Consolidation Loans from State Bank of India (SBI)

Different loan schemes for debt consolidation.

One of the largest banks in the country and the world, State Bank of India (SBI) offers a range of financial products to different segments of its customer base. As of October 2020, SBI gives you the option to choose from a range of loans that are specifically suited for your different needs.

State Bank of India Consolidation Loans

An SBI consolidation loan helps customers pay off all their debts and consolidate them into one by choosing terms as per their preference and repay easily. These can be unsecured loans like personal loans or secured loans like loans against property, gold, time deposits, or securities. Balance of transfer loans and top-up loans can also be considered to be consolidation loans if they are used to repay/consolidate relatively high-interest debts.

Consolidation loans help customers make their lives easier since they only have to think of making one repayment per month instead of worrying about multiple repayments going during different times per month. The overall debt burden may also reduce since consolidation are usually chosen by comparing interest rates and repayment periods.

The important thing to note here is that the SBI does not label a specific loan as a consolidation loan. Instead, a few schemes can be used for the purpose of consolidating debts even if they are not directly labelled so. Here are some of the loan schemes offered by State Bank of India that you can avail as a consolidation loan:

  1. SBI Xpress Credit
  2. SBI Quick Personal Loan
  3. SBI Pension Loan
  4. SBI Personal Gold Loan
  5. SBI Loan Against Sovereign Gold Loan
  6. SBI Loan Against Shares
  7. SBI Loan Against Time Deposit
  8. SBI Loan Against Mutual Funds
  9. SBI Loan Against Dual Advantage Fund
  10. SBI Loan Against Property
  11. SBI Reverse Mortgage Loan
  12. SBI Balance Transfer Loan
  13. SBI Smart Home Top-up Loan
  14. SBI Home Top-up Loan
  15. SBI Insta Home Top-up Loan

We give you a brief introduction to each of these consolidation loans below. In addition, you have the option to click further and read in detail about each loan (the link takes you to another page on our website). This specific page has been specifically designed so that you can get all the information you need on that loan in an uncluttered and easy-to-read format.

Please note that in some cases information is less or simply not available. In such instances, we have not been able to create a page on that loan as yet, but we may do so in the future if information becomes available.

State Bank of India Xpress Credit (Loans to Salaried Employees Having Salary Accounts with SBI)

This loan helps borrowers to get funds to meet their urgent financial needs including expenses for a child’s wedding, domestic and foreign travel, medical emergency, child’s education, etc. Salaried employees of government organisations, public sector units, private sector companies and institutions, etc. drawing salary through SBI bank account are eligible for this loan.

Features of SBI Xpress Credit

Why this Loan?

  • The SBI Xpress Credit scheme is meant for permanent employees of Public Sector Undertakings, Central Government, State Government units, reputed national and multinational companies who need financial assistance to meet urgent personal needs. The borrowers must have the salary account with SBI to be eligible for this loan
  • This personal loan can also be repurposed into a consolidation loan to pay off their high-interest credit card debts and loans
  • This is collateral-free loan is offered as a term loan or overdraft

State Bank of India (Personal Loan to Salaried Customers not Maintaining Salary Account with SBI

This loan is specifically designed for salaried employees of govt. organisations to help them get funds to meet their urgent financial needs. This personal loan can also be repurposed into a consolidation loan to pay off high-interest credit card debts and loans.

Features of SBI Personal Loan Scheme for Salaried Customers

Why this Loan?

  • The SBI Personal Loan Scheme for Salaried Customers is meant for salaried employees of government units/institutions who need funds to meet their personal needs. This loan can also be used to pay off high-interest debts, thereby consolidating debt
  • Interest is levied on daily reducing balance. The bank also offers a provision for a second loan based on the borrower’s needs

State Bank of India Pension Loan

This loan helps pensioners to get funds to meet their urgent financial needs expenses for a child’s wedding, domestic/overseas travel, medical emergency, etc. This loan can also be availed to pay off high-interest credit card debts and loans thereby consolidating debt. Only the pensioners maintaining a pension account with SBI are eligible for this loan.

Features of SBI Pension Loan

Why this Loan?

  • The State Bank of India SBI Pension Loan is meant for pensioners, drawing pension through SBI, who need financial assistance to meet urgent personal needs including medical expenses. It can also be used for the purpose of debt consolidation
  • Family pensioners are also eligible for this loan
  • This is a collateral-free loan

State Bank of India Personal Gold Loan

This scheme helps borrowers access needed funds by pledging their gold jewellery or specially-minted gold coins sold by banks. This loan can be used to meet any financial needs such as a wedding, overseas travel, higher education, etc. as well as to consolidate high-interest debts. The maximum loan amount sanctioned by the bank under this loan scheme is Rs. 20 lakh.

Features of SBI Personal Gold Loan

Why this Loan?

  • The SBI Personal Gold Loan is meant for borrowers who want to get funds by pledging gold jewellery/ornaments or specially minted gold coins sold by banks to meet their financial needs
  • This loan scheme can also be availed by borrowers as a consolidation loan

State Bank of India Loan Against Sovereign Gold Bonds

This scheme helps borrowers access funds for personal needs by pledging their Sovereign Gold Bonds in the favour of SBI. This loan can be used to meet any personal needs such as a child’s wedding, overseas travel, child’s higher education, etc. as well as to consolidate debts.

Features of SBI Loan Against Sovereign Gold Bonds

Why this Loan?

  • The SBI Loan Against Sovereign Gold Bonds is meant for borrowers who want to get access to funds by pledging Sovereign Gold Bonds to meet their financial needs
  • This loan can also be availed by borrowers to pay off their high-interest debts, thereby consolidating their loans

State Bank of India Loan Against Term Deposit

This loan helps borrowers to get funds against Time Deposits such as Fixed Deposits (FDs), Recurring Deposits (RDs), etc. to meet their urgent financial needs including wedding expenses, travel expenses, medical expenses, etc. This scheme can also be repurposed into a consolidation loan to pay off their high-interest credit card debts and loans, thereby consolidating their debts.

Features of SBI Loan Against Term Deposits

Why this Loan?

  • The SBI Loan Against Time Deposit is designed to help SBI internet banking service users avail an overdraft or loan against fixed deposits to meet their urgent financial needs
  • There are no pre-payment penalties on this loan

State Bank of India Loan Against Shares

This loan helps borrowers get access to funds by pledging their shares to the bank. While this secured loan can be used to meet any financial needs such as a wedding, overseas travel, higher education and so on, it can also be used to consolidate high-interest debts.

Features of SBI Loan Against Shares

Why this Loan?

  • The State Bank of India Loan Against Shares is meant for borrowers who want to avail financial assistance by pledging shares to meet their financial needs
  • Borrowers can also avail this scheme as a consolidation loan and pay off their debts
  • This loan can be availed as an overdraft or demand loan

State Bank of India Loan Against Mutual Funds

This loan helps borrowers get access to funds by pledging their equity and debt funds to the bank. While this secured loan can be used to meet any financial needs such as a wedding, overseas travel, higher education and so on, it can also be used to consolidate debts.

Features of SBI Loan Against Mutual Funds

Why this Loan?

  • The State Bank of India Loan Against Mutual Funds is meant for borrowers who want to avail financial assistance by pledging mutual funds to meet their financial needs
  • Borrowers can also avail this scheme as a consolidation loan and pay off their debts

State Bank of India Loan Against SBI Dual Advantage Funds

This loan helps borrowers get access to funds by pledging their equity and debt funds to the bank. While this secured loan can be used to meet any financial needs, it can also be used to pay off debts.

Features of SBI Loan Against SBI Dual Advantage Funds

Why this Loan?

State Bank of India SBI Loan Against Property

This loan helps borrowers get access to funds by mortgaging their property to the bank to meet their urgent financial needs such as wedding expenses, travel expenses, medical exigencies, higher education and so on. This loan can also be repurposed into a consolidation loan to pay off high-interest debts.

Features of SBI Mortgage Loan

Why this Loan?

  • The SBI Loan Against Mortgage of Immovable Property is meant for borrowers who want to avail financial assistance by mortgaging their property to the bank to meet their urgent financial needs other than for capital market, business, trading or speculative purposes
  • There are no prepayment charges for this loan

State Bank of India Reverse Mortgage Loan

SBI Reverse Mortgage Loan helps senior citizens who want to meet their living expenses or supplement pension income by pledging their self-occupied, residential property for this loan. This loan scheme can also be used for the repayment of an existing loan taken for the residential property to be mortgaged or to consolidate your debts. It cannot be availed for trading or speculative purposes.

Features of SBI Reverse Mortgage Loan

Why this Loan?

  • The State Bank of India Reverse Mortgage Loan helps senior citizens get access to funds by mortgaging their self-occupied, residential property and convert it into liquid cash flows to meet their living expenses, personal needs, medical expenses, home renovation/repair/extension expenses, debt consolidation, etc.
  • There are no prepayment charges for this loan

State Bank of India Balance of Transfer Home Loan

This loan scheme helps people looking for a relatively low-interest home loan transfer their home loan from private banks, other public-sector banks, foreign banks, Non-Banking Financial Companies (NBFCs), Housing Finance Companies (HFCs), etc. to SBI. Employees of central government, state government, other government undertakings and Public Sector Units are eligible for this loan scheme.

Features of SBI Home Loan Balance Transfer

Why this Loan?

  • The State Bank of India Balance of Transfer Home Loan is meant for housing loan borrowers of other banks, NBFCs and HFCs who want to transfer their housing loan to State Bank of India. This scheme can help reduce the debt burden on the borrower, thereby acting as a consolidation loan, if the borrower gets better terms such as a lower interest rate on the new loan
  • There are no pre-payment charges on this loan

State Bank of India Smart Top-up on Home Loan

This top-up loan helps borrowers get access to funds for meeting their personal needs. In addition to being used to meet financial expenses directly related to the house, this loan can also be used as a consolidation loan to pay off debts.

Features of SBI Smart Home Top-up Loan

Why this Loan?

  • The State Bank of India Smart Home Top-up Loan is meant for borrowers who need assistance to meet financial needs for personal needs such as child’s wedding expenses, education expenses, domestic/overseas travel expenses, debt consolidation, etc.
  • No paperwork is required to avail this loan

State Bank of India Top-up on Home Loan

This loan helps borrowers get access to funds for meeting their personal needs. In addition to being used to meet financial expenses directly related to the house, this loan can also be used as a consolidation loan to pay off debts.

Features of SBI Home Top-up Loan

Why this Loan?

  • The State Bank of India Home Top-up Loan is meant for borrowers who need assistance to meet financial needs for a child’s wedding, higher education, domestic/overseas travel, debt consolidation, etc.
  • There are no prepayment charges for this loan

State Bank of India Insta Home Loan Top-up Loan

This loan helps SBI home loan borrowers get access to funds for meeting their personal needs. In addition to being used to meet financial expenses, this loan can also be used as a consolidation loan to pay off debts.

Features of SBI Insta Home Top-up Loan

Why this Loan?

  • The State Bank of India Insta Home Top-up Loan is meant for borrowers who need assistance to meet financial needs for personal needs such as child’s wedding expenses, education expenses, domestic/overseas travel expenses, debt consolidation, etc.
  • No paperwork is required to avail this loan since this is a digital loan scheme offered exclusively to SBI home loan borrower through internet banking service

Important Note: State Bank of India may offer more consolidation loan options that are not yet published on the website. If you prefer we suggest that you get in touch with the nearest branch to check the loan schemes they offer. This will also help you get a custom quote since many loan schemes are need-based and certain charges such as application charges, service charges, strategic premium, etc. may be decided on a case-to-case basis.

Interest Rate for State Bank of India Consolidation Loans

  • The applicable interest rate on these loans is defined as the sum of two factors namely, one-year Marginal Cost of Funds Based Lending Rate (MCLR)/External Benchmark based Rate (EBR) and (Strategic) Spread. As of October 2020, the MCLR of SBI is 7.00% and EBR is 6.65%. The Spread factor is decided by the bank based on the loan type, quantum of loan and credit score of the borrower

Documents Needed for Individuals (Salaried and Self-employed)

  • Loan Application Form duly filled and signed by the applicant and co-applicant, if any
  • Two Passport Size Photographs of applicant and co-applicant
  • Personal ID Proof: Aadhaar Card, PAN Card, Passport or Driving License. PAN Card / PAN Card Issuing Letter is must
  • Signature Proof: PAN Card, Banker’s Verification, Driving License or Passport
  • Residential Address Proof (Any One): Aadhaar Card, Electricity Bill, Post-paid Phone Bill, Valid Rent Agreement
  • Income/Banking Proof for Salaried Professionals: Last 3 months’ salary slip, Form 16 or income tax returns
  • Income/Banking Proof for Self-employed Professionals/Self-employed Non Professionals: Computation of income of last 2 years, Balance Sheet, Profit and Loss Account, Registration Certificate, GST Return, Income Tax Challan/ Form 26AS/TDS Certificate, IT Assessment, etc.

Documents Needed for Proprietorship and Partnership Firms

  • Loan Application Form duly filled and signed
  • Partnership Deed and Partnership Registration Certificate
  • ID Proof of the Firm: Firm PAN Card or PAN Issuing Letter
  • Office Address Proof: Electricity Bill, Post-paid Phone Bill, Valid Rent Agreement
  • Income Proof: CMA Data and Project Report, Debtors and Creditors Certificate, GST Return, Last 3 years ITR of applicant and co-applicant, Audited or CA Certified Computation of Income/Trading Account/Profit and Loss Account/Balance Sheet, Annual Audit Report and Tax Audit Report if audited, Form 16A if applicable, Net Worth of applicants, co-applicants and guarantors
  • Banking Proof: Last 1-year Statement of Company’s Major Account, Current Account, Cash Credit Account, Overdraft Account, Loan Statement of Running Loans, Latest Closed Loan NOC and Last 6-months Bank Statement of Applicant and Co-applicant’s Savings Account

Reference Facts

  • State Bank of India Website: www.sbi.co.in and www.onlinesbi.com (net banking)
  • Headquarters: Mumbai, Maharashtra
  • Call Centre Toll-Free Number: 1800 11 2211, 1800 425 3800