Canara Bank Personal Loan : Public Sector Canara Bank provides personal loan to all the eligible category of borrowers like Salaried, Professional. Benefits of taking personal loan from Canara Bank are:
- There is no prepayment charges
- Quick and easy approval especially for salaried class
- Multiple repayment options
- Canara Bank is among the top rated banks in service excellance
- Canara Bank post amalgamated with Syndicate Bank has over 10,000 branches in India where you can avail the personal loan services
- Canara Bank offers special schemes and discounts for employees of large companies, Bluechip companies, Government employees, Public Sector Employees.
Canara Bank Personal Loan Details
- Purpose of Loan: Canara Bank personal loan can be utilized for any personal consumption or expenses like professional obligations, travel, vacation, education, medical and other personal finance requirements. Bank does not allow speculative use of personal loans.
Key Features
- Loan available for both salaried and self-employed professionals.
- Borrowers within the age group of 21 and 60 years.
- Loan amount of minimum ₹ 1 Lakh to ₹ 3 Lakh.
- Loan Tenure 12 to 60 months.
- Canara Bank personal loan rate of interest is in the range of 13.00% to 14.00%.
- Lowest EMI of ₹ 2,683 per lakh.
- Processing Fees: 0.50%.
- Preclosure charges: Canara Bank allows personal loan with NIL preclosure charges
- Part payment charges: Allowed
- Other Charges: Other charges involves Late EMI payment charges, EMI bounce charges, loan cancellation charges,overdue charges. These are disclosed by the bank at the time of signing the loan agreement.
- Special schemes: Canara Bank offers customised personal loan interest rates and schemes for special category of borrowers, including borrowers working in reputed companies,bluechip, banks or government employees etc. Some of the special personal loan schemes of Canara Bank are:
- Canara Budget for Salaried
- Canara Pension to Pensioners
- ESOP & ESOP NRI
- Canara Credit Support to COVID – 19
Canara Bank Personal Loan Eligibility
Canara Bank is offering the cheapest Interest rate on personal loan. The women borrowers will be getting the additional concession on interest i.e. 0.50% on applicable ROI.
Know More – How to Calculate Cutback in Loan Appraisal?
The following factors determine the personal loan rate of interest, you may expect from Canara Bank:
- Loan Amount – This is the amount borrowed by a borrower from the bank. Generally, banks offer lower interest rates for higher amount. Canara Bank offers personal loan between ₹ 1 Lakh and ₹ 3 Lakh.
- Salary – Income defines your capacity to repay the loan. Higher salary bracket individuals are offered loans at lower interest rates. The interest rate of the bank varies with your net monthly income and category of the employees i..e Governemnt companies , Bluechip or others.
- Employer Category – Canara Bank has an internal list of companies falling into categories that are ranked from high to low company categories based on company’s size, reputation and existing relationship with the bank. Employees who belong to companies in higher company categories get attractive discounts and low interest rate loans.
- Relationship with the Bank – Old and existing relationship with the bank plays an important role. The process of getting the personalloan will be much easier for the existing customer of the bank and if salary gets credited.
- Loan Tenure – Personal loans are of generally shorter tenure ranges from 12 months to 60 months.
- Repayment Capacity/Cutback eligibility – The cutback eligibility is the most essential criteria to determine the overall loan amount to be sanctioned. Bank verifies the repayment capacity of the customer through CIBIL as it has the repayment track record of previous loans taken. CIBIL also captures information of credit card bills payment.
Canara Bank Personal Loan Charges
In addition to Canara Bank’s personal loan interest rate, borrower needs to compare other charges on the bank’s personal loan before taking a decision to borrow from the bank include:
- Part Payment Charges – Part Prepayment on Canara Bank’s personal loans is allowed after 1 Month without any charges.
- Preclosure Charges – There is no preclosure charges for canara bank personal loan. Canara Bank allows preclosure of personal loan with Nil prepayment charges.
- Processing Fee – Canara Bank charges a processing fee of 0.50% of loan amount with applicable taxes. The processing fees is non-refundable.
- Other charges: Once your Canara Bank personal loan application is accepted or sanctioned, bank will provide you a sanction letter with details of other charges applicable on your loan account. Some of these charges are interest charged on late payment, EMI cheque bounce charges and loan cancellation charges, which are payable only if you delay in EMI payments, cheque bounces or you decide to cancel your loan after sanction
Canara Bank Personal Loan Process
If you want to get a loan from Canara Bank, the process to get the loan is fairly easy. All you need to do is to apply for a personal loan after visiting the branch or apply online after visiting theor website. Canara Bank’s representatives will get in touch once they receive your online application.
You can also do a comparison of Canara Bank Personal Loan Interest rates and other charges witrh all other banks on AskBanking.com.
Documents Required
For salaried employees
- Filled up loan application form
- 2 Passport Size Photo
- Income Tax PAN Copy
- Identity Proof – Driving License/ PAN/ Passport/ Voter ID
- Residential Address Proof – Registered Rent Agreement/ Passport/ Leave and License/ Utility Bill (upto 3 months old)
- Income Documents – 2 years Form 16, 3 month pay slip, 3 months bank statement showing salary credit and any EMI debit
Canara Bank personal loan details
| Maximum Annual Percentage Rate (APR) | It varies but Maximum 13%. RLLR + Mrgin (RLLR changes on regular interval) |
| Loan Calculation with Example |
Here is an example of the total cost of the loan:
Calculate Personal Loan EMI using Canara Bank Personal Loan Calculator[Click Here for loan emi calculator] Canara Bank’s terms and conditions as per loan agreement applicable. Short term loans/ pay day loans not available; Minimum loan tenure: 12 months. Rate of interest depends upon company categorization, income, job stability, loan amount, CIBIL score, credit profile, existing obligations, verification and other factors. Credit at sole discretion of Canara Bank. |