5 Lakh Personal Loan

Whether it is anticipated or urgent, the need for funds may manifest in multiple ways. It could arrive in the form of unexpected medical expenses, exciting higher education opportunities, or even a major life event like a wedding celebration.

Personal loans are an ideal solution as they require no collateral and can be used for a wide range of purposes without restrictions. Unlike traditional loans, they offer flexibility, a feature which allows you to manage your funds according to your personal needs.

SMFG India Credit is able to conveniently meet the need for personal loans that help to finance these anticipated or urgent monetary requirements. For example, if you need an INR 5 lakh personal loan, you can simply avail of it by meeting the minimum eligibility and documentation requirements. The EMIs for the INR 5 lakhs personal loan can be spread across a flexible tenure ranging from 12 to 60 months. With swift and transparent loan processing, we make sure that you get the funds when you need them the most.

Eligibility Criteria for a 5 Lakh Personal Loan

To avail of a personal loan of up to INR 5 lakhs, you need to meet some basic eligibility criteria. You can use SMFG India Credit's free Personal Loan Eligibility Checker to calculate your personal loan eligibility. It is a free-of-cost online tool that eases your borrowing experience.

It considers factors such as your current EMIs, monthly income, date of birth, city of residence, interest rate, and tenure to determine your eligibility for a personal loan. Conducting this online eligibility check allows you to gauge the amount you can reasonably borrow and comfortably repay. Whether you're a salaried employee or self-employed, SMFG India Credit welcomes your application.

Age: Applicants must be at least 22 years old at the time of loan application and not exceeding 65 years of age at the loan's maturity. Self-employed applicants need to be at least 25 years of age to apply.

Citizenship: An applicant must be an Indian resident.

Work Experience: Applicants are required to have a minimum employment tenure of 6 months with their current employer. Self-employed applicants must have a business that has been operating for at least 3 years.

Monthly Income: The minimum monthly income requirement for applicants residing in Delhi and Mumbai is INR 25,000, while applicants from other regions across the country should have a monthly income of INR 20,000. For self-employed applicants, the minimum annual turnover and yearly profit after taxes are considered, which can vary according to the nature of the profession or domain of work.

Credit Score: A good credit score (usually 750 or above) is an essential factor in determining your eligibility. It plays a critical role in loan approval and securing competitive interest rates.

Existing Debt: Your existing EMIs should ideally not exceed 60-70% of your monthly income, ensuring you can comfortably manage the additional personal loan repayment.

Documents Required for a 5 Lakh Personal Loan

When seeking an INR 5 lakhs loan, you will need the following documentation:

  1. PAN Card
  2. Proof of Identity (Aadhaar Card, Driving License, Passport, Voter ID, etc.)
  3. Signature Proof (Passport, PAN Card, etc.)
  4. Address Proof (Passport copy, Aadhaar card, driving license, utility bills such as gas or electricity bills, Voter ID, ration card, rent agreement, etc.)
  5. Bank statements from the past 6 months

Additional Documents for Salaried Individuals:

  • Salary slips for the last three months
  • Income tax returns or Form 16

Additional Documents for Self-Employed Individuals:

  • Balance sheet and profit and loss account, along with income computation for the past 2 years
  • Income Tax Returns for the past 2 years
  • Business proof (License, registration certificate, GST number)
  • IT Assessment or Clearance Certificate
  • Income Tax Challans for TDS Certificate (Form 16A) or Form 26 AS for income declared in ITR

Fees & Charges for a 5 Lakh Personal Loan

Here's a breakdown of the fees and charges associated with SMFG India Credit's personal loans, offering a comprehensive understanding of the financial implications.

These charges, in conjunction with the interest rates, play a pivotal role in determining the overall cost of the loan. The figures below outline the relevant fees and charges, all presented in Indian Rupees (INR ).

Amount Chargeable

Fees & Charges

Personal Loan Interest Rate

Starting at 13%* per annum

Processing Fee

Up to 5% of the total loan amount + GST

Late Payment Charges

Up to 3% per month (36% per annum) on overdue amount calculated on day to day basis payable from the relevant due date till date of actual payment.

Loan Cancellation Charges (loan cancelled before first EMI)

Rs. 1000 - 2500

5 Lakh Personal Loan EMI Options for 1-5 Year Tenures

SMFG India Credit’s online personal loan EMI calculator lets you calculate EMI amounts for different loan tenures accurately and instantly.

For an INR 5 lakh personal loan, the EMI for 1-year loan tenure at a 13% rate of interest per annum is INR 44,659, 2-year tenure is INR 23,771, 3-year tenure is INR 16,847, 4-year tenure is INR 13,414 and 5-year tenure is INR 11,377.

Loan Amount (Rs)

Interest Rate (p.a.)

Tenure (years)

EMI (Rs)

 

 

 

Rs 5 Lakhs

    

 

 

 

13%

    

1

44,659

2

23,771

3

16,847

4

13,414

5

11,377

Disclaimer: These are approximate EMI calculations, actual numbers may vary.

How to Calculate EMI for a 5 Lakh Personal Loan

If you want to calculate your INR 5 lakh personal loan EMI, access SMFG India Credit’s personal loan EMI calculator and follow these steps.

  • Choose the Loan Amount: Select the amount you wish to borrow.
  • Select the Tenure: Decide on the repayment tenure for your personal loan. You can choose a tenure of up to 5 years or 60 months.
  • Set the Rate of Interest: Enter the applicable rate of interest based on your eligibility.

Once you input these details into the EMI calculator, it will compute your monthly EMI. This EMI represents the amount you need to pay each month to repay your personal loan, considering the loan amount, tenure, and interest rate you've specified.

Reasons to Choose a 5 Lakh Personal Loan

A INR 5 lakh personal loan helps to finance anticipated or urgent monetary requirements, including:

  • Medical Emergencies: When faced with an unexpected medical emergency or medical expenses not covered by insurance, a personal loan can provide the necessary funds promptly.
  • Debt Consolidation: If you are juggling multiple unsecured loans, consolidating them into a single personal loan is a wise financial move.
  • Higher Education: Professionals aiming to enhance their skills can realise their academic aspirations by securing an online personal loan.
  • Weddings: A personal loan can help finance wedding arrangements, from venue bookings to catering and decorations.
  • Home Renovation: Transform your home by redesigning interiors, purchasing new appliances, or furnishing it with the help of a personal loan.
  • Travel and Vacation: A personal loan can help fund a family vacation or a solo getaway, allowing you to explore new destinations without disrupting your savings.
  • Relocation Expenses: If you're moving to a new city, a personal loan can help cover relocation costs, such as moving services, new housing deposits, and settling-in expenses.
  • Major Purchases: From upgrading to the latest smartphone to purchasing high-end kitchen appliances, a personal loan provides the financial flexibility to purchase big-ticket items without straining your budget.

How to Apply for a 5 Lakh Personal Loan 

To begin your personal loan application process at SMFG India Credit, adhere to the following steps::

  1. Enter Basic Information

Give essential personal information like mobile number, PAN, pincode, and your employment type (salaried or self-employed).

  1. Confirm Your Mobile Number

Verify your mobile number via a 6-digit OTP.

  1. Provide Additional Details

Provide further details such as email address, date of birth, gender, and annual household income along with verifying your email ID.

  1. Submit Employment Details

Give details about your employment if you're receiving a regular salary.

  1. Upload Bank Statement

Please provide your bank statement through Net Banking, an Account Aggregator, or by uploading it. The submitted details will be used to generate a loan offer (applicable only to salaried applicants).

  1. Conduct Identity Verification

Carry out the digital verification for your identity (which includes taking a selfie) and provide address information using CKYC, Offline Aadhaar XML-based KYC, or DigiLocker.

  1. Bank Account Details

Provide your bank account details so that we can get them verified.

  1. Enter Additional Information

Once we have successfully verified bank details, you will move forward to the ‘Additional Details’ stage. Information about your marital status, loan purpose, and parents’ names is to be entered here.

  1. Choose Re-payment Mode and Set Up E-NACH

Select your preferred re-payment mode (debit card or internet banking) and finish setting up E-NACH.

  1. Sign and Validate the Loan Agreement

Sign the loan agreement digitally after a thorough review and complete the process with OTP validation.

By following these easy steps, you are on your way to achieving your financial goals with a personal loan.

Features & Benefits of 5 lakh Loan

From a simple online application process to flexible repayment options, there are many benefits of taking a personal loan up to INR 5 lakhs* from SMFG India Credit:

  • No Collateral Required - Get the funds you need without the need to pledge any of your valuable assets.
  • Competitive Interest Rates - Eligible candidates can avail of competitive interest rates starting at just 13%* per annum, keeping your monthly payments low.
  • Flexible Loan Tenure - Choose the repayment structure that aligns with your budget, with flexible tenure options ranging from 6 months to 12 months.
  • Easy Application - Avoid the hassle of going to a physical branch with our 100% online application process that can be completed from the comfort of your home.
  • Minimal Documentation - SMFG India Credit requires only a few essential documents along with your loan application, making the process more convenient.
  • Quick Disbursal - With a swift approval process and short disbursement times, you can get access to the required funds without undue delays.

Be it financing your child’s higher education, marriage, setting up a start-up, or funding emergency medical treatment, SMFG India Credit’s easy and convenient personal loan is the most straightforward way to fulfil your personal expenses.

Affordable Interest Rates with Flexible Repayment Tenure

SMFG India Credit offers competitive interest rates starting from 13%* per annum on personal loans. Additionally, you get a flexible tenure between 12 and 60 months to repay your INR 5 lakhs personal loan. With affordable EMIs, it ensures that you never miss out on a single repayment instalment during this period. In fact, you can determine your instalment amount prior to making your formal loan application with the assistance of SMFG India Credit’s simple-to-use personal loan EMI calculator available on the website.

Quick Personal Loan Approval Process

  • Conveniently check your eligibility with the help of a personal loan eligibility calculator.
  • Apply online and enter your information.
  • Submit all the documents and wait for approval.

If you have more questions on how to get your INR 5 lakh personal loan sanctioned, simply call the customer service team on our toll free number (1800 103 6001) or email us on  .

Apply for Personal Loan  

Page also available inहिन्दी - Hindi

* Please note that loans are disbursed at the sole discretion of SMFG India Credit. Final approval, loan terms and disbursal process will be subject to SMFG India Credit's policy at the time of loan application. If you are an existing customer and wish to foreclose your loan, please note that foreclosure terms and charges will be applicable as per our policy at the time of loan foreclosure.

FAQs

What is the EMI for an INR 5 lakhs personal loan for 5 years?

SMFG India Credit offers competitive interest rates starting from 13%* per annum on personal loans. The EMI for an INR 5 lakh personal loan for a 5-year tenure is INR 11,377.

What are the interest rates and applicable charges for an INR 5 lakhs personal loan?

SMFG India Credit offers competitive interest rates starting from 13% per annum on personal loans. Other charges applicable are:

  • Delayed EMI Payment Interest - As stated under additional interest charge**
  • Collection of Cheque/Cash – NIL
  • Cheque /ECS/NACH dishonoured Charges - Rs. 300 to 1000
  • Swap Charges - For any change in repayment instruments (per instance) - Rs. 500
  • Loan Cancellation charges - Rs. 1000 - 2500
  • Processing Fees - Up to 4% + GST

How can I calculate the EMIs for my INR 5 lakhs personal loan?

SMFG India Credit’s online personal loan EMI calculator lets you calculate EMI amounts for different loan tenure accurately and instantly. For INR 5 lakh personal loan, the EMI for 1-year loan tenure at an 13%* per annum rate of interest per annum is INR 44,442, 2-year tenure is INR 23,534, 3-year tenure is INR 16,605, 4-year tenure is INR 13,164 and 5-year tenure is INR 11,120.

What are the factors affecting your EMI for an INR 5 lakhs personal loan?

There are 3 factors that influence the EMIs of an INR 5 lakh personal loan. These are the loan amount, interest rate, and loan tenure. A reliable personal loan EMI calculator can give borrowers an estimate of their EMIs and help them make informed decisions and plan their finances effectively.

Can I Get A INR 5 Lakh Personal Loan With A Low CIBIL Score?

Getting an INR 5 lakh personal loan with a low CIBIL score can be challenging. Consider the following options:

  • Add a co-applicant with a good credit score to increase your eligibility and improve your chances of approval.
  • Apply for a smaller loan amount to increase the likelihood of approval.
  • Improve your credit score by paying bills on time, and reducing existing debt.

Do I Need a Co-Applicant for a 5 Lakhs Personal Loan?

It depends on your individual circumstances and the lender's requirements. However, having a co-applicant can be beneficial if:

  1. Your income is not sufficient to meet the lender's eligibility requirements.
  2. Your credit score is not strong enough to qualify for the loan.

What is the processing time for an INR 5 lakhs personal loan?

When you apply for an INR 5 lakh loan, you will get a decision on your application within minutes of submitting it. The exact processing time will depend on your eligibility, the accuracy of the submitted documents, and our policies at the time of loan application. Please note that offline applications will take more time to be processed.

Can I get a personal loan of INR 5 lakhs without collateral?

Yes, you can get personal loans without collateral. They are approved based on several factors such as the applicant’s income, age, credit score, and work experience. By meeting the lender’s eligibility criteria and demonstrating a strong credit history, you can get the best INR 5 lakhs loan terms.

What credit score do I need for an personal loan of INR 5 lakh?

To apply for an INR 5 lakhs personal loan at SMFG India Credit, you need a minimum credit score of 750. This threshold can vary from lender to lender.

I need an INR 5 lakhs loan, can I avail it without documents?

Submitting some basic documents such as identity proof and income proof is mandatory for smooth personal loan approval. If you wish to apply for an INR 5,00,000 personal loan, you can check out our document requirements here.

What is the CIBIL score required for availing a personal loan of INR 5 lakhs?

It is important to maintain a minimum CIBIL Score of 750 or above to meet our INR 5 lakhs loan eligibility criteria.

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