State Bank of India (SBI) Personal Loans

SBI Xpress Credit Personal Loan

Interest Rate
11.25% - 15.15%

Processing Fee
1.01

Tenure
1 - 5 Years

SBI Pension Loan

Processing Fee
0.51

Tenure
1 - 5 Years

SBI Personal Loan

SBI is one the leading and most trusted bank of India, offers personal loans from minimum Rs. 25,000 to maximum Rs. 15 Lacs. However, an applicant is limited to avail the loan amount as high as 24 times of his/her Net Monthly Salary only and maximum 12 times of Net Monthly Salary if applicant is working as a teacher in a school.


Why SBI is a good fit for you?

Permanent & NPEs (Non-Permanent Employees) – SBI is a good fit for you if you are permanent and non-permanent employee working in any government organization, be it central government, state government or quasi government and offering personal loan of up to Rs. 15 Lacs with low interest rates.

School Teachers – SBI is a suitable bank to go for personal loan if you are teacher working in a public school. Being a teacher, you can avail personal loan equal to your 12 months net monthly income or maximum Rs. 15 Lacs.

Have SBI Saving / Current Account – Being an existing Saving/Current Account holders, gives you the privilege of low interest rate than others and some other benefits like less documentation and pre-approved offers.

Employee in IT Sector – SBI can also be a good choice to go with if you're an salaried employee working in IT (Information Technology) sector. SBI offers a specific interest rate structure for employees of IT sector, ranging from 13.15% to 15.15% per annum.

SBI Personal Loan at a glance

Annual Interest Rate

10.75% - 15.15%

Loan Term

12 Months - 60 Months

Loan Amount

Rs. 25,000 - Rs. 15 Lacs

Time of Funding

Usually within 2 to 3 days

After receipt of complete documents

Pre-Payment Charges

Zero to Upto 3% of the Loan Amount

Why Choose SBI?

Low Interest Rate – SBI offers low interest rate comparatively to many other Banks and FIs.

Low Processing Charges – The processing charges SBI levies on personal loan is equal to only 1% of the loan amount, which is quite low as compared to many other competing banks.

No Penal Interest if Part-payment EMI is due – SBI doesn't levies any penal interest charges on its personal loan customers if they are repaying their personal loan using part-payment method and have got their part-payment EMI delayed for any reason. However, you don't get this benefit if you're repaying your personal loan using regular monthly EMIs.

What to watch out for?

No Prepayment Allowed within 1st Year – When availing a personal loan from SBI, you should keep it in mind that SBI doesn't allowed prepayment until the first 12 EMIs of the loan is paid. So if you are planning to prepay your personal loan quickly then SBI can be a bad choice for you.

Compare SBI Personal Loans to Other Banks

Bank Name SBI HDFC Bank ICICI

Typical APR

10.75% - 15.15%

11.39% - 20.99%

10.99% - 22%

Loan Term

12 Months - 60 Months

12 Months - 72 Months

12 Months - 60 Months

Maximum Lending Amount

Rs. 15 Lacs

Rs. 50 Lacs

Rs. 20 Lacs

Processing Fee

1% of the Loan Amount

Up to 2.50% of the loan amount

Upto 2.25% per annum of the loan amount

Time to Funding

Within 2 to 3 days

Within 4 hours

Within 3 days

Pre-Closure

Zero to Upto 3% of the prepaid amount

2% to 4% of principal outstanding

5% per annum of principal outstanding

The interest rate SBI charges on personal loan is ranging between 10.75% to 15.15% per annum, which is quite low as compared to many other competing banks offering today such as HDFC Bank levies an interest rate of 11.39% to 20.99% per annum and ICICI Bank levies rate of interest between 10.99% to 22% per annum. As far the processing fee is concerned, SBI only levies 1% of the loan amount whereas other banks like HDFC charges a fee of up to 20.50% of the loan amount and ICICI charges a processing fee of upto 2.25% of the loan amount.

The repayment period of 12 months to 60 months, offered by SBI Bank is standard term offered by many other banks; However, many other banks and FIs like HDFC and Bajaj Finserv offers longer tenure than this. HDFC Bank offers personal loan for tenure as long as 72 months from the date of loan sanction and Bajaj Finserv offers tenure as long as 96 months.

As far the preclsoure fee is concerned, SBI allows preclosure either in full or part after full repayment of first 12 EMIs and charges a fee equal to 3% of the prepaid amount. The preclosure fee that other competing banks and FIs charges are quite high as compared to SBI. Banks like HDFC and ICICI are charging preclosure fee as high as 4% to 5% on the principal outstanding amount.

 

Am I Eligible?

  • Minimum age of the applicant should be 21 at the time of loan application and Maximum age of the Salaried / Self-Employed Applicant should not exceed 65 years and 76 years in case of Pensioners, at the time of loan maturity.
  • Minimum stability of 1 year in current job and total work experience of 2 years is required.
  • Minimum net monthly income of Rs. 5,000 required for SBI Personal Loan in case the applicant have an existing account in SBI. Otherwise, a minimum net monthly income of Rs. 20,000 is necessary.

Loan Offerings

SBI Xpress Credit

  • SBI offers Xpress Credit personal loan for both Permanent Salaried and Non-Permanent Salaried applicants. A salaried applicant can be anyone, an employee of Central / State Government, Quasi-Government, Central / State PSUs, Educational Institutions of National Repute, Selected Corporates who have existing business relationship with the Bank and Corporates who do not have business relationship with the Bank as well as do not have ECR.
  • With SBI, a salaried applicant can avail minimum amount of Rs. 25,000 to maximum Rs. 15 Lacs. However, the maximum amount cannot be more than 12 times of Net Monthly Income for school teachers and 24 times of Net Monthly Income of other applicants. The funds can be availed for a minimum 12 months to maximum 60 months. Apart from it, an applicant doesn't need to provide any security or guarantee in order to be eligible for the loan. In this case the applicable interest rate will be charged based on the External Credit Rating of the employer and creditworthiness of the borrower.
  • Currently, SBI charges an interest rate of 11.25% to 14.25% to permanent salaried employees with check off facility i.e. where applicant has provided an authority to the bank to collect monthly EMI directly from their employers'. And, an interest rate of 11.75% to 14.75% for personal loan with no check-off facility.
  • The interest rate offered to non-permanent employees of Government, Central / State PSUs, Defence personnel, Educational Institutions of National Repute is ranging between 12.75% to 14.75% per annum. And for the employees of Co-operatives/ Institutions not covered under regular Xpress Credit loan scheme and Unrated Corporates is ranging between 13.40% to 15% per annum. Apart from it, SBI also offer a different interest rate structure for IT employees, ranging between 13.05% to 15.05% per annum. As far as the processing charges are concerned, SBI only charges a processing fee equal to 1% of the loan amount.
  • Documentation for Salaried Applicants:
    • Latest payslip / Form 16 / ITR copy as proof of income
    • Bank statement of the last 3 months
    • KYC Documents with Recent Passport Size Photographs
  • Documents required for Self-Employed:
    • Business Existence Proof
    • Copy of Profit & Loss Documents for last year
    • Bank statement of the last 3 months
    • KYC Documents with Recent Passport Size Photographs

SBI Xpress Elite

  • SBI is also offering a personal loan to borrower on the basis of the applicant having an existing SBI Salary Account Package or not. An applicant can avail personal loan of minimum Rs. 25,000 to maximum Rs. 15 Lacs, subject to maximum 24 times of the Net Monthly Income. If borrower is a school teacher by profession, then he/she can avail personal loan maximum upto 12 times of their Net Monthly Income only.
  • The interest rate charged in Xpress Elite personal loan varies depending upon the credit score of the applicant. An applicant maintaining SBI Salary Account with credit score of 800 or above is offered with an annual interest rate of 10.75%, applicant with credit score of 700 to 799 is being offered an interest rate of 11.25% per annum, an interest of 12.25% per annum to applicant maintaining a credit score of 600 to 699.
  • The applicants maintaining relationship with SBI other than SBI Salary Account Package can avail personal loan with an annual interest rate of 11% if maintaining a credit score of 800 or above, 11.50% per annum if credit score is between 700 to 799, and 12.50% per annum if credit score is between 600 to 699. The repayment period offered on Xpress Elite personal loan is same as Xpress Credit, ranging between minimum 12 months to maximum 60 months and charges a one time processing fee equal to 1% of the loan amount.
  • Documentation for Xpress Elite Loan:
    • Documents for SBI Salary Package A/c
    • Latest payslip / Form 16 / ITR copy as proof of income
    • Bank statement of the last 3 months
    • KYC Documents with Recent Passport Size Photographs

SBI Pensioner Loan

  • SBI also offers personal loan to pensioner including Defense pensioners and family pensioners. Currently, SBI offers a personal loan of minimum Rs. 25,000 to maximum equal to 18 Months' Pension. If pensioner age is 72 years at the time of loan sanction then the applicant can avail maximum Rs. 14 Lacs. If age is between 72 years to 74 years then the maximum loan amount is limited to Rs. 12 Lacs. The pensioner between the age of 74 years to 76 years can avail only maximum Rs. 7.50 Lacs.
  • In case of Defense Pensioners, an applicant is offered to maximum loan amount equal to 36 Months' Pension. A Defense Pensioner up to the age of 56 years can avail maximum Rs. 14 Lacs, subject to maximum 36 months pension. Defense Pensioner between the age of 56 years to 72 years can avail maximum Rs. 12 Lacs, subject to equal to 18 month pension. Defense Pensioner between the age of 72 years to 74 years can avail maximum Rs. 12 Lacs, subject to equal to 18 months pension. A defense pensioner between the age of 74 year to 76 years can avail maximum Rs. 7.50 Lacs or equal to 18 months pension.
  • In case of Family Pensioners, the maximum amount an applicant can avail is limited to 18 months' pension. If the applicant is 72 years at the time of loan sanction, the maximum loan amount is limited to Rs. 5 Lacs. A Family pensioner between the age of 72 years to 74 years can avail maximum Rs. 4.50 Lacs only and between the age of 74 years to 76 years is limited to only Rs. 2.50 Lacs.
  • The interest rate offered to pensioners including defense pensioner and family pensioner is 11.70% per annum with one time repayment period of 1% of the loan amount. And, the repayment period is minimum 12 months to 60 months.
  • Documentation for Pensioner Loan:
    • Copy of Pension Account Documents
    • Bank Account Statement for last 6 months
    • Signature Verification Proof
    • KYC Documents with Recent Photographs

SBI Personal Loan Rate of Interest

Personal Loan Type Applicable Interest Rate

SBI Xpress Credit Personal Loan for Permanent Employees

11.75% - 14.75% per annum if loan is availed under No Check-Off Feature

 

11.25% - 14.25% per annum if loan is availed with Check-Off Feature

SBI Xpress Credit Personal Loan for Non-Permanent Employees (NPEs)

12.65% - 14.75% per annum for NPEs of any Govt Organization or Educational Institutions of National Repute

 

13.40% - 15% per annum for NPEs of Co-operatives/ Institutions not covered under regular Xpress Credit loan scheme and Unrated Corporates

SBI Xpress Credit Personal Loan for IT Employees

13.15% per annum if Credit Score is 750 or Above

 

14.15% per annum if Credit Score is between 550 - 749

 

15.15% per annum if Credit Score is Less Than 550 or No Score

SBI Xpress Elite Loan

Personal Loan for Salaried Applicants having Existing SBI Salary Account

10.75% per annum if Credit Score is 800 and Above

 

11.25% per annum if Credit Score is 700 - 799

 

12.25% per annum if Credit Score is 600 - 699

SBI Xpress Elite Loan

Personal Loan for Self-Employed or Salaried Applicants not having Existing SBI Salary Account

11% per annum if Credit Score is 800 and Above

 

11.50% per annum if Credit Score is 700 - 799

 

12.50% per annum if Credit Score is 600 - 699

SBI Personal Loan for Pensioners (Including Defense and Family Pensioners)

11.70% per annum

How do I apply for SBI Personal Loan?

At Paisa

    • First of all, choose a certain scheme that suits your requirements as offered by SBI and mentioned above.
    • Once you have make up your mind to choose a particular scheme to go with, click on the "Apply Now" button to initiate the application process.
    • You'll be asked to provide certain information about yourself such as your DOB, Mobile Number and Email Address etc. Fill the details properly and submit the information.

After I Apply?

Check loan status

    • Click here to go to the tracking page of SBI to check the status of your SBI Personal Loan Application.
    • On the Status of Loan Application page, choose "Personal Loan" from the "Loan Product" drop-down menu.
    • Now, enter the Application ID that you might have received on your registered mobile number and email address.
    • Enter your date of birth from the drop-down selection.
    • And now enter the security code as shown in the image provided on the page and click on "Submit" button.

Once I'm Approved?

Receiving Personal Loan Sanction Letter

    • A digital copy of your personal loan welcome kit will be sent to your registered email address within 2 to 3 days from the date of loan disbursement.

Fees & Penalties

Type of Charge Applicable Charges

Processing Charges

1% of the loan amount

Prepayment Charges

3% on the prepaid amount

 

0% if loan is closed with the opening of new personal loan under the same scheme

Penal Charges

2% per annum over the overdue amount

 

0% if Part EMI is overdue

The processing charges levied by SBI on personal loan borrower are maximum 1% of the loan amount, whereas it's competing banks like HDFC and ICICI charges high processing fee as up to 2.50% of the loan amount and up to 2.25% of the loan amount respectively.

Apart from the processing charges, the prepayment charges that SBI levies are also way lower than private sector banks like ICICI. SBI only charges 3% on the prepaid amount for pre-closure and nil on personal loan for pensioners; However, you can only prepay your personal loan after the full repayment of first 12 EMIs. Whereas competitor banks like ICICI charges high pre-closure fee equal to upto 5% of the principal outstanding but allows to prepay personal loan anytime with foreclosure method. The part-payment closure is not allowed in ICICI as compared to SBI.

The other best thing about SBI is the flexibility on penal interest. If you're prepaying your personal loan using part-payment method and got your Part-payment EMI delayed for any reason, then you don't need to pay any penal interest on your late EMI; However, if your EMIs got delayed during the repayment of the personal loan using regular monthly EMIs, then an additional interest rate of 2% per annum will be levied on you for every month until the late EMI is cleared in full.

FAQs

How much time it will take for the approval of Personal Loan?

It will take at least 2 to 3 days for the approval of SBI Xpress Credit Personal Loan.

Is there any special benefit on availing SBI Xpress Credit Personal Loan?

You don't have to pay any prepayment charges if the account is closed from the proceeds of a new loan account opened under the same scheme.

Do I have to provide any security to avail SBI Personal Loan?

Security is only necessary in case of SBI Personal Loan for Family Pensioners, where you have to provide a third-party guarantee of Spouse eligible for family Pension. In the absence of spouse, third-party guarantee of any other family member worth the loan amount.

Can my spouse's income be included when calculating the eligible loan amount for SBI Personal Loan?

Yes, the income of your spouse can be included in case he/she guarantees the loan or the loan is applied jointly.

How much Monthly EMI I would have to pay on my SBI Personal Loan?

In any case Monthly EMI should not be more than 40% to 50% of the Net Monthly Income of the applicant.

Do I have to pay any penalty if my monthly EMI got late? What would be the applicable charges in this case?

Yes, SBI would charge a late payment fee equal to the 2% of the overdue amount per annum from the payment due date to the date on which the amount is settled in real.

In case, Part EMI remains overdue then late payment fee or penal interest should not be charged to the borrower.

Who can apply for SBI Personal Loan?

SBI provides Personal Loan as per the following terms –

  • Salaried applicants who are employees of the below entities.
    • Central and state Government
    • Quasi-Government
    • Central PSUs and Profit making State PSUs
    • Educational Institutions of National Repute
    • Selected Corporates who have business relationship with the Bank
    • Corporates who do not have business relationship with the Bank as well as do not have ECR, subject to certain terms and conditions
  • Pensioners of the State or Central Government.
  • Defence Pensioners
  • Family Pensioners including Defence Family Pensioners.