Everything you should know about the charges applicable on Personal Loan

There are usually several costs associated with loans. These include basic charges such as loan processing fees and interest rates, as well as highly-specific charges, including fees for online account access and EMI bounces. Before applying for a loan, it is always good to take a detailed look at all of these charges to facilitate proper financial management.

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A personal loan is a reliable tool when it comes to funding financial requirements. However, it is still essential to keep a tab on how much will you spend through acquiring the loan and over the repayment period. This will help you make the right decisions and ensure a smoother repayment process. Therefore, whether you wish to avail of a personal loan for planning an international trip or to spruce up your home with a few contemporary additions, be sure to read the charges associated with it first so that you can plan your expenses accordingly.

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Fees and charges involved in personal loan

Bajaj Finserv levies the following charges on a personal loan:

Basic Charges

• Processing fee of 4% of the loan amount: This fee is charged to cover some of the processing costs involved in your loan application and approval, such as credit checks and administrative costs.
  
• Interest rates: This is the cost charged by the lender for borrowing the personal loan. It is an annual rate calculated on the loan amount, which forms a component of your EMI.
  
• EMI bounce charges up to Rs. 700 - Rs. 1,200 per bounce: This is the penalty fee for missing an EMI payment levied by the lender.
  
• Penal interest up to 3.50% per month: This is the interest on late payment charged to you when you delay EMI payments or default on repayment.

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Foreclosure charges

Regardless of whether you opted for a fixed or a floating interest rate, if you have already paid 1 month's EMI and wish to foreclose your loan by paying the entire amount in one go, you may be subject to a nominal charge plus applicable taxes on outstanding principal.

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Part pre-payment charges

If you wish to pre-pay some of your loan in parts and have already paid one month’s EMI, you are required to pay a charge of 2% plus applicable taxes on the part pre-payment amount paid. Your part pre-payment should be greater than one EMI. However, if you have opted for a Flexi loan, there will be no charges on part-prepayment.

Additional read: Lower your personal loan EMI by 45%

Fees for duplicate statement

With Bajaj Finserv Personal Loan, you can download e-statements/ letters/ certificates free of cost by logging into the customer portal - My Account. However, you have to pay Rs. 50 per set if you wish to get a physical copy of your statements/ letters/ certificates/ other lists of documents from any of our branches.

Additional Read: Personal Loan Processing Fees

Annual maintenance charges

If you opt for a Flexi personal loan, the annual maintenance charge will be 0.295% (Inclusive of applicable taxes) on the total withdrawable amount.

With a personal loan from Bajaj Finserv, there are no hidden fees or charges. All information is transparently provided for clear understanding and smooth processing. You can also use the Personal Loan EMI Calculator to know your monthly EMI well in advance and plan your repayment accordingly. Opt for a clearly defined, hassle-free loan here.