Text size:
S M L
Letter spacing:

IDFC FIRST Bank Personal Loan Interest Rate: Starting 9.99% p.a. (July 2026)

Zero processing fee**
100% Digital Process
Instant Disbursal in 10 Minutes

Apply Now

Instant Loan EMI Calculator

Loan amount

₹1L ₹15L

Loan term in months

Repay anytime with 0 Foreclosure charges!

9 Months 60 Months

Choose the Interest Rate

Lowest interest rate unlocked!

9.99% 38 %

Your EMI will be

₹5,072/month*

Total Interest Payable

₹43,435

Total Amount Payable

₹2,43,435

Check your eligibility

Personal loan calculator is only for illustration purposes. For actual calculations refer to your Repayment Schedule & Loan Agreement.*T&C Apply.**For select loan amounts

Overview
Interest Rate
Fees & Charges
Benefits
FAQs
Blogs

Apply Now

What is personal loan interest rate?

A personal loan interest rate is the percentage charged by a lender on the loan amount, which determines the total cost of borrowing.

It directly affects your monthly EMI (Equated Monthly Instalment) and the total amount you repay over the loan tenure. A higher interest rate increases your EMI and overall repayment, while a lower rate makes the loan more affordable.

Personal loan interest rates are typically linked to benchmarks such as the Marginal Cost of Funds Based Lending Rate (MCLR) and may change periodically based on market conditions. The rate offered to you can vary depending on factors like your credit score, income, loan amount, repayment tenure, and relationship with the lender.

IDFC FIRST Bank offers personal loan interest rates starting from 9.99% p.a., along with a fully digital application process, quick approvals, and zero paperwork. You can also use the EMI calculator to estimate your monthly payments and select a suitable repayment plan.

Use our personal loan EMI calculator to estimate your monthly payments instantly and make informed decisions with clarity.
Apply easily through the IDFC FIRST Bank mobile app

Personal Loan Interest Rates Starting at 9.99% p.a.

Personal Loan Interest Rates July 2026
Personal Loan	Min ROI (Per Annum)
	9.99%

At IDFC FIRST Bank, our personal loan interest rates start as low as 0.83% p.m (equivalent to 9.99% per annum). These are calculated on a monthly reducing basis, meaning the interest is applied to the remaining principal amount at the end of each month. As you repay the principal, the interest component gradually decreases, which can result in significant savings, especially for longer-term loans. This makes it a great option for borrowers seeking the lowest interest rate personal loans.Check your personal loan eligibility

We regularly update our rates to ensure you’re getting the best offer based on current market conditions. Check out our personal loan offerings for a loan with low interest that aligns with your financial goals.

Why Choose IDFC FIRST Bank for Low Personal Loan Interest Rates?

1. Low interest rates starting at 9.99% p.a.
2. Zero foreclosure charges – repay early at no extra cost
3. Instant disbursal within 10 minutes
4. Flexible tenures from 9 to 60 months
5. 100% digital application – no branch visits, no paperwork

Factors That Affect Your Personal Loan Interest Rate

Credit score

Your credit score is one of the most significant indicators of your creditworthiness. A higher score, typically 710 and above, reflects strong repayment behaviour and may qualify you for more favourable interest rates.

Income and employment stability

Lenders evaluate your monthly income and the stability of your employment to gauge your repayment capacity. Individuals with a consistent income and longer job tenure in reputed organisations are often offered better rates.

Existing financial obligations

A lower debt-to-income ratio indicates sound financial management. If you have fewer existing EMIs or liabilities, you are more likely to get offered a competitive interest rate.

Loan amount and tenure

The amount you wish to borrow and the duration of the loan also influence the rate. Typically, shorter tenures and lower loan amounts may attract slightly lower rates, depending on your overall profile.

Relationship with the bank

If you have an existing relationship with the lender—through savings accounts, credit cards, or previous loans—you may benefit from preferential rates as part of customer loyalty programs or internal assessments.

Nature of employment

Salaried professionals working with government bodies, PSUs, or large corporates are often considered low-risk applicants, while self-employed individuals may be evaluated with different parameters, possibly impacting the offered rate.

Personal Loan Eligibility Criteria and Required Documents

Personal loan eligibility

Applicants need to meet the following conditions for a personal loan from IDFC FIRST Bank –

Occupation: Can be salaried professionals or self-employed individuals.
Age: Must be between 21 and 60 years old.
CIBIL Score: Should maintain a minimum score of 710.

Personal loan documents required

The process is fully digital with zero document uploads. Keep ready –

Aadhaar and PAN numbers for quick application steps.
Physical PAN card to present during video KYC.
No documents need to be uploaded throughout the application.

Easy Guide on How to Apply for a Personal Loan

Step 1

Start by clicking ‘Apply Now’

Step 2

Step 3

Choose the loan amount and EMI schedule

Step 4

Add your preferred bank account

Step 5

Complete the video KYC using your PAN card

Apply for Personal Loan

Personal Loan Fees and Charges Explained

Here is the list of charges and fees on IDFC FIRST Bank personal loans.

Type of Charge	Fee/Charge
Processing fee	Processing fees 0% to 3.5% of loan amount (incl. GST) (0 processing fee is available on select loan amounts)
Rate of interest	Interest rate starts from 9.99% p.a., calculated on a reducing balance basis
Stamping charges	As per State’s Stamp Act
Penalty on overdue EMIs	Up to 2% of unpaid EMI
EMI bounce charges	EMI Bounce Charges 7.5% of the EMI/ Outstanding amount (minimum ₹ 400 & maximum ₹ 1000)
Payment swap charges	NIL
Foreclosure charges	NIL (Foreclosure requires a sanction letter)
Part Pre-Payment	Not allowed
EMI Pickup/Collection charges	₹500
Duplicate No Objection Certificate	₹500
Physical Statement of Account	₹500
Document retrieval charges	₹500
Cooling-off period	3 days (Loan can be cancelled without penalty within 3 days)

GST is applicable on all service charges.

It's essential to review these personal loan fees and charges before applying, as they can be subject to revisions by the bank.

Click here for more details on personal loan fees and charges

Need Funds Urgently? Explore Instant Personal Loan Options

Low interest personal loan

Get competitive rates starting at 9.99% p.a., one of the lowest interest rate options available.

Flexible repayment options

With our monthly reducing interest rate, you can manage your loan more effectively, paying less interest over time.

No prepayment penalties

With ZERO foreclosure charges, you can repay your loan early without any additional fees, perfect for borrowers looking for flexibility.

Avail more loans on-demand

FIRSTmoney offers the flexibility to obtain more funds on the go, without starting the application process from scratch.

Fees and charges

Low interest rate

Interest rate starts from 9.99% p.a., calculated on a reducing balance basis.

Processing fee

Processing fees 0% to 3.5% of loan amount (incl. GST) (0 processing fee is available on select loan amounts)
[View fees & charges]

Flexible loan tenures

Tenure options: 9–60 months

Apply Now

Frequently Asked Questions on Personal Loan Interest Rates

What is the difference between part payment, pre-payment, and pre-closure?

Part payment: This refers to the repayment of a portion of the loan amount before the due date. It reduces the outstanding principal, thereby decreasing future interest obligations. However, it does not fully settle the loan.
Pre-payment: This is the repayment of the entire remaining loan amount in one go before the loan tenure ends. It completely settles the loan, saving on future interest payments. Pre-payment can attract certain charges depending on the bank’s policies.
Pre-closure: With Firstmoney's ZERO foreclosure feature, you can pre-close your loan without any additional charges, offering you the flexibility and freedom to manage your finances without the worry of extra costs. This feature is particularly beneficial for those who may come into funds and wish to clear their debt without being penalized for it. It's a smart financial move that aligns with the modern borrower's need for flexibility and control over their financial commitments.

How can I qualify for a low interest personal loan?

You can qualify for a low interest personal loan by maintaining a high credit score (750+), stable income, and a low debt-to-income ratio.

Lenders offer lower rates to borrowers with strong repayment history, steady employment, and fewer existing EMIs. Choosing a shorter tenure and checking pre-approved offers can also help you secure a lower interest rate. With a FIRSTmoney personal loan by IDFC FIRST Bank, you can get low personal loan interest rates starting at just 9.99% p.a.

What is a personal loan with reducing interest rate?

A reducing interest rate means interest is charged only on the outstanding loan amount after each EMI.

As you repay the principal, the interest reduces over time, lowering the total cost of the loan compared to a flat interest rate.

What is a personal loan interest rate and how is it calculated?

A personal loan with reducing interest rate calculates interest on the remaining principal amount at the end of each month. As you repay the principal, the interest amount reduces, saving you money in the long term. This is ideal for those looking for the lowest interest rate personal loan options.

Can I get a personal loan at a low interest rate even with a low CIBIL score?

Yes, IDFC FIRST Bank offers a quick and fully digital process to apply for a personal loan with a low interest rate online. Eligible applicants with a strong credit score and stable income can avail minimum interest rates on personal loans starting from 9.99% p.a. Once approved, the funds are disbursed immediately, making it a convenient solution for urgent financial needs.

Are there any foreclosure charges on personal loans?

No, IDFC FIRST Bank offers zero foreclosure charges. This means you can repay your loan early without incurring any penalties, making it an attractive option for those seeking a loan with low interest and flexible repayment terms.

What factors affect personal loan interest rates?

Several factors affect your personal loan interest rate, including:

Credit score: A higher score can help you secure a low interest rate personal loan.
Income level: Stable and higher incomes typically result in better interest rates.
Loan amount and tenure: Larger loan amounts or shorter tenures might come with different interest rates.
Repayment history: A good repayment track record can help you qualify for a loan at low interest.

How does the personal loan EMI work with a low interest rate?

With IDFC FIRST Bank’s low interest personal loan, the EMI is calculated based on the reducing balance method. As the principal reduces each month, so does the interest, resulting in smaller EMIs over time. Use our online EMI calculator to estimate your monthly payments based on your personal loan interest rate and tenure.

How is the personal loan interest rate calculated?

The personal loan interest rate at IDFC FIRST Bank is calculated based on the principal amount, tenure, and applicable interest rate. The loan EMIs are based on the reducing balance method, where interest is charged on the outstanding loan balance. You can use the IDFC FIRST Bank personal loan EMI calculator to quickly determine your monthly payments based on the loan amount, tenure, and interest rate.

What is the interest on a ₹1 lakh loan?

For a personal loan of ₹1 lakh at an interest rate of 9.99% per annum for a tenure of 1 year, the total interest payable would be approximately ₹5,799, making the total repayment amount around ₹1,05,799. The exact interest may vary based on the selected tenure and repayment schedule. Use the EMI calculator to get precise calculations tailored to your preferences.

What is the EMI for a ₹20 lakh personal loan?

If you take a ₹20 lakh personal loan at an interest rate of 9.99% per annum for 5 years, your approximate EMI would be ₹43,586. To get accurate EMI estimates based on different tenures and amounts, you can use the IDFC FIRST Bank Personal Loan EMI Calculator.

What is the minimum salary required to apply for a personal loan?

To be eligible for an IDFC FIRST Bank personal loan, the minimum monthly salary requirement is ₹25,000. It may vary depending on the applicants and their location. Applicants must also meet the credit score criteria and provide valid income proof. Higher incomes and credit scores can enhance eligibility and help secure better loan terms.

Does the repo rate affect the personal loan interest rate?

The repo rate is the interest rate at which the Reserve Bank of India (RBI) lends short-term funds to commercial banks. Fluctuations in the repo rate can impact personal loan interest rates. FIRSTmoney personal loans come with fixed interest rates. However, changes in the repo rate may influence overall lending trends and future rate offerings by the bank.

What is the difference between APR and interest rate on a personal loan?

The interest rate is the base rate charged on your loan amount, while the APR (Annual Percentage Rate) includes the interest rate and applicable fees such as processing charges. With IDFC FIRST Bank’s FIRSTmoney, interest and fees are transparently disclosed to all customers, helping you compare true loan costs.

How does my credit score impact the personal loan interest rate?

Your credit score directly affects the interest rate you're offered. With a credit score of 710+, you're more likely to receive low-interest personal loan offers from IDFC FIRST Bank’s FIRSTmoney with flexible tenures and on-demand loan access.

How does loan tenure affect personal loan interest rates?

Shorter tenures result in a lower total interest outgo but come with higher EMIs. Longer tenures slightly increase the total interest payment on the loan but lower your monthly EMI burden. So, choosing the right loan tenure can help you plan your loan better. FIRSTmoney allows you to choose a tenure from 9 to 60 months, offering flexibility to match your budget.

Are personal loan interest rates negotiable?

While interest rates are based on your credit profile, individuals with lower financial liabilities or existing customers of IDFC FIRST Bank may be eligible for customised personal loan offers with competitive rates, depending on the bank's policy.

Are personal loan interest rates higher for self-employed individuals?

Usually, a personal loan for self-employed individuals comes with higher rates due to their variable income patterns. However, FIRSTmoney evaluates your financials digitally and offers fair rates if you meet the required eligibility criteria.

Can my interest rate increase during the loan tenure?

No. Since IDFC FIRST Bank’s FIRSTmoney offers fixed interest personal loans, your rate remains unchanged throughout the repayment period.

Can I get a fixed interest rate personal loan?

Yes. FIRSTmoney personal loans come with a fixed rate structure, ensuring predictable monthly repayments and better financial planning over the tenure.

What is the current personal loan interest rate at IDFC FIRST Bank?

IDFC FIRST Bank offers FIRSTmoney smart personal loan at minimum interest rates starting from 9.99% p.a. The actual interest rate offered to you depends on factors such as credit score, repayment history, loan tenure, and loan amount. Borrowers with higher credit scores and strong repayment histories may qualify for lower rates, making IDFC FIRST Bank’s FIRSTmoney personal loan among the most affordable financing options available.

Does IDFC FIRST Bank offer floating interest rates on personal loans?

No, IDFC FIRST Bank offers personal loans at fixed interest rates, not floating ones. The rate remains constant throughout the loan tenure, ensuring predictable EMIs and easier financial planning. The interest is calculated on a monthly reducing balance basis, and the interest rates start from 9.99% p.a.

What is the IDFC FIRST Bank personal loan interest rate for ₹5 lakhs?

The personal loan interest rate for a ₹5 lakh loan with FIRSTmoney by IDFC FIRST Bank starts from 9.99% p.a., subject to eligibility, credit score, and income profile.

Can I negotiate my personal loan interest rate ?

Generally a Personal Loan Interest Rate is not negotiable as it’s a completely digital process that happens via the Bank app or website. Lenders like IDFC FIRST Bank determine the interest rate to offer based on your credit profile, income, employment stability, existing financial obligations, and your relationship with the bank. Maintaining a strong credit score, a low debt-to-income ratio, and an existing banking relationship may help you qualify for more favourable terms on the FIRSTmoney personal loan.

What is the average personal loan interest rate in 2026?

Personal Loan Interest Rates in India in 2026 generally range from 10% to 24% p.a. based on lender. IDFC FIRST Bank provides one of the Lowest Interest Personal Loans with FIRSTmoney offering interest rate starting at 9.99% p.a.

What is the difference between fixed and variable interest rates on personal loans?

A fixed Personal Loan Interest Rate, remains constant throughout the tenure, making it easier to plan monthly expenses. A variable or floating rate fluctuates with market conditions and can result in changing EMIs over time. Do check which method your lender applies before committing to a loan, as it directly impacts your total repayment cost.

What should I consider before taking a personal loan with a 9.99% p.a. interest rate?

Before availing a low-interest Personal Loan at 9.99% p.a., assess your repayment capacity, existing financial obligations, and the total cost of borrowing, including processing fees and applicable charges. Check tenure options, foreclosure terms, and if interest is calculated on a flat or reducing balance basis. FIRSTmoney charges competitive interest rates on a reducing balance basis with zero foreclosure charges, offering transparency and flexibility.

More FAQs