Best Personal Loan Rates April 2026 Across 22 Top Lenders

TL;DR

The cheapest published personal loan rate in India in April 2026 sits at 10.49% from IndusInd Bank, followed by HDFC Bank at 10.50% and ICICI Bank at 10.85%. The PSU floor is 11.15% from State Bank of India. NBFCs sit between 11.00% and 24.00%. The published "from" rate is what 750+ CIBIL salaried profiles get; everyone else lands 1 to 6 percentage points higher. Processing fees add another 1–4% one-time hit. The actual cost to you depends as much on the fee as on the headline rate — this guide breaks down both for all 22 lenders.

How to read this rate table

Personal loan rates work in two layers. The first is the floor rate — the marketing number lenders publish for their best customers (CIBIL 800+, salary above Rs 1 lakh, salary account with the same bank). The second is the applicable rate — what you actually get based on CIBIL, employer category, salary, and existing relationship. Most borrowers land 1 to 4 percentage points above the floor. The numbers below come from src/data/rate-board.ts (last reviewed 2026-04-25).

Public sector bank rates

PSU banks dominate the bottom of the rate range because their cost of funds is the lowest in India. Trade-off: slower processing and more documentation rigour.

• State Bank of India — 11.15% to 14.30%, processing fee 1.5%, max ticket Rs 20 lakh, tenure 6 years. The default benchmark.
• Bank of India — Floor in the 10.85% range for salaried account holders, similar tenure.
• Bank of Maharashtra — Competitive for government employees with check-off salary arrangements.
• Canara Bank — Aggressive on existing-customer campaigns; verify the current festive offer.

The marketed PSU floor is rarely below 11%. If a PSU advertises 10.5% it is usually a teaser or a check-off product limited to specific employers.

Private bank rates

Private banks compete hardest in the prime segment. The pricing premium over PSU is small for prime customers but widens fast for sub-prime.

• HDFC Bank — 10.50% to 21.00%, processing fee up to 2.5%, ticket up to Rs 40 lakh.
• ICICI Bank — 10.85% to 16.50%, processing fee 2.5%, ticket up to Rs 50 lakh.
• Axis Bank — 10.99% to 22.00%, processing fee 2.0%.
• Kotak Mahindra Bank — 10.99% to 16.99%, processing fee 2.5%.
• IndusInd Bank — 10.49% to 24.00%, processing fee 3.0%, ticket up to Rs 50 lakh. Currently the lowest published floor in the market.
• Yes Bank — 10.99% to 20.00%, processing fee 2.5%.
• RBL Bank — 14.00% to 23.00%, processing fee 3.5%. Higher floor reflects the segment focus on near-prime salaried.
• IDFC First Bank — 10.99% to 23.99%, processing fee 3.5%.

Private bank pricing for the prime segment has compressed significantly through 2025 and into early 2026, with three banks now sitting under 11% versus only one a year ago.

NBFC rates

NBFCs serve the middle and lower CIBIL bands with looser documentation but higher pricing.

• Bajaj Finserv — 11.00% to 24.00%, processing fee up to 3.93%, tenure up to 8 years.
• Tata Capital — 11.99% to 19.50%, processing fee 2.75%.
• L&T Finance — 11.00% to 24.00%, processing fee 2.5%, ticket up to Rs 15 lakh.

The Bajaj 11% floor is theoretical — it requires near-perfect CIBIL plus employer category A. Real-world Bajaj pricing for typical salaried files lands at 14–18%.

The fee math actually matters

A 10.50% loan with a 2.5% processing fee can cost more than an 11.15% loan with a 1.5% processing fee on a 24-month tenure. Take a Rs 5 lakh loan for 24 months:

• HDFC at 10.50% with 2.5% fee: EMI Rs 23,236, total interest Rs 57,664, fee Rs 12,500 + GST Rs 2,250 = total cost Rs 72,414.
• SBI at 11.15% with 1.5% fee: EMI Rs 23,388, total interest Rs 61,312, fee Rs 7,500 + GST Rs 1,350 = total cost Rs 70,162.

Always compute total cost (interest + fee + GST) before fixating on the headline rate.

Compliance & RBI context

The RBI Fair Practice Code (Master Circular FPC) and the 2022 Digital Lending Guidelines (rbi-2022-dl-guidelines) require every lender to issue a Key Fact Statement before sanction. The KFS must disclose: nominal interest rate, APR including all fees, total amount payable, tenure, and prepayment terms. The 2024 update (rbi-2024-dl-update) further requires loan aggregators to display all available offers transparently rather than just the lender that paid the highest commission. If you use an aggregator, ask for the full lender list — that disclosure is now mandatory.

Founder verdict

We re-pull this rate table every Friday. Two patterns this year: first, three private banks have moved below 11% as deposit competition heats up — that was unimaginable in 2023. Second, NBFC processing fees have crept up while bank fees have stayed flat, eroding the NBFC speed advantage. For a typical Rs 5 lakh, 24-month file with clean CIBIL, our advice: shortlist HDFC, IndusInd, and your existing salary bank, request all three KFS documents, and pick on total cost rather than headline rate. — Rushik Patel, Co-founder, MoneyMatrixHub

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