Canara Bank-Personal Loan- Features, Benefits, and Application Process.

A personal loan is the best option whenever you have an urgent fund requirement. Nowadays, many individuals are seeking Personal Loans to fulfil their bigger needs. The main reason for the increasing demand for personal loans is that it’s easy to avail of. Usually, no security is required, and the loan disbursement is very quick. If you use the online services provided by financial institutions, you can receive the funds within 48 hours.

What is a Personal Loan?

A Personal Loan is very common in India, as financial institutions offer it without requiring any collateral. Personal loans are unsecured. No collateral is needed, and the approval process is also very fast. It is simple to obtain a Personal Loan from a bank or non-banking financial company of your choice. The deciding factors for sanctioning this loan are- employment record, ability to repay, income, occupation, and credit background. A Personal Loan is also referred to as a consumer loan. It is a flexible loan option that can be used to fulfil various immediate requirements.

Personal loan facility in Canara Bank.

You can avail of the best Canara Bank personal loan with flexible repayment policies at your convenience. The bank offers different types of personal loan schemes that fulfil the customers’ financial requirements. The interest rate for personal loans in Canara Bank starts at 10.65% depending upon your loan amount and the repayment tenure.

Types of personal loans in Canara Bank.

• Canara Budget Loan: The main purpose of this loan is to provide financial help to the government and PSU employees. The borrower can be sanctioned a loan amount up to a maximum of Rs. 3 lakhs. The tenure for repayment of the loan is up to 5 years. The processing fee for the Canara Budget Loan is 0.5% of the loan amount.
• Canara Pension Loan: The main purpose of this loan is to provide financial support to retired people and pension holders.
• Canara Reddy Cash Personal Loan: This is a pre-approved personal loan provided only to salaried customers. The loan amount can be from Rs 50,000 to Rs 10,00,000. The repayment period for this loan is up to 5 years. The applicant must be between the ages of 21 to 55 years. The borrower’s earnings should be more than Rs 50,000.
• Canara Heal Healthcare Loan: This loan is provided to meet the medical expenses of those who have to settle their hospital bills for their illness. The maximum loan amount is provided from Rs. 1,00,000 to Rs. 5,00,000, and the repayment tenure of this loan is from one year to 3 years.
• Instant Personal Loan: This is a special loan facility for those whose salary is linked with Canara Bank. They can avail of a loan up to Rs. 1 lakh. The processing fee is capped at 0.5% of the loan amount.

Features of personal loan from Canara Bank.

• Loan amount: The maximum loan amount offered by the Canara Bank as a personal loan is Rs.10 lakhs, a very good amount for fulfilling different types of individual requirements.
• Interest rates: The minimum interest rate for personal loan at Canara Bank is 10.95% per annum. But in other cases, it may be higher than this. It all depends upon the loan amount, loan repayment tenure and credit score.
• Different repayment tenures: The Canara Bank is very flexible about the repayment of personal loan tenures. It all depends upon the loan type and loan amount. It can be in between 12 months and 84 months.
• Facility of online loan application: Canara Bank provides the facility of online application for personal loans. If you apply for a personal loan online, you need to submit fewer documents, and the loan disbursement becomes faster.
• Different schemes of personal loans: There are various personal loan schemes offered by Canara Bank to fulfil the different types of needs of people, such as Canara Budget Personal Loan, Canara Pension Personal Loan, Canara Home Improvement Loan, Canara Heal Healthcare Loan. Canara Budget Personal Loan is also a good option. Under this loan scheme, there are two more plans; one is Prime Option, which allows you to borrow up to 25 times your gross salary, with a cap of ₹30 lakh and under Delight Option, which allows you to borrow up to ₹20 lakh.
• Quick loan facility: Salaried customers are eligible for an immediate personal loan of up to ₹1 lakh.

Benefits of personal loan from Canara Bank

Canara Bank provides personal loans with numerous advantages for employed individuals who earn a regular income. The different advantages of availing a personal loan from Canara Bank are:

• Quick loan sanction: The borrowers need not wait for a long time for the approval of their loan.
• Attractive interest rates: The interest rates are comparatively low for competition. The annual interest rates begin at 10.95% and may change based on loan amount, repayment tenure, credit score and repayment record.
• No pre-payment penalty: Personal loan applicants of Canara Bank are not subject to any pre-payment charges. There are no fees for paying off the loan early or ending the mortgage contract, which means there are no fees for paying off your loan early or closing the account. There are no limitations on making early payments for Canara Bank Personal Loan.
• Low Processing Charges: Examine the processing charges for personal loans imposed by leading personal loan providers. The maximum processing fee is limited to 0.50% of the loan amount, and a 50% discount is applicable.
• Discounted interest rate: People with their salary linked with the bank can receive a special annual interest rate.

Application process of a personal loan from Canara Bank.

If you meet all the main requirements for the personal loan, you can apply to the nearest branch of Canara Bank. Moreover, the bank also offers an online application form for the customer’s convenience.

It is very easy to apply for a personal loan online in Canara Bank, as the process of personal loan application is very simple and fast. Go to the bank’s website, provide all the necessary information, and then submit by clicking the ‘Submit’ button. You can apply online anytime without visiting a bank branch in the comfort of your residence.

You can also apply for the loan offline. You only need to visit your nearest branch of Canara Bank and get the application form for Personal Loan from the Canara Bank branch, or you can get the form from the Canara Bank’s website.
To avail the loan service of Canara Bank, you must complete the application form. You must provide the required information, which is mentioned under:

• Personal information along with your photograph
• Information about a guarantor and his photograph.
• Details about the occupation.
• Details of income
• Information about what the borrower owns and owes.
• Reason for borrowing the money
• Details for repaying the loan

Required documents for loan application:

A personal loan from Canara Bank requires some important documents. If you have all the documents ready, your chances of availing of the personal loan become brighter. The important documents are as follows:

• Filled up loan application form
• Identity proof
• Address proof
• Income proof
• Co-partner or guarantor

Verification process of personal loan from Canara Bank

When you submit your application for a personal loan to the bank, a bank representative visits your residence to verify the documents you have submitted or for the collection of documents in case of online application. After verification, it takes hardly 7 days to receive the loan amount.

Conclusion.

Canara Bank offers personal loans with interest rates beginning from 10.95% per annum. Canara Bank fixes the interest rates for its personal loans by considering the various personal loan schemes offered by the bank and the applicant’s connection with the bank as their salary account is linked with the bank. Although Canara Bank has not disclosed the minimum credit score required to qualify for a personal loan, they have mentioned that the interest rate will vary depending on the applicant’s credit score risk grade.

FAQs.