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Home » IDFC Bank Personal Loan Terms & Conditions – All You Need to Know

IDFC Bank Personal Loan Terms & Conditions – All You Need to Know

Personal Loan

When it comes to applying for a loan, you want to make sure that you are going with the right lender. But how can you make sure before making an application? It’s quite generic that most of the lenders out there will have their terms and conditions very clear, but not all of them. In addition to the fact that there are many different types of loans, each lender has his or her own set of terms and conditions which makes it even harder to know what you are getting into. As a result, people have started becoming skeptical about certain loans because they don’t completely understand them and don’t know what kind of legal problems might come up once they sign up for a loan.

Before you apply for a loan, read through your lender’s terms and conditions. From the summary statement to what they expect from you, it is there under one roof. The terms and conditions of any financial institution should be transparent, concise, and easily understandable. This helps identify any uncertainty you may have so that you can ask questions or clarify things before submitting your loan application. The terms and conditions are described as one of the most important things in a loan. The terms and conditions are very clear to all regarding how you extend the loan, how it will be used, and what happens when a default occurs. You can check further details about the bank’s terms and conditions by visiting their website in your free time. Let’s discuss one such bank that is quite obvious and transparent with all of its terms and conditions with its customers – IDFC Bank

About IDFC Bank

IDFC Bank has established itself as one of the top private banks in India in a short span of time. IDFC First Bank was established in October 2015, after receiving a universal banking license from the Reserve Bank of India in July 2015. The bank is listed on BSE and NSE.

IDFC First Bank now boasts an asset base of more than 1.1 trillion rupees, with 37% in its retail sector. Its quarterly annualized Net Interest Margin has risen to 3 percent since the merger.

Why is it important to Know Terms and Conditions Before Applying for IDFC Personal Loan

Terms and conditions may not be popular, but you should know them all the same. Here are a few reasons why: Having clear terms and conditions can help you if you are in court – evidence has shown that people who have made it clear what they intended to happen in a situation are more likely to succeed in a courtroom. Terms and conditions provide clarity and remove guesswork, helping you avoid disputes. They give the parties involved a clear outline of what they can expect, what they should do, and what will happen if certain situations arise. With T&Cs, any misunderstandings are quickly resolved with help from experienced lawyers who know how to read them.

What are the IDFC Personal Loan Terms and Conditions

Priority Information

The Credit Information Companies are part of a government initiative to improve the functionality and stability of India’s financial system. IDFC Bank will now be reporting information about your account with us to one or more Credit Information Companies. Any such changes will be updated regularly.

Add-on Informations

You can make part payments after the initial 3 EMIs. The maximum part payment allowed in a financial year is 40% of your current principal outstanding, but this can be done in one go or in three separate installments totaling up to 40% of the principal outstanding. If you choose to use this option, 2% partial payment charges will apply. The partial payment must be made from your own funds. This facility is allowed only for customers who have opted for Smart Personal Loan.

After 90 days, if you do not submit your Balance Transfer Demand Draft to your previous financer, the amount of the draft will be reduced from your Total Balance, as well as resulting in you paying additional interest on both installments until the adjustment is made.

Whenever you submit a cheque for loan prepayment, replacement PDCs, swap, or any other charges, make sure to write your account number on the reverse of the cheque.

All changes in your mailing address, telephone number, and other contact details must be reported to IDFC First Bank with a valid identification document.

Interest certificates will be provided at the end of each financial year, upon a raised request.

Please ensure your account is funded with sufficient funds at least one day before your EMI date, to avoid late fees.

If you fail to pay any of the charges we bill, we will report this to the Credit information company (including CIBIL) and your credit score will be adversely affected.

If any of the address verification documents is provided, then you should submit your updated address proof to the bank within three months from the date of disbursement.

General Information:

Repayment Schedule: The Repayment Schedule page provides the amount of each installment, due dates, and breakdowns between principal and interest components. It also shows how much you’ve paid toward your balance so far. To access the Repayment Schedule: Log in to the Customer Portal.

  • Note: The outstanding loan principal should not be taken as the only obligation of the borrower to IDFC FIRST Bank, as prepayment penalties, other charges, and all other monies that may be due and payable by the borrower to IDFC FIRST Bank are also payable at the time of full settlement.

Swap of the Mode of Repayment: You can request us to substitute your repayment instructions for EMIs by submitting a set of fresh instructions along with a cheque at any branch.

  • Note: The period between receipt of fresh instructions and the date on which they are activated is 30 working days. During this time, existing instructions will stay in force for installments falling due during the intervening period, and sufficient cover funds must be provided for them. Once the Swap is activated, cheques will be retained by us. If you wish them to be returned to you, please make a request through our call center within 7 days.

Account Statement: Loan statements can show details of payments and be provided upon request.

Loan Pre-payment: In order to ensure that your loan is processed in time, you should pay the prepayment fee at least five working days before your loan’s validity date. The interest will stop accruing on your loan account from the day we receive your payment, and any excess funds will be credited to the bank account registered with us.

FAQs

If you have any questions about IDFC FIRST Bank loans, please visit one of our local branches with a valid photo identification card, or you can also reach out online.

You can avail of a loan of up to Rs. 1 Cr. with IDFC Bank

The Credit Information Companies (CICs) is an initiative of the Government of India and the Reserve Bank of India to improve the functionality and stability of the Indian financial system by providing timely information to banks, financial institutions, and other market participants.

No, you don’t need to provide any collateral to avail of a personal loan from IDFC Bank

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