An Introduction to SBI Personal and Pension Loan

Posted by Apoorv Chaudhary on December 5th, 2020

There is no doubt, State bank of India is one of the best public banks in India. It offers every financial product there is in the Indian market. From loans to a mutual fund, it has everything. So, today we wanted to shed light on two essential products. 

Those products are SBI Personal Loan and SBI Pension Loan. if you are a youngster, focus on a personal loan and if you are a senior citizen, pension loan should be the ideal choice. Let’s begin with the first one. 

SBI Personal loan: 

The SBI Personal Loan does not require a collateral to offer the loan. it gives a high loan amount based on the borrower’s credit history and CIBIL score. Here are the loan details. 

• SBI offers instant loan up to Rs 15 lakhs. 

• The rate of interest is between 10.90% and 15.30%. 

• The processing fee is 1% of the loan amount. 

• The loan tenure is up to 6 years. 

The eligibility criteria for SBI personal loan:

• The borrower should be a salaried individual or self-employed professional. 

• The borrower’s age should be between 21 years and 65 years.

• The borrower should have a minimum of 2 years of work experience. 

• The maximum loan granted is 15X of the borrower’s monthly income. 

Documents required for the loan:

• The application form

• Passport size photograph

• Proof of identity ( Aadhar card, PAN Card, Voter ID card) 

• Proof of residence ( Utility bill, rent agreement) 

• ITR for the last two year

• Bank statement for the last 6 months

• Salary slip for the last 3 month

As we can see, SBI personal loan offers a high quantum of the loan with a very low rate of interest. Now, we will check out SBI Pension loan. 

SBI Pension loan:

If you are a senior citizen looking for money to handle an emergency situation, The SBI Pension Loan the best choice for you. It is customized in a way to help you. 

• The SBI offer the loan amount in this segment between RS 25,000 and 14 lakhs.

• The foreclosure charge is 3% of the prepaid amount. 

• There is a nominal process fee.

• For defence personal, there is no processing fee. 

The eligibility criteria for SBI pension loan:

• The borrower age should be below 76 years of age. 

• The applicant should be working for a central or state government.  Armed forces and family pensioners are also eligible for the loan. 

• The applicant pension payment order should be maintained by the SBI.

• The applicant should give a written note of consent to not accepting any pension transfer requests. For defence and family pensioners, it is not applicable.

•  There has to be a guarantor from the family member. It could be the spouse or the third party. For defence, it is not applicable.

How to apply for SBI Personal loan and SBI pension loan? 

You can apply for both loans at the nearest branch. If you want to do it online, you can do it as well. 

Bottom line

Both are the best in their class. It is up to you what you want to choose. Make sure to read the terms and conditions before you sign the loan agreement paper. Do prepare the documents beforehand you apply.