Archive · 15 Sep 2026
Personal Loan Rates Start at 8.90% Across Eight Banks
Eight private-sector banks have published personal loan rates for September 2026.
The lowest starting rate in the comparison is 8.90% from Axis Bank.
A ₹5 lakh loan paid back over five years would have an EMI of about ₹10,355 at that rate.
The monthly payment could be about ₹11,895 if the interest rate were 15%.
A higher rate means paying more money overall.
Banks may offer different rates to different people.
They consider details such as credit score, income and repayment history.
Borrowers should also compare processing fees, taxes, foreclosure charges and repayment conditions before choosing a loan.
Personal loan interest rates at eight private-sector banks start at 8.90% per year as of 9 September 2026.
For a ₹5 lakh loan over five years, the lowest listed EMI is approximately ₹10,355.
Axis Bank lists the lowest starting rate, while Federal Bank publishes a range of 11.75% to 18.99%.
Processing fees range from up to 1% at HSBC Bank to up to 5% at Kotak Mahindra Bank.
Final rates depend on factors including credit history, credit score, income, employment history and repayment history.
- Who
- Eight private-sector banks—Axis Bank, Federal Bank, HDFC Bank, HSBC Bank, ICICI Bank, IDFC FIRST Bank, IndusInd Bank and Kotak Mahindra Bank—are compared for prospective borrowers.
- What
- A comparison of personal loan interest rates, five-year EMIs and processing fees for ₹5 lakh and ₹1 lakh loans.
- When
- Rates and charges were listed as of 9 September 2026.
- Where
- The comparison covers private-sector banks operating in the market represented by the rupee-denominated loans.
- Why
- To help borrowers compare loan costs and understand that final rates and charges vary by applicant and bank policies.
- Lowest starting rate
- 8.90% per annum at Axis Bank
- Loan example
- ₹5 lakh repaid over five years
- Lowest listed EMI
- Approximately ₹10,355 per month
- Highest listed processing fee
- Up to 5% at Kotak Mahindra Bank
- Lowest listed processing fee
- Up to 1% at HSBC Bank
- Federal Bank rate range
- 11.75%–18.99% per annum
- Rate-setting factors
- Credit history, credit score, income, employment history and repayment history