If you are planning to take personal loans to take care of your financial needs, there are plenty of options being offered by public and private sector banks. Though you can take personal loans from any bank, it is always advisable to compare interest rates charged from these banks as it affects your personal finance in the longer term. It is clear from this list that the State Bank of India (SBI) does not offer the cheapest personal loan.

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As comparison of data from bank websites, there are five banks that are offering cheapest personal loans and they are all from public sector. The data is as on February 5, 2021, in one case. 

A quick comparison shows Union Bank at 8.90 interest rate per annum is the cheapest, which is closely followed by another public sector lender Punjab National Bank (PNB). PNB is offering interest rate on personal loan as low as 8.95%.  

Next in the list is Central Bank of India, which is also lending lowest personal loan at 8.95 %. Other two banks are Indian Bank and Bank of Maharashtra. At 9.05 and 9.55 per cent interest rates respectively, these banks fill the top 5 banks with lowest personal loan offerings.  

These banks are also giving EMI options in the range of Rs 10,355 to 10, 513, with lowest by Union Bank and the maximum among the top 5 by Bank of Maharashtra.

Besides these, State Bank of India (SBI), country's largest lender and also next in the list, is offering interest rate as low as 9.60 per annum on its personal loan.  

Those seeking to apply for personal loans are advised to check bank websites or their respective branches in order to understand terms and conditions in detail and other changes.