Q. What are my loan limits?

A. Minimum Loan amount: -

  • i. Term Loan: Minimum: Rs.25,000

  • ii. Overdraft: Minimum: Rs.5.00 lacs: The Overdraft will be subject to monthly reduction in Drawing Power so that Drawing Power becomes NIL in 72 months

B. Maximum Loan amount: -

24 times Net Monthly Income (NMI) except employees of Pvt./Govt. Aided Schools where it is 12 times Gross Monthly Income (GMI)

[Max ceiling of Rs 15 lacs subject to applicable EMI/ NMI ≤ 50% for all categories]

Q. Can my spouse’s income be included for calculating the loan amount?

A. No, spouse income cannot be added for calculating loan amount. However, if eligible, spouse may apply for loan separately.

Q. What are the important documents that I need to provide?

A. You will need to furnish only the following documents if you are an existing customer of the Bank:

  • Latest monthly salary slip showing deductions

  • Latest Form 16 from employer (for employees)

  • Proof of identity (any one)

    • Aadhaar Card

    • Passport which is unexpired (copy of page with photograph and address is sufficient)

    • Valid Driving License

    • PAN Card

    • Voter’s ID Card

  • Proof of residence (any one)

    • Telephone Bill/ Electricity Bill or any other Utility Bill such as Gas Connection Bill/ Internet Connection Bill or lease deed. If the name on the bill is different from the name of the borrower, details of the person whose name is generated in the bill – own/ parent’s / spouse’s / sibling’s and his relationship with the customer should be recorded

    • Passport which is unexpired (copy of page with photograph and address is sufficient)

    • Valid Voter’s ID card

In case customer submits Aadhaar/ Voter ID / Passport / Driving License as proof of residence, the same should serve as Proof of ID also and no separate document needs to be submitted


  • Latest Passport size Photograph

  • Last six months Bank Statement of the account where salary is credited

  • Verification of signature from the bank where salary is credited or any employers

  • Proof of official address (for other than employees)

  • Proof of Professional Qualification: Copy of highest professional degree held

Q. Do I have to pledge some form of security?

A. No security is required.

Q. What is the repayment schedule like?

A. The minimum amount that you are expected to pay every month is the EMI

Q. What is EMI?

A. EMI stands for Equated Monthly Instalments. This instalment comprises both principal and interest components. Use the EMI calculator to find out your monthly payments based on the loan amount, the rate of interest and the repayment period. Choose the combination that best meets your financial resources and requirements.

Q. Can I prepay the loan? Are there any penalties?
  • Any prepayment of EMIs in full or in part and closure of account before the end of term will attract the prepayment charges of 3% on prepaid amount

  • No prepayment/ foreclosure charges will be applicable if the account is closed from the proceeds of a new loan account opened under the same scheme

Q. What is the processing fee? Are there any other charges?
  • 1% of the Loan Amount + applicable GST.  A concession of Rs 250 will be provided to the borrower in case he provides all 3 of the following documents:

    • Aadhaar Card

    • PAN Card

    • Mobile No

Q. Do I have the option of choosing a fixed or floating rate for the loan?

A. No, the loan is provided on fixed rate of interest, linked to 2-Y MCLR of the Bank.

Q. How does SBI Personal loan compare with those offered by other banks?

A. There is total transparency with regard to the rate of interest and the fees charged by us.

  • We offer personal loans at the competitive rates of interest, with no security or collateral

  • We offer loans for the longest tenors (72 months).

  • We provide finance for any personal need or requirement, amount being determined on the basis of repaying capacity.

  • We levy interest based on daily/monthly reducing balance, unlike the annual reducing balance method used by several other banks.

Q. How do I benefit if the interest is calculated on a daily/monthly reducing balance?

A. On an annual reducing balance method, you will continue to pay interest on amounts you repay during the coming one year as the interest for the year is determined on the basis of the balance outstanding at the beginning of the year.

In the case of the daily/monthly reducing balance, which is the methodology we employ, your interest is calculated only on the outstanding loan amount, which reduces every time you pay off your EMIs or make any prepayments. This in essence lowers your effective rate of interest significantly.