Has the travel bug bitten you? Go ahead and travel to those exotic destinations, inland or abroad, pamper yourself and relax. Kotak Mahindra Bank is one of the largest private sector banks in India that provides Personal Loan for travel. With competitive interest rate, flexible loan tenure, minimal paperwork, easy eligibility, Kotak Mahindra Bank Personal Loan can be availed for every financial purpose including satisfying your wanderlust with.
Why should you apply for Kotak Mahindra Bank Personal Loans?
- The application process is simple and quick. Some of the core features of Kotak Mahindra’s Personal Loan are the minimum paperwork requirement, instant approval, and hassle-free application process.
- You can avail a loan of the amount ranging from Rs. 50,000 to Rs. 15 Lakhs.
- No collateral and guarantor required.
- No need to mention the end-use of the loan to the bank, which means that you can choose your destination and plan your trip even after availing the loan.
- Long tenure starting from 1 to 5 years.
You can also opt for the following products:
- Top Up on Personal Loan
Even when you already have a Personal Loan but you need a vacation to relax and a financial crunch is stopping you from doing that, you can avail a Top Up on Personal Loan to help you meet the new expense.
- Personal Loan Balance Transfer
Want to avail the best terms on your loans? Opt for transferring your existing Personal Loan from another lender to Kotak Mahindra Bank. You can claim the benefit of availing a top-up loan of up to 75% of the original Personal Loan without providing any security or collateral.
Kotak Mahindra Bank Personal Loan Interest rates vary from 11.50% to 24% (for salaried applicants). This Personal Loan comes at an interest rate that remains unchanged throughout the loan tenure.
- Processing charges: Up to 2.5% of the sanctioned loan amount plus applicable GST and other applicable statutory charges.
- Credit Appraisal Charges: Up to 5% of the loan amount (maximum Rs. 75,00 inclusive of GST).
- Overdue Interest: 3% per month
- Collection Charges: 30% of cheque/ instrument dishonour charges plus overdue interest.
- Swap Charges(for replacement of PDCs): Up to Rs. 500 for each Swap + GST & other applicable statutory levies.
- Prepayment/ Foreclosure Charges: After 12 months lock-in period – 5% + GST on principal outstanding.
EMI Calculation and Factors Affecting It
You can repay your loan in the form of equated monthly instalments (EMIs). The factors affecting your EMIs, which can be customised to suit your needs, can be understood in the simple rules below.
- Higher the loan amount greater the EMI.
- Higher the interest-rate higher the EMI.
- Longer the tenure, lower the EMI.
Example: A loan amount of Rs. 1 Lakh at 11.50%, for a tenure of 1 year will result in an EMI of Rs. 8, 862. If tenure changes to 5 years, the EMI reduces to Rs. 2,199. So, it is advisable to always opt for the lowest interest rate, longer tenure, and low pre-closure charges when applying for a loan. This allows you to get an affordable EMI and an option to pre-close when you can. Limit your loan amount to your need-only-basis and improve your CIBIL score before the loan application.
Remember that you cannot reschedule or postpone the EMI fixed on your Personal Loan account after it has been approved.
How to Repay Your Loan?
You can repay your loan in the following ways:
- Online payment
- ECS mandate – It means you authorise your bank to deduct the EMI payment on the fixed day every month electronically.
- PDCs or Post-dated Cheques involves the issuance of many blank, updated security cheques to be drawn in favour of ‘Kotak Mahindra Bank’.
What are the Eligibility Criteria for Kotak Mahindra Personal Loan?
All Indian nationals who are employed by any Multinational Companies (MNCs), Private Sectors and Public sectors are eligible for this loan. They should meet the following eligibility criteria:
- Minimum age: 21 years (at the time of application)
- Maximum age: 58 years (at the time of maturity of the loan) or retirement whichever is earlier
- You must be a college graduate
- Your net monthly income should be Rs. 20,000 or above
- You must have work experience of minimum 1 year
- You must be residing in the city where you have applied for a loan for at least last 1 year.
Salaried employees are required to submit the following Personal Loan documents:
- Application for and 1 recent passport-size photograph
- Identity Proof
- Age Proof
- Residence Proof
- Signature Proof
- Proof of Ownership
- Income Details
- Bank Account Statements
We hope that the detailed information mentioned above will be helpful for you to apply for the Kotak Mahindra Personal Loan to fund your travel goals.