Personal loans from Federal Bank help you avail funds to finance a home renovation, consolidate debt, or pursue your education abroad. You get a range of personal loan options, including FedPremia, Federal BYOM personal loans, and digital loans. The Federal Bank personal loan interest rates are competitive, starting from 10.49% p.a. The interest rates are subject to change based on various factors. Let’s explore all the details on interest rates for personal loans in the Federal Bank.
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What is the Federal Bank Personal Loan Interest Rate?
Federal Bank’s personal loan interest rates range from 10.49% p.a to 17.99% p.a. They vary depending on several factors, including your credit score, loan amount, and repayment tenure. You get floating interest rates, meaning that they are subject to change based on RBI’s repo rate and the bank’s guidelines. You can also avail of fixed interest rates based on the Federal Bank personal loan scheme.
| Loan Scheme | Interest Rate | Type of Interest |
| FedPremia | 11.49% to 14.49% p.a | Floating |
| BYOM Personal Loans | 11.99% to 17.99% p.a | Fixed |
| Digital Personal Loans | 11.99 % to 17.99% p.a | Fixed |
Also Read: Taking an Education Loan? Check out the details of Federal Bank education loan interest rates and calculations.
Here are the interest rates on different types of Federal Bank personal loans-
FedPremia Personal Loan Interest Rates
The interest rate for personal loans in the Federal Bank for FedPremia scheme ranges from 11.49% p.a to 14.49% p.a. This is a loan scheme by the Federal Bank that allows you to secure funds up to INR 25 lakhs at attractive interest rates. The easy application process allows you to apply online.
Federal Bank BYOM Personal Loan Interest Rates
The Federal Bank BYOM personal loan interest rates range from 11.99% to 17.99% p.a. They remain fixed throughout the tenure. The exact ROI will depend on the amount of loan, repayment tenure, and credit score.
Please note that Federal Bank BYOM personal loans and pre-approved personal loans from Federal Bank are the same types of loans offered by the bank. Thus, interest rates on both remain unchanged.
Federal Bank Digital Personal Loan Interest Rates
The interest rates on Federal Bank Digital Personal loans range from 11.99% p.a to 17.49% p.a. These too remain fixed throughout the tenure of the loan.
Also Read: Know all about the Federal Bank education loan disbursement process. Understand the steps involved to receive hassle-free credit for the funds involved.
Factors Affecting Personal Loan Interest in Federal Bank
When applying for personal loans from Federal Bank, various factors determine the exact interest rates applicable to your loan. These factors include credit score, loan amount, repayment tenure, monthly income, and relationship with the lender. Let’s explore them in detail.
Loan Amount
Personal loans with higher loan amounts have higher interest rates on personal loans. This is perceived as riskier for the lender, especially the amount that extends the threshold limit. Smaller loans often come with lower interest rates because they represent less risk to the lender.
Repayment Tenure
Loans with shorter repayment periods typically have lower interest rates. This is because lenders face less risk over a shorter time frame and can recover their funds quickly.
Longer repayment periods usually result in higher interest rates. The extended time increases the lender’s risk exposure, as various economic factors could affect the borrower’s ability to repay over time.
Creditworthiness
It is represented by the credit score, based on your past borrowing and repayment history. Higher CIBIL scores for personal loans (typically above 685) indicate lower risk to lenders, often resulting in lower interest rates. Conversely, lower scores may lead to higher rates or even loan denial.
Monthly Income
Personal loans are extended to those who fulfil the minimum monthly salary requirements. Lenders prefer borrowers with higher incomes, as they are seen as more capable of meeting repayment obligations. A stable income can also enhance your chances of securing a lower interest rate.
Relationship with the Lender
Your relationship with the bank also determines the interest rate on personal loans. Your history with the lender can affect the terms of the loan. Existing customers with a good repayment record may receive preferential treatment, including lower interest rates and faster processing times.
This was all about Federal Bank personal loan interest rates. You should ensure that you meet the eligibility criteria and prepare the necessary documentation to facilitate a smooth application process.
To know more about education loans, the best bank accounts for students, forex and banking experience for global students or international money transfers, reach out to our experts at 1800572126 to help ease your study abroad experience.
FAQs
Federal Bank personal loans can be availed up to INR 25 lakhs subject to fulfilment of eligibility criteria. Pre-approved loans for existing customers are offered up to INT 7.5 lakhs.
Federal Bank offers competitive interest rates on personal loans, making them an attractive option for borrowers. They range from 10.49% p.a to 17.99% p.a.
Interest rates on BYOM personal loans, or Federal bank pre-approved personal loans range from 11.99% to 17.99% p.a. They remain fixed throughout the loan tenure.
The interest rates on Federal Bank NRI personal loans are 11.49% p.a onwards, which remain fixed throughout the loan tenure.
Various factors like your credit score, loan amount, repayment tenure, monthly income, and relationship with the lender determine the exact interest rates applicable to your loan.
