Personal Loan Interest Rates 20201690 views
- Sponsor your trip with a personal loan from HSBC Bank.
- HSBC Bank is now offering highest loan amount on personal loans.
A personal loan from HSBC Bank can prove to be your best companion to fund your plans. If you are planning to go on a trip this summer, you can apply for a personal loan at HSBC Bank. The maximum loan amount you can get on the loan is one of the highest you can get. The loan amount ranges from INR 75,000 to INR 30 lakh which is not only enough for a small trip, but you can even plan a big international holiday with your family. So, read the details of the loan to apply for it. You can also compare different rates to get an idea on the payments you will have to make.
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Table of Contents
HSBC Bank Personal Loan Interest Rates July 2020
|Interest Rates||10.50% - 17.84%|
|Loan Amount||INR 75,000 - INR 30 lakh|
|Repayment||12 months-60 months|
|Processing Fee||Up to 1% of the loan amount|
|Prepayment Charges||Up to 3.75% of the principal outstanding|
What is the processing fee for personal loans?
On a personal loan, HSBC Bank has the processing fee of maximum 2.50% of the loan amount. The amount is deducted from the disbursed loan amount at the time of loan approval. You also have to pay the additional GST of 18% on this fee which altogether is a one-time payment.
What is the trick to get the lowest rate?
As such you can not push the lender to give you the desired rate. The fact is that the lender takes into account some factors based on which it approves the rate on a personal loan. The details considered include your age, monthly income, savings/investments, company category, credit history, any other loan EMI, and your relationship with the bank. The better your overall profile is, the higher is the possibility that you can get the lowest rate.
HSBC Bank Personal Loan Balance Transfer
You can use the balance transfer facility of HSBC Bank and save money on your existing loan. Before the transfer, you need to keep a few things in mind, the new interest rate must be lower than the current rate by at least 3%-4%. Also check how much is the balance transfer fee. See the example below to know how the transfer will work.
Example: If you have a personal loan of INR 6,99,000 at an interest rate of 17.00% per annum for 5 years. The loan has 2 years of its journey so far. If HSBC Bank offers you a balance transfer facility at a lower rate of 11.20% seeing your solid repayment track, how much will you save? Don’t fret, check the table below to know the same.
|Original Loan Amount||INR 6,99,000|
|Interest Rate||17.00% per annum|
|EMI @17.00%||INR 17,372|
|Estimated Interest Outgo @17.00%||INR 3,43,317|
|Interest Paid Till 2 Years||INR 2,05,182|
|Outstanding Balance at the End of 2nd Year||INR 4,87,254|
|EMI @11.20% for the Remaining 3 Years||INR 15,998|
|Interest @11.20% Over 3 Years||INR 88,683|
|Interest Paid Till Now + Interest Payable Over the Next 3 years||INR 2,93,865|
|Estimated Savings in Terms of EMI||INR 1,374|
|Estimated Savings in Terms of Interest Payment||INR 49,452 (3,43,317 - 2,93,865)|
Note: A nominal fee may be required by HSBC Bank to process your balance transfer request. Deduct that fee from the interest you are likely to save, as shown in the table above, to arrive at the resultant savings.