Education Loan
Applicant :–
An Indian Resident pursuing higher/Professional studies in India or Aboard.
Rate of interest :–
Secured loan @9%.
Unsecured loan @10%.
Simple interest to be charged during the period of education and Moratorium.
Margin :–
a)Inland Studies : 10%.
b)Studies abroad : 20%.
Expenses Covered :–
a) Tuition Fees payable to College , Universities
b) Hostel Expenses including boarding
c) Examination/Library / Laboratory Charges
d) Laptop if it is requirement of the Course
e) Books
All these expenses will be directly payable to College / Universities/Vendors. Reimbursement will not be allowed.
Eligibility :–
a) The student should be meritorious in academic with minimum 70% marks at 10th, 12th or Graduation.
b) The age of student should be more than 18 years and maximum of 35 year’s.
c) The admission should be confirmed with reputed Universities in India/Abroad.
d) CIBIL score should not be below 700 of the applicant / Co-applicant / guarantor.
e) Income proof will be considered only from Income tax return and form No.16 for the last three years.
Guarantor :–
a) Parent or the person who has offered his immovable or movable property as collateral security for the loan and having income source.
b) Age should not beyond 55 years in case of salaried individual and for others not more than 60 years.
Co-applicant :–
Any parent having income source. Age should not beyond 55 years in case of salaried individual and for other’s not more than 60 years.
Nature of loan :–
Term Loan
Membership :–
Share Capital of Rs.1500/-
Force measure :–
If student fails in any of the examinations during the course period, further loan amount will not be disbursed. The decision will be reconsidered on merit on submission of the required documents.
Submission of passing certificate :–
The student/parent will submit the passing certificate of each module/semester/or any other examination.
Scope of the Education :–
Regular/ Higher Studies in India or Abroad
Educational Course Covered:–
For Studies in India
A) Regular :-
a) Post Graduation Degree/Diploma including regular technical and professional degree courses conducted by college/universities approved UGC/AICTE/IME/Govt./AIBMS/ICMR.
b) ICWA/CA/CFA, etc.
c) Regular degree courses conducted by autonomous institutions like IIT.IIM, IISC, XLRI, NIFT, NID, etc.
d) Teachers Training Course/Nursing Course approved by Central or State Government.
e) Regular/Professional degree courses like Aeronautical, Pilot Training, Shipping etc . Approved by Director General of Civil Aviation/Shipping/concerned Regulatory Authority.
B) Higher Studies :-
Higher studies like MBBS, MD, MS and equivalent of reputed/ premier institutes/Universities either in India or Abroad.
Loan Amount :–
a) Inland Studies : Rs. 40/- Lakh Maximum .
b) Studies abroad : Rs.75/-Lakh Maximum .
c) Unsecured Loan : Rs. 4/- Lakh Maximum .
Repayment :–
A) Inland Studies :-
Education/Course period plus Six months moratorium or getting job whichever is earlier and thereafter in maximum Five years by way of Equated Monthly Installments.
B) Studies abroad :-
Education/Course period plus Twelve months moratorium or getting job whichever is earlier and thereafter in maximum Seven years by way of Equated Monthly installments.
Overall repayment period should not exceed maximum repayment period of Ten years including moratorium . Interest during the period of Education and Moratorium may be paid or it can be capitalized.
Security :–
a) For loan amount of Rs. 4/- lakh : No any security, Income earning parent should be obtained as guarantor.
b) For the loan above Rs. 4/-Lakh : 100% security should be obtained in the form of movable or immovable property plus parent should be guarantor and one another earning individual having good and acceptable net worth.
Processing Fee :–
0.10% on loan amount, minimum Rs. 2500/-
Applicable CIBIL Charge and out of pocket expenses will be borne by applicant.
Share Holding :–
2.50% of the loan amount (Secured Advance).
Documents Required :–
a) Loan Application
b) KYC documents of the applicant /Co-applicant/Guarantors
c) Mark List of 10th/12th/Graduation
d) Admission letter from the Educational Institutes /College/Universities
e) Fee structure/Details of cost of the study/Hostel fees/Boarding Charges etc.
f) Demand letter from the College/Institutes/Universities
g) ITRs for the last three years/From no.16 of parents/guarantors as applicable
h) Latest Salary slip of parents /Guarantors as applicable
i) Statement of Bank account for the last six months of the parents/Guarantors as applicable.
j) loan account statements along with copy of sanction letter if any exists of parents/Guarantors as applicable.
k) Legal search reports of the property offered as security from the Bank’s panel advocate.
l) Valuation of the property offered as security from the Bank’s panel valuer.
