ICICI Personal Loan Review: Does It Fit Your Financing Needs?

ICICI Personal Loan Review: Does It Fit Your Financing Needs?

ICICI does not provide the cheapest personal loans in India, but might be worth considering if you are offered the bank's lowest interest rates.

Good for

  • Individuals seeking backup personal loan option
  • Self-Employed applicants that are current ICICI banking customers
  • Non-Resident Indians (NRI)

Bad for

  • Individuals seeking personal loans with tenures of less than 1 year or more than 5 years
  • Individuals seeking personal loans of more than Rs. 20 lakh

Editor's Rating

3.5/5.0

ICICI's personal loans range from being slightly below average to above average in terms of cost. This is due to the bank's large range of advertised interest rates from 10.99% to 17.99%. If you are offered the one of the bank's lower rates, it is worth considering ICICI as an fallback option to one of India's least personal lenders.

Summary of ICICI's Personal Loans
Interest Rates of 10.99% to 17.99%
Loan Amounts: Rs. 50,000 to Rs. 20 lakh
Loans for NRIs - rates starting at 15.49%

Table of Contents

What Makes ICICI Personal Loans Stand Out to Borrowers

ICICI's personal loans are not the Best Personal Loans, but are worth consider considering if your application for a cheaper loan is not approved. It is difficult to predict exactly what type of interest rate you will be offered as the bank advertises interest rates as low as 10.99% and as high as 17.99% for its personal loans. It also charges processing fees of up to 2.25% plus GST.

Estimated Cost of ICICI Bank's Personal Loans - Salaried Applicants

Duration (Years)Processing FeeEffective Interest RateMonthly PaymentTotal Cost
12.25%10.99%Rs. 88,377Rs. 83,024
22.25%10.99%Rs. 46,603Rs. 1,40,977
32.25%10.99%Rs. 32,734Rs. 2,00,923
42.25%10.99%Rs. 25,841Rs. 2,62,852
52.25%10.99%Rs. 21,737Rs. 3,26,746
*Assuming loan of Rs. 10 lakh, total cost includes processing fee

It is also worth mentioning that the bank offers loans to Non-Resident Indians (NRI). These individuals are able to apply for personal loans of up to Rs. 10 lakh for up to 3 years, with interest rates starting at 15.49%. If you qualify for this loan, it also is important to compare this rate to available rates in the country in which you reside.

Who Can Apply: Eligibility Criteria

Consider this if you are offered the bank's lowest interest rates

Required Monthly Income Rs.17,500 (Rs.25,000 for applicants residing in Mumbai & Delhi; Rs.20,000 for applicants residing in Chennai, Hyderabad, Bangalore, Pune & Kolkata)
Min. Loan Amount Rs. 50,000
Max. Loan Amount Rs. 20 lakh
Processing Fee 2.25% plus GST
Interest Rate Type Fixed
Loan Tenure 12 to 60 months

In order to be eligible for ICICI's personal loans, salaried applicants must earn at least Rs. 17,500 in net monthly income. Those living in Chennai, Hyderabad, Bangalore, Pune or Kolkata are required to earn Rs. 20,0000 and those residing in Mumbai or Delhi must earn Rs. 25,000. Additionally, salaried applicants must be 23 to 58 years old, have 2 years of work experience in their current job and have lived in their current residence for at least 1 year.

On the other hand, self-employed applicants must meet turnover and profit requirements in order to be eligible for ICICI's personal loans. For example, self-employed professionals are required to generate Rs. 15 lakh in annual turnover and Rs. 2 lakh in profit, while non-professionals must generate Rs. 40 lakh and Rs. 1 lakh, respectively. Additionally, self-employed applicants must have a business history of at least 5 years, with the exception of self-employed doctors, who must have been in business for 3 years. Finally, in order to be eligible for ICICI's personal loans, self-employed individuals must be current or recent ICICI bank customers.

Eligibility Criteria by Employment Type

CriteriaSalariedSelf-Employed
Age23 - 58 years28 (25 for doctors) - 65
IncomeRs.17,500 - Rs. 25,000Rs. 15 lakh (professionals), Rs. 40 lakh (non-professionals)
Profit After TaxRs. 2 lakh (professionals), Rs. 1 lakh (non-professionals)
Experience2 years5 years (3 years for doctors)
Years in Current Residence1N/A
ICICI Bank CustomerN/A1 year current account, savings account or loan

Other Charges and Fees

ICICI Bank charges a number of standard fees related to its personal loans. For example, the bank charges a processing fee of up to 2.25% plus GST. It also charges fees for early payments, loan cancellation and a bounced cheque fee among others. We strong suggest that borrowers carefully review each lender's fees and avoid fees when possible in order to minimise the total cost of borrowing.

FeeAmount
Processing FeeUp to 2.25% + GST
Early Payment Fee5% of outstanding balance
Late Payment Interest2% per month (24% p.a.)
Repayment Mode Swap FeeRs. per transaction plus GST
Loan Cancellation FeeRs. 3,000
Cheque Bounce FeeRs. 400

How to Apply: Application Process

In order to apply for a personal loan from ICICI applicants must submit an application form as well as documentation proving their identity, residence and income. Once you have submitted your application, you will learn of ICICI's decision within 72 hours. However, the bank also advertises that select customers will be eligible to receive cash in their bank accounts within seconds.

ICICI Personal Loan Application Required Documents - Salaried Applicants

  • Proof of Identity: passport, driving license, voter ID or PAN card
  • Proof of Residence: Leave & License Agreement, Utility Bill or Passport
  • Proof of Income: Latest 3 Months' Bank Statement & Salary Slips
  • 2 Passport Size Photos

ICICI Personal Loan Application Required Documents - Self-Employed Applicants

  • KYC Documents
  • Proof of Residence: Leave & License Agreement, Utility Bill or Passport
  • Proof of Income: Audited Financials (last 2 years) & Last 6 Months' Bank Statement