Personal loan interest rates in India
Personal loan interest rates in India today range from about 10.5% to 24% p.a. Your actual rate depends on your credit score, employer, and existing banking relationship. Below is the rate table across major banks as published on their official product pages.
By Aditi Menon·Editor-in-Chief·reviewed by editor
Last updated: 15 June 2025
Interest rate comparison
| Bank | Starting rate | Ceiling | Processing fee |
|---|---|---|---|
| HDFC Bank | 10.75% p.a. | 24% p.a. | Up to 2.5% (₹25k cap) |
| SBI (Xpress Credit) | 11.15% p.a. | 14.30% p.a. | 1.5% (₹15k cap) |
| ICICI Bank | 10.85% p.a. | 16.5% p.a. | Up to 2.5% (₹25k cap) |
| Axis Bank | 10.99% p.a. | 22% p.a. | Up to 2% (₹10k cap) |
| Kotak Mahindra | 10.99% p.a. | 24% p.a. | Up to 3% |
| IndusInd | 11.25% p.a. | 25% p.a. | Up to 3.5% |
| Bajaj Finserv | 11% p.a. | 38% p.a. | Up to 3.99% |
| Yes Bank | 10.99% p.a. | 20% p.a. | Up to 2.5% |
What moves the rate you're quoted
- Credit score - 750+ typically gets the starting rate; below 700 pushes 200-400 bps higher
- Employer category - listed corporates and PSUs get better rates than SMEs or startups
- Existing banking relationship - salary account or existing loans with the bank helps
- Loan amount and tenure - larger loans and shorter tenures see slightly lower rates
- Location - metros and Tier-1 cities generally see marginally better rates
Reducing balance vs flat rate
All banks in this table quote reducing balance interest rates - the fair way to compute. Avoid any NBFC or fintech quoting "flat" rates, which look lower but are effectively 1.7-1.9x the reducing rate equivalent.
How to negotiate down
- Compare quotes in writing from 2-3 banks before signing
- Highlight your existing salary account or long tenure with the bank
- Ask for a lower processing fee if the rate is fixed
- Time the application during festive campaigns (Sep-Nov, Jan-Mar) when banks push rate promos