New Delhi, April 8 -- When you raise a personal loan, banks tend to charge what are known as processing charges. This is generally a small amount which the borrower has to pay to the lender for processing of loan. These charges are deducted from the loan amount and only the reduced amount (loan minus processing charges) is disbursed to the borrower.

It is significant to make note of processing charges because it is an additional cost and reduces the cash you receive in form of loan disbursal after the bank approves the loan. Here we list out the processing charges charged by different banks.

I. HDFC Bank: The largest private bank charges up to Rs.6,500 plus goods and services tax (GST).

II. ICICI Bank: This private bank charges upto 2 ...