1. What is HDFC Bank Personal Loan?

HDFC Bank offers personal loans with competitive interest rates starting at 10.50% p.a. These unsecured loans can be used for various purposes like weddings, travel, medical expenses, or debt consolidation.

2. How Does the Calculator Work?

The calculator uses the standard loan payment formula:

Where:

• \( P \) — Principal loan amount (INR)
• \( r \) — Monthly interest rate (annual rate ÷ 12 ÷ 100)
• \( n \) — Loan term in months
• \( PMT \) — Monthly payment amount (INR)

Explanation: The formula accounts for compound interest over the loan term to calculate fixed monthly payments.

3. Importance of Loan Calculation

Details: Calculating your EMI (Equated Monthly Installment) helps in financial planning, comparing loan offers, and ensuring the payments fit your budget before committing to a loan.

4. Using the Calculator

Tips: Enter principal amount in INR, annual interest rate (10.50% to 24%), and loan term in years (1-7 years). All values must be valid (principal ≥ ₹10,000, term 1-7 years).

5. Frequently Asked Questions (FAQ)

Q1: What is the minimum and maximum loan amount?
A: HDFC typically offers personal loans from ₹50,000 up to ₹40 lakhs, depending on eligibility.

Q2: What are the current interest rates?
A: Rates typically range from 10.50% to 24% p.a. depending on credit profile, loan amount, and tenure.

Q3: What is the processing fee?
A: HDFC charges up to 2.50% of the loan amount as processing fee (minimum ₹1,999, maximum ₹25,000).

Q4: Are there prepayment charges?
A: HDFC may charge 0-4% for prepayment, depending on loan type and tenure. Check current terms.

Q5: What documents are required?
A: Typically need identity proof, address proof, income documents, and bank statements.