When applying for a personal loan or overdraft loan, understanding the fees and charges is just as important as checking the interest rate. Many borrowers focus only on EMI and later get surprised by hidden costs, GST, or foreclosure penalties.
At Bravima Solution Pvt Ltd, we help salaried professionals compare transparent personal loan and overdraft loan options from RBI-registered NBFCs, ensuring no hidden charges and better financial planning.
What Are Personal Loan Fees and Charges?
Personal loan fees and charges are the additional costs levied by banks and NBFCs apart from interest. These charges vary depending on:
- Loan amount
- Applicant profile
- NBFC policies
- Type of loan (Personal Loan vs Overdraft Loan)
Understanding these charges helps you choose the most cost-effective loan option.
Personal Loan Fees and Charges in India (NBFCs & Banks)
Below are the common personal loan charges applicable in 2026:
1- Processing Fee
- Typically 1% to 3% of the loan amount
- Charged upfront or deducted from disbursal
- Non-refundable
👉 Bravima Solution helps you compare NBFCs offering lower or discounted processing fees.
Apply for Personal Loans online with minimal documentation
2- Interest Rate
- Ranges between 10.5% to 30% per annum
- Depends on:
- Monthly salary
- Credit score
- Employer profile
- Loan type
- Monthly salary
💡 Overdraft loans offer interest only on the amount used, not on the full sanctioned limit.
3- GST on Personal Loan Charges
- 18% GST applicable on:
- Processing fee
- Foreclosure charges
- Late payment penalties
- Processing fee
- GST is not applied on interest
4- Prepayment Charges
- Charged when you repay the loan before tenure
- Usually 2% to 5% of the outstanding principal
- Some NBFCs allow free prepayment after 6–12 EMIs
5- Foreclosure Charges
- Applied when closing the loan entirely
- Typically 2% to 6%
- Includes GST
Apply for Personal Loan with Quick Disbursal
6- Late Payment / EMI Bounce Charges
- Flat penalty or daily interest
- Additional GST applicable
- Can negatively impact your credit score
Overdraft Loan Fees and Charges (NBFC Overdraft Explained)
An Overdraft Loan is a flexible credit line where you pay interest only on the amount you use, not on the full limit.
Overdraft Loan Charges in India (2026):
| Charge Type | Typical Cost |
| Processing Fee | 1% – 3% |
| Interest Rate | 11% – 24% |
| Annual Renewal Fee | Applicable |
| Prepayment Charges | Usually NIL |
| Interest Calculation | Daily usage basis |
Why Overdraft Loans Are Cost-Effective?
✔ No fixed EMI
✔ Withdraw & repay anytime
✔ Ideal for salaried professionals earning ₹1 lakh+ per month
✔ Lower interest burden compared to personal loans
Bravima Solution specializes in NBFC overdraft loans with minimal charges and transparent terms.
Hidden Charges in Personal Loans You Must Know
Some lenders may not clearly disclose:
- Documentation fees
- Account maintenance charges
- Penal interest on partial defaults
- Loan modification fees
Always read the loan agreement carefully.
At Bravima Solution, we ensure complete transparency before you apply.
Personal Loan vs Overdraft Loan – Fee Comparison
| Feature | Personal Loan | Overdraft Loan |
| Interest Charged On | Full loan amount | Used amount only |
| EMI | Fixed | No fixed EMI |
| Flexibility | Low | High |
| Best For | Long-term needs | Ongoing expenses |
| Overall Charges | Higher | Lower (if used smartly) |
How Bravima Solution Helps You Save on Loan Charges
At Bravima Solution Pvt Ltd, we work with trusted NBFC partners to offer:
- Lower processing fees
- Negotiated interest rates
- Zero hidden charges
- Dedicated loan advisor support
- Faster approval & disbursal
Our experts help you choose between personal loan or overdraft loan based on actual cost, not just EMI.
Who Should Apply Through Bravima Solution?
- Salaried professionals
- Monthly salary ₹1,00,000 or above
- Looking for flexible credit
- Want transparent NBFC loan options
Frequently Asked Questions (FAQs)
What are the charges for an overdraft loan?
Overdraft loan charges include processing fees, interest on used amount, and annual renewal fees. There are usually no prepayment penalties.
Is GST applicable on personal loan charges?
Yes, 18% GST is applicable on fees and penalties, but not on interest.
Which is cheaper – personal loan or overdraft loan?
An overdraft loan is cheaper if you don’t use the full limit and repay frequently.
Are processing fees refundable?
No, processing fees are non-refundable, even if the loan is cancelled.
How does Bravima Solution reduce my loan cost?
We compare multiple NBFC offers and suggest the lowest-cost option with full transparency.
Apply for Low-Charge Personal or Overdraft Loan Today
Don’t let hidden charges increase your loan burden.
- Compare NBFC Loan Fees Now
- Apply for Overdraft Loan with Low Charges
- Get Free Loan Consultation from Bravima Solution
About Bravima Solution Pvt Ltd
Bravima Solution Pvt Ltd is a loan aggregator working with RBI-registered NBFCs to provide personal loans and overdraft loans for salaried professionals across India.
Quick & Easy Personal Loans
Similar Blog
- Best Personal Loan in Gurugram: Compare Top Banks, Rates & Instant Approval
Gurugram, known as the Millennium City, is a hub of professionals, entrepreneurs, and fast-paced lifestyles. Whether it’s for a medical… Read more: Best Personal Loan in Gurugram: Compare Top Banks, Rates & Instant Approval - Aditya Birla Capital Personal Loan – Features, Eligibility & How to Apply via Bravima
In today’s fast-moving financial world, a personal loan is often the quickest bridge between a financial need and its solution… Read more: Aditya Birla Capital Personal Loan – Features, Eligibility & How to Apply via Bravima - HDFC Personal Loan – Quick Funds with Easy EMI
When you need quick funds for emergencies, weddings, travel, or home renovation, a personal loan is one of the fastest… Read more: HDFC Personal Loan – Quick Funds with Easy EMI - Why Your Loan Gets Rejected Even With a High Salary (And How to Fix It)
Many salaried professionals assume that earning a high income automatically guarantees loan approval. But in reality — banks and NBFC… Read more: Why Your Loan Gets Rejected Even With a High Salary (And How to Fix It) - How a Co-Applicant Can Impact Your Personal Loan Eligibility
Getting a personal loan can be challenging if your income is limited or your CIBIL score is on the borderline.… Read more: How a Co-Applicant Can Impact Your Personal Loan Eligibility - How to Get a Personal Loan without Security?
Need urgent funds for a medical emergency, wedding, education, travel, home renovation, or debt consolidation but don’t want to pledge… Read more: How to Get a Personal Loan without Security?
