₹1 Lakh Personal Loan Features, Benefits, EMI and Interest Rate
Financial emergencies can occur at any time. Let’s say you need urgent funds worth ₹1 lakh but don’t have any cash in hand. In such situations, getting a ₹1 lakh personal loan could be handy.
In this blog, we have provided all the details regarding ₹1 lakh loan EMI, application process, eligibility criteria, fees and documents required, so that you can make an informed decision before applying for a loan.
Features and Benefits of ₹1 lakh Loan
Here are the features and benefits of a ₹1 lakh personal loan that you can enjoy while applying with Navi:
1. 100% Paperless Process
Lending sector has evolved by leaps and beyonds in the last few years. Today, most RBI-approved lenders like Navi offer loans in a 100% paperless manner.
2. Instant Disbursal
Expect instant disbursal if your loan application is approved by the lender. For instance, you can get an instant cash loan in 5 minutes with Navi , provided you’re eligible.
3. Flexible EMI
Personal loans come with flexible repayment tenures, usually extending up to 84 months or 7 years. You can calculate your loan EMI and choose your tenure accordingly.
4. Attractive Interest Rates
If you have an excellent credit score or a pre-approved offer, you can get personal loans at preferential rates. However, the lender decides the final interest rate based on your eligibility.
5. No Collateral Required
Unlike home loans, for personal loans you don’t have to pledge collateral or guarantor.
6. Minimal Documentation
Thanks to advancements in the lending sector, lenders don’t ask for a bagful of documents while approving your loan. Lenders like Navi only ask for your PAN or Aadhaar details for KYC verification.
How to Apply for ₹1 lakh Personal Loan?
Follow the steps below to get ₹1 lakh personal loan:
- Download the personal loan app from App Store or Play Store or visit the website.
- Check your loan eligibility by filling in some details such as name, address and PAN details.
- Check the interest rate offered and enter your preferred loan amount and repayment tenure.
- Submit or upload the necessary documents and complete your KYC process.
- Link your bank account. After successful verification, the loan amount will be directly disbursed to your account. Set up an auto debit to make your loan repayments on time.
Documents Required
You will need the following documents to apply for ₹1 lakh personal loan:
- PAN Card
- Aadhaar Card
- 3-6 months bank statements or salary slips
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Eligibility Criteria
Here are the details regarding eligibility criteria for salaried and self-employed individuals:
Salaried Individual
| Parameters | Eligibility Criteria |
| Age | Between 18 and 65 years |
| Credit Score | 750 or above |
| Employment Stability | Must be employed in a reputed company for a minimum of 6 months |
| Employment Duration | A minimum of 1 year |
Self employed Individual
| Parameters | Eligibility Criteria |
| Age | Between 18 and 65 years |
| Credit Score | 750 and above |
| Prior Relationship with the Lender | A minimum of 6 months (to be verified from the lender) |
| Business Turnover | A minimum of ₹15 lakh |
| Profit after Tax Deduction | A minimum of ₹2 lakh |
Interest Rates on a ₹1 lakh Personal Loan
Refer to the table below to get an idea of ₹1 Lakh personal loan fees and charges:
| Interest Rate | 8% p.a. – 36% p.a. |
| Processing Fee | 0% – 4% of the loan amount |
| Loan Amount | Up to ₹40 lakh |
| Loan Tenure | Up to 84 months |
| Prepayment Charges | 0% to 4% |
Please note that the table is for educational purposes only. Navi doesn’t take any responsibility for the accuracy of the data presented in the table.
How to Calculate your Personal Loan EMI on ₹1 lakh Loan?
Here is the formula for manual calculation of personal loan EMI:
EMI = P × r × (1 + r)n/((1 + r)n – 1)
Here, P is the Loan amount, r is applicable interest rate, and n is tenure in the number of months. P, n and r are variables.
However, manual calculations can be hectic and have room for errors. You can use Navi’s personal loan EMI calculator instead. You just need to enter the loan amount, tenure and interest rate to view the EMI estimate within seconds.
Let’s understand this with an example. Let’s assume you have taken a personal loan of ₹1 lakh at 12% p.a. For a tenure of 3 years. Upon using the EMI calculator, your ₹1 lakh personal loan EMI would be ₹3,321.
Calculate Your Personal Loan EMI
Loan Amount
Rate of Interest (P.a)
%
Loan Tenure (Years)
Years
Monthly EMI
0
Total Interest
Total Amount
Various Types of Personal Loan
We have listed down the types of personal loans available:
1. Marriage Loan
Are you lacking the funds required for that dream wedding or honeymoon? Apply for an instant personal loan for marriage enjoy your dream wedding stress-free.
2. Travel Loan
Planning for a foreign trip but short on funds? Apply for a instant personal loan for travel and stay worry-free. Pay the loan amount in easy EMIs.
3. Car Loan
Planning to buy a car to upgrade your lifestyle? You can finance your new car by availing an instant personal loan for car .
4. Bike Loan
Get your dream two-wheeler with a personal loan for two wheeler. Enjoy instant approval, attractive interest rates, and pay at your convenience.
5. Second Hand Bike Loan
In a new city looking for a second-hand bike? Get a personal loan for second hand bike . Enjoy minimal waiting time and zero paperwork.
6. Used Car Loan
If you are planning to purchase a second-hand car, you can get a personal loan for used car. You don’t have to pledge collateral or guarantor to get a personal loan.
Final Word
Getting an instant loan of ₹10,000 online is not that difficult provided you meet the concerned lender’s eligibility criteria. However, make sure that you have the capacity to repay the loan within the specified tenure.
Navi offers an instant cash loan of up to ₹20 lakh at attractive interest rates, starting from 9.9%. You can use Navi’s online EMI Calculator to calculate your monthly repayment obligations.
FAQs
The repayment of the loan is done through EMIs (Equated Monthly Instalments). Each EMI is payable monthly throughout the repayment tenure and contains the principal as well as the interest on the loan.
Navi’s loans are available throughout India. You just have to download the Navi app and apply for the loan wherever you are.
If you default on the loan the interest would keep on accumulating and the outstanding loan amount would increase. You might be charged a penalty fee and your credit score would also be hampered.
The charges may vary from lender to lender. However, Navi doesn’t charge any foreclosure fee in case you decide to prepay the entire loan amount.
A moratorium period is the time during a loan term when the borrower is not required to make any repayment. During the pandemic, the RBI asked lenders to offer a moratorium period of up to 6 month.
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