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How to apply for emergency loan from SBI

  • State Bank of India is providing a pre-approved loan amid the Coronavirus pandemic.
  • The bank’s customers can apply for the loan using the YONO app.
India is currently under a nationwide lockdown and only essential services have been allowed to operate. This has resulted in huge losses to businesses who have adopted cost cutting measures such as letting employees go, putting employees on leave without pay and more.

While the lockdown is expected to end on May 3 in most states, there is a chance that the lockdown may be extended further in some areas. The lockdown has not only affected companies, but also employees and traders.

What is the pre-approved personal loan from SBI?

To help those affected by the Coronavirus pandemic and in need of emergency funds, the State Bank of India introduced an emergency loan facility.

What is the interest rate charged for this emergency loan?

The emergency loan facility is available at an interest rate of 7.25% per annum, which is much lower than the usual interest rate on personal loans which starts from 10.50% per annum.

What are the features of the pre-approved loan?

  • As it can be availed online, customers can apply for the loan at any time.
  • No physical documentation is required to apply for the loan.
  • The loan is processed instantly, and the processing fees are low.
Who can apply for the emergency loan from SBI?

The loan is not available to everyone. It can only be available by those customers that have already been approved by the bank based on their income and spending habits.

How to check eligibility for the emergency loan?

To check if you are eligible for the loan, send the following SMS to 567676 –

“PAPL <space> <last 4 digits of your bank account>”

How to apply for this emergency loan?

If you are eligible to apply for the loan, follow the below steps –

  • Download the YONO SBI app on your Android or iOS device.
  • Click on “Pre-approved loan”.
  • Now, select the tenure and loan amount.
  • Now, enter the OTP and the amount will be credited to your bank account.
See also:
How to check account balance of SBI

How to avail three-month moratorium for SBI EMI and credit cards

How to avail three-month moratorium for ICICI Bank EMI and credit cards


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