Indian Overseas Bank Personal Loan Interest Rate 2025

Updated on: Jun 6th, 2025

5 min read

Indian Overseas Bank (IOB) offers a wide range of banking and financial services to retail, corporate, and international customers. If you’re considering a personal loan for social, financial, or personal needs, this blog covers everything you need to know — from IOB personal loan interest rates and eligibility to charges, required documents, available schemes, and a handy EMI calculator to help you plan better.

IOB Personal Loan Interest Rate Highlights

Here is a table that contains primary information about IOB personal loans, which you should know before taking out a loan:

Features	Details
IOB Bank personal loan interest rate (Floating rates)	10.75% pa to 14.15% pa (Including all categories and CIBIL score ranges)
IOB Bank personal loan interest rate (Fixed rates)	14% pa
Maximum Loan Amount	Up to 20-25 times of an individual’s gross salary subject to a maximum of Rs. 30 lakhs (Including all categories and CIBIL score ranges)
Minimum Loan Amount	No minimum limit
Maximum Loan Tenure	Up to 84 months
Processing Fees	0.40% of the loan amount up to Rs.5 lakhs. 0.50% of the loan amount is more than Rs. 5 lakhs.
Employment Status	Government employees, Public sector employees, Employees in reputed private sector enterprises or companies and self-employed professionals and businesspersons.
Minimum Credit Score	680 (A score of 750 and above is appreciated)
Minimum Salary for Loan Eligibility	Rs. 50,000
Foreclosure charges	No foreclosure charges

Types of Indian Overseas Bank Personal Loans

There are two types of personal loans in IOB Bank.

IOB Personal Loan: This type of personal loan is commonly used for financial, social, and personal needs, with loan amounts typically extending up to 20-25 times an individual’s gross salary, subject to a maximum limit of Rs. 30 lakhs.
IOB Royal: The Personal Loan for High-Net-Worth Individuals from IOB is designed to meet various socio-economic needs. It offers loan amounts up to Rs. 15 lakhs with a flexible repayment tenure of up to seven years.

Features of Indian Overseas Bank Personal Loans

Here is a list of the primary characteristics of a Personal Loan from IOB.

IOB Bank provides a personal loan for various requirements including entertainment, medical and other requirements.
IOB Bank allows personal loans for category A personnel up to 20-25 times an individual’s gross salary, subject to a maximum of Rs. 30 lakhs.
This maximum loan tenure in an IOB bank personal loan can be up to 84 months.
IOB Bank clean personal loans do not require any collateral.
There are no foreclosure charges in an IOB Bank personal loan.
IOB personal loans have no minimum limit, making it an ideal choice in semi-urban areas.

Indian Overseas Bank Personal Loan Interest Rate 2025

Indian Overseas Bank’s Personal loan interest rates range from 10.75% pa to 14.15% per annum for floating rates and 14% per annum as a fixed interest rate for IOB personal loans. They charge 1.25% of the loan amount as processing costs, with no foreclosure charges.

Government employees and people working in public sector firms fall under “Category A” and enjoy low interest rates. However, private companies and MNCs employees fall under “Category C” and may be subjected to slightly higher interest rates.

IOB Indian Overseas Bank Personal Loan Schemes Interest Rate

IOB Bank has three basic schemes subdivided based on employment type. The following table describes these schemes and the interest rates falling under them:

Schemes

Floating Interest Rates

Fixed Interest Rate

Category A (Employees in Central Govt, Quasi Govt, State, PSU Central PSU,PSB, Railway, Defense & paramilitary)

10.75% pa to 13.50% pa

(RLLR + 1.65%) to (RLLR + 5.05%)

14% pa

Category B

(Employees working for reputed private companies or MNCs with a salary account in IOB Bank for a minimum of six months.

11.10% pa to 13.75% pa

(RLLR + 2.00%) to (RLLR + 4.65%)

(Including candidates having CIBIL scores from 800 to 680)

14% pa

Category C

(Employees working for reputed private companies or MNCs who don't have a salary account in IOB Bank.)

11.60% pa to 14.15% pa

(RLLR + 2.50%) to (RLLR + 5.05%)

14% pa

The above results include IOB Bank personal loan interest rates for candidates having CIBIL scores ranging from 800 to 680.
Candidates with a CIBIL score of less than 680 do not qualify for these schemes.

Factors Affecting Indian Overseas Bank Personal Loan

Here is a list of factors affecting the IOB Bank personal loan interest rate.

Income Source: The categories in the IOB bank personal loans are based on your job type, and the interest rate depends on the categories.
CIBIL Score: Applicants with a 775 or higher CIBIL score will enjoy lower interest rates, while oan applications with a CIBIL of less than 680 will not qualify at all.
Monthly Income: A higher income means less risk for the bank and lower interest rates for the customer.
Loan Tenure: Loan tenure is directly related to your IOB Bank personal loan interest rate.
Interpersonal Relationship With IOB Bank: A good transactional and financial history with IOB helps you get personal loans at affordable interest rates.

Fees and Charges of Indian Overseas Bank Personal Loan

Here is a list of other fees and charges in IOB Bank personal loans.

IOB charges a processing fee of 0.40% for loans up to Rs. 5 lakhs and 0.50% for amounts above Rs. 5 lakhs.
IOB does not apply any foreclosure fees.
IOB offers a top-up loan feature, however, the interest rate for these loans can be higher.

Eligibility Criteria for Indian Overseas Bank Personal Loans

Here is a list of eligibility criteria for an individual to get a personal loan from Indian Overseas Bank:

Employees in government, public sector undertakings, reputed private companies, etc., are eligible for a personal loan.
LIC agents are eligible for a personal loan from IOB Bank, subject to certain conditions.
Candidates should have a minimum monthly income of Rs. 50,000.
The candidate must have a CIBIL score of more than 680.
The age for an IOB personal loan top-up ranges from 22 years to 60 years.
After the EMI payments of both loans, a person should be left with at least 40% of his monthly income or Rs. 50,000 in a top-up loan.

Documents Required to Apply for Indian Overseas Bank Personal Loan

Here is a list of documents required to get a personal loan from IOB Bank.

Duly filled application form with attached passport-size photographs.
identity Proof: Aadhaar card, PAN card, Voter’s ID card, etc
Address ProofL Rental agreement papers or utility bills
Previous month’s salary slips and bank account statement
Undertaking a letter from the employer to ensure repayment of the loan in case of necessity.

Indian Overseas Bank Personal Loan EMI Calculator

The Indian Overseas Bank Personal Loan EMI Calculator is a convenient online tool that instantly calculates your equated monthly instalments and total interest payable at the end of your loan tenure. By entering your principal amount, loan tenure, and the applicable rate of interest, the EMI calculator can help you choose the best EMI option for your financial situation.

Indian Overseas Bank Personal Loan Customer Care

If you need further details regarding the IOB Bank personal loan interest rate, or if you have any other queries or personal appointments, the IOB Bank headquarters is located in Tamil Nadu, Chennai, Anna Salai, 762/763.

You can contact them via the following methods:

Toll-free number: 1800 890 4445 / 1800 425 4445
Phone Number: +91-044-28525496
Contact Number for Foreign Users (24/7): +91-44-35000124 / +91-44-24371140
For grievances regarding digital banking: 044-24371120
Helpdesk for NRIs: 044 24353640 / 044 2851 9611

Indian Overseas Bank provides personal and top-up loans to individuals at a competitive IOB personal loan interest rate. However, top-up loans can have a higher interest rate due to increased risk for the bank. Ensure to opt for a personal loan that best suits your needs, as well as your repayment capacity to streamline your future financial journey.

Can't get yourself started on taxes?

Get a Cleartax expert to handle all your tax filing start-to-finish

Get Cleartax expertise now

Frequently Asked Questions

Do you require any collateral or guarantors when applying for an Indian Overseas Bank Personal Loan?

No, you do not require collateral to get an IOB Bank personal loan. However, your monthly income should be more than Rs. 50,000.

What is the minimum credit score required for an Indian Overseas Bank personal loan?

You should possess a credit score of more than 680 to get a personal loan in IOB.

Would my monthly income have any bearing on the size of my personal loan?

IOB provides personal loans up to 20 to 25 times the gross salary of an individual up to Rs. 30 lakhs. Hence, your gross salary is directly related to the amount of loan you are eligible for.

Does having a co-applicant boost my chances of getting a personal loan?

Yes, having a co-applicant highly increases your chances of getting a loan in IOB Bank

About the Author

Saloni Dhumne

Content Writer - Personal Finance

A former journalist by profession, I live by the power of the written word. Specializing in personal finance, I simplify wealth planning for individuals looking to grow their money effectively. Beyond my work, I eagerly seize any opportunity to travel, exploring offbeat destinations and embracing new experiences.. Read more

Browse by topics

Income Tax e-Filing

Income Tax Slabs FY 2024-25

How To File ITR

Which ITR Should I File

Last Date To File ITR For 2024-25

Old vs New Tax Regime

Aadhaar Card Pan Card Link Status