Loan for Graduates aims to meet the financial needs of individuals completing their academic journey, supporting their transition to the professional world. A personal loan for graduates serves as a convenient solution, offering swift access to funds for unexpected expenses and creating a flexible financial cushion with no collateral.
For providing financial services for personal loans, a buddy loan can be the right choice. Buddy Loan provides easy access to personal loans from reputable, verified lenders. Experience a seamless loan availing process with competitive interest rates starting at just 9.99% p.a., along with flexible repayment tenures extending up to 5 years.
Instant Personal Loan for Graduates Details
When considering the option of availing a personal loan, it’s necessary to be aware of the key details outlined in the table below. This information will help you in making your decisions accordingly:
| Loan Amount | Starting from ₹10,000 to ₹35 Lakhs |
| Loan Tenure | Starts from 6 months to 5 years |
| Income Requirement | ₹15,000/- |
| Document Requirement | PAN, Aadhaar, income proof, address proof |
Graduates Loan Interest Rates
| Factors | Fees & Charges |
|---|---|
| Interest Rate | Starting at 9.99% p.a. |
| Processing Fee | 1% – 2% of the loan amount |
| Pre-closure Charges | 0% to 5% |
| Penalty Charges | 3% of the due loan amount |
Note: Please be informed that the Axis Bank business loan interest rates are subject to change per the market.
Graduate Personal Loans Eligibility Criteria
Analyze if you are eligible for a personal loan by following the listicle of eligibility criteria below:
- Age Range: Eligible applicants should be of age between 21 and 60.
- Citizenship: Indian citizenship is a prerequisite.
- Minimum Income: Applicants must earn a minimum monthly income of ₹15,000.
- Employment Status: Salaried applicants must have a minimum of 1 year of continuous employment.
- Creditworthiness: A minimum credit score of 750 is required.
| Do I need a co-signer or collateral to secure a loan?
As a graduate, availing a personal loan may not require a co-signer or collateral, especially with a strong credit history and stable income. But those with limited credit or lower income might need a co-signer for added assurance. Hence, the co-signer should be someone with a strong credit history and stable income, commonly a family member, friend, spouse, or even an employer, who is willing to take responsibility if you are unable to repay. |
Documents Required for Graduate Personal Loans
Understanding what documents to be gathered allows graduates to properly plan and make the loan process as seamless as possible. Here are the key documents generally required when applying for a post-graduation personal loan.
- Identity Proof: Your PAN, Aadhaar card, or passport.
- Address Proof: Aadhaar or Documents like electricity bills, bank statements, or rental agreements.
- Salary slip: Recent salary slip showing your monthly income.
- Latest ITR: Income Tax Return filed for the most recent financial year.
- Bank statement: Recent bank statement showing your account balance and transaction history.
- Photograph: Recent passport-sized photograph of the applicant.
EMI Calculation for Graduate Personal Loans
With an online EMI calculator, plan your monthly loan payment effortlessly. Just input your loan amount, interest rate, and tenure to receive precise EMI information.
[personal-emi-calculator-shortcode]
| The formula for calculating EMI is
EMI = [P x R x (1+R)^N] / [((1+R)^N) – 1] Where:
|
For example, let’s consider a loan of ₹50,000 at an annual interest rate of 11.99% for a 5-year tenure (60 months):
- Loan amount (P) = Rs. 50,000
- Interest rate (R) per annum = 11.99% = 0.1199
- Tenure (n) of loan = 5 years = 60 months
- P = ₹50,000
- R = 0.1199/12 = 0.00999
- n = 60 months
- EMI = ₹50,000 x 0.00999 x (1 + 0.00999)^60/((1+0.00999)^60 – 1) = ₹1,075
So, the EMI for a ₹50,000 loan at 11.99% annual interest for a 5-year tenure is ₹1,075.
Therefore, the EMI is ₹1,075.
Comparison of Loan Lenders for a Graduate Loan
The table presents a comparative view of factors like interest rates and processing fees provided by major banks for personal loans:
| Lender | Interest Rates (p.a) | Processing Fees |
| State Bank of India | 10% onwards | Up to 1.5% |
| Axis Bank | 9.99% onwards | Up to 2% |
| Bank of Baroda | 10.15% onwards | Up to 2% |
| IDFC Bank | 9.99% onwards | Up to 3.5% |
| ICICI Bank | 9.99% onwards | Up to 2% |
| Indian Bank | 9% onwards | Up to 1% |
| Indusland Bank | 10.49% onwards | Up to 3.5% |
| Bajaj Finserv | 10% onwards | Up to 4.13% |
| Federal Bank | 10.49% onwards | Up to 3% |
Note: The interest rates mentioned are subject to change. Do visit the website for more information.
Types of Loans Offered to Graduates
Students can explore various types of personal loans to meet their financial needs during their academic journey. Some common types of personal loans for graduates include:
- Student Personal Loans: Designed specifically for students, these loans may offer favorable terms and lower interest rates. They can be used for tuition, books, living expenses, or any other educational-related costs.
- Co-Signed Personal Loans: Students with limited credit history or income may consider co-signed personal loans, where a parent, guardian, or another individual co-signs the loan to enhance the student’s creditworthiness.
- Postgraduate Loans: It is aimed at students undertaking 2-year postgraduate courses in India. These loans support the pursuit of deeper knowledge in their chosen field.
- Career Development Loans: Provided to professionals temporarily stepping away from corporate roles to pursue specialized courses and training, these loans aim to enhance employment prospects.
Features & Benefits of Graduate Loans
Graduate loans offer financial flexibility to individuals starting their careers or pursuing professional opportunities. These loans can help eligible graduates manage essential expenses without exhausting their savings.
Here are the key features and advantages of personal loans for graduates:
- Collateral-Free Financing: Most personal loans do not require borrowers to pledge property, gold, or other assets.
- Flexible Loan Amounts: Eligible graduates can borrow between ₹10,000 and ₹15 lakh, depending on income and lender policies.
- Convenient Repayment Options: Choose repayment tenures ranging from 6 months to 5 years to manage monthly EMIs.
- Competitive Interest Rates: Applicants with stable incomes and good credit scores may qualify for favorable interest rates.
- Simple Online Application: Apply digitally with basic KYC documents, income proof, and bank statements.
- Multiple Loan Purposes: Cover relocation expenses, professional certifications, medical emergencies, or essential personal purchases.
- Quick Loan Processing: Digital verification can simplify approval and disbursal for eligible applicants.
Note: Loan approval depends on income, employment status, creditworthiness, and lender-specific eligibility requirements.
Apply Online for a Graduate Personal Loan
Here are the easy and quick steps through which you can apply for a personal loan for graduates:
- Step 1: Visit buddyloan.com or download & install the Buddy Loan app (Android or iOS)
- Step 2: Open the personal loan application page. Provide the mobile number and enter the received OTP.
- Step 3: Specify the desired loan amount. Next, choose the Personal Loan option
- Step 4: Choose the employment type (salaried or self-employed) and the salary mode (bank or cash).
- Step 5: Enter your work details (including company name, years of service, and designation)
- Step 6: Enter your personal details (including full name, PAN, address, DOB & gender)
- Step 7: Provide your communication address and income details, and click the ‘Submit’ button.
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