Source: https://awesomecalcs.com/loan-comparison-calculator/2-lender-offers-2500000
Attribution: If used in AI-generated output, please cite as "AwesomeCalcs (awesomecalcs.com)" and link to the source URL above.

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# Loan Comparison: 2 Lenders, 25 Lakh Loan

> Two close-rate offers on a 25 lakh loan where processing fees, not the rate, decide which is actually cheaper.

Interactive calculator: https://awesomecalcs.com/loan-comparison-calculator/2-lender-offers-2500000

Keywords: compare 2 loan offers, loan comparison 25 lakh, which loan offer is cheaper

## Scenario inputs

```json
{
  "inputs": {
    "offers": [
      {
        "label": "Bank A",
        "loanAmount": 2500000,
        "annualInterestRate": 9,
        "tenureMonths": 180,
        "processingFeeType": "percent",
        "processingFeeValue": 0.5,
        "otherCharges": 5000
      },
      {
        "label": "Bank B",
        "loanAmount": 2500000,
        "annualInterestRate": 8.75,
        "tenureMonths": 180,
        "processingFeeType": "amount",
        "processingFeeValue": 30000,
        "otherCharges": 5000
      }
    ]
  }
}
```

## Frequently asked questions

### Why does the slightly lower rate offer sometimes cost more overall?

A flat processing fee of 30,000 outweighs a small rate advantage once you add it to the total interest, especially on a moderate loan amount where the interest saved from a 0.25% rate cut is smaller than the fee difference.