Now Indian Banking  industry is growing and there are several banks Public sector Banks,Private sector Banks,and cooperative Banks are working in India.There was 14 major banks nationalized in 1969.this step led to a shift from class Banking to Mass Banking.

Indusland Bank was the first private bank to be set up in India. IDBI, ING Vyasa Bank, SBI Commercial and International Bank Ltd, Dhanalakshmi Bank Ltd, Karur Vysya Bank Ltd, Bank of Rajasthan Ltd etc are some Private Sector Banks. Banks from the Public Sector include Punjab National bank, Vijaya Bank, UCO Bank, Oriental Bank, Allahabad Bank, Andhra Bank etc.

ANZ Grindlays Bank, ABN-AMRO Bank, American Express Bank Ltd, Citibank etc are some foreign banks operating in India.

Some Major Banks of India are Listed Below

* ALLAHABAD BANK

* AMERICAN EXPRESS BANK LTD

* BANK MUSCAT (S A O G)

* BANK OF AMERICA

* BANK OF INDIA

* BARCLAYS BANK PLC

* CENTURION BANK LTD

* CITIBANK N A

* CORPORATION BANK

* DHANLAKSHMI BANK LTD (THE)
* DEUTSCHE BANK INDIA
* EXPORT-IMPORT BANK OF INDIA

* GLOBAL TRUST BANK LTD

* HONGKONG & SHANGHAI BANKING CORPORATION LTD (THE)

* ICICI BANK LTD

* IDBI BANK LTD

* INDUSIND BANK LTD

* SYNDICATE BANK INDIA

* INDUSTRIAL DEVELOPMENT BANK OF INDIA

* ING VYSYA BANK LTD

* JP MORGAN CHASE BANK

* PUNJAB NATIONAL BANK

* STANDARD CHARTERED GRINDLAYS BANK LTD

* STATE BANK OF INDIA

* STATE BANK OF INDORE

* CANARA BANK INDIA
* PUNJAB TRACTORS
* RESERVE BANK OF INDIA
* BANK OF BARODA INDIA
* FEDERAL BANK INDIA
* HDFC BANK INDIA
* UNION BANK OF INDIA
* YES BANK INDIA

Interest rate is a main measurement to measure a loan cheap or costly. Interest rates are the most critical of all the costs that you pay. Therefore you should go for the cheapest option. Beware of banking terms like flat interest rates that appear to be cheaper but are in fact the most expensive. For example a 7% flat rate would come out to an effective cost of around 13%. Therefore it’s better to choose a monthly reducing balance option than a half-yearly reducing option or flat-rate option. This means lower effective cost for the same stated interest rate. Interest-free loans are sometimes too good to be true but view them with suspicion.

There will also be other costs such as processing charges. You should ask for zero processing fees and zero-penalty for pre-payment option. If this is not available, then lowest cost would be better. Make sure you work out as to how much these other costs add up to. So even though the interest rate may be lower, it usually adds up to being expens

There are some tips has given to Negotiate your Personal Loan

* Remember all rates are negotiable. You can always play off one lender against the others to some extent.
* Once you have reached the limit of negotiation on interest rates you can then negotiate the other charges especially upfront fees.
* Bundle your loan request with the loan requirements of your friends and colleagues and thus offer a larger loan portfolio to the Bank.
* You can also employ the month end trick by negotiating till the 23rd or 24th of the month. Every Bank has monthly targets for its staff and as the month end nears the Bank offers slightly better terms to enable them to fulfil their target. However, this is unlikely to work where the income documentation is not absolutely clear.
* Give full details about your existing borrowings (including any credit cards) and good repayment track record to all lenders. Remember most banks will check with the Credit Bureau anyway to find out about your existing borrowing and repayment track record. So making full disclosure about your existing borrowings makes sense and can actually be used to reduce rates further.