Axis Bank Personal Loan Interest Rates

The bank allows individuals to transfer their personal loans to Axis Bank as well. Salaried employees working in Public Sector Undertakings, central bodies, and local bodies.

Factors Affecting Axis Bank Personal Loan Interest Rates

1. Nature of the applicant's job: If your job is permanent and the income level is high, Axis Bank may choose to offer a large sum at a low rate of interest.
2. Loan tenure: Axis Bank may charge a lower rate of interest on personal loans taken for long tenures and a high rate of interest taken for short tenures.
3. Loan repayment capacity: If Axis Bank thinks that you are capable of repaying your loan on time, it may offer you a reduced rate of interest.
4. Credit score: If you have a credit score of 700 and above, you may expect to receive a reduced rate of interest on your Axis Bank Personal Loan, compared to a person whose credit score is lower.
5. Relationship with Axis Bank: If you have a good relationship with the bank, Axis Bank may charge a reduced rate of interest on your personal loan. By continuing a steady relationship with Axis Bank and paying your previous debts on time, you can win the trust of the bank.

Additional Charges on Axis Bank Personal Loans

The additional fees and charges exclusive of GST are given below:

Key things you should know about Axis Bank Personal Loan Interest Rates

Before you apply for a personal loan with Axis Bank, you need to know certain key things which include:

1. Know how to calculate your EMIs on Axis Bank Personal Loan. This you can easily do by using a Personal Loan EMI Calculator.
2. Know the exact amount of interest you will be paying on the principal amount at the end.
3. Find out if any hidden charges are involved in the loan.
4. Understand the difference between fixed rate and floating rate of interest and choose your Axis Bank Personal Loan Interest Rate as per your repayment capacity. In fixed rate personal loans, you pay a fixed rate of interest on the principal amount for the whole tenure whereas in floating rate personal loans, your interest payment may change.
5. You should also know whether Axis Bank ask for security or collateral to grant you a personal loan or not.

Calculating Interest on Axis Bank Personal Loan

You can use two types of formulas to determine the interest on your loan. The easier way is to use BankBazaar's Personal Loan EMI Calculator. You just have to input your loan details and click on the 'Calculate' tab to find out your monthly repayment and interest amounts.

Illustration

1. Mr. Rao earns a salary of Rs.25,000 per month and has a credit score of only 710 as it has been only a couple of years since he started earning. He wished to avail a Rs.2 lakh loan from Axis Bank. The rate of interest charged for the loan was 22% p.a. given his low income level and low credit score.

The amortisation schedule for the loan availed for a 1-year tenure is as given below:

For Salary of Rs.25,000 Per Month

2. Ms. Gupta earns a salary of Rs.50,000 per month and has a good credit score of 850. She, too, wanted a Rs.2 lakh personal loan from Axis Bank for a 1-year term. The interest charged for her is low i.e. 10.65% p.a. given her comparatively higher income level plus excellent credit score.

The amortisation schedule for Ms. Gupta is as shown in the table below:

For Salary of Rs.50,000 Per Month

Axis Bank Personal Loan Balance Transfer

Axis Bank offers customers the option of transferring their existing personal loan balance held with another financial lender to Axis Bank to get favorable interest rates and a host of other benefits. The interest rate and fees and charges are as per the terms and conditions set by Axis Bank.

Which documents should I carry when visiting Axis Bank to avail a personal loan?

Axis Bank personal loan applicants have to submit the below-listed documents at the bank branch:

1. Identity proof- Aadhaar card, Passport, Voter ID, etc.
2. Address proof - House registration certificate or rent/lease, Aadhaar card, Voter ID card, etc.
3. Income proof - IT returns certificate, income pay slips, bank statements, Form 16, etc.
4. Duly-filled application form.
5. Standing Instructions/ECS form or post-dated cheques.
6. Passport-size photographs.

A good credit score can help you secure lower interest rates on loans and credit cards.

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