Personal loans have become the preferred solution for everyone needing instant funds for unplanned financial situations. In this article, we’ll see how you can avail of a personal loan from Aditya Birla Personal Finance Limited (ABFL). We’ll learn in detail about the AB Finance personal loan, its features, eligibility, application process, interest rates, processing fees, and everything you need to know.
What is Adiyta Birla’s Finance Personal Loan?
Aditya Birla Finance Limited (ABFL) is a subsidiary of Aditya Birla Capital Limited. It offers a variety of lending services to a range of customers. Being registered as a Non-Banking Financial Company (NBFC) with RBI, ABFL is among India’s top 5 largest NBFCs.
AB Finance Personal loan is one of the best lending solutions the company offers in personal finance. Whether you need funds for medical emergencies, wedding expenses, home renovations, children’s education fees, or travelling, Aditya Birla Finance personal loan can fulfil those fund requirements instantly with its smooth and easy online process.
Who is this loan for?
If you are a salaried individual working as a government or private employee you can avail of Aditya Birla Finance Personal Loan. Your age should be between 23 and 60 years, and you must have a good credit score. Your good credit history is crucial while applying for a personal loan.
What are the Features?
1. Fixed Interest Rate
AB Finance offers personal loans at a fixed rate of interest. This means the interest rate throughout the loan tenure remains constant. This ensures the EMIs you pay throughout the loan term remain constant despite any future changes in interest rate.
2. Flexible Loan Tenure
Aditya Birla Finance offers a flexible loan tenure from 1 to 7 years. You can easily choose the repayment period based on your applied loan amount.
3. Maximum Loan Amount
The maximum loan amount you can get is 50 lakhs. That will depend on how much salary you receive and your previous debt. But you can take loans to fulfil any urgent
4. Repayment Options
The repayment can be made through ECS (Electronic Clearing Service) or NACH (National Automated Clearing House). Of these two, NACH is an easy option for auto-debit where you only need to sign an online mandate form, and it works in PAN India
5. Collateral or Security Free loan
Most importantly, you do not provide any security or collateral to get this loan, as the personal loan falls in the unsecured category. This helps to get the loan without risking your assets.
6. Enhance loan eligibility by co-applicants
Suppose you apply for the loan with another person in your family combined (your co-applicant can be your spouse). In that case, your eligibility for loan application increases as your capacity to repay the loan increases.
7. Balance Transfer
You can transfer your existing personal loan balance with other banks and credit balances to this personal loan at a relatively low-interest rate. This helps you consolidate all your outstanding debt and pay less interest overall.
How to apply?
1. First, you visit the website of Aditya Birla Finance Limited. Navigate to personal loan and click ‘Apply Now’.
2. They will redirect you to open the link in the mobile application. Install the ABFL mobile application. Navigate to personal loan and click ‘Apply’.
4. A registration form will appear where you must provide your name, city, email, mobile number and the loan amount. Then click submit.
5. Their representative will call you to process the loan application further.
6. For any query regarding loan application, you can chat with their agents in the portal
What documents do you need?
As per the Company’s official website, salaried individuals would require the following documents:
- Salary Slips of last months from the date of application of the loan.
- The last three months’ bank statement. The bank should be where your salary gets credited.
- KYC Documents such as ID proof (could be your PAN), and address proof (could be your Aadhaar).
What are the Interest Rates and Processing fees?
- The interest rate for AB Finance ranges from 13% to 28% flat. However, this interest rate depends on your previous credit history and income.
- The Processing fee is 3% plus applicable GST. It’s the fees charged during the loan disbursement process. This means you’ll get less amount after deducting the fees.
- The foreclosure charge is 4% plus applicable GST. The foreclosure charge is when you want to repay the outstanding loan amount before its tenure is completed.
AB Finance Personal Loan at a glance
| Minimum Age | 23 years |
| Interest Rate (APR) | 13% p.a to 28% |
| Loan Amount | Up to 50 lakhs |
| Tenure | Up to 7 years |
| Processing Fees | 3% of the loan amount (including GST) |
| Eligibility | Salaried Individual with a good credit score |
Documents after loan disbursement
After the loan is disbursed, you’ll receive the following documents from ABFL:
- Welcome Letter
- Agreement Copy
- Accepted copy of Sanction Letter
- Repayment Schedule
- Insurance Copy (if you purchase one during the loan process)
Note: There’s a disadvantage to fixed interest rates. The fixed interest rates are typically higher than the normal floating interest rates. So, you might pay a higher interest during loan tenure if the interest rates remain the same or fall.
Frequently Asked Questions (FAQs)
AB Finance Personal Loan is a quick personal loan solution introduced by Aditya Birla Finance Limited (ABFL), especially for salaried individuals.
The minimum age for Aditya Birla Finance personal loan is 23 years.
Yes, AB Finance comes with a personal loan, which you can apply with a co-applicant.
No, as a personal loan is an unsecured type of loan, you don’t need any collateral to avail of this loan.
Yes, AB Finance personal loan has the balance transfer feature.
You can repay the loan amount by ECS/NACH facilities.
The maximum loan amount AB FInance personal loan provides is 50 lakhs.
Disclaimer: The article is purely written for educational purposes. The interest rate and the processing fees are subject to change. Always visit the official ABFL website to learn the latest interest rates and processing fees before applying for a personal loan.
