A personal loan is a sum secured from financial institutions for nearly any purpose.

Have you faced a sudden medical emergency? Is your home in desperate need of renovation? Is there a wedding around the corner? Well, you can take care of these expenses with personal loans. It provides funds to fulfil consolidate debt, and personal expenses, ease liquidity crunch, or any other financial requirement.

Simply put, a personal loan is your best financial recourse that is easily available, provided you have a healthy financial standing. Even so, they come with interest rates and fees that could be hard on your wallet.

Fortunately, you have various banks offering personal loans at competitive interest rates, making things easier for you.

Keep reading to learn about personal loans with a specific focus on the Indian Overseas Bank personal loan.

What is a Personal Loan?

A personal loan enables you to borrow a lump sum of money for your needs and repay that amount in regular instalments or payments over time. It requires no collateral or security and is sanctioned with minimal documentation.

Here are some of the main benefits or features of personal loan that makes them a lucrative choice:

• Hardly any constraint on the allocation of funds secured
• Unsecured loan with no need to pledge anything as security or collateral
• Quick approval of a loan with low documentation and an online process
• Flexible tenure of repayment of up to 60 months or as per your convenience
• No hidden fees or charges involved in loan sanction

Now that you know what a personal loan is, let’s look at the IOB personal loan.

Indian Overseas Bank Personal Loan: Eligibility and Interest Rates

Indian Overseas Bank is a reputed banking institution that offers personal loans for social and financial commitments. Loan amounts usually depend on the salary of an individual.

• The highest loan amount is ten times your salary or INR 15,00,000 lakhs if your salary is directed or directly remitted through the loan granting branch
• For others, it is five times their salary or INR 1,00,000, whichever is less
• The maximum loan amount for LIC agents is up to ten times the average monthly commission of INR 10,00,000 lakh, whatever is less

Specific Eligibility Requirements

Individuals from the private sector, public sector, and various other corporates, companies or industries can avail of the Indian Overseas Bank personal loan. LIC agents are also permitted to apply for the loan. Some other specific eligibility requirements to meet are:

• Employees must have an active savings account with Indian Overseas Bank in the branch that is issuing loans
• Salaries must be directed through the loan-issuing branch savings account
• A letter from the employer that underlines the deduction of an instalment from the salary of the employer every month till the loan tenure
• Another letter from the employer underlining dues recovery through the individual’s terminal benefits in case of retirement, resignation, or death

Interest Rate

Let’s see the IOB personal loan interest rate for individuals and companies:

Summing Up

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Frequently Asked Questions

1. What Is The Personal Loan Interest Rate In IOB?

Indian overseas bank offers personal loans with an interest rate ranging from 12.50% – 13.50% p.a. Moreover, loan-seeking individuals will get low processing charges and quick approval.

2. How Do Banks Calculate Personal Loan Eligibility?

Different loan lending institutions provide use other methods to calculate loan eligibility. Most banks will consider your income, credit score, and fixed obligations, such as EMIs of existing debts, before providing you with the loan amount.

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