Short answer: Both turn a personal loan into a drawable limit. Kotak’s overdraft starts at 13.50% with interest-only payments in year one, but needs a high salary (₹75,000 to ₹1 lakh, or ₹50,000 with a Kotak salary account). Bajaj Flexi starts at 10% and accepts lower incomes and self-employed borrowers.
Last verified: 12 October 2026 from each company’s official website and, where marked, its Google Play listing. Rates and fees change; the lender’s Key Fact Statement (KFS) and loan agreement decide your actual terms. FundsTiger does not rank lenders.
Kotak Personal Loan Overdraft vs Bajaj Finance Flexi Loan at a glance
| Kotak Personal Loan Overdraft | Bajaj Finance Flexi Loan | |
|---|---|---|
| Type | Private sector bank | RBI-registered NBFC (Upper layer) |
| Product | Personal loan overdraft (Easy Credit Line) | Flexi Dropline and Flexi Hybrid personal loans |
| Lender | Kotak Mahindra Bank | Bajaj Finance |
| Limit | ₹1 lakh to ₹50 lakh | ₹40,000 to ₹55 lakh |
| Interest rate | From 13.50% a year, fixed | 10% to 30.5% a year |
| Fees | Processing up to 5% + taxes | Up to 4.13% including taxes |
| How you draw money | Withdraw online any number of times; money in about 2 hours | Withdraw from a sanctioned limit as needed |
| Repayment | Interest only in the first year | Hybrid: interest-only EMIs for up to 36 months; Dropline: limit reduces |
| Validity | 1 to 6 years | 12 to 108 months |
| Who can apply | Age 21 to 58; CIBIL 730+; net salary ₹50,000 (Kotak salary account) or ₹75,000 to ₹1 lakh | Salaried or self-employed; CIBIL 650+; income from ₹25,001 by city |
| Prepayment | 4.5% + taxes within 12-month lock-in; nil after | No part-prepayment charge on Flexi loans |
| Also worth knowing | Large limits; High income bar | Interest only on what you withdraw; Long tenures |
What it costs to use ₹50,000 for 3 months
We assumed a ₹2 lakh limit, ₹50,000 drawn for 3 months, interest on the amount used, and the first-year or per-draw fees (with GST). For Stashfin we left out its 30 interest-free days. EMI-based lines charge interest on a reducing balance, so the real interest can be a little lower.
| Provider | Scenario | Rate a year | Interest | Fees | Total cost |
|---|---|---|---|---|---|
| Kotak Personal Loan Overdraft | Starting rate, max fee on ₹2 lakh limit | 13.5% | ₹1,688 | ₹11,800 | ₹13,488 |
| Bajaj Finance Flexi Loan | Lowest rate, max fee on ₹2 lakh limit | 10% | ₹1,250 | ₹8,260 | ₹9,510 |
| Bajaj Finance Flexi Loan | Highest rate | 30.5% | ₹3,812 | ₹8,260 | ₹12,072 |
Key differences
- Rate: Kotak from 13.50%; Bajaj 10% to 30.5%.
- Income: Kotak ₹50,000 to ₹1 lakh; Bajaj from ₹25,001.
- Fees: Kotak up to 5% + taxes; Bajaj up to 4.13% including taxes.
- Closing early: Kotak 4.5% within 12 months, then nil; Bajaj no part-prepayment charge on Flexi.
Which should you choose?
Kotak Personal Loan Overdraft may suit you if you earn well, bank with Kotak, and want a large line.
Bajaj Finance Flexi Loan may suit you if you earn less, are self-employed, or want to prepay freely.
Whichever you pick, compare the APR in the KFS you are actually offered, not the advertised starting rate.
Before you apply
- Find the lender’s name in the app and check it on RBI’s list of digital lending apps or our RBI-registered NBFC search.
- Read the Key Fact Statement (KFS) before you accept. It must show the APR, every fee and the total you will repay.
- Never pay a fee before the loan is disbursed. Regulated lenders deduct fees from the loan or add them to the EMI.
- Apply to one or two lenders, not ten. Each application is a hard enquiry on your credit report.
- Check that the EMI fits your budget with our FOIR calculator.
Want to see offers from several RBI-regulated lenders in one place?
Frequently asked questions
What is a Flexi loan?
A personal loan with a sanctioned limit. You withdraw as needed and pay interest only on what you have withdrawn.
Is interest-only good?
It keeps payments low at first, but the principal still has to be repaid later.
Are these lenders RBI-regulated?
The loans described here are given by RBI-registered NBFCs or banks named in the table. Check the lender named in your loan agreement on RBI’s digital lending app list.
Where do these figures come from?
From each company’s official website and, where noted, its Google Play listing, checked on 12 October 2026. Where a company’s own pages disagree, we show both figures.
Sources
Read more: All personal credit lines compared · All loan app reviews · Lender directory
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Disclosure: FundsTiger (Gatimaan Finance Advisors Pvt. Ltd.) is a loan marketplace and lending service provider for RBI-regulated lenders. Aparampaar Finance Pvt. Ltd. (Omozing), one of those lenders, is a related party of FundsTiger. This article is general information, not financial advice. Read your loan agreement and KFS before you decide.