Jaipur also known as pink city is the largest city and capital of Rajasthan. It is named after Maharaja Jaisingh who had founded it in 172. Due to its historical monuments and palaces it is a big tourist attraction and forms part of the golden tourist triangle, Delhi and Agra being the two other angles. Being the 10th most populous city in India, it has also emerged as a good market for all the financial products. It is an educational centre where students from all over Rajasthan come to pursue higher studies. It is one of major Information and Technology hub of western India. Due to the demography of employees in the IT and education sector the demand for personal loan has been steadily rising in the City. In addition to IT and education tourism and gems & jewellery are the other major employment provider in Jaipur.
Banks providing personal loans in Jaipur
Due to growing demand for personal loans majority of the private as well as public sector banks and Non Banking Finance Companies (NBFC) are active in this segment here. Amongst the major private banks active in personal loans in Jaipur ICICI Bank, HDFC Bank, Kotak Mahindra bank, Citi Bank, IDFC bank and Standard Chartered Bank are prominent. Amongst the public sector banks Oriental Bank of Commerce, State Bank of India, Bank of Maharashtra, Dena Bank and Punjab Bank are prominent. Amongst the NBFC Fullerton, Tata Capital and Bajaj Finserve are prominent player.
Rate of interest on personal loan in Jaipur
The rate of interest charges on personal loans generally depend on your credit history and credit score. For salaried the interest rate is lower than for self employed. Even amongst salaried the rate charged to the employee working in reputed listed company is lower than those working with other employers. Moreover the rate charged by NBFC is generally higher than those charged by the banks. The professionally qualified people get lower rate than other borrower. Though banks generally do not lend money to people with not so good credit history but a few NBFCs lend them at higher rates.
As personal loans are given without any tangible security or intangible security like personal guarantee, the rate of interest is generally higher than for other loans. The interest charged by lenders varies very widely. It varies from around 11% to 24% p. a. depending on the factors explained above.
Loan amount available and the tenure of the loan
The lenders give you any loan including a personal loan based on your repayment capacity as evidenced by your income. The consistency of income, age, professional qualifications, experience etc. all are considered in determining whether and how much personal loan you will get. Normally lenders give personal loans for a period ranging from 12 months to 60 months. The longest tenure of personal loan varies amongst lenders. It also varies depending on your age at the time of taking the personal loan as tenure of any loan cannot go beyond your retirement when the regular income ceases. The age of retirement for salaried is generally considered 60 years but for self employed lenders grant personal loans repayable till 65 years of age. The lenders consider around 40% of your net monthly income as available for servicing any loan. So the absolute amount of personal loan availability to you will also depend on various factors like your age, rate of interest and tenure opted by you. In case you are already servicing any other loan, your eligibility for personal loan is reduced
to that extent. In case only a few instalments are pending, it is advisable to pay off that small outstanding loan to get higher personal loan. Unlike for home loan, no joint applicants are allowed, generally, in case of personal loans.
How to apply and documents to be submitted
With increased use of technology most of the lenders provide you the facility to submit your loan applications online. In case you have your salaried account with the bank, some of the banks process your application in a time as short as 4 hours.
There are no differences in the documents to submitted with personal loan application whether you apply it in Hyderabad or in Jaipur. The requirements are the same across the country for a particular lender. For making personal loan applications, the borrower has to submit a few category of documents. The starting point for any banking relationship, whether a loan or opening a bank account, you have to submit the basic Know your customer (KYC) documents. These comprise of two sets of documents. One set of documents is to establish your identity. This can be done by submitting any of the documents which has your name with a photograph on it. It can be a PAN card, Aadhaar Card, Voter ID, Driving licence. Passport, a photo identity card issued by any government authority or even in some cases the photo credit cards are also acceptable. The second category of document needed for your KYC compliance is the address proof where you are staying. This can be complied with Aadhaar Card, driving licence, electrify bills, gas bill, telephone bill, any documents evidencing ownership of the property or leave and licence for the place of residence.
The second sets of document required are those documents which establishes your repayment capability. The set of income documents would differ for salaried and self employed. The salaried borrowers have to submit copies of latest salary slip with copy of form no. 16 or ITR if filed. The self employed have to submit documents like ITR filed with profit and loss account and balance sheet for last two years. In case the self employed borrower is a member of any trade or professional body, the membership certificate as well as licences and registration under various laws may also needed to be submitted.