When you apply for a loan, you expect that you get the rate as per your desire. Similarly, in the case of personal loans, the borrowers have the same expectation. At IDFC First Bank, the rate is offered based on your overall profile which includes your age, income, employer category, relationship with the bank, savings/investments, and credit history. If you match all these as per the bank's requirements, you are most likely to get a lower interest rate.

IDFC First Bank Personal Loan Interest Rate Details 2024

In this page, you'll gain insights into the key factors and benefits that make IDFC First Bank's personal loan interest rates advantageous. Below is a table that outlines the IDFC First Bank Personal Loan Interest Rates, tenure options, and loan amounts offered by the bank. Be sure to review these details carefully before applying for your loan.

Advantages of IDFC First Bank Personal Loan

The following are some of the main benefits of applying for personal loans with IDFC First Bank:

• Zero Foreclosure Charges - One of the best advantages of IDFC First Bank personal loan is you can repay your loan early without any extra charges which can help you save on interest costs.

• Multiple Withdrawals - Under this benefit or advantage you will have the flexibility to withdraw funds as needed. This gives you better control over your loan amount and interest payments.
   
• Flexible Personal Loan Repayment Options - You can easily tailor your repayment schedule or fix your repayment according to your schedule to suit your financial situation. It helps in ensuring that your loan remains manageable.

• Swift Disbursal - This is most likely the benefit of the people where you can get quick loan approval and disbursement, which means you get access to funds when you need them most, without unnecessary delays.

• Personal Loan Amount Flexibility - IDFC First Bank gives you a chance to choose a loan amount that fits your needs so that you can borrow just the right amount and pay interest only on what you need.

Factors Affecting IDFC First Bank Personal Loan Interest Rate

These are the factors that might affect your personal loan interest rate from IDFC First Bank -

• Income - The main determining element for your personal loan application is your income. Your chances of being awarded a lower interest rate on a personal loan increase with your income. The bank needs to know how quickly you can repay the loan balance. The bank must trust its customers to grant them a personal loan. 
   
• Credit History - A lender reviews your credit history and CIBIL score before approving a loan. Based on an individual's credit repayment history, the Credit Rating Agency assigns them a 3-digit numerical rank known as their credit score. A high credit score is a sign that you will be able to make timely repayments and manage the loan efficiently.
   
• Loan Payment History - Before determining your personal loan interest rate, your credit score and past loan repayment history will be examined. The bank or lending firm will likely charge you a low interest rate on the loan if they observe that you have been consistent in making your repayments.

• Organization’s reputation - People who work for well-known companies are more likely to have their personal loans with low interest rates. Banks assume that workers at well-known companies will make regular payments because they have a pretty stable job.
   
• Banking relationship - By being loyal, you can build a personal rapport with the bank that may result in favorable interest rates on personal loans. As the bank wouldn't want to lose you to another bank, an established connection will have some leverage.

Calculating EMIs on IDFC First Bank Personal Loans at Different Interest Rates

After deciding on the loan amount and interest rate, the next step is to calculate your monthly EMIs. This helps you understand how much the monthly payment is. To make this calculation easier, you can use Wishfin's IDFC First Bank Personal Loan EMI Calculator.

Just enter the following information:

• Principal Amount

• Interest Rate

• Tenure

The table below displays the installment payments (EMIs) for a personal loan of Rs. 5,00,000 at an interest rate starting from 10.99% p.a. which can go up to 23.99% p.a. depending upon your application and terms ranging from one to five years. You can alter the loan amount and other details to suit your needs.

What Should You Do in Order to Fetch the Lowest Interest Rate from IDFC First Bank?

These are the factors that can help you fetch the lowest interest rate on a personal loan from the IDFC First Bank -

• Improve and maintain your credit score - The easiest thing to do is keep up very high eligibility for personal loans to acquire the best interest rate. It frequently comes down to having a high credit score, which is often greater than 750. Your lender will be more confident in your capacity to repay a larger loan if your credit score is higher.

• Try to close your ongoing loans - If a large portion of your income is already going towards existing loans and EMIs, you might not get a low interest rate on a new personal loan. To improve your chances, try to reduce your total debt to less than 40% of your monthly income by paying off some loans before applying for a new one.

• Keep an eye out for seasonal deals - Always keep your eyes on the  SMS and emails in case your current lender sends you any holiday or seasonal offers. Additionally, you may search your banking apps for any limited-time discounts and pre-approved personal loan deals that you can take advantage of in less than a day without requiring any paperwork.
   
• Utilize your professional network - You can also rely on the standing of your firm or your employment to bargain for a reduced interest rate on a personal loan. If you work for one of the many well-known organizations that enjoy positive ties with banking institutions, you can confidently and quickly obtain better terms for personal loans.

Documents Required for a IDFC First Bank Personal Loan

A personal loan is available from IDFC First Bank to self-employed and salaried people. The following list includes the crucial paperwork needed to apply for an IDFC First Bank Personal Loan:

• Identity Verification - 

Any valid government document - 

• A passport that is up to date and has a photo and signature.
• Election Commission-issued voter identification.
• The UIDAI issues the Aadhaar Card.
• NREGA-issued job card with a state government officer's signature.
• Regional Transport Authority National Population Register driver's license with name and address.
   
• Proof of Address: 

Any of the following records-

• Current account statement
• A registered sales deed and the recent electricity bill
• Recent Scheduled Commercial Bank Passbook
• The most recent utility bill (for example, water, gas, electricity, or piped or cylinder gas), rent agreement, and the property or municipal tax receipt in the owner's name, all of which should not be older than two months from the date of the CPA login.
• State or Central Government Departments, PSUs, regulatory or statutory agencies, financial institutions, listed businesses, and leave and license agreements with such employers allotting official accommodation are among the employers that issue letters of assignment of accommodation from the employer.
   
• Specific Documents for Salaried People: 

Income Verification and Bank Records

• Three-month bank statement
• Pay slips for the last three months

Balance Transfer:

• Notification of loan foreclosure letter
• Account Statements 
• When a proposed balance transfer loan is not reflected in the bureau and the RTR cannot be determined, a repayment schedule SOA/FCL is necessary.
   
• Proof of Ownership
• The most recent electricity bill in the owner's name, including the property tax, power, water, and maintenance bills,  with the sales deed.

Specific Documents for Self-employed Individuals

Banking and Income Proof-

• Last 3 months Bank Statement

Ownership Proof-

• Sales deed with utility bill in the name of the owner
• Maintenance bill
• Water tax bill
• Property tax bill
• Electricity bill

Business Proof-

• Municipal tax bill
• Certificate of Shop and establishment
• Certificate of Gramme Panchayat filed at least half a year before CPA login.
• GST certificate
• Income Tax Returns with revenue calculations for the previous two years, with a minimum six-month interval between two dates of ITR Filing.
• Utility bill in the relevant person's name, Udyog Aadhaar, and FSSAI license submitted at least six months before the CPA login date.
• At least six months before the CPA login date, the Government of India issues an SSI certificate.

Balance Transfer-

• When a proposed balance transfer loan is not reflected in the bureau and the RTR cannot be determined, SOA/FCL is necessary.
• Repayment schedule
• Statement of account
• Letter of loan foreclosure

Required Documents to Apply for an IDFC Instant Personal Loan Online - 

• Valid KYC
• Details for setting up an E-mandate using a debit card or net banking
• Three-month bank statement

IDFC First Bank Personal Loan Interest Rates According to Different Customer Profiles

IDFC First Bank sets personal loan interest rates based on the overall profile of customers. The lender checks the profession and income of customers to set an interest rate for them. Let’s check out the table below to know the rates of salaried and self-employed.

Salaried

Check below the interest rates for salaried having a net monthly income of less than INR 50,000

Interest Rates for salaried having a net monthly income of more than INR 50,000 to INR 80,000

Interest Rates for salaried having a net monthly income of more than INR 80,000

Self-employed/Proprietorship/Partnership

Note – Rates shown for salaried and self-employed above are for loan amounts of more than INR 1 lakh

Other Charges of IDFC First Bank Personal Loan

These are the additional fees and charges of IDFC First Bank Personal loan which can be applicable on your personal loan application -

Compare Personal Loan Interest Rates from Different Banks

Below is a table showing the personal loan interest rates from various banks for 2024 to help you make the best choice.