With the rise of digital lending and underserved credit markets, Non-Banking Financial Companies (NBFCs) have stepped up to play a crucial role in India’s financial ecosystem. These institutions are not just alternatives to traditional banks—they’re pioneers of inclusive, fast, and flexible lending, offering everything from small-ticket loans to large personal financing without the bureaucratic hurdles.
India has seen a major shift in the way people borrow money. Earlier, people relied only on big banks to get loans. But now, NBFCs (Non-Banking Financial Companies) are offering loans quickly, easily, and with fewer documents. This has changed the game for salaried people, self-employed workers, small business owners, and even those who are taking loans for the first time.
Let’s explore how leading NBFCs like Tata Capital, InCred, Bajaj Finserv, and others are opening new doors to credit access—especially for first-time borrowers, self-employed individuals, and low-income households.
Tata Capital – The Trustworthy All-Rounder
Tata Capital is one of the most trusted names when it comes to personal loans. They offer loans for weddings, travel, education, and other needs.
| Feature | Details |
| Loan Amount | ₹75,000 to ₹35 lakhs |
| Interest Rate | Starting at 10.99% p.a. |
| Processing Fee | Up to 2.75% of loan amount |
| Tenure | 12 to 72 months |
| Eligibility | Salaried and self-employed with minimum ₹20,000/month income |
| Unique Aspect | Pre-approved offers, flexible EMI options, and strong pan-India network |
Best for: Salaried individuals and professionals looking for large personal loans from a reputed lender.
Bajaj Finserv – Fast Loans, Flexible Repayment
Bajaj Finserv is a popular NBFC for people who need instant personal loans. The loan process is fully digital, and the money can be credited in a few hours.
| Feature | Details |
| Loan Amount | ₹30,000 to ₹25 lakhs |
| Interest Rate | Starting at 11% p.a. |
| Processing Fee | Up to 3.93% of loan amount |
| Tenure | 12 to 84 months |
| Eligibility | Minimum ₹22,000 monthly income in metro cities |
| Unique Aspect | Flexi Loan facility – pay interest-only EMIs and prepay anytime |
Best for: Ideal for users looking for fast approval and disbursal, especially for urgent needs like medical expenses or travel.
InCred – Lending for the New-to-Credit India
Many people in India are new to credit and don’t have a CIBIL score. InCred gives them a chance by offering loans without needing a traditional credit history.
| Feature | Details |
| Loan Amount | ₹50,000 to ₹5 lakhs |
| Interest Rate | 15% to 36% p.a. |
| Processing Fee | 3% to 5%, minimum ₹1,500 + GST |
| Tenure | 6 to 36 months |
| Eligibility | Age 21–55, income proof not always mandatory |
| Unique Aspect | Instant digital approval, no credit score inquiry before disbursal, no physical paperwork |
Best for: Freelancers, new-to-credit users, and self-employed individuals without stable income proofs.
L&T Finance – Focused on Bharat, Not Just India
L&T Finance is known for its deep reach in semi-urban and rural India, offering customized loans for salaried and self-employed individuals.
| Feature | Details |
| Loan Amount | ₹50,000 to ₹15 lakhs |
| Interest Rate | Starts from ~12.5% p.a. (varies by region) |
| Processing Fee | Up to 2% |
| Tenure | Up to 60 months |
| Eligibility | Minimum ₹15,000 monthly income, age 23–58 |
| Unique Aspect | Rural financing focus with doorstep documentation and vernacular support |
RupeeQ Tip: Choose L&T if you’re located in a Tier 2 or Tier 3 city and need support in local language or simplified onboarding.
IDFC FIRST Bank – From NBFC Roots to Smart Banking
While now a full-fledged bank, IDFC FIRST’s legacy as an NBFC continues to shape its personalized, borrower-first approach.
| Feature | Details |
| Loan Amount | ₹20,000 to ₹10 lakhs |
| Interest Rate | Starting from 10.75% p.a. |
| Processing Fee | Up to 2% |
| Tenure | Up to 60 months |
| Eligibility | Minimum ₹20,000 monthly salary |
| Unique Aspect | Fixed interest rate, transparent terms, zero foreclosure charges on personal loans |
Best for: Salaried borrowers who want stable, long-term loans with zero penalty flexibility.
Unity Small Finance Bank – The Digital Underdog
Previously Centrum NBFC, Unity SFB brings the benefits of NBFC agility to banking compliance.
| Feature | Details |
| Loan Amount | Small-ticket loans (₹25,000–₹2 lakhs) |
| Interest Rate | Custom rates based on credit profile |
| Processing Fee | 1% to 3% |
| Tenure | 6–36 months |
| Eligibility | Urban poor, small traders, informal workers |
| Unique Aspect | Digital onboarding, inclusive lending with minimal documentation |
Best for: Individuals who are underserved by mainstream banks, including daily wage workers or nano-business owners.
Comparison Table: NBFC Personal Loan Terms in India
Below you will find the table comparing all major NBFCs currently operating in India:
| NBFC Name | Loan Amount | Interest Rate | Processing Fee | Ideal For |
| Tata Capital | ₹75K – ₹35L | From 10.99% p.a. | Up to 2.75% | Salaried & self-employed |
| Bajaj Finserv | ₹30K – ₹25L | From 11% p.a. | Up to 3.93% | Urgent loan needs |
| InCred | ₹50K – ₹5L | 15% – 36% p.a. | 3% to 5% | New-to-credit borrowers |
| L&T Finance | ₹50K – ₹15L | From 12.5% p.a. | Up to 2% | Rural borrowers |
| Bajaj Finserv | ₹30K – ₹25L | From 11% p.a. | Up to 3.93% | Urgent loan needs |
| InCred | ₹50K – ₹5L | 15% – 36% p.a. | 3% to 5% | New-to-credit borrowers |
| L&T Finance | ₹50K – ₹15L | From 12.5% p.a. | Up to 2% | Rural borrowers |
| IDFC FIRST Bank | ₹20K – ₹10L | From 10.75% p.a. | Up to 2% | App-savvy salaried borrowers |
| Unity SFB | ₹25K – ₹2L | Custom | 1% to 3% | Informal sector & micro-businesses |
IDFC FIRST Bank₹20K – ₹10LFrom 10.75% p.a.Up to 2%App-savvy salaried borrowers Unity SFB₹25K – ₹2LCustom1% to 3%Informal sector & micro-businesses
Why NBFCs Are Winning India’s Credit Game
NBFCs are supporting the RBI’s mission to increase financial inclusion and so they are giving some serious competition to traditional banks. Let’s understand some differences below:
| Advantage | NBFCs | Traditional Banks |
| Approval Time | 2–48 hours | 3–7 working days |
| Credit Evaluation | Alternate data, flexible | CIBIL-centric |
| Loan Options | Highly personalized | Mostly standardized |
| Documentation | Digital, low-paper | Often physical and extensive |
| Market Penetration | Tier-2, Tier-3, rural stronghold | Metro-focused |
Benefits of Taking a Personal Loan from NBFCs in India
NBFCs have become a favorite for many borrowers in India. Here’s why:
- ✅ Faster approval and disbursal – some within 2–4 hours
- ✅ Lower documentation – minimal paperwork or digital KYC
- ✅ Flexible eligibility – gig workers, freelancers, and low-income groups welcome
- ✅ Smaller loan amounts – perfect for everyday needs
- ✅ Technology-led process – easy apps and websites
Final Thoughts – NBFCs Are Changing the Way India Borrows
NBFCs have made personal loans in India more flexible, faster, and inclusive. Whether you’re a salaried professional, a shop owner, a freelancer, or someone living in a small town—there’s likely an NBFC loan tailored for you.
And the best part? You don’t have to search all over the internet.
✅ Use RupeeQ to Compare NBFC Personal Loan Offers
Whether you need ₹25,000 or ₹25 lakhs, RupeeQ helps you find the right lender based on your profile, income, and need. You can compare interest rates, processing fees, and even check eligibility—without affecting your credit score.
Disclaimer: The interest rates and numbers used on this blog stand valid as on 24 April 2025. Interest rates are subject to the Repo Rate which is decided by the apex bank RBI.
FAQs
- Can I get a personal loan without CIBIL from an NBFC?
Yes. Lenders like InCred evaluate alternate data and offer loans without pulling your CIBIL score initially. - What’s the minimum salary to get a loan from NBFCs?
Many NBFCs offer personal loans to individuals with a net income as low as ₹15,000/month. - Are NBFCs safe to borrow from?
Yes. Most large NBFCs like Tata Capital, Bajaj Finserv, and L&T Finance are RBI-regulated and follow strict lending norms.
