Looking for the lowest personal loan rates in India 2026? Here are the best banks for personal loans with low interest rates, fast approval, and flexible EMIs to help you borrow smarter.
Are you searching for lowest personal loan rates in India 2026 or trying to find the best bank for personal loan in India? Choosing the right lender is important because different banks and NBFCs offer different interest rates, which directly affect your EMI and total repayment amount.
A personal loan is one of the most flexible credit options in India that helps you manage medical emergencies, weddings, travel, education, or other expenses without collateral. That is why finding best low interest personal loans and comparing banks with lowest interest rates becomes very important.
In this guide, we compare the best banks for personal loans with low interest rates so you can choose the best bank loan based on interest rates, approval speed, and eligibility.
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Looking for the lowest interest rate? Compare personal loan offers from leading banks and NBFCs in minutes.
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What is a Personal Loan?
A personal loan is an unsecured loan offered by banks and financial institutions without requiring any collateral or security. It is based on your income, credit score, employment history, and repayment capacity.
You can use a personal loan for:
- Medical emergencies
- Wedding expenses
- Travel or vacation
- Home renovation
- Debt consolidation
- Education or skill development
How to Choose the Best Personal Loan Bank?
Before applying, compare:
- Interest Rate (lower is better)
- Processing Fees
- Loan Tenure
- Credit Score (750+ ideal)
- Prepayment Charges
You can review banking regulations and borrower information on the official Reserve Bank of India (RBI) website.
Which Bank Has the Lowest Interest Rate for Personal Loan in India?
Many users search which bank has the lowest interest rate for personal loan or which bank gives lowest interest rate for personal loan. The truth is that interest rates depend on your profile, but some banks consistently offer competitive rates.
10 Best Banks for Personal Loans in India 2026
Here is a detailed list of the most trusted banks offering competitive personal loan interest rates in India.
1. HDFC Bank
HDFC Bank is one of the leading private banks in India, known for fast processing and attractive interest rates.
Key Features:
- Interest Rate: 12% per annum
- Loan Amount: Up to ₹10 lakh
- Tenure: 12 – 60 months
- Processing Fee: Low
- Quick approval process
- Minimal documentation
Best For:
salaried professionals looking for a best bank for personal loans
Ready to apply?
Check your eligibility and apply for an HDFC Bank Personal Loan online.
2. ICICI Bank
ICICI Bank offers instant personal loans with digital approval facilities.
Key Features:
- Interest Rate: 10.65% onwards
- Loan Amount: Up to ₹50 lakh
- Tenure: Up to 72 months
- Processing Fee: Up to 2% of loan amount
- Fully digital application process
- Pre-approved offers available
Good option for best personal loans with low interest rates
Best for:
Salaried professionals looking for instant approval.
3. State Bank of India (SBI)
SBI is the most trusted public sector bank in India with competitive interest rates.
Key Features:
- Interest Rate: 11.15% – 15.30%
- Loan Amount: Up to ₹35 lakh
- Tenure: Up to 72 months
- Processing Fee: Low
- Government-backed trust
Ideal for which bank is best for personal loan
Best for:
Government employees and salaried individuals
4. Axis Bank
Axis Bank is known for flexible loan options and quick disbursal.
Key Features:
- Interest Rate: 10.75% onwards
- Loan Amount: Up to ₹40 lakh
- Tenure: Up to 60 months
- Processing Fee: Up to 2% of loan amount
- Instant approval for eligible customers
Suitable for low interest rate personal loan bank
Best for:
Customers looking for quick loan disbursal
5. Kotak Mahindra Bank
Kotak Bank offers competitive rates and easy eligibility criteria.
Key Features:
- Interest Rate: 10.99% onwards
- Loan Amount: Up to ₹35 lakh
- Loan Tenure: Up to 6 years
- Processing Fee: Up to 3% of loan amount
- Quick digital process
Good for bank with lowest personal loan interest
Best for:
Borrowers seeking flexible eligibility criteria
6. Bank of Baroda
A strong public sector bank offering affordable loan options.
Key Features:
- Interest Rate: 10.50% – 18.50%
- Loan Amount: Up to ₹20 lakh
- Tenure: Up to 84 months
- Processing Fee: Nominal
- Special offers for salaried employees
Useful for lowest personal loan interest rates
Best for:
Salaried employees looking for affordable loans.
7. Punjab National Bank (PNB)
PNB offers reliable and budget-friendly loan options.
Key Features:
- Interest Rate: 10.40% – 15.50%
- Loan Amount: Up to ₹20 lakh
- Tenure: Up to 60 months
- Processing Fee: Low
- Government-backed security
Good for which loan has low interest
Best for:
Customers preferring public sector banks
8. IDFC FIRST Bank
IDFC FIRST Bank is known for digital lending and customer-friendly policies.
Key Features:
- Interest Rate: 9.99% onwards
- Loan Amount: Up to ₹10 lakh
- Tenure: Up to 60 months
- Processing Fee: Up to 2% of loan amount
- Instant digital approval
Best for lowest personal loan rates in India
Best for:
Digital-first borrowers needing fast approval
Ready to apply?
Check your eligibility and apply for an IDFC FIRST Bank Personal Loan online.
9. IndusInd Bank
IndusInd Bank offers premium personal loan services.
Key Features:
- Interest Rate: 10.75% onwards
- Loan Amount: Up to ₹50 lakh
- Tenure: Up to 72 months
- Processing Fee: Up to 3% of loan amount
- Flexible repayment options
- Quick approval process
Suitable for best bank loan
Best for:
High-income professionals and premium customers
10. Bajaj Finserv (NBFC)
Bajaj Finserv is one of the most popular NBFCs in India.
Key Features:
- Interest Rate: 11% – 32%
- Loan Amount: Up to ₹55 lakh
- Tenure: Up to 96 months
- Processing Fee: Up to 4% of loan amount
- Instant approval and disbursal
- High loan eligibility
Good for lowest personal loans
Best for:
Individuals seeking high loan amounts and quick approval
Read also: Personal Loan vs Credit Card Loan – Which is Better?
Comparison Table
| Bank | Interest Rate | Loan Amount | Type |
|---|---|---|---|
| HDFC Bank | 10.5%+ | Up to ₹40L | Private |
| ICICI Bank | 10.65%+ | Up to ₹50L | Private |
| SBI | 11.15%–15.30% | Up to ₹35L | Public |
| Axis Bank | 10.75%+ | Up to ₹40L | Private |
| Kotak Bank | 10.99%+ | Up to ₹40L | Private |
Compare Personal Loan Rates from Top Banks
Compare interest rates, EMIs, and eligibility from multiple lenders before applying.
Eligibility for Personal Loan in India
To apply for loans from the Top 10 Best Banks for Personal Loans with Low Interest Rates in India 2026, you must:
- Be 21 to 60 years old
- Have stable income
- Maintain good credit score (700+)
- Be an Indian citizen
- Have job stability
Documents Required
- Aadhaar Card
- PAN Card
- Salary slips (3 months)
- Bank statements
- Address proof
Tips to Get Lowest Interest Personal Loan
- Maintain credit score above 750
- Apply with stable income proof
- Avoid multiple loan applications at once
- Choose shorter tenure if possible
- Use pre-approved offers
Check your credit score on CIBIL before applying for lowest personal loan rates: https://www.cibil.com
Before applying, compare offers from multiple lenders to find the lowest interest rate and best EMI option.
Conclusion
Finding the best bank for personal loan in India depends on your financial profile and borrowing needs. If your goal is to identify which bank has the lowest interest rate for personal loan, you should always compare interest rates, processing fees, loan tenure, and eligibility before applying.
Whether you are looking for fast approval, high loan amount, or lowest personal loan rates, choosing the right lender helps you save money and reduce EMI burden over time.
It is also recommended to check your credit score before applying. A good credit score improves approval chances and helps you get best low interest personal loans from top lenders.
Check your credit score here before applying: https://www.cibil.com
Always compare different banks before applying to find the best bank for personal loans with low interest rates in India.
Disclaimer & Affiliate Disclosure
This article is for informational and educational purposes only and does not constitute financial advice. Personal loan interest rates, fees, eligibility criteria, loan amounts, and terms may change over time and may vary based on individual applicant profiles. Please verify the latest details with the respective lender before applying. Some links in this article may be affiliate links, and SujeetFinanceHub may earn a commission if you apply through them at no additional cost to you.
Read more:
- Best Credit Cards for Beginners in India 2026
- Calculate Home, Car, and Personal Loan EMIs Instantly
- Fixed vs Floating vs Hybrid Home Loan Interest Rates
- The 5/20/30/40 Rule: Smart Way to Avoid Home Loan Stress
FAQs
1. Which bank has the lowest interest rate for personal loan?
IDFC FIRST Bank, ICICI Bank, SBI, and HDFC Bank are among the most competitive.
2. Can I get a personal loan without a salary?
Yes, but approval is easier for salaried or self-employed individuals with steady income.
3. What credit score is required for a personal loan?
A score above 750 is considered ideal for low interest rates.
4. Which is better: bank loan or NBFC loan?
Banks usually offer lower interest rates, while NBFCs provide faster approval.
5. How fast can I get a personal loan?
Some banks offer instant approval and disbursal within 24 hours.
6. Which bank is low interest for personal loan?
Banks such as IDFC FIRST Bank, ICICI Bank, SBI, and HDFC Bank often offer competitive personal loan interest rates to eligible borrowers.
7. Which bank has lowest personal loan interest rate?
The lowest personal loan interest rate varies by applicant profile, but IDFC FIRST Bank is often among the lenders offering some of the lowest starting rates.
8. Which bank is best for personal loan in india?
The best bank depends on your needs. HDFC Bank and ICICI Bank are popular for quick approval, SBI is trusted for competitive rates, and IDFC FIRST Bank is known for attractive starting interest rates.
9. Which loan has low interest?
Bank personal loans usually have lower interest than credit cards.
10. Which bank gives lowest interest rate for personal loan?
It depends on credit score, but leading banks offer competitive rates.