Top 7 Personal Loans with Lowest Interest Rates in July 2025
Personal loans are the go-to financial solution for quick funds, whether for medical emergencies, education, home renovations, or debt consolidation. With multiple banks and NBFCs offering competitive personal loan interest rates, choosing the right one requires careful comparison. Here’s a detailed list of the best personal loans in July 2025 with features, eligibility, pros, and cons.
1) Bajaj Finserv Personal Loan
- Interest Rate: Starting from 11.00% p.a.
- Loan Amount: Up to ₹25 Lakhs
- Tenure: 1 to 7 years
- Processing Fees: Up to 3%
Why Choose: Quick approvals and flexible repayment options.
Eligibility: Salaried & self-employed professionals with a CIBIL score above 685.
Pros: Instant approval, minimal documentation, flexi loan facility.
Cons: Higher processing fee, stricter credit score requirements.
2) IDFC FIRST Bank Personal Loan
- Interest Rate: Starting from 10.25% p.a.
- Loan Amount: Up to ₹40 Lakhs
- Tenure: 1 to 5 years
- Processing Fees: 1% - 2%
Why Choose: Competitive interest rates with transparent charges.
Eligibility: Salaried & self-employed with good credit history.
Pros: No hidden charges, flexible repayment schedules.
Cons: Not available for low-credit applicants.
3) HDFC Bank Personal Loan
- Interest Rate: Starting from 10.50% p.a.
- Loan Amount: Up to ₹40 Lakhs
- Tenure: 1 to 5 years
- Processing Fees: Up to 2.5%
Why Choose: Instant disbursals, minimal documentation, trusted lender.
Eligibility: Salaried individuals aged 21–60 with minimum ₹25,000 monthly income.
Pros: Pre-approved offers, online application & e-KYC.
Cons: Slightly higher processing fees.
4) ICICI Bank Personal Loan
- Interest Rate: Starting from 10.75% p.a.
- Loan Amount: Up to ₹25 Lakhs
- Tenure: 1 to 6 years
- Processing Fees: Up to 2.5%
Why Choose: Transparent processes, tailored offers for existing customers.
Eligibility: Salaried/self-employed with ₹30,000+ monthly income.
Pros: Balance transfer facility, digital pre-approval.
Cons: Stricter eligibility norms.
5) Axis Bank Personal Loan
- Interest Rate: Starting from 10.49% p.a.
- Loan Amount: Up to ₹25 Lakhs
- Tenure: 1 to 5 years
- Processing Fees: Up to 2%
Why Choose: Quick digital processing, special rates for salaried professionals.
Eligibility: Salaried individuals earning ₹20,000+ monthly.
Pros: Low rates for corporate employees, part-payment options.
Cons: Foreclosure charges applicable.
6) State Bank of India (SBI) Personal Loan
- Interest Rate: Starting from 10.15% p.a.
- Loan Amount: Up to ₹20 Lakhs
- Tenure: Up to 6 years
- Processing Fees: Up to 1.5%
Why Choose: PSU trust, largest branch network, transparent norms.
Eligibility: Salaried & pensioners (income as per branch policy).
Pros: Low interest and processing charges, special government employee benefits.
Cons: Slower processing time.
7) Kotak Mahindra Bank Personal Loan
- Interest Rate: Starting from 10.99% p.a.
- Loan Amount: Up to ₹25 Lakhs
- Tenure: 1 to 5 years
- Processing Fees: Up to 2.5%
Why Choose: 100% paperless process, special rates for salaried employees.
Eligibility: Salaried individuals earning ₹20,000+ monthly.
Pros: Fully digital process, attractive pre-approved offers.
Cons: Not suitable for self-employed applicants.
Quick Comparison Table: Personal Loans July 2025
| Bank/NBFC | Interest Rate (From) | Max Loan Amount | Processing Fee |
|---|---|---|---|
| SBI | 10.15% | ₹20 Lakhs | Up to 1.5% |
| IDFC FIRST Bank | 10.25% | ₹40 Lakhs | 1% - 2% |
| HDFC Bank | 10.50% | ₹40 Lakhs | Up to 2.5% |
| Axis Bank | 10.49% | ₹25 Lakhs | Up to 2% |
| ICICI Bank | 10.75% | ₹25 Lakhs | Up to 2.5% |
| Bajaj Finserv | 11.00% | ₹25 Lakhs | Up to 3% |
| Kotak Mahindra Bank | 10.99% | ₹25 Lakhs | Up to 2.5% |
Final Advice on Choosing a Personal Loan
While the lowest personal loan interest rate is important, you must also check processing fees, prepayment terms, approval speed, and customer service. Compare at least 2–3 lenders before applying to ensure the best deal for your financial needs.
At FinCrif, you can compare personal loans from top banks and NBFCs using our free Personal Loan Comparison Tool. Apply smart, borrow wise – only with FinCrif.
