Looking for a personal loan? Compare Hero FinCorp personal loan interest rate and fees with other lenders to find the best deal. Our easy-to-use calculator will show you how much you’ll pay each month, so you can make an informed decision.
Hero FinCorp is a non-banking financial company (NBFC) that offers a variety of financial products, including personal loans. The interest rate on a Hero FinCorp personal loan can vary depending on a number of factors, including the applicant’s credit score, income, and loan amount. However, the maximum interest rate for a Hero FinCorp personal loan is 25%.
Table of Contents
Understanding Personal Loans
What is a Personal Loan?
A personal loan is an unsecured loan that allows individuals to borrow a specific amount of money without the need for collateral. This feature makes personal loans an attractive option for many, as it eliminates the risk of losing valuable assets in case of default.
Why Choose a Personal Loan?
Personal loans offer flexibility in usage, making them an ideal choice for various purposes. Whether you need to consolidate debts, fund your child’s education, or cover medical expenses, a personal loan provides the necessary financial support.
Introducing Hero Fincorp
About Hero Fincorp
Hero Fincorp is a leading NBFC in India, part of the prestigious Hero Group. With a strong presence and a vast customer base, Hero Fincorp has earned a reputation for its excellent financial products and services.
Reputation and Trustworthiness
Hero Fincorp is known for its transparent and customer-centric approach. They aim to provide hassle-free loan experiences, making them a preferred choice among borrowers.
Hero Fincorp Personal Loans
| Hero FinCorp Personal Loan Highlights 2023 | |
| Interest rate | Up to 25% p.a. |
| Loan amount | Jumbo Personal Loan: Up to Rs 5 lakhInstant Personal Loan: Up to Rs 1.5 lakh |
| Repayment tenure | Jumbo Personal Loan: Up to 5 yearsInstant Personal Loan: Up to 2 years |
Hero FinCorp Personal Loan Types
Jumbo Personal Loan
- Purpose: It is a personal loan that borrowers can avail for meeting their financial needs such as wedding, travel, home renovation, etc.
- Loan Amount: Up to Rs 5 lakh
Instant Personal Loan
- Purpose: It is a short-term personal loan that can be availed in just 24 hours with minimum documentation.
- Loan Amount: Up to Rs 1.5 lakh
Types of Instant Personal Loan
Instant Cash Loan
- Purpose: It is an unsecured mini personal loan for meeting emergency expenses such as medical conditions, unplanned travel, home repair, etc.
- Loan Amount: Rs 10,000 to Rs 1.5 lakh
Mobile Loan
- Purpose: It is an instant personal loan that gets sanctioned within 24 hours. Applicants can apply for instant mobile loan via Hero FinCorp mobile application.
- Loan Amount: Rs 50,000 to Rs 1.5 lakh
Short Term Loan
- Purpose: It is a personal loan that comes with short tenure and can be used for meeting urgent credit needs such as buying a smart gadget, paying balance debt, etc. This short-term personal loan can also be availed by borrowers having low credit scores.
- Loan Amount: Rs 50,000 to Rs 1.5 lakh
Salary Advance Loan
- Purpose: It is a personal loan that salaried borrowers can avail for covering finances for house rent, children’s school fees, repairs, utility bill payments etc.
- Loan Amount: Rs 50,000 to Rs 1.5 lakh
Debt Consolidation Loan
- Purpose: It is a personal loan that borrowers can avail to pay off one or multiple debts in one go.
- Loan Amount: Rs 50,000 to Rs 1.5 lakh
Consumer Durable Loan
- Purpose: It is a type of personal loan that borrowers can avail for purchasing personal gadgets, electronic products, and high-end home appliances.
- Loan Amount: Rs 50,000 to Rs 1.5 lakh
Medical Loan
- Purpose: It is an unsecured personal loan that borrowers can avail for meeting medical emergencies.
- Loan Amount: Rs 50,000 to Rs 1.5 lakh
Travel Loan
- Purpose: It is an unsecured personal loan that borrowers can avail for financing their domestic and international travel plans.
- Loan Amount: Rs 50,000 to Rs 1.5 lakh
Marriage Loan
- Purpose: It is an instant personal loan that borrowers can avail to fund their wedding related expenses
- Loan Amount: Rs 50,000 to Rs 1.5 lakh
Home Renovation Loan
- Purpose: It is an instant personal loan that borrowers can use for bearing improvement, renovation or extension related expenses of their residential property.
- Loan Amount: Rs 50,000 to Rs 1.5 lakh
Education Loan
- Purpose: It is an unsecured instant personal loan that borrowers can avail for student-related expenses for higher education or post-secondary education
- Loan Amount: Rs 50,000 to Rs 1.5 lakh
Loan Features and Benefits
Hero Fincorp offers personal loans with competitive interest rates and several borrower-friendly features. These loans come with flexible tenures, ranging from 12 to 60 months, allowing borrowers to choose a repayment plan that suits their financial situation.
Additional Read: 25 Best Instant Personal Loan Apps in India
Hero FinCorp Personal Loan Eligibility Criteria
- Indian Citizen
- Age: 21 to 58 years
- Occupation: Salaried and Self-employed
- Work experience:
- For salaried: Employed for minimum 6 months
- For Self-employed: Minimum 2 years of experience in current business
- Monthly Income: Minimum Rs 15,000
Documentation Process
The documentation process for Hero Fincorp personal loans is straightforward and streamlined. Applicants need to submit identity proof, address proof, income documents, and other necessary paperwork.
Common Documents Required for both Salaried and Self-Employed Individuals:
- Duly filled loan application form
- Passport size coloured photograph
- Identity Proof (any one): Driver’s License/ Passport/ PAN Card/ Aadhaar card
- Residence Proof (any one): Driver’s License/ Passport/ Aadhaar Card/ Ration Card/ Utility Bill
Additional Documents Required for Salaried Individuals:
- Residence Ownership Proof (any one): Electricity Bills/ Maintenance Bills/ Property Documents
- Income Proof:
- Last six months salary slips,
- Last six months bank account statement (salary account)
- Form 16
- Job Continuity Proof: Appointment letter from the current employer and Experience certificate from the previous employer
Additional Documents Required For Self-employed Individuals:
- Office Address Proof (any one): Maintenance Bill/ Utility Bill/ Property Documents/ Rent Agreement
- Business Existence Proof (any one): Copy of Tax Registration/ Shop Establishment Proof/ Company’s Registration Certificate
- Income Proof: Last six months bank statement and ITR for the last two consecutive years
Unraveling The Hero Fincorp Personal Loan Interest Rate
Factors Influencing Hero Fincorp Personal Loan Interest Rate
Interest rates for personal loans may vary based on several factors such as the borrower’s credit score, income, loan amount, and tenure. Hero Fincorp takes these factors into account while determining interest rates.
How to Get the Best Hero Fincorp Personal Loan Interest Rate
Maintaining a good credit score and a stable income can enhance the chances of securing a lower interest rate. Additionally, existing Hero Fincorp customers may be eligible for loyalty benefits.
How to calculate the Hero Fincorp Personal Loan Interest Rate
The interest rate on your personal loan in India can be calculated using two distinct methodologies. One is a fixed interest rate, while the other is a personal loan with a decreasing interest rate. Let’s examine both approaches in depth:
Under this method, the applicable personal loan interest rate is charged on the total principal loan amount throughout the tenure. To compute your interest rate using this method, use the following formula:
Total Interest Payable = (Principal × Rate of Interest × Loan Term) / 100
Once you know the total interest payable, you can easily compute your EMI by using the below formula.EMI = (Principal＋Total Interest Payable) / Total Loan Tenure in Months
Under this, the personal loan interest rate is computed on the outstanding principal balance. It implies that every time you pay your EMI, the interest on the remaining balance is recalculated. To calculate the EMI using this method, use the following formula.
EMI= [P x R x (1+R)^N] / [(1+R)^ (N-1)]
Where,
E is the EMI
P is the Principal Loan Amount
R is the Rate of Interest
N is the Loan Tenure in months
Hero Fincorp Personal Loan Interest Rate vs. Competitors
Interest Rate Comparison
Comparing interest rates offered by different lenders is crucial to make an informed decision. Hero Fincorp’s interest rates are competitive and designed to provide value to customers.
Additional Perks and Incentives
Apart from attractive interest rates, Hero Fincorp may offer additional perks like zero processing fees, pre-approved loan offers, and quick disbursal, giving them an edge over competitors.
Comparison of Interest Rates of Hero Finance Personal Loan with other Banks/NBFCs
| Banks/NBFCs | Interest Rates(p.a.) |
| Axis Bank | 10.49% onwards |
| IndusInd Bank | 10.49% onwards |
| IDFC First Bank | 10.49% onwards |
| HDFC Bank | 10.50% onwards |
| ICICI Bank | 10.50% onwards |
| Kotak Mahindra Bank | 10.99% onwards |
| Tata Capital | 10.99% onwards |
| Bajaj Finserv | 11.00% onwards |
| Federal Bank | 11.49% onwards |
| DMI Finance | 12% – 36% |
| L&T Finance | 12.00% onwards |
| Kreditbee | 12.25% – 30% |
| MoneyTap | 12.96% onwards |
| Piramal Finance | 12.99% onwards |
| Aditya Birla | 13% onwards |
| MoneyView | 15.96% onwards |
| Cashe | 27.00% onwards |
Managing EMIs Effectively
Understanding Equated Monthly Installments (EMIs)
EMIs are fixed monthly payments that borrowers need to make towards repaying their personal loan. Understanding EMIs is essential to plan finances efficiently.
Tips for EMI Management
To manage EMIs effectively, borrowers should create a budget, avoid missing payments, and consider part-prepayments to reduce the loan burden.
Conclusion
Hero Fincorp Personal Loan Interest Rate stands out as a reliable and customer-oriented NBFC offering competitive interest rates on personal loans. By understanding the factors influencing interest rates and comparing them with competitors, borrowers can make a well-informed choice. Managing EMIs effectively ensures a smooth repayment journey. So, whether it’s a dream vacation, a medical emergency, or a wedding celebration, Hero Fincorp is a reliable partner to fulfill your financial needs.
FAQs
What is the maximum loan amount Hero Fincorp offers?
Hero Fincorp provides personal loans ranging from INR 50,000 to INR 15 lakhs, depending on the borrower’s eligibility.
Can I prepay my personal loan without incurring penalties?
Yes, Hero Fincorp allows prepayment of personal loans without any penalty, subject to terms and conditions.
How long does it take to get a loan approval from Hero Fincorp?
Once all necessary documents are submitted, Hero Fincorp typically processes loan applications within 2-7 business days.
Does Hero Fincorp offer special interest rates for existing customers?
Yes, Hero Fincorp may offer loyalty benefits, including special interest rates, to existing customers.
What is the minimum credit score required to apply for a Hero Fincorp personal loan?
A credit score of 650 or above is generally considered favorable for availing a personal loan from Hero Fincorp.