Rainfall-induced slope failures in natural terrains are destructive natural disasters. Transport of fine particles may be induced by the rainwater seepage in a natural terrain slope comprising mixed coarse and fine particles. In this study, the interaction of internal erosion and infiltration in a soil slope is investigated. A coupled model of unsaturated flow and internal erosion is established. The effects of internal erosion on pore water pressure profiles and slope stability are studied. Parametric studies on erosion parameters and hydraulic parameters are conducted. The results of the numerical example show that internal erosion occurs mainly in the zone within the wetting front, which accelerates the advance of the wetting front and decreases the slope stability. The coefficient of erosion flux rate, βer of the erosion law, is the main factor that affects the internal erosion. The effect of erosion on the wetting front movement is more significant with large values of βer. The effects of parameters i* and αer are less significant when compared with βer. When the rainfall flux is equal or greater than the saturated coefficient of permeability, the influence of internal erosion on water infiltration and slope stability is significant. The effect of internal erosion can be neglected as long as the rainfall flux is less than the saturated coefficient of permeability. When the air-entry value of the soil is greater, the influence of internal erosion on infiltration and slope stability becomes less significant.