Freo Personal Loan Interest Rates

The interest rate plays a crucial role in determining the total expense of borrowing. Freo offers personal loans with competitive fixed interest rates, starting at 12% p.a. It provides a dependable option for addressing your financial needs. 

Whether you are financing a major purchase or meeting short-term needs, it is important to understand the interest rates and charges. This helps you make informed decisions and manage your EMIs better.

If you apply for Freo Personal Loans, you would be repaying as per the following interest rate:

In addition to the interest rate, Freo may levy certain charges like processing fees. Knowing these upfront helps you plan your loan repayment more accurately. The table below outlines these fees so you can plan your finances accordingly:

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

  Freo considers several factors before deciding upon an interest rate for your personal loan. These directly impact your EMI amount and the total cost of borrowing and usually include:

• Your Credit Score

A high credit score reflects a good repayment history and increases your chances of getting a lower interest rate. A low score indicates a higher risk to the lender, which can result in higher rates.

• Loan Amount and Tenure

Borrowing a smaller amount for a shorter period often attracts a lower interest rate. Longer tenures or higher loan amounts may increase the interest rate, as they carry more risk for the lender.

• Your Income Stability

A stable job or consistent source of income assures the lender of your ability to repay on time. This reliability can lead to a more competitive interest rate on your loan.

• Debt-to-Income Ratio (DTI)

A lower DTI means you are not overburdened by existing debts, which makes you a safer borrower. Lenders usually offer lower interest rates to those with better DTI ratios.

• Market Conditions

Macroeconomic trends and changes in policies by the Reserve Bank of India (RBI) can impact personal loan interest rates, prompting lenders to adjust rates accordingly. If market conditions are unstable, lenders may increase rates to manage risk.

Your EMI depends on three key factors: loan amount, interest rate, and repayment tenure. The example below shows how loan amount, tenure, and interest rate combine to influence your monthly EMI and total interest payable:

Here’s a comparison of the interest rate for a Freo Personal Loan with those offered by other lenders on Bajaj Markets, helping you evaluate your options better:

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