New Delhi, March 13 -- A personal loan can be a panacea for a number of needs which include construction of a house, wedding at home, during an emergency, for an urgent trip, or even for higher education. However, when you take out a loan from a bank, it may impose a 'cost' which you were not earlier aware of. These are known as hidden charges.

It is imperative for the loan applicants to be aware of them and make a decision of whether to borrow a loan or not after factoring into this. Here's a breakdown of the hidden charges associated with personal loans in India that every borrower should be aware of

1.Processing fees: Banks levy a processing fee for processing your application which could range from 1 to 3 per cent of the loan amount...