Top Personal Loan Providers India For Retired Pensioners
The need of money can hit us anytime whether we are prepared or not. Especially; during the financial emergencies personal loans of India have been great help in getting through monetary crunches. However; the options for personal loans are plenty in the market but; retired pensioners are finding it hard to get personal loans. Why? Financial lenders as well as banks considers SENIOR CITIZENS a greater risk as losing loan money is the primary concern. Personal loan providers India for retired pensioners can be few in the market to apply but; not an impossible task to get monetary help.
Furthermore; personal loan providers India for retired pensioners may not be encouraging when compared to the young age working individuals. Let’s understand what makes it tough to get personal loans for the senior citizens.
Personal loan approval is dependent on 4 important factors which are as follows:
- CIBIL score
- Loan amount
Additionally; there are other factors also play a major role but; the above mentioned factors holds most importance. A regular income earner has higher chance of meeting these eligibility criteria. However; for a senior or retired individual with no income or pension, the chances of loan approval are very less as they don’t have an income post retirement. Furthermore; the age factor is also one of the reason for rejection, as most of the banks normally provide loan to individuals with maximum age of 60 years.
Additionally; retired pensioners who are still drawing pension have favorable chances to apply for personal loans India. Below are quick and easy personal loans providers India for pensioners.
Top Personal Loan Providers India For Pensioners
1. Central Bank Of India Personal Loans To Retired Pensioners
Central Bank of India is one of top personal loan providers India offering persona loans to retired pensioners. The bank offers personal loan at attractive interest rates, concessions to spouses drawing family pension furthermore; do not charge processing fees.
- The bank sanctions personal loans for retired pensioners for any genuine financial requirement. The loan is available as a term loan as well as overdraft facility
- There are no processing fees charged.
- Retired Pensioners who are 75 years and below can get a maximum of 18 months’ pension. The highest loan amount available is Rs.5 lakhs. For pensioners above the age of 75 years, a maximum of 12 months’ pension is granted subject to a maximum of Rs.2 lakhs
- The interest rate is currently at 11.70% per annum. This is calculated as the base rate + 2%. A concession of 50 basis points in the interest rate may be offered to spouses of pensioners who are drawing a family pension.
Pensioners or the family pensioners receiving pension from Central Bank of India are eligible to apply for the personal loans. Additionally; pensioners who receive their pension from Treasury or the Defence Pension Disbursing Office as a direct credit to their savings account held at any branch of Central Bank of India makes them eligible to get personal loan.
2. State Bank Of India
SBI is one of the India’s first decade bank today hence; every reason to top the list when it comes to top personal loan providers India offering loan to retired pensioners. Being top personal loan providers India; the bank has extended to provide loan to the defense pensioners as well.
- Pensioner can avail the personal loan to any financial urgency or obligation
- There are no processing fees charged for defence pensioners else there is a nominal fee charged.
- The processing fees amount to 0.50% of the loan amount plus tax, subject to a minimum of Rs.500 plus tax. The loan is processed without any other charges.
- The minimum loan amount sanctioned is Rs.25,000 and the maximum loan amount sanctioned is Rs.14 lakhs.
- The loan has to be repaid through standing instructions set to debit the pension account with the EMI amount on the set date.
- The interest rate offered on the SBI Pension Loan is 3.80% above 2-year MCLR however; presently the rate of interest is 13.05% per annum
Eligibility For The Personal Loan For Retired Pensioners
- For retired Central and State Government employees
- He/she should not be over the age of 76 years
- Pensioners should be drawing their pension through any SBI branch
- It is mandatory that the pension should be disbursed by Government Treasuries
- Pensioners of the armed forces, Army, Navy, Air Force, Paramilitary, Rashtriya Rifles and Assam Rifles and Coast Guards are eligible
- The pension payment order should be with SBI
- There is no minimum age limit, but the maximum age is 76 years
- Spouse who is authorized to receive the pension after the death of the pensioner
- The family pensioner should not be more than 76 years of age
3. Punjab National Bank For Retired Pensioners
Punjab National Bank realizes the need for extra finance for the pensioners in times of emergencies, medical expenses and personal needs. The bank offers a personal loan to help pensioners meet these obligations.
- The bank’s purpose is to help pensioners meet financial needs under personal loans for pensioner scheme
- There is no processing fee charged towards personal loans for pensioners however; there’s a small fee of Rs.500 plus GST applicable for the documentation charges
- The minimum loan amount sanctioned is Rs.25,000 as well as the upper limit depends on the pension drawn and the age of the applicant
- Under this personal loan for pensioner scheme, the loan must be repaid in maximum 60 EMIs.
- For pensioners above the age of 75 years, the maximum tenure granted is 24 EMIs. The repayment will be calculated on the basis of the net monthly pension hence; the deductions including the loan EMI does not exceed 50%
- The interest rate offered on the PNB Personal Loan for Pensioners is 2.60%
All senior citizens who are drawing their pension through any Punjab National Bank branch are eligible to apply for a personal loan.
4. Bank Of Baroda
Pensioners can avail of a personal loan from Bank of Baroda at easy terms and conditions. The bank offers low interest rates and no processing fees. All pensioners are eligible but the eligible loan amount will depend on the age and type of applicant.
- The bank offers personal loans to senior citizens drawing pension to meet any urgent financial requirements
- There is no processing charges applied
- The bank offers loans up to 18 times the monthly pension. The maximum loan amount available depends on the type of pensioner and the age of the pensioner
- The interest rate charged on this loan is the base rate + 2.00% per annum. For retired employees of Bank of Baroda and their family pensioners, the loan is granted at the base rate.
- The regular and family pensioners, the repayment period depends on the age.
- For applicants up to 70 years of age, the maximum tenure granted is 60 months. However; those above the age of 70 years, the maximum tenure granted is 36 months.
- Pensioners or family pensioners who draw their pension through any Bank of Baroda branch can apply
- He/she who receive their pension from Treasury or the Defence Pension Disbursing Office as a direct credit to their savings account held at any branch of Bank of Baroda
- The loan applicant should not be more than 75 years of age
- There should be no returned cheques due to insufficient funds
5. BOI Pensioner Loan
Senior citizens now can avail of a personal loan from Bank of Baroda quickly and on easy terms and conditions.
- The bank offers personal loans in the form of Demand Loan, Term Loan, as well as Overdraft is granted to the pensioners drawing pension through the bank and retired employees of Bank of India
- There are no processing charges for pensioners who are 60 years and above. However; for others, the processing charges are subject to a minimum of Rs.500 and a maximum of Rs.2,000.
- Stamp paper and loan agreement charges are also applicable.
- Bank of India offers loans up to 18 times the monthly pension. The maximum loan amount available depends on the type of pensioner as well as on the age of the pensioner
- Regular pensioners drawing their monthly pension through a Bank of India branch
- Family pensioners drawing their monthly pension through a Bank of India branch
- Furthermore; the retired employees of Bank of India not including dismissed or compulsorily retired employees are eligible to apply
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