1. What is ICICI Personal Loan Interest?

ICICI Bank offers personal loans in India with interest rates starting at 10.85% per annum. The interest is calculated using simple interest formula for fixed-rate loans. This calculator helps estimate the total interest payable over the loan tenure.

2. How Does the Calculator Work?

The calculator uses the simple interest formula:

Where:

• \( P \) — Principal loan amount (INR)
• \( r \) — Annual interest rate (in decimal)
• \( t \) — Time period in years

Explanation: The formula calculates the total interest payable by multiplying the principal amount with the annual interest rate and loan tenure in years.

3. Importance of Interest Calculation

Details: Understanding the interest component helps borrowers plan their finances, compare loan offers, and make informed borrowing decisions.

4. Using the Calculator

Tips: Enter principal amount in INR, interest rate in percentage (minimum 10.85%), and tenure in years (0.5 to 7 years). All values must be positive numbers.

5. Frequently Asked Questions (FAQ)

Q1: What is the minimum interest rate for ICICI personal loans?
A: The current minimum interest rate is 10.85% per annum for eligible customers.

Q2: What is the maximum tenure for ICICI personal loans?
A: ICICI offers personal loans with tenure up to 7 years (84 months).

Q3: Does ICICI charge prepayment penalties?
A: ICICI Bank doesn't charge prepayment penalties on floating rate personal loans.

Q4: Are there processing fees for ICICI personal loans?
A: Yes, ICICI charges processing fees up to 2.25% of the loan amount plus GST.

Q5: How can I get the lowest interest rate?
A: Maintain a good credit score (750+), have stable income, and consider shorter tenures for better rates.