Personal Loan of ₹5 Lakhs

A personal loan of ₹5 Lakhs is a practical choice when you require immediate funds for planned expenses or unforeseen financial needs. With no restrictions on how the money is used, the loan can cover expenses such as weddings, medical treatments, or debt consolidation.

For instance, a ₹5 Lakhs loan with a 5-year tenure at an interest rate of 9.99% per annum would result in an approximate EMI of ₹10,621, with a total interest cost of around ₹1,37,263.

Choosing a shorter tenure of 3 years would increase the EMI to ₹16,131 but reduces the total interest payable to about ₹80,724.

This loan type offers quick disbursal, straightforward documentation, and flexible repayment options. You can select an EMI plan that suits your monthly income and repay the loan without impacting your long-term financial goals.

Provided below is a comprehensive list of all lenders that offer a personal loan of ₹5 Lakhs on Bajaj Markets:

Disclaimer: The details mentioned above are subject to change at the lender’s discretion.

Here is a detailed breakdown of the EMI amounts, total interest payable, and total repayment cost for a ₹5 Lakhs personal loan with a 9.99% interest rate across various tenures:

Disclaimer: These are approximate values and are meant only for illustration. For actual EMI values, reach out to your lender.

Here is an overview of the fees and charges associated with a ₹5 Lakhs personal loan:

Disclaimer: The mentioned details are subject to change at the lender’s discretion.

Calculating your personal loan EMI can help you understand your monthly repayment obligation and plan your finances better before applying for the loan. The EMI is calculated using a simple formula:

EMI = P × R × (1 + R)N / [(1 + R)N - 1]

Where:

• P is the principal loan amount
• R is the monthly interest rate (annual interest rate divided by 12 and then divided by 100)
• N is the tenure in months

Let’s break it down using an example:

You want to take a loan of ₹5 Lakhs at an interest rate of 9.99% p.a. for 5 years (60 months). Here’s how the EMI is calculated:

• P = ₹5,00,000
• Annual Interest Rate = 9.99%
• Monthly interest rate R = 9.99% / 12 / 100 = 0.008325
• Tenure N = 60 months

Upon adding the values into the formula:

• EMI = ₹5,00,000 × 0.008325 × (1 + 0.008325)60 / [(1 + 0.008325)60 - 1]
• EMI = ₹5,00,000 × 0.008325 × (1.9729) / (1.9729 - 1)
• EMI = ₹5,00,000 × 1.9729 / 0.9729
• EMI = ₹10,621

So, for a ₹5 Lakhs personal loan at an interest rate of 9.99% p.a. and a tenure of 60 months, your monthly EMI would be approximately ₹10,621.

To qualify for a ₹5 Lakhs personal loan, you need to meet specific eligibility criteria. Here are a few key points to consider:

1. Your age should be at least 18 years old
2. You, as an applicant, should be a salaried or self-employed
3. Your income should be at least ₹10,000 per month
4. You should have 1 year minimum work experience
5. Usually, the CIBIL score for ₹5 Lakh personal loan is 750 or higher. You can check your CIBIL score online if you haven’t yet.

You will also need to provide the following documents:

Before applying for a loan, ensure you have all the required documents requested by your lender. Different lenders have different document requirements, so you need to check these carefully in advance.

Here are some simple steps to apply on website and app for a ₹5 Lakhs personal loan:

1. Click here to open the application form
2. Select your profession from the dropdown options
3. Enter your mobile number and PIN code
4. Tick the box to accept the terms and conditions
5. Click on ‘Proceed’ to move to the next step
6. On the following page, provide the necessary details:
   • PAN
   • Full name (as per PAN)
   • Date of birth
   • Email address
   • Gender
   • Net monthly income
   • Employer category
   • Employer or company name
   • Salary credit method (Bank or Cash)
7. Once complete, click on ‘Submit’
8. You’ll be shown eligible loan offers based on your inputs
9. Select a suitable offer, choose the repayment tenure, and submit your application

You’ll then be redirected to the lender’s website to complete steps like KYC, e-mandate, and disbursal.

Note: This process is only for salaried individuals. If you select self-employed under profession, you’ll be directed to a separate page to provide details such as monthly turnover. Please follow the on-screen instructions.

Here is the monthly amortisation schedule for a ₹5 Lakhs personal loan, showing the EMI amounts, interest payable, and outstanding balance for each month of repayment:

Disclaimer: These are approximate values and are meant for illustration only. For actual EMI values, reach out to your lender.

Your CIBIL score plays a significant role in the approval and terms of your ₹5 Lakhs personal loan. Personal loans can affect your credit score in several ways, such as:

• Pre-approval Impact

During loan verification, the lender conducts a hard inquiry by examining your full credit report from a credit bureau to assess your credit profile. This process may reduce your credit score slightly, but the effect is generally minimal and short-term.

• Post-approval Impact

Timely repayment of EMIs positively influences your credit score. It demonstrates sound financial behaviour, thereby increasing the likelihood of loan approval in the future.

A ₹5 Lakhs personal loan offers flexibility and can be used for various financial needs, allowing you to manage large expenses efficiently. Here are some common uses:

• Debt Consolidation

You can use the loan to pay off high-interest debts, consolidating them into a single EMI with a potentially lower interest rate.

• Medical Expenses

A ₹5 Lakhs loan can help cover unexpected medical costs, ensuring you have funds readily available during emergencies.

• Home Renovations

You can use the loan for upgrading or renovating your home, which can increase both its value and your living comfort.

• Education

A personal loan can cover tuition fees and other education-related costs, providing financial support for pursuing higher studies.

• Wedding Expenses

If you're planning a wedding, this loan can help finance expenses like venue booking, catering, and attire.

• Travel

A ₹5 Lakhs personal loan can fund your dream vacation, covering everything from flights to accommodation and other travel costs.

• Business Expansion

For business owners, the loan can be used to invest in inventory, staff, or expanding your business operations.

Reference of all T&C necessarily refers to the terms of the Partners as regards to pre-approved offers and loan processing time amongst other conditions.