Calculate your personal loan EMI and total interest for any tenure and rate.
See where this rate stands against major banks →
View bank rate comparisonPersonal loans are unsecured (no collateral), which is why they carry higher interest rates than home or car loans — lenders price in the extra risk. EMI is still calculated on the reducing balance, but because personal loan tenures are shorter (typically 1-5 years), the EMI amount tends to be higher relative to the loan size.
Because there's no asset backing the loan, your interest rate depends heavily on your credit score and income stability — a strong CIBIL score (750+) can get you several percentage points lower than someone with a fair score.
Personal loans are unsecured — if you default, the lender has no asset to recover the loss from, so they charge a higher rate to compensate for that risk.
Yes, significantly. A borrower with a 750+ score might get 10-11%, while someone with a 650 score could be quoted 18-22% or be rejected outright by some lenders.
Almost always — typically 1-3% of the loan amount, deducted upfront. Factor this into your true cost of borrowing, not just the EMI.