying for a Personal Loan.
The minimum educational qualification is mandatory to process a personal loan
from HDFC Bank; any additional degree will add value to the application. Applicants
who are postgraduates or professionals are treated as preferred candidates and
awarded enhanced loan amounts.
Income
The minimum salary an applicant earns should be above ₹ 25k per month, and this is the accepted income for special categories such as HDFC Bank account holders. In contrast, other individuals earning ₹30k and above per month can apply for a Personal Loan from HDFC Bank.
Bank Account
It is mandatory to have a salary account with a Bank: to which the employer
transfers the salary monthly. Applicants who receive compensation by cash in hand
or bearers cheque are not eligible to apply.
Work Experience
Before applying for a Personal Loan from HDFC Bank, the Applicant is working and
employed for six months to a year per the policy applicable to the Company the
Applicant is currently working with.
Current Employment
The Company, an applicant, is currently employed and should feature in the HDFC
Bank company category list.
HDFC Bank processes Personal Loan applications of applicants working in Limited,
Private Limited, Public Limited companies, or government employees. Applicants
working with Proprietorship or Partnership companies are not eligible to apply.
The Company category list
The HDFC Bank offers a rate of Interest as per the company category of the
Applicant's current employer
The HDFC Bank categorizes companies eligible for a Personal Loan as, Category A, B,
C, and D per the preference order. Therefore, the Bank will offer an applicant
working in a category A lower interest rate than a category C company employee. A
rate chart establishes the interest rate provided to the companies featured in the
HDFC Bank company category list.
Personal Loan Charges from HDFC Bank
| Charges Applicable |
Details |
| Rate of Interest |
10.35%-18% per annum @ monthly reducing balance. |
| Processing Fees |
up to ₹5000/- maximum |
| Pre-Closure Charges |
After 12 months -4% and After 36 months- 2% of the principal |
| Loan Cancellation Charges |
Nil (However, the processing charges will not be refunded) |
| Loan Cancellation Charges |
With Interest charged on the interim period of the process for pre-closure |
| Cheque Bounce Charges |
Rs 550/- per cheque Bounce. |
| The Charge For Late Payment |
2% per month from the date of unpaid EMI |
| Cheque swapping Charges |
Rs 500/- |
| Amortization Schedule Charges |
Rs 200/- |
| Stamp Duty |
At actual as per applicable law |
| CIBIL Report Copy Charge |
Rs 50/- per copy. |
| Service Tax/Other Taxes |
(Actuals applicable) |
| Legal, Repossession & Incidental Charges |
At actual |
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Rate Of Interest
The
Rate of Interest is the cost of the funds secured from HDFC Bank as a Personal Loan. It is the primary charge levied by HDFC Bank for Personal Loans and ranges from 10.35% to 22% per annum. The Interest is charged and calculated at a monthly reducing balance. HDFC Bank levies the interest rate depending on the following attributes.
The Net Income of the Applicant
The higher the income of the Applicant, the Rate of Interest for the Personal Loan will be lower. An applicant earning a salary above 75k can get a Personal Loan at a better interest rate than an income of 30k per month. A higher income indicates an ability to borrow more significant amounts, & having a comfortable income makes the return of funds more accessible. Thus, all high-income applicants are considered preferred customers for HDFC Bank and are issued a lower interest rate.
Loan Amount
The quantum of the Personal Loan, the Applicant, is eligible for or approved as per the HDFC Bank process will determine the interest rate. Discounts on the interest rate are applied to higher loan amounts, whereas individuals requiring minimal loan amounts will be given the Loan as per the current rack rate. HDFC Bank processes Loan amounts of 10 lakhs and more under the Golden edge program with a lowered interest rate, and terms and conditions apply.
Processing Fees
The processing fees are the file charges levied by HDFC Bank for processing the personal loan request. The cost is not charged upfront and only applies if the Loan is approved.
The processing fee is chargeable as 2.5% of the loan amount approved. Discounts are available for
- HDFC Bank salary account holders and segments with a special offer for discounted processing fees.
- Loan amount of ₹ ten lakhs & above.
Insurance
Personal Loans Insurance is available from HDFC Bank. The Personal Loan recipient avails the insurance facility: which will cover the Applicant in the case of an eventuality, and the family shouldn't be held responsible for the repayment of the Personal Loan amount. At a nominal premium, the Personal Loan insurance covers accidents up to 8 lakhs & critical illness up to 4 lakhs.
HDFC Bank Personal Loan Pre-Closure & Part Payment
HDFC Bank permits applicants to pay back the balance of the Personal Loan amount before the expiry of the tenure.
This process is known as personal loan pre-closure: the Applicant has the option of paying back the principal balance of the personal Loan subject to the following terms:
- In addition, an applicant should pay a minimum of 12 EMI.
- A penal amount charged on the Loan's principal balance is as per the disbursal terms.
The Part payment of a Personal loan involves the cost of a partial amount towards the principal balance of the personal loan amount. HDFC Bank permits part payments towards a Personal loan as per the following criteria:
- Part-payment will be allowed subject to a loan tenure of 12 EMIs paid
- A Part-payment will be allowed a maximum of twice during the entire term and only once a year.
- At any point in time, each part payment will not exceed 25% of the Principal Outstanding.
| Period |
Penal Charges |
| 13-24 months |
4% of the principal balance amount |
| 25-36 months |
3% of the principal balance amount |
| > 36 months |
2% of the principal balance amount |
Personal Loan Features from HDFC Bank
Loan Amount
The Loan Amount offered by HDFC Bank as a Personal Loan starts from 50k up to a maximum of 30 lakhs.
The minimum amount the customer may apply for is 50k; further, the loan amount the Bank will approve is as per
the eligibility calculations & policy of the Bank.
Tenure
The tenure is the period given for the repayment of the Loan amount appended. For example, the term HDFC Bank grants are 12 to 60 months; during this period, the Applicant repays the Loan via equated monthly installments.
The personal loan tenure is granted by the Bank taking into account the following-
- The loan amount the Bank approves.
- The Monthly Instalment
EMI (Monthly Instalment)
The monthly EMI is the instrument for paying back the
personal loan amount. Therefore, an applicant must be conscious of the EMI, which will be deducted monthly from the salary account. The Lender presents the EMI to the salary account on a specific date, so ensuring enough funds are in the concerned Bank account on the due date is essential.
The method of calculation of the EMI is Loan Amount + Interest amount divided over the tenure applicable.
Hypothetical Example
| Loan Amount Approved |
₹ 2 lakhs |
| Tenure |
36 months |
| Rate of Interest @ reducing balance |
14% |
| EMI |
6835.53 |
For a detailed understanding, please refer to our. EMI Calculator article!
The HDFC Bank Company Category List
It is an exclusive list of companies operating which are well-established, running profitable ventures with good prospects.
To process a Personal loan from HDFC Bank, the Applicant's current employer must feature in the HDFC Bank company list. If the Applicant is working with a company not featured in the HDFC Bank company list, the Applicant should request to process the Company for enlisting.
CIBIL Score
The CIBIL score is the rating given to an individual, considering credit dealings. The CIBIL is an agency that maintains a comprehensive record, receiving data from all the Banks and NBFCs per the credit provided to their customers.
The repayments track & all other details regarding the credit taken are supplied to the CIBIL continuously. Whenever the lending organization receives a credit application, it can access the credit history of the individual by requesting CIBIL. The Lender can then decide if the Applicant is worthy of the credit request submitted.
HDFC Bank processes personal loan requests from applicants who have not availed of any credit previously, & do not have a CIBIL rating. Applicants with a credit history should have a CIBIL score of 720 points & above to be eligible for a personal loan from HDFC Bank.
Special Offers
Applicants who have a salary account in HDFC Bank to which the Company is transferring the monthly salary are offered Personal loans under a specific policy that allows for:
- A net salary of 2500/- was transferred to the HDFC account.
- A waiver of processing fees.
- A discounted rate of Interest.
- A quick process for the Personal Loan.
HDFC Bank offers special rates to selected customer segments. The HDFC Bank special offers list consists of companies that are topping the Economic Times companies list, public sector companies showing increased profits & Government sectors that offer stability to their employees.
| Ready Reckoner |
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| Factors For Calculation Of Loan Amount |
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| Net salary |
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| Company Category |
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| Obligations ( other EMI ) |
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| CIBIL Score |
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HDFC Bank offers Personal Loan applicants loan amounts as per the eligibility calculation of the Bank & the ability of the Applicant to pay back the Loan. The Loan amount granted to an applicant is calculated based on the following factors.
The net salary of the Applicant
The Applicant's income forms the basis for calculating the loan amount. Therefore, the net salary of the Applicant will determine the loan amount to be issued. As per the norms of HDFC Bank, an applicant can pay 50% of his salary as an EMI and reserve the balance for the existing obligations. These obligations would include the rent for the residential accommodation, the day-to-day living expenses & the Instalment for any other credit lines running, such as loans or credit cards.
HDFC Bank Company Category
The Company with which the Applicant works will also influence the loan amount an applicant can receive as a Personal Loan from the HDFC Bank.
An applicant currently employed with a company featuring as a top company or as cat A or B will be eligible to receive an increased loan amount compared to an applicant working in a company listed as cat D in the HDFC Bank company category list.
The CIBIL score
The CIBIL history reflects an applicant’s behavior with credit: the CIBIL score allotted to the Applicant basis all the credit used over the years. For example, a minimum score of 720 + basis points and above is mandatory to process a Personal Loan from HDFC Bank. An applicant who has managed credit well & completed obligations timely is liable to get the Loan amount desired. In contrast, late payments in the credit record may receive a conservative loan amount.
First-time loan seekers are issued a Personal loan if other profile parameters meet the HDFC Bank credit policy but need to build a good credit record to receive increased loan amounts.
Club the earnings of a co-applicant.
A family member who is a blood relative or a spouse earning a regular income can be a co-applicant. Thus, the remuneration of the Applicant and co-applicant is added to calculate the eligibility for the loan amount. A valid document proof is to be submitted to consider the same.
HDFC Bank Preferred Customers
Special Personal Loans Scheme for Working Women
Female employees now earn as much as their male counterparts & hold high-ranking positions in prestigious companies. They are now equally responsible members of the family & participate in driving and boosting our economy.
Women candidates earning regular income can apply for a personal loan from HDFC Bank under the DIVA scheme. Salaried individual loan applicants meeting the policy norms of HDFC Bank are offered personal loans under special terms.
- Personal Loan of women applicants, under the HDFC Bank 'DIVA 'scheme, has priority processing.
- HDFC Bank offers pre-approved loans of 3 lakhs to eligible candidates under this scheme.
- Special discounts for processing fees apply to women applicants.
HDFC Personal Loan offer for Elite applicants.
High-income customers with a salary of 75k or more can apply for increased loan amounts of 10 lakhs or more. They are considered Elite applicants with a priority process window. Special privileges offered to Elite applicants, such as:
- Priority processing of personal loan applications, & funds disbursed within 72 hours.
- Personal Loan processed with a discounted interest rate and processing fees.
- Special terms are applicable for pre-closure & part payment.
Special Monthly Offers From HDFC Bank
Month on Month, HDFC Bank initiates a list of special offers for applicants working in companies featured in the Economic Times list as the Top Companies: organizations having a special relationship with HDFC banks Government organizations, and profitable PSUs 'S.
For sourcing Personal Loans from these prestigious organizations, special offers include;
- A reduced rate of Interest is offered for a Personal Loan from HDFC Bank, starting at 11.25% onwards.
- A discounted processing fee.
- Offer a reduced rate of Interest across all salary segments.
Personal Loan Terms For Doctors and Dentists From HDFC Bank
Doctors, Dentists are the most sought-after professionals. With a qualification degree that ensures the stability of employment and income, they are prime customers for all Banks. HDFC Bank processes Personal loan applications from Doctors and Dentists under the Business loans category.
All Medical practitioners with the following degrees can apply under this category.
- Super Specialist Doctors (MD/DM/MS)
- Graduate Doctors (MBBS)
- Dentists (BDS/MDS)
- Ayurvedic and Homeopathic Doctors: BHMS/BAMS
Finance is offered via a Personal Loan to be used by doctors for professional and personal uses. Self-employed medical practitioners can use the funds via a Personal Loan for business purposes such as buying medical equipment, business expansion, or funding the daily running of the business
Salaried & self-employed Doctors can use finance from a Personal loan for any Personal use such as Home renovation, Family vacations, Wedding expenses, or emergency usage.
The benefits of a Personal loan for Doctors from HDFC Bank are the following:
- The enhanced loan amount can be up to ₹40 lakhs.
- Tenure from 12 to 60 months is available to repay the Personal Loan.
- A special rate of interest & processing fees is applicable across all loan amounts.
- In addition, HDFC Bank provides priority processing and convenient documentation.
Personal Loans for The Indian Defence Forces from HDFC Bank
HDFC Bank is undoubtedly the Leading Bank for the distribution of Personal Loans! With a broad reach and efficient systems, it has created many milestones. Paying tribute to our forces that put duty & sacrifices above all, HDFC Bank is the only institution that offers the advantage of a Personal Loan for our Defence force.
Financial assistance is now readily available via a Personal loan from HDFC Bank to all serving persons of the Indian Defence forces.
The Advantages of a Personal Loan for Defense Forces from HDFC BANK
- HDFC Bank now approves personal loans across all Army, Navy, and Air
- ranks: including the CRPF, CISF, SSB, and ITBP & BSF employees in the Defence category.
- Special discounts on the interest rate with a 16% reduction rate are applicable across all ranks.
- Nil charges for processing
- Unique options include flexible payback options with a Tenure of 12 to 72 months.
Salient Features of a Personal Loan for Defence Forces from HDFC BANK
- The Personal Loan Applicant from the Indian Defence should be above 25 years of age.
- Net salary credited to the Bank account should be above 25k.
- The amounts sanctioned are from 50k to 20 lacs.
- CIBIL Score is not mandatory.
Personal Loan offers for Government Employees from HDFC Bank.
An employee of the Central or State Government of India can look forward to a stable career and a regular income. Hence HDFC Bank offers a Personal Loan to all strata of government employees under a particular category.
Personal loans are available to Government employees as per the following segment.
Public sector Undertakings (PSUs) or CPSEs
Leading PSUs are the prime focus for all Banks; they are fast-growing companies with high-profit turnovers. HDFC Bank offers Employees of these companies increased loan amounts with best-in-class interest rates.
The Department of Public Enterprises issues guidelines for categorization in categories I & II based on their financial performance, net worth, revenue, and profit as MAHARATNA, NAVRATNA, MINI RATNA
- HDFC Bank offers a Rate of Interest as per the net salary of the applicants employed in the above companies.
- The rate of Interest offered is from 11.49% to 13.99% @ reducing balance, with a processing fee of 1.5% of the loan amount.
Central /State Government Employees.
All staff directly employed with Central Ministries & State Ministry is included in this category: state-sponsored Universities, colleges, hospitals, and Institutes given the status of government employees. HDFC Bank has instated categories as per the income of Government employees for loan amount & rate of Interest applicable.
- HDFC Bank categorizes government employees as category G.A., G.B., & G.C.
- The minimum salary required is 24k.
- The rate of Interest offered is from 15.5% to 17.25%.
- Processing fees applicable are from 1.75% to 2% on the loan amount disbursed.
Indian Railways
The Indian railways are the fourth largest Rail network in the world. It is Part of the government sector under the Ministry of Railways: with the Gazetted Staff of the Indian Railway included in the particular government category for Personal Loans.
HDFC Bank offers personal loans to railway employees under the following criteria:
- The minimum salary required for an employee in the railways is 25k
- The rate of Interest offered is from 14.99% to 16.99% @ reducing balance.
- Processing fees of 1.5% of the loan amount.
HDFC Bank Personal Loan Scheme For 'PENSIONERS'
With the changing lifestyles & skilled medical facilities available today, people are leading active lives post-retirement age, which has just become a number.
After a prestigious career, State & Central government service employees can lead a comfortable life with a regular Pension amount which has been enhanced manifold after the 7th pay commission.
As a first from any Bank, HDFC Bank now offers Personal Loans to pensioners up to 65 years!
Pensioners can now fulfill any dream or ambition like traveling, redecorating their homes, or just treating themselves to an updated gadget or appliance with easy and convenient Personal loans from the HDFC BANK.
Under this Special Scheme, the criterion for availing of a Personal Loan is as follows;
- Employees covered under this scheme are Central & State Government Pension Holders and Defence Pension Holders.
- The maximum Age Limit at the time of completion of the Loan is 65 years.
- The minimum Loan amount sanctioned is ₹ 50k.
- The maximum loan amount sanctioned is ₹ five lakhs.
- The minimum tenor for repayment of the Loan amount is 12 months.
- The maximum tenor for repayment of the Loan amount taken is 36 months.
- Contact with the Applicant in Person is mandatory during the current/permanent verification.
- Credit Protect Insurance is mandatory for all Pensioner cases.
Personal Loan Products from HDFC Bank
Fresh Personal Loans for Salaried
First-time personal loan seekers are eligible for a Personal loan from HDFC Bank, provided they meet the eligibility criteria. Having a previous credit history or a CIBIL score is not mandatory. In addition, the Applicant's profile must justify why the Applicant has yet to use any credit.
The loan amount sanctioned to an applicant without a credit history is restricted as the Bank will want to ensure that the Applicant can handle credit successfully & will make the repayment timely.
HDFC Bank gives a facility of taking a Personal loan to all categories of salaried employees as per the policy of the Bank. Therefore, it is wise to initiate a relationship with the Bank by taking a credit card or operating a salary account to avail of a Personal Loan when required quickly.
Personal Loan Top-Up from HDFC Bank
A Personal loan Top Up is an additional loan amount based on an existing Personal Loan. For example, HDFC Bank provides an existing Personal loan customer with an extra amount when required as a Top Up.
The Applicant must be eligible to pay the additional amount added to the current Instalment as per the net income, or 3 EMIs are paid before an applicant can apply for a Personal Loan Top Up.
Once the amount required as a Top Up is approved, the existing Personal Loan is closed, creating a new loan with the additional amount. The term & conditions of the new Loan are as per the current policy of HDFC Bank and the reworked EMI and tenure after signing an agreement for the new Loan and transferring the additional amount to the salary account of the Applicant.
If the Applicant has been paying the EMIs timely, a Top Up is a quick way to get funds and the Applicant has the convenience of a single Emi for the total loan amount.
The Parallel Personal Loan from HDFC Bank
An applicant with an existing Personal Loan from HDFC Bank can take a secondary loan granted to the Applicant based on the current eligibility. It will run as an independent or a Parallel loan.
The timely repayment track of the existing personal Loan will enable the Applicant to avail of another from HDFC Bank easily. Rather than change the EMI of the previous Loan, the Applicant can apply for a new loan approved as per the current obligations & profile of the Applicant, and the Parallel Loan will run as a separate entity with no relation to the existing Loan.
The benefits of a parallel loan are that the customer can close the previous loans when he wishes & can take additional amounts when required without disrupting the tenure or track of the pre-existing loans.
An applicant can avail of up to 3 parallel loans from HDFC Bank.
Golden Edge Personal Loan from HDFC Bank
The Golden Edge Personal loan from HDFC Bank is a product designed to meet the requirements of Elite clientele with an income of 75k & above.
Applicants needing loan amounts of ₹ ten lakhs and above can apply under this program, an exclusive product for high-income customers who are to be served on a priority basis by HDFC Bank.
By filling in a unique application form for the Golden Edge, Personal loan applicants expedite the process and can receive funds within 72 hours.
As they are priority clients for the HDFC Bank, special privileges are provided, such as:
- HDFC Bank provides quick & personalized processing of Golden Edge Personal Loan applications.
- A minimal interest rate of 10.49% is applicable for Loan amounts of 10 lakhs and above.
- Processing fees are applicable at a flat of ₹ 4500/-.
- HDFC Bank waives the Pre-closure & Part payment charges of the Golden Edge Personal Loan.
Balance Transfer of a Personal Loan to HDFC Bank
HDFC Bank is the primary Bank offering to transfer their existing Personal Loan to applicants running a Loan from an alternate Bank. Balance transfer of a Personal Loan involves the takeover of an existing Personal Loan: HDFC offers to take over the Personal Loan of all customers with good repayment records.
The Applicant's profile seeking a Balance transfer of his Personal Loan to HDFC Bank must meet the Bank's eligibility criteria: and fulfill the existing Loan's pre-closure terms before an applicant can apply for a Balance transfer.
HDFC Bank offers the following benefits to all applicants applying for a Balance transfer of their Loan:
- HDFC Bank provides the industry's best terms & conditions for processing a Personal Loan.
- A rate of Interest starting from 10.50% for the Personal Loan transferred to HDFC Bank.
- Processing fees of ₹4999/- only.
- HDFC Bank will charge the same lowered interest rate for the additional loan amount.
Below is the Documentation required to process a Your Loan from HDFC Bank
Income Documents
Salary Slip for the last three months
The bank statement from the salary account for the last three months shows three salary credits.
Form 16 for the last financial year.
Pan card copy
KYC Documents
Photo Identification proof. (Passport/Driving Licence/Voter I.D./Aadhaar Card/Ration Card)
Current Address Proof. (Bank Statement, Utility Bill, Rent Agreement)
Company I.D.
91-9711165183
