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Personal Loan

Andhra bank is one of the prominent public sector banks catering the needs of millions of Indian customer for over 93 years now. Formed by Dr. Bhogaraju Pattabhi Sitaramayya in the year 1923, the bank today enjoys a high reputation for its excellent customer service and integration of modern day technologies and human resources to attain world banking experience for common Indian customers. The vast branch network of over 2741 branches gives Andhra bank extra edge while opting for day to day financial needs.

 

A personal loan is one of the simplest, fastest, and handy to avail financial tool to meet any kind of urgent financial obligation. It could be for sending the child abroad for higher education or daughter’s marriage, any medical exigency or a short vacation. Anyone could avail personal loan from Andhra bank for any good or worst, planned or unplanned.

 

With minimal documentation and hassle, free processing makes personal loans from Andhra bank much more lucrative as compared to any other lender. Let’s see some of the key features of Andhra bank personal loan.

Features of Andhra Bank Personal Loan

  • Andhra Bank offers personal loan scheme to cater the financial needs of different group of customers ranging from salary classes to LIC agents and Non individuals to pensioners
  • The customer can apply and know about their prospective loan amount online instantly. This makes the decision-making much simpler and quick to avail the personal loan or not.
  • Highly competitive interest rates for personal loans and hence making the loan repayment extremely handy for the loan taker
  • Special discounts on fees and charges, interest rates and nominal charges for Andhra Bank account holders.
  • Simple and tranquil documentation process
  • Competitive pricing
  • Personal loan disbursal in the least possible time post submission of complete documents
  • Transparent and fair procedure while sanctioning of loan and until the time it is closed.

Andhra Bank offers personal loan in two categories which are:

  1. Clean Loans
  2. Consumer Loans

Andhra Bank Clean Loans

It is basically a cash loan offered to any resident individuals for any genuine purpose such as education, marriage, medical exigency excluding any speculative purposes.

 

Special Features of Clean Loan

  • Clean loan is a personal loan scheme offered by Andhra Bank to the
    1. Salaried employees of reputed government, Public or Private Sector Enterprise
    2. Non-Salaried / Self-Employed/ Professional with sound banking transactions
    3. Pensioners/ Family Pensioners
    4. LIC Agents
  • Offered for a maximum tenure of 5 years and to be repaid in the form of Equated Monthly Installments.
  • Currently, the Interest rate offered by Andhra Bank on its clean loans ranges between 15.75%- 16%, depending on the tenure of the loan.
  • Any third person with sound credit worthiness with a regular income can also be inducted as a co-obligation in the Andhra bank personal loans.
  • For a personal loan to Pensioner, the nominee or any family pensioner can be included as the co-obligation entity.
  • For the clean loans to LIC agent, the co- obligation from a spouse or close family member & one other LIC agent is duly accepted.

 

Clean Loan To Salaried Employee

The loan amount for salaried borrowers could be up to the amount wherein post deduction of proposed EMI, the net take home pay shouldn’t be less than 40 %.

  • Available for the confirmed salaried employee of reputed government sector, public sector enterprise or private Ltd companies.
  • Minimalistic paperwork and hassle free processing is one of the striking features which makes Andhra Bank Clean loans much more lucrative amongst individuals borrowers who are seeking personal loans.
  • Available for borrowers up to the age of 55 years.
  • Repayment to be done in form of equated monthly installment for maximum 60 months.
  • No prepayment charges.
  • Co-obligation is required on a case to case basis which could be any bonafide third party acceptable to the Bank.
  • Interest borrowers may apply for personal loans at any Andhra Bank branch or specialized Retail Credit Branches nearest to them.
  • Provision to include a spouse as co-applicant to enhance eligibility.
  • No security or collateral is required.
  • Processing fee shall be upfront collected while sanctioning of the loan and other administrative charges at the end of every quarter.

Rate of Interest

Andhra Bank has introduced Marginal Cost of Funds Based Lending Rate (MCLR) with effect from 01.04.2016 applicable for all fresh loans sanctioned as well as renewals on or after 01.04.2016.

The applicable rate of interest are:

Loan Period  For State and Central Government employees, Public sector under takings who are drawing salary through bank Branches and Pensioners For private employees, non salaried class and LIC agents etc 
 Upto 36 months  MCLR (One year) + 2.85%  MCLR (One year) + 3.35%
 Above 36 months  MCLR (One year) + 3.10%  MCLR (One year) + 4.35%

Rate of Interest on Personal Loan for Salaried Employees

 
  1. Interest rate for loans up to 36 months is MCLR  + 2.85% and for loans with tenor more than  36 months the interest rate offered is  MCLR + 3.10%
  2. The interest rate applicable on the personal loan is floating in nature and directly proportional to bank’s  MCLR. The rate of interest is subject to periodic changes.

It is computed on daily reducing balances which in turn lowers the actual effective rate of interest significantly.

 

Documentation for Salaried Employee

  • Duly filled application form.
  • Recent Photographs
  • Any one document as Identity Proof and one as Address proof.
    1. Pan card
    2. Voters ID card
    3. Passport
    4. Aadhaar Card
    5. Any other Government ID proof
  • Months Bank statements
  • Salary Slip/ IT Returns/ Assessment Order, Property Statement
  • Guarantors & their same set of documents.

 

Clean Loan To Non-Salaried / Self-Employed Individuals

  • The maximum quantum of loan for Non-Salaried borrowers is 2 times the average annual income of last three years income shown in IT returns or assessment orders. 
  • Available for borrowers up to the age of 55 years.
  • Repayment to be done in form of equated monthly installment for maximum 60 months.
  • No prepayment charges.
  • Co-obligation is required on a case to case basis which could be any bonafide third party acceptable to the Bank.
  • Interest borrowers may apply for personal loans at any Andhra Bank branch or specialized Retail Credit Branches nearest to them.
  • Provision to include a spouse as co-applicant to enhance eligibility.
  • No security or collateral is required.
  • Processing fee shall be upfront collected while sanctioning of the loan and other administrative charges at the end of every quarter.

Rate of Interest on Personal Loan for Non-Salaried / Self-Employed Individuals

  1. Interest rate for loans up to 36 months is MCLR + 3.35 % and for loans with tenor more than  36 months the interest rate offered is  MCLR+ 4.35% 
  2. The interest rate applicable on the personal loan is floating in nature and directly proportional to bank’s Base Rate. The rate of interest is subject to periodic changes.
  3. It is computed on daily reducing balances which in turn lowers the actual effective rate of interest significantly.

 

Documentation for Non-Salaried / Self-Employed Individuals

  • Duly filled application form.
  • Recent Photographs
  • Any one document as Identity Proof and one as Address proof.
    1. Pan card
    2. Voters ID card
    3. Passport
    4. Aadhaar Card
  • Any other Government ID proof
  • 6 months Bank statements
  •  Latest Income Tax Assessment Order, Property statement.
  • Guarantors & their same set of documents.
  • Latest  quotation for article proposed to be purchased

Clean Loan To Clean Loan To Pensioners

  • A personal loan dedicated for the senior citizens to meet any urgent financial obligation in their old age
  • The maximum quantum of the loan amount for pensioners could be 8 times of monthly pension being received in Andhra bank Pension saving account or Rs. 5, 00,000/- whichever is higher.
  • Available till the age of 75 years. 
  • Available for borrowers up to the age of 55 years.
  • Repayment to be done in form of equated monthly installment for maximum 60 months.
  • No prepayment charges.
  • Co-obligation is required on a case to case basis which would be Nominee/family pensioner.
  • Interest borrowers may apply for personal loans at any Andhra Bank branch or specialized Retail Credit Branches nearest to them.
  • Provision to include a spouse as co-applicant to enhance eligibility.
  • No security or collateral is required.
  • Processing fee shall be upfront collected while sanctioning of the loan and other administrative charges at the end of every quarter.

Rate of Interest on Personal Loan for Pensioners

  1. Andhra Bank offers personal loans on most competitive interest rates available in the market currently. There are various factors which are taken into consideration while deciding on the rates of interest to be offered for the personal loans. These factors are:
    • The source of income and market credentials of the employer in case of the salaried applicant.
    • Loan tenure
    • Quantum of finance
  2. Andhra Bank Personal Loans are generally offered on the Floating rate of and is charged on basis of Andhra Bank’s MCLR. The MCLR is periodically reviewed and updated.
  3. Interest rate for loans up to 36 months is MCLR + 2.85%  and for loans with tenor more than  36 months the interest rate offered is MCLR + 3.10%
  4. The interest rate applicable on the personal loan is floating in nature and directly proportional to bank’s Base Rate. The rate of interest is subject to periodic changes.
  5. It is computed on daily reducing balances which in turn lowers the actual effective rate of interest significantly.

 

Documentation for Pensioners

  • Duly filled application form.
  • Recent Photographs
  • Any one document as Identity Proof and one as Address proof.
    1. Pan card
    2. Voters ID card
    3. Passport
    4. Aadhaar Card
    5. Any other Government ID proof
  • 6 months Bank statements with Credit of Pension amount
  • Salary Slip/ IT Returns/ Assessment Order, Property Statement.
  • Photocopy of Pension card
  • Guarantors & their same set of documents.

 

Clean Loan To LIC Agents

 

  • A personal loan to address the financial exigency of LIC agents with proven track record.
  • LIC agents who are income tax assesses can avail loan amount up to  Two times of average renewal commission for the previous three years, however,  subject to a maximum of Rs. 2,00,000/-
  • Such LIC agents who are not income tax assesses can get a loan up to the quantum of  50% of average renewal commission for the previous three years, subject to a  maximum of Rs. 2,00,000/-. The average renewal commission shall be computed on a statement of income.
  • Available for borrowers up to the age of 55 years.
  • Repayment to be done in form of equated monthly installment for maximum 60 months.
  • No prepayment charges.
  • Co-obligation is required on a case to case basis which could be any bonafide third party acceptable to the Bank.
  • Interest borrowers may apply for personal loans at any Andhra Bank branch or specialized Retail Credit Branches nearest to them.
  • Provision to include a spouse as co-applicant to enhance eligibility.
  • No security or collateral is required.
  • Processing fee shall be upfront collected while sanctioning of the loan and other administrative charges at the end of every quarter.

Rate of Interest on Personal Loan for LIC Agents

  1. Andhra Bank Personal Loans are generally offered on the Floating rate of and is charged on basis of Andhra Bank’s MCLR. The MCLR is periodically reviewed and updated.
  2. Interest rate for loans up to 36 months is MCLR + 2.85%  and for loans with tenor more than  36 months the interest rate offered is MCLR + 3.10%
  3. The interest rate applicable on the personal loan is floating in nature and directly proportional to bank’s Base Rate. The rate of interest is subject to periodic changes.
  4. It is computed on daily reducing balances which in turn lowers the actual effective rate of interest significantly

Documentation for LIC Agents

  • Duly filled application form.
  • Recent Photographs
  • Any one document as Identity Proof and one as Address proof.
    1. Pan card
    2. Voters ID card
    3. Passport
    4. Aadhaar Card
    5. Any other Government ID proof
  • 6 months Bank statements where the commission is being credited 
  • IT Returns/ Assessment Order
  • Photocopy of LIC identity card with agent code mentioned on the same.
  • Guarantors & their same set of documents.

Andhra Bank Consumer Loans

Andhra Bank offers consumer loans under its bouquet of personal loans. The Andhra bank consumer loan is an easy option to finance towards the purchase of daily household goods, consumer durables and other electric appliances. The processing of consumer loan is a straightforward one and needs minimal paperwork and lesser turnaround time for loan sanction. This ensures all such desire to make your home more pleasant by adding an asset is being fulfilled within the time.

  • Available to any salaried individual, Pensioners or non-salaried person with good repayment capacity.
  • Andhra Bank Consumer loans are offered for a variety of purpose and do not bind the borrower’s options of spending the loan amount.
  • An easy cash loan to resident individuals for the purchase of house hold appliances or any other consumer durables.
  • The maximum loan amount that could be financed is 10 times the monthly gross salary in case of salaried class, 40% of gross annual income for non-salaried class, 4 times the monthly pension amount  in case of pensioners or 75% of the item value whichever is lesser.
  • The item purchased shall be hypothecated with Bank as security.
  • Other collateral security includes LIC policy with equivalent surrender value or else Pledge of shares, NSCs, Units etc. of passable value.
  • Articles purchased through consumer loans are hypothecated to the Andhra Bank.
  • The acceptable Collateral security includes life insurance policy with an amount equivalent to the surrender value or pledges of shares, units, NSCs, etc with adequate value.

 

Rate of Interest on Consumer loans

 

  1. Interest rate for loans up to 36 months is Base rate + 5.50 % which is currently 15.75% and for loans with tenor more than  36 months the interest rate offered is  Base rate + 5.50%+0.25 which is currently 16.00%
  2. The interest rate applicable on the personal loan is floating in nature and directly proportional to bank’s Base Rate. The rate of interest is subject to periodic changes.
  3. It is computed on daily reducing balances which in turn lowers the actual effective rate of interest significantly.

 

Documents required

 

  • Salaried Individuals
  • Duly filled application form.
  • Recent Photographs
  • Any one document as Identity Proof and one as Address proof.
    1. Pan card
    2. Voters ID card
    3. Passport
    4. Aadhaar Card
    5. Any other Government ID proof
  • 6 months Bank statements
  • Salary Slip/ IT Returns/ Assessment Order, Property Statement
  • Guarantors & their same set of documents.
  • Latest  quotation for article proposed to be purchased

 

  • Self-Employed Person
  • Duly filled application form.
  • Recent Photographs
  • Any one document as Identity Proof and one as Address proof.
    1. Pan card
    2. Voters ID card
    3. Passport
    4. Aadhaar Card
    5. Any other Government ID proof
  •  6 months Bank statements
  •  Latest Income Tax Assessment Order, Property statement.
  • Guarantors & their same set of documents.
  • Latest  quotation for article proposed to be purchased

EMI for Andhra Bank Personal Loans

PaisaBazaar offers EMI calculator for the convenience of its applicant. The EMI calculator is a simple and handy tool that makes the financial planning of the applicant really easy. One may know how much saddle the upcoming loan EMI is going to put on their monthly budget.

Any Interested applicant may login to www.paisabazaar.com. The applicant may select the EMI calculator and fill up the requisite details accordingly. Post-filling up the details such as Loan Amount, Rate of Interest and Tenure, the results would be prompt and the applicant may know the forthcoming EMI amount in case he/she applies for the personal Loan.