Axis Bank Personal Loan Interest rates from 11.90% p.a

Apply for a personal loan from Axis Bank with interest rates starting from 11% p.a. Enjoy quick approval, flexible terms, and easy access to funds.

Axis Bank Personal Loan Interest Rate and how it is Calculated

The interest rate charged on the personal loan offered by the Axis Bank is the rate charged on the principal amount of the loan that is repaid along with the principal in Equated Monthly Installments (EMIs).

Here important features of Axis Bank personal loan interest rates are listed:

• Interest rates vary, average starting at 11%, varying depending on the applicant’s profile.
• The rate also depends on factors such as; income, credit scores, employment status, and association with Axis Bank.
• The interest rate in the case of pre-approved personal loans is constant throughout the loan period, thereby putting a cap on the EMI

Axis Bank Interest Rate VS Other Banks

Factors That Drive Axis Bank Personal Loan Interest Rates

The following are the key variables which have a bearing on the interest rates charged on Axis Bank Personal Loans

• Credit Score: If a person’s score is above 750 then it reflects that the person is financially disciplined and is thus likely to grab lower interest rates.
• Employment Status: Employed people especially the ones working with a reputable company are more likely to get better rates than the independent workers.
• Income Level: Higher and stable income indicates the ability to repay back the loan, a factor that helps in determining the rate
• Loan Amount and Tenure: Higher sums and the shorter term may lead to slightly lower interest rates due to the lower risk for the bank.
• Relationship with Axis Bank: Existing customers with a strong financial track record often receive preferential rates.
• Debt-to-Income Ratio: A lower DTI ratio means which you are financially healthy and can avail better interest rate terms.

How to Get the Best Interest Rate on Axis Bank Personal Loans

Acquiring personal loan with lower interests entails some financial discipline which are listed below:

• Maintain a High Credit Score: It is essential to check credit reports frequently to correct mistakes and keep one’s score above 750 by being prompt in dues
• Consolidate Your Debts: Maintain an acceptable DTI ratio by limiting the number of your current obligations..
• Apply During Festive Offers: Speaking of the interest rates and processing fees, Axis Bank may have a low interest rate and processing fee during loan campaign during festivals.
• Negotiate Based on Income: You should have a stable and high income though, and that can be used to bargain with the bank for better rates
• Opt for a Shorter Tenure: This raises the monthly EMI, but decreases the total amount of interest payable, hence enabling for lower rate

Axis Bank Personal Loan Interest Rate with an Example

An EMI calculator helps you estimate your monthly repayments, making financial planning easier.

Formula: EMI = \[P x R x (1+R)^N\] / \[(1+R)^N - 1\], where:

P = Loan amount,

R = Monthly interest rate,

N = Loan tenure in months.

How It Works:

• Enter the loan amount.
• Input the applicable interest rate.
• Choose the desired repayment tenure.

Example Calculation:

• Loan Amount: ₹6,00,000
• Interest Rate: 13% p.a.
• Tenure: 5 years (60 months)
• Monthly EMI - ₹13,652
• Total Cost of the loan - ₹8,19,111 (Excluding fees and charges)

Advantages of Axis Bank Personal Loans

• Wide Loan Range: Borrow amounts ranging from ₹100,000 to ₹40,00,000.
• Flexible Tenure: Repayment terms range between 12 to 84 months.
• Quick Disbursal: Disbursement is usually made in 48hours for deserving candidates depending on the availability of the funds.
• No Collateral Required: Get your loan amount without having to pledge anything as collateral
• Prepayment Options: Discharge the loan amount, in part or full, after a certain period of time has been reached.

FAQs About Axis Bank Personal Loan Interest Rate

1. What is the lowest interest rate that individuals with loans in Axis Bank can be charged?

Personal loan interest of Axis Bank starts with 11.00% per annum based on the borrowers profile.

2. I have obtained a personal loan; if I take another personal loan then is it possible to bargain the interest rate?

Yes, it is possible, especially if the applicant has a high credit rating, stable income, and is a client of the particular bank.

3. Can Axis Bank personal loan be availed with some kind of processing fee?

Yes, the processing fee of the loan usually lies upto 2% of the total loan amount.

4. As to the nature of employment, how does this interest rate work for me?

Established employed individuals or those from reputable firms attract lower interest rates as they are perceived to be a lower risk.

5. Is it possible to reduce the interest rate during the loan tenure?

No, Axis Bank offers fixed-rate personal loans, ensuring the interest rate remains constant throughout the tenure.