A term loan granted to Indian Nationals for pursuing higher education in India or abroad where admission has been secured.
Eligible Courses
a. Studies in India:
· Graduation, Post-graduation including regular technical and professional Degree/Diploma courses conducted by colleges/universities approved by UGC/ AICTE/IMC/Govt. etc
· Regular Degree/ Diploma Courses conducted by autonomous institutions like IIT, IIM etc
· Teacher training/ Nursing courses approved by Central government or the State Government
· Regular Degree/Diploma Courses like Aeronautical, pilot training, shipping etc. approved by Director General of Civil Aviation/Shipping
· Vocational Training and Skill Development Study Courses will not be covered under the regular Education Loan Schemes. A separate scheme for ‘Loans for Vocational Education and Training’ has been launched which covers financing for such Vocational courses
b. Studies abroad:
· Job oriented professional/ technical Graduation Degree courses/ Post Graduation Degree and Diploma courses like MCA, MBA, MS, etc offered by reputed universities
Expenses considered for loan
- Fees payable to college/school/hostel
- Examination/Library/Laboratory fees
- Purchase of Books/Equipment/Instruments/Uniforms, Purchase of computers- essential for completion of the course (maximum 20% of the total tuition fees payable for completion of the course)
- Caution Deposit/Building Fund/Refundable Deposit (maximum 10% tuition fees for the entire course)
- Travel Expenses/Passage money for studies abroad
- Cost of a Two-wheeler upto Rs. 50,000/-
Any other expenses required to complete the course like study tours, project work etc.
Amount of Loan
- For studies in India, maximum Rs. 10 lacs
- Studies abroad, maximum Rs. 30 lacs
Interest Rates Click Here For Interest Rates
Processing Fees
- No processing fee/ upfront charges
- Deposit of Rs. 5000/- for education loan for studies abroad which will be adjusted in the margin money
Repayment Tenure
Repayment will commence one year after completion of course or 6 months after securing a job, whichever is earlier.
|
Maximum Loan Limit |
Repayment Period |
|
Upto Rs. 4 Lacs |
Upto 10 years |
|
Above Rs. 4 Lacs and upto Rs. 7.5 Lacs |
Upto 10 years |
|
Above Rs. 7.5 Lacs |
Upto 12 years |
Security
|
Particular |
Security |
|
Upto Rs. 4 lacs loan amount |
Only Parent/ Guardian as co-borrower |
|
Above Rs. 4 lacs to Rs. 7.50 lacs loan amount |
Parent/ Guardian as co-borrower and Collateral security in the form of suitable third party guarantee*.
*Third Party Guarantee can be replaced with Parent/Guardian as co-borrower provided the Gross Annual Income of Parent/Guardian (co-borrower) as given in latest Income Tax Return is 3 times of the loan amount. |
|
Above Rs. 7.50 lacs loan amount |
Parent/ Guardian as co-borrower and tangible collateral security |
In case of married person, co-obligator can be either spouse or the parent(s)/ parents-in-law
Margin
- For loans up to Rs.4.0 lacs : No Margin
- For loans above Rs.4.0 lacs:
- Studies in India: 5%
- Studies Abroad: 15%
Documentation Required
- Completed Education Loan Application Form.
- Mark sheets of last qualifying examination
- Proof of admission scholarship, studentship etc
- Schedule of expenses for the specified course
- 2 passport size photographs
- PAN Card of the student and the Parent/ Guardian
- Borrower's Bank account statement for the last six months
- Income tax Returns/ IT assessment order, of last 2 yrs (If IT Payee)
- Brief statement of assets and liabilities, of the Co-borrower
- Proof of Income (i.e. Salary slips/ Form 16 etc. if applicable)
Click here to download Most Important Terms and Conditions
Click here to download the application form
