5 Best Personal Loans for Pensioners

Personal loans are a good medium to address urgent fund requirements, as the banks and NBFCs have eligibility criteria for young professionals,  retired or senior citizens find difficult to apply for a personal loan. However, they can apply for a pension loan that are similar to personal loan and easy to avail. But before applying for a personal loan look some major banks of India which provide pension loan to the retired people.

Let’s have a look on the list of best personal loans for pensioners

1. State Bank of India pension loan

The leading government bank, SBI, provides its personal loan to senior citizens or retired people. The bank offers its loan to the pensioners of central and state government employees, defense employees, and family pensioners. For defense pensioners, there is a 0% processing fee and for other employees, it is 0.5% + eligible taxes. 

Benefits of SBI pension loans

• Minimum loan amount is Rs 25000
• Maximum loan amount is Rs 14,00,000
• Interest rate starts from 13.05%

Eligibility criteria for SBI pension loan

• The age of the pensioner should not be over 76 years.
• Before and during the loan tenure, the SBI bank should maintain the pension payment order.

2. Central Bank of India’s personal loan

The bank provides personal loans to the pensioners and retired professionals at an attractive interest rate, and there is no processing fee to avail the loan.

Benefits of the Central Bank of India pension loan

• Minimum loan up to Rs 500000
• Maximum loan up to Rs 200000
• Interest rate starts from 11.70%

Eligibility criteria for a Central Bank of India personal loan

• Pension payment order should be maintained by a Central Bank of India during or before the loan tenure.

3. Punjab National Bank pension Loan

Punjab National Bank also PNB personal loan to the pensioners and retired professionals. There is no processing fee on the pension loans make it more lucrative. If you have an enterprise, you can take business loans by PNB bank.

Benefits of the Punjab National Bank pension loan

• No processing fee
• Minimum loan amount Rs 25000
• Maximum loan amount Rs 10,00,000

Eligibility criteria for the Punjab national bank pension loan

• The pensioner must draw the pension from the Punjab National Bank.

4. Bank of Baroda personal loan

Bank of Baroda is in the list of well-known banks of India for providing various kind of final help to its customers. Apart from various kinds of loans, this bank provides pensioners and family pensioners of the Bank of Baroda.

Benefits of Bank of Baroda pension loan

• No processing for the pensioners and family pensioners of Bank of Baroda.
• The maximum loan amount for pensioners aged below 70 years is Rs 8 lakh.
• The maximum loan amount for pensioners aged above 70 years is Rs 1.5 lakh.

Eligibility criteria Bank of Baroda personal loan

• Pensions should draw from Bank of Baroda.
• The age of the pensioner should not be over 75 years.

5. Bank of India pension loan

Under the Star pensioner loan scheme, this bank offers pension loan to the pensioners. There are great offers for pensioners above the age of 60.

Benefits of Bank of India pension loan

• Pensioners above the age of 60 years need not pay any kind of processing fee.
• The pension loan amount starts from Rs 3 lakh to 5 lakh.

Eligibility criteria for Bank of India pension loan

• The pensioner should be the retired professional of the Bank of India.
• The pensions should be drawn via the Bank of India.

If you’re retired or senior citizen and finding it difficult to apply for a personal loan, you can apply for a pension loan from any of these banks. To apply for a pension loan, read the eligibility criteria, collect your important documents, and fill your application online.