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State Bank of India Personal Loans Eligibility Criteria - A Snapshot

Sbi Personal Loan Eligibility

State Bank of India Personal Loans Eligibility Criteria - A Snapshot

Interest rate

Starting from 9.60% per annum

Loan Amount

Up to Rs. 20 Lakhs

Income Eligibility

Rs. 15,000 per month

Age Eligibility 

Minimum of 21 years and up to 58 years at the time of loan maturity

Repayment Tenure

Up to 72 months

Overview of Personal Loans from SBI

A personal loan is a form of financial assistance, offered by various banks and NBFCs, which can be utilised for personal needs like medical emergencies, higher education, marriage expenses, vacation plans and many more.

The State Bank of India, the largest banking entity in our country, provides customers with specially tailored personal loans. These personal loans are a huge benefit to customers when they are in immediate need of funds. SBI offers personal loans to its clients with various forms of uses. Users may learn from the SBI website the characteristics of these loans and refer to the plan that fits their needs better.

SBI provides one of the lowest personal loan interest rates. You get interests based on daily reduction balance, which significantly reduces your interest burden.

SBI personal loan can be availed either as a Term loan or an Overdraft facility. Individuals can opt the mode of loan disbursal to suit their needs.

Apart from a competitive rate of interest, SBI offers periodical offers to personal loan borrowers to reduce their EMI burden. The current interest rate on personal loans from SBI ranges from 9.60% - 16.60%

Types of Personal Loans offered by SBI

SBI offers a few different kinds of Personal Loans to its customers – 

  • SBI Xpress Credit
  • SBI Quick Personal Loan
  • Loans Against Securities
  • SBI Pension Loans
  • Pre - Approved Personal Loans on YONO

Who is eligible to apply for personal loans from SBI?

Since there are numerous personal loan products, the eligibility criteria differ for each product. Let us have a simple snapshot of the eligibility criteria for each personal loan product.

Product Name

Income Criteria

Age Criteria

Quantum of Loan

Repayment Tenure

Other Particulars

SBI Xpress Credit – For Individuals with Salary Account with SBI

Term Loans

Minimum monthly income of Rs. 15000

Salaried Individuals – 21 -58 years of age

Self Employed Individuals – 21 – 65 years of age

Minimum Loan Amount – Rs. 25,000

Maximum Loan Amount – Rs. 20 lakhs / 24 times NMI

The minimum repayment period is 6 months and the maximum repayment period is 6 years or the remaining period of service,  whichever is longer.

Prepayment charges of 3% on prepaid amount.

SBI Xpress Credit – For Individuals with Salary Account with SBI

Overdraft Facility

Minimum monthly income of Rs. 15000

Salaried Individuals – 21 -58 years of age

Self Employed Individuals – 21 – 65 years of age

Minimum Loan Amount – 5 lakhs

Maximum Loan Amount – Rs. 20 lakhs / 24 times NMI

The minimum repayment period is 6 months and the maximum repayment period is 6 years or the remaining period of service,  whichever is longer.

Employees working with

Central/ state/ quasi government,

Central PSUs and profit-making state PSUs,

Educational institutions of national repute,

Selected corporates with or without a relationship with the bank.

SBI Quick Personal Loan

Minimum monthly income of Rs. 15000

Salaried Individuals – 21 -58 years of age

Self Employed Individuals – 21 – 65 years of age

Minimum: Rs. 24,000

Maximum: Rs. 20,00,000 / 24 times NMI

The minimum repayment period is 6 months and the maximum repayment period is 6 years or the remaining period of service,  whichever is longer

Processing fee: 1.50% of the Loan Amount (subject to minimum ₹1000/- & maximum ₹15000/-) plus GST

Loans Against Shares

Based on the value of the security

NA

Minimum Loan Amount: Rs 50,000

Maximum Loan: Rs 20 lakhs

Demand Loan: To be liquidated in a maximum period of 30 months

Overdraft: 30 months (subject to renewal every year)

Processing Fee OD/DL: 0.75% of the loan amount + applicable GST subject to a minimum of Rs.1000 (Non-Refundable)

Loan Against Term Deposit

Demand Loan and Overdraft Facility up to 90% of Term Deposit

NA

Min amount of Loan (For Online Overdraft against Fixed Deposit): Rs 25000

Max amount of Loan (For Online Overdraft against Fixed Deposit): Rs 5 Crore

The maximum Repayment period has been capped at 5 years against STDR/e-STDR and 3 years against TDR/e-TDR respectively for Overdraft availed online.

Zero processing charges. 

No prepayment penalties.

Loan Against SBI Dual Advantage Fund

Single/Joint holder(s) of SBI DAF above 18 years of age

Minimum 18 years old

Minimum Loan Amount: Rs 25,000/-

Maximum Loan:

For DAF held in Demat form: Rs 20 Lakhs

For DAF held in Physical form: Rs. 10 Lakhs

Overdraft facility allows multiple repayments.

The Investor(s) should have an SB account of SBI.

The SB account and DAF should have an identical name and PAN number.

Factors affecting Personal Loan Eligibility at State Bank of India

While processing your loan, the bank looks into different factors that determine the loan amount you are eligible for and the interest rate offered to you. One should note that the loan amount and interest rate can be negotiated with the banker by undertaking specific steps that will increase your credibility with the banker. Here are some points to keep in mind before applying for a personal loan:

Maintain a Good Credit Score

Your credit score is a significant factor in determining your eligibility for SBI personal loans. A good credit score means that the history of repayments is good. There is a promise of a higher loan amount and lower interest rate. Banks view a higher credit score as a measure of your creditworthiness. This greatly influences the eligibility of your loan amount and interest rate.

The Loan Amount Sanctioned Depends on your Income 

A higher salary ensures that the debt is repaid on time. Banks offer better lending rates to persons with higher incomes. Banks often prefer salaried workers over self-employed people because wages mean that daily cash flow is earned from the account. However, self-employed professionals especially if they can show proof of income and a stable business.

Your Age is Important Too

The age of the borrower plays an essential role during the personal loan application process. The younger the creditor, the greater the number of years he would have to repay the loan. Personal loans will be made available to people who are 21 years of age. Unlike older candidates, loan sums and interest rates are very favourable for younger-generation applicants.

Type of Employment & Employer is taken into account

Jobs with a respectable firm will get you a good price on your SBI Bank Personal Loan interest rates. Several banks have a list of approved employers and respected entities they refer to when approving a loan. Jobs in these businesses come with job security and reduce the risk borne by the banker.

Customer Loyalty Matters

Preference is often provided to banking customers with a long-term relationship, relying on the fact that their credit record is easier to access. If you are a current SBI Bank customer, the bank will verify your account history, any recent credit or credit card charges and your general financial status. Therefore, for personal loans, existing customers are granted preferential interest rates.

Inclusion of a co-applicant on the loan

You should add a co-applicant to the loan if you have another earning member of the family so that their income is also taken into account when approving your personal loan application. When the income of both the applicants is entered, it results in a higher repayment capacity, and thus a lower interest rate is the result.

Present loans and liabilities

While determining your personal loan eligibility and interest rates’ eligibility, your present debts and commitments play an essential role. If you have existing loans or other obligations, the opportunity for repayment will be reduced. For the lender, this is considered to be a high-risk scheme. It would also put further pressure on the flow of cash. An individual with very low or no current liability is a preferred candidate for any bank.

What are the documents required to apply for SBI Personal Loan?

  • Income Proof: Latest Income Tax Return, Bank Account Statement of last six months, Latest month Salary Slip
  • 2-passport size photographs
  • KYC Documents: Proof of Identity & Proof of Address

Personal Loan Eligibility Calculator on CreditMantri

Though getting a personal loan from SBI is a cakewalk, borrowers must check the loan tenure and the monthly EMI amount. Personal loans are generally unsecured loans and hence come with a higher rate of interest. Applicants are advised to use the Personal Loan EMI calculator to determine the monthly EMI amount to determine if they can afford to make regular payments on their personal loans. Because defaulting on your loan repayments will harm your credit score and affect your future loan prospects.

A Personal Loan EMI calculator has three main components: 

  • The loan amount
  • The interest rate
  • The repayment tenure

You can enter the loan amount and the approximate interest rate in the respective fields. You then choose the repayment tenure, and the calculator will give you the approximate EMI amount.

You can adjust the loan amount, interest rate and the tenure to different values to get the corresponding EMI amount. This way, you can determine the most feasible loan amount and repayment tenure to meet your needs and repayment capacity.

FAQs – Personal Loan Eligibility – State Bank of India

1. Do I need to present some sort of security?

No security is needed to secure a personal loan.

2. Can a spouse’s income be added to avail the loan?

Yes, spouse’s income can be added provided he/she guarantees the loan or is the co-applicant.

3. What is the lowest interest rate I can get on State Bank of India Personal Loans?

As per the current market, the State Bank of India offers personal loans starting with an interest rate of 9.60%. As stated earlier, the number is determined based on various factors.

4. How can I get an instant loan from SBI?

To get an instant, pre-approved personal loan from SBI, you need to use the YONO app. Follow the steps below:

  • Step 1:Log inn to the YONO app or website
  • Step 2: Click on ‘Avail Now’ under Personal Loans
  • Step 3: Select your preferred tenure & amount.
  • Step 4: Enter the OTP sent to your mobile number.
  • Step 5: The loan amount is credited to your account.

5. What is the best interest rate I can get on my SBI Personal Loan?

SBI Personal Loan interest rates start from 9.60%.

6. What is the minimum income criteria to avail a personal loan from SBI?

The minimum income of the applicant should be Rs. 15,000 per month.

7. Is there a minimum employment history requirement to avail SBI Personal Loans?

Yes, you should have been in your current employment for a minimum of 1 year to avail SBI Personal Loans.

8. How long does it take for the personal loan to be processed?

SBI usually takes 2-7 business days to process the personal loan, upon submitting the duly filled application form along with all the required documents.

9. Do I need to present security for SBI Personal Loans?

No security is needed to secure a personal loan with SBI.

10. Is there any advantage to adding my brother as my co-applicant on the personal loan application, who is an employee with a reputed MNC?

A great deal, yes. Adding a co-applicant increases the chance of your State Bank of India Personal Loan getting competitive interest rates. A reputed employer may also get extra preference for you.

11. Do I have to be an existing customer of SBI Bank to apply for the personal loan?

No, you need not be an existing customer of the bank to apply for their personal loans.

12. Is my credit score mandatory to approve my SBI personal loan?

A significant factor in assessing your eligibility for SBI personal loans is your credit score. A good credit score means that repayment history is good. A higher loan amount and lower interest rate are promised. Banks regard a greater credit score as an indicator of creditworthiness. This significantly affects the eligibility of your loan amount and interest rate.

Latest & Update Sbi Personal Loan Eligibility News

Give a Missed Call to Get an Express Personal Loan from SBI10 Mar 2021

SBI has introduced a new personal loan scheme called SBI’s Xpress Credit Personal Loans. To avail of these loans, all that a customer has to do is give a missed call to 72089 33142 or send SMS PERSONAL to 72089 33145. Customers will get a call back f...

Read more

SBI has introduced a new personal loan scheme called SBI’s Xpress Credit Personal Loans. To avail of these loans, all that a customer has to do is give a missed call to 72089 33142 or send SMS PERSONAL to 72089 33145. Customers will get a call back from the customer care team to complete the loan process. The loan amount offered under this scheme ranges from Rs. 25,000 to Rs. 20 lakhs and the interest rates start from 9.60%. Individuals who have a salary account with SBI and earn a monthly income of Rs. 15,000 with income to EMI ratio less than 50% are eligible for loans under this scheme. Quick approval, instant disbursal of loan amount and minimal documentation is the highlight of personal loans under this scheme.

Give a Missed Call to Get an Express Personal Loan from SBI2 Mar 2021

SBI has introduced a new personal loan scheme called SBI’s Xpress Credit Personal Loans. To get this loan, all that a customer has to do is give a missed call to 72089 33142 or send SMS PERSONAL to 72089 33145. Customers will get a call back from the...

Read more

SBI has introduced a new personal loan scheme called SBI’s Xpress Credit Personal Loans. To get this loan, all that a customer has to do is give a missed call to 72089 33142 or send SMS PERSONAL to 72089 33145. Customers will get a call back from the customer care team to complete the loan process. The loan amount offered under this scheme ranges from Rs. 25,000 to Rs. 20 lakhs and the interest rates start from 9.60%. Individuals who have a salary account with SBI and earn a monthly income of Rs. 15,000 with income to EMI ratio less than 50% are eligible for loans under this scheme. Quick approval, instant disbursal of loan amount and minimal documentation are the highlights of personal loans under this scheme.

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