Personal Loan Interest Rates 2026
Current personal loan rates of 8 banks, what decides your rate, and how rate and tenure change EMI and total interest.
Updated 27 September 2026 · 8 lenders trackedWhat you need to know
Personal loan rates at the banks we track start between 9.99% and 10.99% and go up to 24%. The RBI repo rate is 5.25% (held in August 2026) after 1.25 percentage points of cuts in 2025, but most personal loans are fixed-rate, so repo changes affect only new loans and floating-rate options such as Bank of Baroda’s.
Rates by lender
| Lender | Interest rate (p.a.) | Processing fee | Tenure | EMI per ₹1 lakh* | Rates as of |
|---|---|---|---|---|---|
| Axis Bank Personal LoanPrivate sector bank | 9.99% – 21.55% | Up to 2% of loan + GST | 12 – 84 months | ₹2,124 | Sep 2026 |
| HDFC Bank Personal LoanPrivate sector bank | 9.99% – 24.00% | Up to ₹6,500 + GST | 12 – 60 months (up to 72–84 months for select segments) | ₹2,124 | Sep 2026 (aggregator) |
| ICICI Bank Personal LoanPrivate sector bank | 9.99% – 16.50% | Up to 2% of loan + GST | — | ₹2,124 | Apr – Jun 2026 quarter |
| IDFC FIRST Bank Personal Loan (FIRSTmoney)Private sector bank | 9.99% onwards | 0% – 3.5% of loan (incl. GST); zero on select amounts | 9 – 60 months | ₹2,124 | Sep 2026 |
| SBI Personal Loan (Xpress Credit)Public sector bank | 10.00% – 15.00% | 1.50% of loan (min ₹1,000, max ₹15,000) + GST | 6 – 84 months | ₹2,125 | Jun – Sep 2026 |
| Bank of Baroda Personal LoanPublic sector bank | 10.15% – 17.50% | Nil for government employees with BoB salary account; others 1% – 2% + GST (min ₹1,000, max ₹10,000) | Up to 84 months (salaried); 48 – 60 months (non-salaried) | ₹2,132 | BRLLR 7.90% (6 Dec 2025); rates Sep 2026 |
| YES Bank Personal LoanPrivate sector bank | 10.85% – 21.00% | Up to 2.5% of loan | 12 – 72 months | ₹2,167 | 2026 (aggregator, no exact date) |
| Kotak Mahindra Bank Personal LoanPrivate sector bank | 10.99% onwards | Up to 5% of loan + GST | 12 – 72 months | ₹2,174 | Sep 2026 (Paisabazaar, 21 Sep 2026) |
* At the lowest rate for 5 years. Starting rates go to borrowers with strong credit scores and income; your rate depends on your profile. Sources and dates on each lender page — confirm with the lender before applying.
What decides your rate
750+ gets the lowest rates; Bank of Baroda prices loans directly by CIBIL band.
Government, PSU and large corporate employees get lower rates and income thresholds.
Higher income and fewer existing EMIs mean less risk and a better rate.
Salary-account and existing customers get pre-approved, lower-priced offers.
How banks set the rate
| Lender | Pricing | Rate type |
|---|---|---|
| ICICI Bank | 1-year MCLR 8.40% + spread 1.59% – 8.10% | Fixed for tenure |
| Bank of Baroda | BRLLR 7.90% + spread by CIBIL band | Floating (fixed from 10.95%) |
| Most other banks | Fixed rate set at sanction | Fixed |
Rate effect on ₹5 lakh
| Rate | EMI | Total interest | Extra vs lowest rate |
|---|---|---|---|
| 10.00% | ₹10,624 | ₹1,37,411 | ₹0 |
| 12.00% | ₹11,122 | ₹1,67,333 | ₹29,922 |
| 14.00% | ₹11,634 | ₹1,98,048 | ₹60,636 |
| 16.00% | ₹12,159 | ₹2,29,542 | ₹92,130 |
| 18.00% | ₹12,697 | ₹2,61,803 | ₹1,24,391 |
₹5,00,000 for 5 years.
EMI per ₹1 lakh
| Rate | 1 yr | 2 yrs | 3 yrs | 4 yrs | 5 yrs |
|---|---|---|---|---|---|
| 10.00% | ₹8,792 | ₹4,614 | ₹3,227 | ₹2,536 | ₹2,125 |
| 12.00% | ₹8,885 | ₹4,707 | ₹3,321 | ₹2,633 | ₹2,224 |
| 14.00% | ₹8,979 | ₹4,801 | ₹3,418 | ₹2,733 | ₹2,327 |
| 16.00% | ₹9,073 | ₹4,896 | ₹3,516 | ₹2,834 | ₹2,432 |
| 18.00% | ₹9,168 | ₹4,992 | ₹3,615 | ₹2,937 | ₹2,539 |
EMI for every ₹1 lakh borrowed. Multiply by your loan amount in lakh.
Frequently asked questions
Why is my offered rate higher than the advertised rate?
Advertised rates are the minimum, given to the strongest profiles. Your score, employer category, income and existing loans move you up the band.
Will RBI rate cuts lower my personal loan EMI?
Only if your loan is floating-rate. Most personal loans are fixed, so the rate stays the same for the tenure; a balance transfer is the way to benefit from lower market rates.
For information and comparison only. Loan terms, rates and rules change — confirm with the lender and read the Key Facts Statement before borrowing.