A personal loan, which helps you get money for a medical emergency, wedding, home renovation and other purposes, is available at several banks including Bank of Baroda. Bank of Baroda Personal Loan has many advantages over other types of credit. Firstly, you don’t need any collateral to get a loan, which means your assets are saved from the consequence of non-payment should it be the case later. Whether you’re salaried or self-employed, you can apply for a personal loan as long as you have a regular income. Plus, there is minimal documentation and speedy processing service of Bank of Baroda. With an attractive Bank of Baroda Personal Loan Interest Rate starting from 10.50% per annum, you can get to pay affordable EMIs. The lowest rate applies to customers having a banking relationship with Bank of Baroda for at least six months. Other bank customers will get a Bank of Baroda Personal Loan Interest Rate starting from 12.50% per annum. Read this page below to know more about it.
How is the Bank of Baroda Personal Loan Interest Rate Determined?
For existing customers having account relationships with Bank of Baroda for a minimum of 6 months, the rate will apply this way. The Baroda Repo Linked Lending Rate (BRLLR – 6.50%) + SP (.25%) + 3.25% to BRLLR + SP + 6.85%. For other bank applicants, BRLLR + SP + 5.25% to BRLLR + SP + 8.85%. For the employees of Central, State Government, Autonomous Bodies, Public, Joint Sector Undertakings and Educational Institutions with one year of service and having a salary account in Bank of Baroda = RLLR + SP + 3.25% to BRLLR + SP + 6.85.
What Factors Will Impact the Bank of Baroda Personal Loan Interest Rate?
Below are the factors that can affect your loan interest rate. So, be mindful of those while applying for a Bank of Baroda Personal Loan.
Age – If you’re 21 years old, you are eligible to apply for a personal loan. And this is because, at that age, you would most likely be having a regular flow of income. The maximum age permitted for Bank of Baroda Personal Loan application is 60 years for salaried and 65 years if you’re self-employed.
Work experience – You need experience in your job or profession to borrow money from Bank of Baroda. Employees of central, state government, autonomous bodies, public, joint sector undertakings, public limited companies, MNCs and educational institutions with minimum service for one year are eligible for the Bank of Baroda Personal Loan. Employees of proprietorship, partnership firms, private limited companies and trusts should have a minimum and continuous service of one year. If you’re an insurance agent, you must be doing business for the last two years at least. Self-employed professionals such as doctors, tech and management consultants, engineers, architects, interior designers, practicing company secretaries, etc. should have a minimum of a 1-year stable business. Whereas a self-employed business person must have been in the business for at least a year.
Reaction with the Bank of Baroda – Applicants who have a relationship with the Bank of Baroda can get a lower Bank of Baroda personal loan interest rate on their loan amounts compared to applicants who have a relationship with other banks for at least six years.
Repayment capacity – Bank of Baroda seeks a minimum of 60% of gross monthly income (GMI) for Employees of Central, State Government, Autonomous Bodies, Public, Joint Sector Undertakings and Educational Institutions. In the case of others, the GMI should be 40% if the salary is less than INR 75,000, 50% of GMI in the case of salary of INR 75,000 and above but less than INR 2,00,000, 60% of GMI for an income of INR 2,00,000 and above.