Best Lending Companies for Personal Loans in India 2025

When life throws a curveball, whether it’s a sudden medical bill, a wedding budget that’s gone overboard, or just the need to consolidate some messy debt, the pressure to get cash fast can be overwhelming.

In that moment of urgency, your first instinct might be to grab the first loan offer that pops up on your phone screen. We get it. The relief of seeing "Approved" feels amazing.

But here is the catch that most people miss: Not all money costs the same.

Choosing the wrong lender can land you in a mess. You might get the cash today, but you could end up trapped in a cycle of sky-high interest rates, hidden processing fees, and rigid repayment terms that make your life miserable for years. On the flip side, finding the best lending companies for personal loans can save you thousands of rupees, ensure the money hits your account in hours, and, most importantly, give you peace of mind.

But which one is the best for you? Let’s find out. We eliminate the distractions and guide you through the process of finding the right lending option based on your profile, so your borrowing experience will be secure, intelligent, and hassle-free.

Top Personal Loan Lenders in 2025

We have created this list of lending companies for personal loans depending on the factors that are the most important to you: interest rates, approval speed, openness, and customer trust.

1. Top Banks: The Pillars of Trust

Top-rated personal loans for those with good credit scores (750+) who want the lowest possible interest rates and don't mind a little paperwork.

1) HDFC Bank

A market leader for a reason. If you have a salary account here, their "10-second personal loan" isn't just a marketing slogan; it’s reality for pre-approved customers.

• Overview: Known for reliability and massive loan amounts.
• Interest Rate: 10.50% – 21.00% p.a.
• Loan Amount: Up to ₹40 Lakhs.
• Processing Fee: Up to ₹4,999 + GST.
• Approval Time: Instant for pre-approved; 1-3 days for others.
• Pros: Lowest interest rates in the market.
• Cons: Strict eligibility; difficult for those with low CIBIL.

2) State Bank of India (SBI)

One of the best loan companies for personal loans. It is the preferred choice for government employees and those who value absolute transparency over speed.

• Overview: The country's most trusted public sector bank.
• Interest Rate: 10.05% – 15.05% p.a.
• Loan Amount: Up to ₹20 Lakhs.
• Processing Fee: Very low (often waived during festive offers).
• Approval Time: 3-5 days.
• Pros: No hidden charges, very borrower-friendly policies.
• Cons: Slower documentation and processing.

3) ICICI Bank

Strikes a perfect balance between the trust of a bank and the speed of a fintech.

• Overview: Offers a seamless digital experience for private sector employees.
• Interest Rate: 10.75% – 19.00% p.a.
• Loan Amount: Up to ₹50 Lakhs.
• Processing Fee: Up to 2.25%.
• Approval Time: Less than 24 hours for existing customers.
• Pros: Fast disbursal.
• Cons: Interest rates can be higher for non-customers.

Not sure which bank will approve you? Apply for a Personal Loan via My Mudra to compare offers and requirements from HDFC, SBI, and ICICI instantly without affecting your credit score.

2. Top NBFCs: The Flexible Ones

These are among the best online lenders for personal loans for those who might not qualify for a bank loan or might need the money faster than a bank can give it.

1) Bajaj Finserv

Bajaj Finserv is one of the top rated personal loan companies, renowned for its fast approvals. If you want money today, this is a strong candidate.

• Overview: A leader in the consumer lending sector.
• Interest Rate: 11.00% – 25.00% p.a.
• Loan Amount: ₹40 lakhs max
• Processing Fee: Up to 3.93%.
• Approval Time: Funds are frequently granted within 24 hours.
• Pros: Very little paperwork, astonishingly rapid.
• Cons: Fees may be higher than at the usual banks.

2) Tata Capital

Among the best personal loan lenders with open conditions and adaptable standards that also caters to the self-employed through its loan services.

• Overview: The ethical lending practices are assured by the Tata Group; thus, it is a part of the Tata Group.
• Interest Rate: Starts @ 10.99% p.a.
• Loan Amount: Up to ₹35 Lakhs.
• Processing Fee: Up to 2.75%.
• Approval Time: 24-48 hours.
• Pros: Flexible EMI options.
• Cons: Slightly higher rates for those with low credit scores.

3. Digital Lenders: The Speed Champions

Millennials, Gen Z, and first-time borrowers who urgently require small amounts are best served by these best online lenders for personal loans. KreditBee is a top option for young professionals. CreditBee, unlike the big banks, is one of the best personal loan providers for "New to Credit" customers.

• Overview: Focuses on small-ticket loans for urgent needs.
• Interest Rate: 16.00% – 29.95% p.a.
• Loan Amount: ₹1,000 to ₹5 Lakhs.
• Processing Fee: Varies significantly based on loan size.
• Approval Time: 15 minutes to 24 hours.
• Pros: Great for building credit.
• Cons: High interest rates compared to banks.

Money View uses a unique credit model to lend to underserved borrowers, making it accessible for those with average credit scores.

• Overview: A paperless, app-based lending platform.
• Interest Rate: Starts @ 1.33% per month (approx. 16% p.a.)
• Loan Amount: Up to ₹10 Lakhs.
• Approval Time: Minutes.
• Pros: High approval rate for CIBIL scores of 650+.
• Cons: Rates depend heavily on your profile.

Comparison at a Glance: Best Personal Loan Companies

For your convenience, we've provided a succinct overview revealing the placement of the top personal loan lenders in relation to one another.

Eligibility & Documents: The "Must-Haves"

The "must-haves" are almost the same; however, each lender's requirements are different. Be sure that you have these documents in hand so that fast approval can be possible.

Eligibility Criteria:

• Age: 21 to 60 years.
• Income: Suddenly, ₹15,000 the next month (it depends on the city).
• Credit Score: 750+ for Banks; 650+ for NBFCs/Fintechs.
• Employment: At least 1 year of total work experience.

Documents Needed:

• Identity: Aadhaar Card / PAN Card.
• Address: Passport / Voter ID / Utility Bill.
• Income: Last 3 months' salary slips + 6 months' bank statements.
• Photo: A clear selfie or passport-sized photo.

Pro Tip: Use the My Mudra Eligibility Checker to see exactly which documents you need based on your profile.

Safety First: Check the Reliability of Lending Companies for Personal Loans

The apps are in abundance in the market, yet not all of them are secure. The RBI has taken action against illegal lending apps; however, the caution is still up to you. Steer clear of any lender that tells you:

• Upfront Fees: A scam is in place if they require you to make a payment of a "processing fee" or "security deposit" before loan approval. Legitimate lenders take charges from your loan amount instead.
• Privacy Intrusions: App getting permission to access your Photo Gallery or Contact List? Uninstall it now. Real lenders require just your financial data, not your personal pics.
• No KFS: A Key Fact Statement (KFS), which highlights all costs, is required by the RBI from every lender. If they do not provide it, leave.
• Pressure Tactics: They are probably illegal loan sharks if they ask for repayment in 7 days or use forceful language.

My Mudra: The Smarter Way to Apply

You could spend hours visiting ten different bank websites, uploading your documents ten times, and getting confused by the fine print.

Or, you could do it the smart way.

My Mudra acts as your personal loan matchmaker. As a trusted loan marketplace, we do the heavy lifting for you.

• Compare 100+ Lenders: See offers from HDFC, Axis, Bajaj Finserv, and more on a single screen.
• Protect Your Credit Score: Applying to multiple banks directly creates "hard inquiries" that lower your CIBIL score. My Mudra uses a "soft inquiry" to check your eligibility without hurting your score.
• Zero Hidden Charges: Our service is transparent. We connect you with RBI-registered partners who follow fair practice codes.

Ready to find your perfect match? Don't gamble with your financial future. Apply for a Personal Loan via My Mudra today and let the banks compete for your business.

Also Read:
- Personal Loan in Ghaziabad in 2026
- Loan Against FD vs Personal Loan – Which Is Better?