Comparing Hdfc And Axis Personal Loans

Axis Bank and HDFC Bank are renowned private financial institutions in the country, recognized for their exceptional loan offerings. However, when it comes to personal loans, they possess certain contrasting features that make one more suitable over the other based on individual requirements. To comprehend the disparities in their personal loan offerings, it is essential to grasp the concept of personal loans themselves.

Personal loans refer to the funds that individuals borrow from financial institutions for various purposes. These loans can be utilized for covering relocation expenses, medical bills, wedding expenditures, or consolidating existing debts. Before opting for such a loan, it is crucial to familiarize oneself with the offerings of both banks and determine which one aligns better with your needs.

In this article, we will compare the parameters of Personal Loans offered by Axis Bank and HDFC Bank.

1. Interest Rates & Charges for Personal Loan

The interest rates and charges are one of the most critical factors for personal loans. 

2. Eligibility Criteria

Different banks ask for different criteria to be fulfilled to avail of personal loans. Here is a comparison of eligibility criteria for Personal Loans from Axis Bank and HDFC Bank for salaried personnel:

For self-employed persons, the eligibility criteria for Personal Loans from Axis Bank and HDFC Bank is as follows:

3. Documentation Required for Personal Loan

There exists a similarity between the documentation required for a personal loan either from HDFC bank or Axis bank, but there are a few differences. As an example, No Documents are required for Pre-approved Personal Loans by Axis Bank. Read below to understand what the requirements are.

 Documentation for salaried personnel:

 

Documentation for self-employed personnel:

 

4. Benefits of Availing Axis Bank Personal Loan

With the Axis bank personal loan, you can choose between the amount of personal loan you want, which may be between Rs. 50,000 to Rs. 40,00,000.

Axis Bank offers significant benefits when it comes to obtaining a personal loan, including the bank's assistance in ensuring that you receive the necessary funds. Additionally, you are provided with a generous repayment period for your Axis Bank personal loan, ranging from 12 to 60 months.

The interest rate for these loans starts at 10.49%, but if you have a long-standing relationship with the bank, you may qualify for a much lower interest rate during promotional periods. Opting for an Axis Bank personal loan enables you to repay the borrowed amount through Equated Monthly Installments (EMIs). This approach alleviates the burden of paying off the entire loan in one go, reducing financial strain. Moreover, timely repayment of your Axis Bank personal loan can enhance your credit history, further benefiting you.

You can also move your other existing loans with high interest to Axis bank by getting this loan.

The entire Axis bank personal loan process is simple and fast, with minimum documentation requirements.

5. Benefits of Availing HDFC Personal Loan

There are several benefits of availing of the HDFC personal loan as well. These benefits involve the following:

With the HDFC personal loan, you can get financial assistance quickly by checking the eligibility or using the eligibility calculator and filling out the application. And if you are a pre-approved customer of the bank, then you can get your loan in a matter of seconds. For regular customers, the personal loan disbursal happens in 3-4 working days of documentation verification.

HDFC Bank offers the benefit of loan insurance through Sarv Suraksha Pro for its personal loans. This insurance provides coverage to your credit, protecting the outstanding loan amount. Securing your loan with insurance offers significant advantages.

Furthermore, HDFC Bank has streamlined the application process by shifting it entirely to an online platform. This online process ensures a quick and efficient loan disbursal.

Conclusion

Both banks provide a straightforward application process for personal loans, facilitated directly by the respective financial institutions. However, before initiating the application, it is crucial to determine which bank is the best fit for your needs. Based on your preference, you can proceed with either of the banks.

FAQs

1. What are the eligibility criteria for HDFC and Axis Personal Loans?

• Age: The minimum age is 21 and maximum age is 60 years.

• Minimum income: The minimum monthly income requirement for salaried persons is Rs. 15,000 for Axis Bank and Rs. 25,000 for HDFC Bank. The minimum annual income requirement for self-employed persons is Rs. 2 lakh for Axis Bank and Rs. 3 lakh for HDFC Bank.

• Minimum employment: You must have been employed for at least 1 year with your current employer for salaried persons and 2 years for self-employed persons.

• CIBIL^TM score: Your CIBIL^TM score must be at least 620 for HDFC Bank and 750 for Axis Bank.

2. What are the interest rates for HDFC and Axis Personal Loans?

The interest rates for HDFC and Axis Personal Loans are subject to change. However, as of March 2023, the interest rates for HDFC Personal Loans start at 10.50% and the interest rates for Axis Personal Loans start at 10.49%.

3. What are the processing fees for HDFC and Axis Personal Loans?

The processing fees for HDFC and Axis Personal Loans are also subject to change. However, as of March 2023, the processing fees for HDFC Personal Loans are capped at Rs. 4999 and the processing fees for Axis Personal Loans are up to 2.50% of the loan amount.

4. What are the repayment options for HDFC and Axis Personal Loans?

Both HDFC and Axis Personal Loans offer a variety of repayment options. You can repay your loan in equated monthly installments and also consider pre-payment options.

5. What are the benefits of availing a personal loan from HDFC or Axis Bank?

There are many benefits to availing a personal loan from HDFC or Axis Bank. Here are some of them:

• Easy eligibility: Both HDFC and Axis Bank have relatively easy eligibility criteria for personal loans. You can qualify for a loan even if you have a lower credit score.

• Flexible loan amount: Both HDFC and Axis Bank offer personal loans ranging from Rs. 50,000 to Rs. 40 lakh. This means that you can borrow the exact amount that you need.

• Competitive interest rates: Both HDFC and Axis Bank offer competitive interest rates on personal loans. You can save money on interest by choosing either bank.

• Quick processing: Both HDFC and Axis Bank are known for their quick loan processing. You can get your loan approved and disbursed in a matter of days.

• Convenient repayment options: Both HDFC and Axis Bank offer a variety of repayment options for personal loans. The most common one is as equated monthly installments.

• Excellent customer service: Both HDFC and Axis Bank have a reputation for excellent customer service. You can get help with your loan 24/7.

Overall, a personal loan from HDFC or Axis Bank is a great option if you are looking for a convenient and affordable way to borrow money.

6. What are the documents required for a personal loan from HDFC or Axis Bank?

The documents required for a personal loan from HDFC or Axis Bank are as follows:

• Proof of Identity: PAN card, Aadhar card, Passport, Driving License, Voters ID card

• Address proof: Utility bill, bank statement, passport, Aadhaar card

• Proof of income: Latest 2 months' salary slips, latest 6 months' bank statements, Form 16

• Proof of employment: Employment letter, relieving letter, latest IT returns

7. How to apply for a personal loan from HDFC or Axis Bank?

You can apply for a personal loan from HDFC or Axis Bank online or through a branch. Follow these steps to apply for personal loan online:

1. Go to the HDFC Bank or Axis Bank website.

2. Click on the "Personal Loans" tab.

3. Click on the "Apply Now" button.

4. Fill out the application form.

5. Upload the required documents.

6. Submit the application.