|Loan Name||Interest Rate||Processing Fee||Loan Amount||Tenure|
|Union Bank of India Personal Loan||12.70%, Fixed||0.5% of loan amount (minimum of Rs 500 + GST rates)||10,00,000 maximum||60 months|
For Salaried Individuals
For Business Class
For Tie-up (A1)
For Tie-up (A2)
Q: How much interest is charged by Union Bank of India for a personal loan?
A: Union Bank of India charges interest rates starting from 12.60%, while the interest rates applicable to self-employed applicants start from 14.60%.Union Bank of India personal loan interest rate for salary account holders are comparatively lower than that for other customers.
Q: What is the difference between foreclosure and pre-payment?
A: Foreclosure means that you are paying off the entire outstanding loan amount before the completion of the tenure and Pre-payment means that you are paying off a certain amount of the outstanding loan amount before the expiry of the tenure.
Q: Are there any prepayment charges on a personal loan from Union Bank of India?
A: You can avail a personal loan from Union Bank of India without any prepayment charges.
Q: What are the major factors that determine the interest rate applicable to my personal loan?
A: The major factors taken into consideration by banks and financial institutions when determining your interest rate include your credit score, your current liabilities, and your income.
Q: What is the difference between flat and reducing interest rates?
A: The Reducing interest rates involve the borrower to pay only interest amount on the outstanding loan balance (the balance that remains outstanding after getting reduced by the repayment of principal amount). In case of Flat interest rates, the borrower needs to pay the interest amount on the entire loan balance throughout the tenure of the loan. Thus interest payable does not decrease even if the borrower makes periodic payments.