On interest rates
Rates change frequently and are set per applicant, so we do not republish a figure here. Check Federal Bank’s current rate on their own site, then work out the real cost with our EMI calculator.
Two rules stricter than the market
Three years in your present job. The usual requirement across the market is six months to a year. Three years excludes a large share of otherwise strong applicants, particularly in sectors where changing employer every couple of years is normal. If you have been in your role under three years, this is likely a decline whatever your salary.
A maximum tenure of 48 months. Most lenders go to 60 months and several to 84. Four years is short, and the consequence is arithmetic: on ₹5 lakh at 13%, the EMI over four years is about ₹13,414 against roughly ₹11,377 over five years. That is ₹2,000 a month more — which also consumes more of your EMI headroom and therefore caps the amount you can borrow.
The offsetting factor is a stated EMI cap of 60% of monthly income, which is generous — most lenders sit between 40% and 55%. A higher cap partly compensates for the shorter term, though as with Kotak's sliding FOIR, permission to borrow more is not a reason to.
The NRI personal loan
This is where Federal Bank is genuinely differentiated. Unsecured personal lending to NRIs is rare in India — most banks will offer an NRI home loan or a loan against deposits, but not a plain personal loan. Federal does.
| Criterion | Typical position for salaried NRIs |
|---|---|
| Total work experience | At least 2 years |
| Current overseas employer | At least 1 year |
| Credit score | 750 and above preferred |
| Co-applicant | A resident Indian, often a spouse or parent, may be required |
| Countries covered | USA, UK, Europe, GCC, Asia-Pacific, Australia, New Zealand |
The resident co-applicant requirement is the one to plan around. It exists because recovery against someone living abroad is difficult, so the bank wants a party within reach — which means the loan is a joint commitment for a family member in India, with all that implies.
Did you know?
Foreign salary is usually not assessable for an ordinary Indian personal loan at all — which is why NRIs who try the standard route are so often declined despite earning well. A dedicated NRI product exists precisely because the income is real but sits outside what a domestic underwriting process can verify. If you are working abroad and need to borrow in India, look for the NRI product by name rather than applying for the regular one and hoping. The same issue affects engineers on onsite postings, covered on our engineers page.
Expert insight
For an NRI, compare the unsecured loan against a loan secured on your own NRE or FCNR deposit before committing. Borrowing against a deposit you already hold typically prices far below an unsecured NRI loan, needs no resident co-applicant, and does not require you to break the deposit and lose the accrued interest. The unsecured route makes sense when you have no deposit to pledge — not as the default simply because it was the product you found first.
Resident eligibility
- Income — at least ₹25,000 a month.
- Age — up to 60 at the end of the loan tenure.
- Residency — Indian resident, for the standard product.
- Employment — at least three years in the present job.
- EMI burden — the loan is likely to be declined if EMIs would exceed 60% of monthly income.
Please note
Money Bharti is a loan marketplace and is not affiliated with, endorsed by, or acting on behalf of Federal Bank. Figures above are indicative, were last reviewed on 2026-07-31, and change without notice — NRI eligibility in particular varies by country of residence. Confirm everything on Federal Bank's own website before applying. Nothing here is a quote, an offer, or a guarantee of approval.
Questions this page gets asked
Does Federal Bank give personal loans to NRIs?
Yes, which is unusual — most Indian banks do not offer unsecured personal loans to non-residents.
Do NRIs need a co-applicant?
Often yes, a resident Indian such as a spouse or parent, because recovery against a borrower living abroad is difficult.
How long must I have been in my present job?
Three years for resident applicants — considerably stricter than the six months to one year most lenders require.
What is the maximum tenure?
48 months, which is shorter than the market norm and pushes the EMI higher.
What is the minimum salary?
Around ₹25,000 a month.
What EMI burden will be allowed?
Up to about 60% of monthly income — generous, but not a reason to borrow to that level.
Which countries are covered for NRI applicants?
Commonly the USA, UK, Europe, GCC countries, Asia-Pacific, Australia and New Zealand, subject to eligibility.
Is there a cheaper option for an NRI?
Usually a loan against your own NRE or FCNR deposit, which prices well below an unsecured NRI loan.
Conclusion
Federal Bank is worth knowing for one thing above all: it is one of the few banks that will write an unsecured personal loan for an NRI. If you are working abroad and need to borrow in India, that puts it on a very short list.
For resident applicants the picture is mixed — a generous 60% EMI cap set against three years in the present job and a four-year maximum term. Check both before applying, and if you are an NRI with a deposit in India, compare the secured route first. Other lenders are on our banks page.
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