What is a personal loan?
A personal loan is a type of loan that you can take from a bank or a financial institution for your personal needs. You can use it for various purposes, such as paying for education, medical expenses, travel, home renovation, wedding, etc. A personal loan does not require any collateral or security, which means you do not have to pledge any asset or property to get the loan. However, you have to pay interest on the loan amount, which is usually higher than other types of loans.
What is ESAF Small Finance Bank?
ESAF Small Finance Bank is a bank that provides banking and financial services to customers in India. It was established in 2017 as a small finance bank, which means it focuses on serving the underbanked and unbanked segments of the society, such as low-income households, small businesses, farmers, women, etc. ESAF Small Finance Bank offers various products and services, such as savings accounts, current accounts, fixed deposits, recurring deposits, micro-banking, and loans.
What are the features of ESAF Small Finance Bank personal loan?
ESAF Small Finance Bank offers personal loans for customers who have a monthly salary or pension credit in their bank account. Here are some of the features of ESAF Small Finance Bank personal loan:
- Loan amount: You can get a loan amount ranging from Rs. 50,000 to Rs. 5 lakhs, depending on your income, repayment capacity, and credit history.
- Loan tenure: You can choose a loan tenure from 12 months to 35 months, depending on your convenience and affordability.
- Interest rate: The interest rate for ESAF Small Finance Bank personal loan varies from 14.41% to 23.31% per annum, depending on your credit score, loan amount, and loan tenure.
- Processing fee: The bank charges a processing fee of 2% of the loan amount, subject to a minimum of Rs. 1,000 and a maximum of Rs. 5,000.
- Prepayment charges: The bank allows you to prepay your loan partially or fully after paying 6 EMIs, subject to a prepayment charge of 3% of the outstanding loan amount.
- Credit decision: The bank claims to take a credit decision within 2 days of receiving all the required documents from you.
What are the benefits of ESAF Small Finance Bank personal loan?
ESAF Small Finance Bank personal loan has some benefits that can make it an attractive option for your personal needs. Here are some of the benefits:
- Easy eligibility: You can apply for ESAF Small Finance Bank personal loan if you are an employee working in a reputed company, a government employee, a PSU employee, a private or nationalised bank employee, a co-operative employee, a public limited company employee, a hospital employee, an educational institution employee, or a pensioner with a minimum monthly pension of Rs. 20,000.
- Minimal documentation: You do not have to submit a lot of documents to apply for ESAF Small Finance Bank personal loan. You only need to provide your ID proof, address proof, salary slips for 3 months, bank statements for 6 months, and pension book or pensioner’s ID card if you are a pensioner.
- Quick disbursal: Once your loan application is approved, the bank will disburse the loan amount to your bank account within a few hours or days, depending on the verification process.
- Flexible repayment: You can choose a repayment mode that suits your cash flow and budget. You can opt for ECS, NACH, or PDC to pay your monthly EMIs. You can also prepay your loan partially or fully without any penalty after paying 6 EMIs.
How to apply for ESAF Small Finance Bank personal loan?
You can apply for ESAF Small Finance Bank personal loan either online or offline. Here are the steps to apply:
- Online: You can visit the ESAF Small Finance Bank website and fill up an online application form with your personal and professional details. You can also upload the scanned copies of your documents and submit the form. The bank will verify your details and documents and contact you for further process.
- Offline: You can visit the nearest ESAF Small Finance Bank branch and meet a loan officer. You can fill up a physical application form and submit it along with your documents. The bank will verify your details and documents and contact you for further process.
What are the things to keep in mind before applying for ESAF Small Finance Bank personal loan?
Before applying for ESAF Small Finance Bank personal loan, you should keep some things in mind, such as:
- Check your eligibility: You should check whether you meet the eligibility criteria for ESAF Small Finance Bank personal loan, such as your age, income, credit score, etc. You can use the ESAF Small Finance Bank eligibility calculator to check your eligibility online.
- Compare the interest rates: You should compare the interest rates offered by ESAF Small Finance Bank with other banks and financial institutions. You can use the ESAF Small Finance Bank interest rate calculator to calculate your interest rate online. You should choose the lowest interest rate that matches your loan amount and tenure.
- Calculate your EMI: You should calculate your monthly EMI that you have to pay for ESAF Small Finance Bank personal loan. You can use the ESAF Small Finance Bank EMI calculator to calculate your EMI online. You should choose an EMI that fits your monthly budget and does not affect your other expenses.
- Read the terms and conditions: You should read the terms and conditions of ESAF Small Finance Bank personal loan carefully before signing the loan agreement. You should understand the fees and charges, prepayment options, late payment penalties, foreclosure clauses, etc. You should also ask any questions or doubts that you have to the bank representative.