SBI YONO App To Offer Quick Two-Wheeler Loans And Express-Credits

SBI YONO App To Offer Quick Two-Wheeler Loans And Express-Credits

India’s largest bank, The SBI YONO app is warming up to come up with a fast track two wheeler loan and along with that also express credit which is a high value personal loan. Let us see the latest SBI news on car, home and personal loans.  

Presently SBI YONO offers small amounts of loans to its users with an average amount of Rs 2.5 lakhs, cardless cash withdrawals from the ATMs, opening savings accounts, and also to generate leads in the home and car loans. 

With disbursements of Rs 21,000 crore plus in the financial year, 2020-21 is popular with the pre-approved personal loans. Based on the past credit history, repayment records, and spending behavior these loans are granted to the existing customers of State Bank Of India. In fact, the first credit product offered by the SBI YONO app was a personal loan. 

The new plan is to extend the YONO application in other retail sectors. DDE (Digital Document Execution) is currently being tested by the bank, incorporating all details digitally along with the digital signature of the customer. 

The high end credit express will include a personal loan but on a larger ticket size unlike before. The amount can lie anywhere between 5-10 lakhs per borrower. Along with that, the bank is also working on an SBI YONO two-wheeler loan but this facility will be available from the time when the digital infrastructure is ready for use. 

Moving forward, SBI loans plans to expand the products set for the same purposes to new customers. There is a new system coming up known as the account aggregator system, that will enable the customers to access their history faster. 

Presently the SBI YONO Lite application is already stimulating leads for home and car loans. The total amount that SBI offers is Rs 4000 crore for car loans and Rs 6000 crore for a home loan for the year 2020-21. The bank affirmed that the amount sanctioned through the physical channels for loans is Rs 10,000 crores. 

Here’s How You Can Apply From A SBI YONO Loan App

The State Bank Of India loan sector recently launched a personal loan facility known as the express credit. Customers that hold a salary account with SBI and have a minimum monthly income of Rs 15,000 are eligible to apply for this loan. The bank on their official website mentioned that –

"Whether it’s a wedding or a vacation, unplanned emergency or planned purchase, SBI customers can get quick approval and instant disbursal with minimal documentation through SBI’s Xpress Credit Personal Loan."

SBI tweeted by saying –

“All it takes is an SMS, to begin with, your personal loan process. SMS 'PERSONAL' on 7208933145.”

Also in another separate tweet, they wrote –

"Personal loans made convenient! Give a missed call on 7208933142 and get a call back from us."

Here’s How You Can Apply From A SBI YONO Loan App

Here is the complete list of the candidates who are eligible to apply for this role. 

  • Individuals with Salary Account with The State Bank Of India.
  • Minimum monthly income Rs 15,000/.
  • EMI/NMI ratio is less than 50 percent.
  • Employees working with: Central/ state/ quasi government, Central PSUs and profit making state PSUs, Select corporates with or without a relationship with the bank Educational institutions of national repute.
  • Term Loans Amount: Maximum Loan Amount – Rs. 20 lakhs, Minimum Loan Amount – Rs. 25,000 / 24 times NMI
  • Overdraft Loans Amount: Maximum Loan Amount – Rs. 20 lakhs, Minimum Loan Amount – 5 lakhs / 24 times NMI, Second Loan is eligible any time after disbursement of the first loan, subject to the overall EMI/NMI ratio of 50 percent. The second Loan is eligible only on regular EMI repayments of the first loan.

Details About SBI YONO App Credit Express Loan

  • Loan up to 20 lakhs.
  • Low interest rates.
  • Interest on daily reducing balance.
  • Low processing charges.
  • Minimal documentation
  • Zero hidden costs.
  • Provision for the second Loan
  • No security, no guarantor.

Terms And Conditions

  • There is a Penal Interest of 2% p/m that would be charged over and above the respective interest rate on unpaid amount for the period of default.
  • Prepayment charges of 3 percent are applicable on prepaid amounts. No prepayment/ foreclosure charges will be applicable if the account is closed from the proceeds of a new loan account under the same scheme.
  • The minimum repayment period is of 6 months and the maximum repayment period is of 6 years or the period that is remaining of service (whichever is lower).

Conclusion

The SBI YONO App is providing a big opportunity for banks to transform from high cost branches to cost effective applications for selling loan products related to retail. Currently, State Bank Of India Loans has disbursed Rs 8.31 lakh crore for the purpose of the retail loan.

Andrey Ivanov

Andrey Ivanov is a business and finance expert. He has analyzed the finance and business market closely and writes all his articles with utmost precision.

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