Are personal loan interest rates fixed or variable?

#. Fixed interest rate: Here, lenders charge you a constant personal loan rate throughout the tenure. Here, your total interest payable and EMIs remains fixed.

Can I negotiate over my personal loan's interest rate?

You can negotiate your personal loan’s interest rate based on the following factors-#1. Your financial profile: Build and maintain a high credit score, preferably 725 or above.#2. Your repayment history: Lenders will be more willing to offer you a better interest rate if you have a good repayment history.#3. Your relationship with the lender: You may be able to secure a personal loan at a lower interest rate and better terms if you have a good relationship with the lender.

What additional costs are there for personal loans?

When you apply for a personal loan at Tata Capital, there is a processing fee of 3.5% of the loan amount. It is a one-time, non-refundable fee charged for processing the application form. Additionally, you will need to pay the applicable GST charges on the processing fee.

What factors can affect the interest rate I am offered on a personal loan?

The factors that can affect personal loan interest rates are: #1. CIBIL scoreYou can get more attractive interest rates with a CIBIL score of 725 and above.#2. Repayment historyA clean credit history with no EMI defaults and disciplined payments is preferred.#3. IncomeYour income significantly determines your personal loan interest rates. The lender extends more competitive interest rates if you belong to the high-income bracket.#4. Employer’s reputationIf you work with a credible organisation, the lender considers you less likely to default on EMIs and offers more attractive rates.#5. Debt-to-income ratioIf you are servicing multiple loans and credit cards, and your debt burden eats up a significant portion of your monthly income, the lender can consider you a high-risk borrower.

Are there any discounts or promotional offers on interest rates for personal loans?

Interest rates and promotional offers on personal loans varies from lender to lender and market conditions.However, if you want to look for pre-approved offers for personal loan application process.

Can I get a detailed breakdown of the charges and fees for personal loans?

Charges on personal loans are as follows- #1. Processing feeThis is a non-refundable and one-time processing fee. It’s charged even if the loan is not approved. We charge a nominal processing fee which is up to 3.5% of the loan amount + GST.#2.Penal ChargeThis is a penal charge for breach material terms of the loan agreement and applied for number of days an EMI remains unpaid. At Tata Capital, you will be charged For default in payment of interest and/ or principal amounts - 3% p.m. on defaulted amount.(Annualized Penal Charge of 36%). Types of Charges Amount Dishonour of any cheque/payment instruments Rs. 600 Mandate rejection service charge Rs. 450 Annual Maintenance Charges- Hybrid Term Loan 0.25% of dropline amountORRs.1000, whichever is higher Statement of accounts This is a charge applied for providing a physical copy of the Statement of Account. You will be charge Rs. 250 + GST for physical copy. Downloading a statement of account on the portal is free of cost. Loan cancellation 2% of Loan Amount/ Facility amount OR Rs. 5750/- (whichever is higher)

Can I get a statement or summary of the interest and charges paid on my personal loan?

Yes, you can request a statement or summary of the interest and charges paid on your personal loan from your lender. We provide a statement showing all the transactions made in your loan account during a given period. You can download a statement of account on the Tata Capital website for free.

Does Tata Capital offer lower interest rates for borrowers with a good credit score?

Personal loan interest rates depend on your credit score, monthly income, job stability, loan amount, and tenure. If you have a high credit score, a good repayment record, and a high monthly salary, you will easily qualify for a loan and get low-interest rates.

Can I make use of any special deals or offers on personal loan interest rates?

Yes, it is possible to use special deals or offers on personal loan interest rates. Lenders occasionally provide promotional offers or discounts on interest rates.

What effect does my credit score have on the personal loan interest rates?

Your CIBIL score shows how good you are at repaying loans, and it's essential if you want to get a personal loan at a low-interest rate. You can get even better personal loan interest rates if you have an excellent CIBIL score. A high credit score is considered to be 725 or higher.

Are there different interest rates for personal loans for different customer groups or professions?

At Tata Capital, we offer personal loans starting at 11.50%, which is the best and lowest in the industry. We offer personal loans specifically curated for people in different professions. So, if you are a doctor, a government employee, or a woman looking for personal loans at affordable interest rates, we have got you covered.

What is Annual Percentage Rate (APR)?

Annual Percentage Rate (APR) is the measure of ROI of the loan plus all fees and charges including insurance which are levied to the loan. Accordingly, the APR will have a higher value than the ROI for the loan.

What is the stamp duty charge for a Personal Loan?

Stamp duty and other charges will vary from one state to another, as the laws of each state tend to differ.

What are the tips to avail instant personal loan at affordable interests?

To secure an instant personal loan at affordable interest rates:Maintain a high credit score (725+).Explore pre-approved offers from lenders.Apply for a loan with your existing loan provider.Enquire about festive rate concessions.Compare offers across lenders.

Why Choose Tata Capital Personal Loan?

At Tata Capital, we offer multi-purpose personal finance tailored to meet your unique desires and financial requirements. Get quick access to collateral-free funds at competitive Personal Loan rates, starting at just 11.50%. With us, you can plan your repayment as per your convenience and ability to repay. Opt for a loan amount, EMI plan, and tenure that suit you.With years of experience under our belt, we understand your needs. We extend a hassle-free online application process, minimal paperwork requirements, and relaxed eligibility criteria to ensure a comfortable borrowing experience for you.

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Rates and Charges

Personal Loan Interest Rates 2025

Rates & Charges

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Overview Required Documents Application Process Rates & Charges

Calculators

EMI Options

Current Interest Rates for Personal Loans

Your personal loan interest rate determines your regular EMI payments towards the loan repayment. At Tata Capital, we offer personal loans at low interest rates, along with a flexible repayment tenure.

Moreover, interest rates can vary for different borrowers depending on key eligibility factors like your monthly income, CIBIL score, loan amount, loan tenure, repayment capacity, employment nature, debt-to-income ratio, financial history, and more. So, the lower the interest rate on your personal loan, lower is the EMI that you need to pay, and more convenient your loan repayment becomes.

With Tata Capital, enjoy an affordable personal loan at lowest interest rates in the industry, starting at just 11.50%!

The interest rates on a personal loan can typically vary anywhere between 11.50% and 29.99% p.a. based on the eligibility calculation and how you fulfil the personal loan eligibility requirements of the financial institution.

Charges	Minimum	Maximum
Rate of Interest (ROI)	11.50%	29.99%
Annual Percentage Rate (APR)	11.50%	38.99%

*Final ROI may vary based on credit checks and other parameters

Getting a low personal interest rates is preferable for reducing your interest outgo and overall costs. Availability of loans can depend on numerous factors; make sure to consider them before applying. You can also use a personal loan EMI calculator to understand to calculate your principal EMIs and interest payable and plan your repayment.

Customer Profile	Loan Slab	Interest Rate%*
Salaried	Any amount	11.50%* onwards

Personal Loan charges

When applying for a personal loan, a critical factor in choosing the right loan is the interest rate and accompanying charges applicable to the loan. Your personal loan interest rate determines your regular EMI payments and other charges can affect the loan affordability.

At Tata Capital, we offer competitive interest rates for personal loans and levy nominal loan charges, including processing fees. You can use a personal loan EMI calculator to determine your EMI payments and plan your repayment accordingly.

Below are the different charges applicable to the personal loan

Penal Charges On Personal Loan Interest Rates

Penal Charges, if any, in case of delayed payments

This is a charge for late EMI payments, calculated based on the number of days your EMI remains unpaid.

At Tata Capital, For default in payment of interest and/ or principal amounts 3% per month on defaulted amount (Annualized Penal Charge of 36%)

Dishonour of any cheque/
payment instruments

These are those charges that are levied in case of an EMI bounce per instance. In other words, these charges are levied when you miss a personal loan EMI payment due to inadequate funds in your bank account. At Tata Capital, you’ll be required to pay Rs. 600 per instrument per instance

Mandate Rejection Service Charge

Charges will be levied if EMI is due but valid instrument is not available for banking due to Mandate rejected by Borrower’s bank or EMI Post-dated cheques(wherever applicable) are not available. Tata Capital charges a nominal amount of Rs. 450

Other Charges On Personal Loan Interest Rates

Documentation Charges

This fee covers the cost of verifying your documents, completing necessary compliance checks, and conducting due diligence before your loan is disbursed.

At Tata Capital, you are charged Up to Rs. 1999.

Processing Fees

The processing fee is a non-refundable fee levied by Tata Capital while processing your loan application. You are charged this one-time fee even if the loan does not get sanctioned.

At Tata Capital, you are charged Up to 3.5% of the loan amount.

Statement of Accounts Charges

This is a charge applied for providing a physical copy of the Statement of Account – a statement having a list of all transactions made in your loan account during a given period.

At Tata Capital, you will be charged
Customer portal – Nil
Branch walk-in - Rs. 250

Loan Cancellation Charges

This is a charge applied if you request loan cancellation after the cooling-off period.

At Tata Capital, you will be charged,
2% of the loan amount/ facility amount

OR

Rs. 5750/- (whichever is higher)

Stamp Duty Charges

This is a government-mandated fee required for legally registering your loan agreement.

At Actuals

Cooling off/look-up period

3 days from the date of loan disbursal

Note: GST, other government taxes and levies as applicable, will be payable on all fees and charges.

Pre-Payment Charges On Interest Rates For Personal Loan

Part Payment Charges

a) No part prepayment charges shall be applicable on payment of up to 25% of disbursed loan amount during the entire loan tenure.

b) Within 12 months of the first disbursement- 6.5% of the part prepayment amount

c) After 12 months of the first disbursement- 4.5% of the part prepayment amount

d) For part prepayment on Dropline Facility (Hybrid Term Loan), part prepayment charges as mentioned in (b) and (c) above will be applicable only if the facility amount is reduced.

Foreclosure charges on Term Loan Facility

This is a charge applied if you choose to repay your entire loan before the end of the contracted loan term.

a) Within 12 months of the date of first disbursement- 6.5% of the principal outstanding at the time of foreclosure

b) After 12 months of the date of first disbursement- 4.5% of the principal outstanding at the time of foreclosure

Switch Fee without any Top Up

This is a charge applied if you request a change or reduction in the interest rate on your existing Loan.

At Tata Capital, you will be charged,
a) Principal Outstanding of Up to 2 lac - Rs.500

b) Principal Outstanding greater than 2 lac - Rs.1000

Note: GST, other government taxes and levies as applicable, will be payable on all fees and charges.

How is the Interest on Personal Loan Calculated?

The personal interest rates are calculated using - flat rate and reducing balance method.

In the flat rate method, the interest paid remains fixed. The total interest payable is calculated on the loan amount borrowed throughout the loan tenure. Hence, the personal loan rates stay constant and don’t lessen even when the principal amount reduces as you pay your monthly instalments.

Contrarily, in the reducing balance method, the interest rate is calculated on the outstanding balance amount, which decreases every time you pay an EMI.

The mathematical formulae for interest on personal interest rates calculation are as follows:

EMI = (Principal + Total Interest Payable) / Loan tenure in months

Here, Total Interest Payable = Principal x Personal Loan Rate x Loan Tenure/100

EMI= [P x R x (1+R)^N]/[(1+R)^ (N-1)]

Where P = Principal Amount

N = Loan Tenure in months

R = Personal loan ROI or rate of Interest

Factors Affecting Personal Loan Interest Rates

The following factors can impact your latest personal loan interest rates.

Your CIBIL score that reflects your repayment capability plays a decisive role in securing a personal loan at low interest rates. With an excellent CIBIL rating, you can get more attractive interest rates.

Besides your CIBIL score, the lender also reviews your past credit record to determine your current personal loan interest rates. A clean credit history with no EMI defaults and disciplined payments is preferred.

Your income significantly determines your personal loan rates. If you belong to the high-income bracket, the lender perceives you as more likely to be stable and timely repay the loan and extends more competitive interest rates.

The latest personal loan interest rates that the lender offers you also depends on your employer’s reputation. If you work with a credible organisation, the lender considers you less likely to default on EMIs and offers more attractive rates.

If you are servicing multiple loans and credit cards, and your debt burden eats up a significant portion of your monthly income, the lender can consider you a high-risk borrower. It can impact the personal loan interest rates you will qualify for.

Disclaimer

The fees/charges indicated above are subject to revision at Tata Capital’s discretion from time to time.
Customers who have taken a loan before 15th April 2019 need to refer to the loan agreement and schedule of charges for applicable rates.
For the definitions of the above charges, please refer to the Master Terms & Conditions sheet.
Soft copies of documents mentioned in the table above will be provided free of cost. For hard copies, please refer to the above table for the applicable fees & charges.*

FAQs on Personal Loan Interest Rates

Charges on personal loans are as follows-

#1. Processing fee

This is a non-refundable and one-time processing fee. It’s charged even if the loan is not approved. We charge a nominal processing fee which is up to 3.5% of the loan amount + GST.

#2. Penal Charge

This is a penal charge for breach material terms of the loan agreement and applied for number of days an EMI remains unpaid. At Tata Capital, you will be charged For default in payment of interest and/ or principal amounts - 3% p.m. on defaulted amount.(Annualized Penal Charge of 36%).

Types of Charges	Amount
Dishonour of any cheque/payment instruments	Rs. 600
Mandate rejection service charge	Rs. 450
Annual Maintenance Charges- Hybrid Term Loan	0.25% of dropline amount OR Rs.1000, whichever is higher
Statement of accounts	This is a charge applied for providing a physical copy of the Statement of Account. You will be charge Rs. 250 + GST for physical copy. Downloading a statement of account on the portal is free of cost.
Loan cancellation	2% of Loan Amount/ Facility amount OR Rs. 5750/- (whichever is higher)

More Personal Loan products for you

Personal Loan for government employees

If you are a government employees looking for a way out of a cash crunch, let Tata Capital ease your financial pains! Get an instant personal loan within a few minutes.

Apply Now

Personal Loan for salaried employees

If you are a salaried employees looking for a way out of a cash crunch, let Tata Capital ease your financial pains! Get an instant personal loan within a few minutes.

Apply Now

Personal Loan for women

If you are a women looking for a way out of a cash crunch, let Tata Capital ease your financial pains! Get an instant personal loan within a few minutes.

Apply Now

What our customers say about us

Thank you for the excellent service! I truly appreciated the professionalism, attention to detail, and prompt response. It made a big difference and ensured a smooth experience. Keep up the great work!

DINESH KARTHIK LABALA

Personal Loan | 06 May, 2025

Customer service is most friendly and comfortable, and he also helped me with my financial situation.

MANIKANDAN M

Personal Loan | 02 May, 2025

Thank you for taking the time to explain everything clearly. The communication was polite, professional, and easy to understand. I truly appreciate your support and hope for a positive resolution to my request. Keep up the great work!

AVINASH KUMAR SHARMA

Personal Loan | 09 Apr, 2025

Awesome team. Professional with the customer and helped with all details. Good job.

KOJENGBAM BIKIM BIKIM CHANDRA

Personal Loan | 24 Jun, 2025

“Excellent service and fast loan approval. Thank you, Tata Capital!”

RANJITHKUMAR NEELAMEGAM

Personal Loan | 11 Jun, 2025

Experience is very good with your financial institution. If needed, I will take services in the near future.

DEEPAK KUMAR

Personal Loan | 25 May, 2025

Explained clearly and helped me to understand the reason. Knowledgeable on Tata Capital policies and very articulate. Thank you, Tata Capital team.

SUBHADEEP LAL BHATTACHARYA

Personal Loan | 07 May, 2025

DINESH KARTHIK LABALA

Personal Loan | 06 May, 2025

Customer service is most friendly and comfortable, and he also helped me with my financial situation.

MANIKANDAN M

Personal Loan | 02 May, 2025

AVINASH KUMAR SHARMA

Personal Loan | 09 Apr, 2025

Awesome team. Professional with the customer and helped with all details. Good job.

KOJENGBAM BIKIM BIKIM CHANDRA

Personal Loan | 24 Jun, 2025

Experience is very good with your financial institution. If needed, I will take services in the near future.

DEEPAK KUMAR

Personal Loan | 25 May, 2025

Explained clearly and helped me to understand the reason. Knowledgeable on Tata Capital policies and very articulate. Thank you, Tata Capital team.

SUBHADEEP LAL BHATTACHARYA

Personal Loan | 07 May, 2025

DINESH KARTHIK LABALA

Personal Loan | 06 May, 2025

Customer service is most friendly and comfortable, and he also helped me with my financial situation.

MANIKANDAN M

Personal Loan | 02 May, 2025

AVINASH KUMAR SHARMA

Personal Loan | 09 Apr, 2025

Read All

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