You may apply for the 5 lakh loan for a 5 year term both online and offline at various banks and financial organizations. The online process is straightforward, in contrast to the offline process, which calls for you to go to the bank or use the DSAs. To learn how to instantly receive 5 lakhs, simply visit our website and adhere to the guidelines.
Features of a Rs. 5 lakh Personal Loan
- The interest rates are often provided from 10.49% p.a. and above.
- Usually, the payback period lasts up to five years.
- The processing charge often ranges up to 4%. During holiday promotions, some lenders also eliminate the processing cost.
- Except for speculative purposes, the loan amount may only be applied to personal expenses.
Documents Required for Personal Loan
- KYC Documents – Your identity proof documents include any Government- issued photo identity document, including PAN Card, passport, driving license, aadhar card, voter’s ID card, and so on.
- Address Proof – The address proof could include any one of aadhar card, driving license, voter’s ID card, passport, and so on.
- Income Proof – Your last 2 months’ salary slips or salary certificate issued by your employer, Form 16, income tax returns, and bank statement of your salary account for the past 6 months constitute income proof. In addition, self-employed persons can produce their trade licenses, GSR registration certificate, and income tax returns along with their financial statements.
- Signature Proof
- Bank statements for past 6 months
- Last 3 months’ salary slips
- ITR/Form 16
Requirements For a Personal Loan Of Rs. 5 Lakhs
You must fulfill the following basic eligibility requirements in order to be eligible for a personal loan up to 5 lakhs:
- Age – Anyone between the ages of 21 and 65 may apply for a personal loan up to Rs. 5 lakhs.
- Work – Because salaried persons’ incomes are more reliable, most lenders only issue personal loans to them. However, there are still certain banks and financial organizations that provide loans of up to 5 lakhs to unemployed or self-employed people.
- Income: The standard minimum monthly wage for salaried workers is Rs. 25,000. To qualify for a personal loan, self-employed people must demonstrate an annual income of Rs. 5 lakhs.
- Credit Score: Your ability to repay a loan is determined by your credit rating, which also influences whether or not a bank would provide you a personal loan. Typically, banks want a credit score of at least 750. (CIBIL Score). But some banks may grant personal loans to borrowers with credit scores of 700 and above. Your chances of getting a loan approved are better the better your credit rating.
5 Lakh Personal Loan Interest Rate
|Omozing||0.8 % P.M onwards|
|SBI Personal loan||10.30% to 14.60%|
|PNB Personal Loan||9.80% to 14.50%|
|ICICI Bank Personal Loan||10.50% to 19.00%|
|HDFC Personal Loan||10.25% to 16%|
|Kotak Personal Loan||10.99%- 24%|
|Bajaj Finserv Personal Loan||13% onwards|
How Do I Apply for a Personal Loan of Five Lakhs?
If you need a loan for Rs. 5 lakhs right now, you can follow the steps outlined below.
Step 1: Go to the personal loan provider’s website or any other financial marketplace and submit the necessary information there, such as your name, phone number, email address, income, loan amount, etc.
Step 2: Submit the necessary paperwork, including income and KYC papers.
Step 3: Await the loan provider’s conclusion. The bank examines your papers and computes your credit score using the data supplied.
Step 4: Get the Rs. 500000 loan credited to your bank account when it has been approved.
How Do I Use a Personal Loan of Rs. 5 Lakh?
There are several uses for a Rs. 5,00,000 Personal Loan. Here are a few of these:
- Travel: You can apply for a personal loan if crossing the seas is your ideal vacation. Personal loans are a good way to cover travel-related costs including airfare, lodging, local transportation, tour activities, and so on.
- Home Renovation: Personal loans can be used for costs associated with home improvement, such as painting, minor repairs, remodeling, purchasing domestic equipment, etc. Typically, a personal loan of Rs. 5 lakh is enough to cover these expenses.
- Balance Transfer: The majority of banks and NBFCs provide the option of transferring high-interest personal loans from one lender to another at a reduced interest rate. By lowering the interest rate or the loan’s term, these balance transfers give debtors some relief.
- Medical Crises: A solid way to cover unforeseen medical emergencies is using personal loans. Obtaining a few lakhs for critical treatments or a few thousand for aesthetic surgeries is simple.
- Marriage: It might be difficult for regular people to instantly arrange the large sums of money needed for Indian weddings. Personal loans can be utilized to pay for wedding-related costs like as venue reservations, presents, shopping, jewelry purchases, catering, and more.
- Debt Consolidation: Debt consolidation enables you to combine all of your debts, including credit card debt and outstanding loans, into a single loan.