Repayment & closure
Personal Loan Repayment Guide
How EMIs are collected, what happens if you miss one, penal charges, and what to do if you are struggling.
Updated 27 September 2026 · 8 lenders trackedLowest personal loan rate
9.99%
Axis Bank Personal LoanWhat you need to know
Personal loan EMIs are usually collected by auto-debit (NACH / e-mandate) on a fixed date. Missing an EMI triggers a penal charge, a bounce fee and a negative entry in your credit report — and after 90 days overdue the loan is classified as a non-performing asset.
If you miss an EMI
| Status | What happens |
|---|---|
| 1 – 30 days overdue | SMA-0: penal charge and bounce fee; reported to bureaus |
| 31 – 60 days | SMA-1: score drops further; recovery follow-up |
| 61 – 90 days | SMA-2: serious delinquency |
| Over 90 days | NPA: loan may be recalled; long-lasting damage to credit |
Penal charges (RBI rules since 1 Jan 2024)
- Late payment must be charged as a “penal charge”, not added to the interest rate, and cannot be compounded.
- Examples: SBI 2.40% p.a. on the irregular amount for up to 60 days, 5% p.a. beyond; ICICI 5% p.a. on the overdue EMI.
- Charges must be disclosed in the KFS and agreement.
If you are struggling to pay
- Talk to the lender before you miss an EMI — ask about restructuring or a tenure extension.
- Avoid “settlement” unless unavoidable; it stays on your credit report.
- Recovery agents must follow RBI’s code: no harassment, and calls only between 8 am and 7 pm.
- Complain to the lender’s grievance officer, then the RBI Integrated Ombudsman (cms.rbi.org.in).
EMI by tenure
| Tenure | EMI | Total interest | Total repaid |
|---|---|---|---|
| 1 year | ₹44,191 | ₹30,290 | ₹5,30,290 |
| 2 years | ₹23,304 | ₹59,294 | ₹5,59,294 |
| 3 years | ₹16,369 | ₹89,297 | ₹5,89,297 |
| 4 years | ₹12,923 | ₹1,20,293 | ₹6,20,293 |
| 5 years | ₹10,871 | ₹1,52,273 | ₹6,52,273 |
₹5,00,000 at 11.00%.
EMI calculator
Frequently asked questions
Can I change my EMI date?
Many lenders allow a one-time change, sometimes with broken-period interest.
For information and comparison only. Loan terms, rates and rules change — confirm with the lender and read the Key Facts Statement before borrowing.