Education Loans

Education loan is a financial support for students who wish to pursue higher education .You need to be an Indian resident having secured admission in any of the bank’s list of approved course or universities. 100% loan is available for select courses. Repayment holiday/ moratorium would be for the course period + 1 year or 6 months after the student gets a job/start earning whichever is earlier. A co-applicant may be required for all Full-Time courses.

Age Limit

16-35 years of age can apply take this loan.
Documents to be submitted:

  1. Marks sheet of qualifying examination.
  2. Proof of admission from the educational institution.
  3. Schedule of expenses issued by the educational institution.
  4. Passport size photograph (2 copies)
  5. Proof of residence (voters ID Card, passport, Driving License. Etc)
  6. Proof of income (Parent / Guardian)
  7. Mortgage documents wherever required.

Loan Amount

Studying in India – Max Rs. 10 Lakhs / Studying abroad – Max Rs. 20 Lakhs

Tax Benefit

Repayment of an education loan is deductible under section 80E of the Income Tax Act.

Purpose: Expenses covered in loan

Loan covers Tuition Fees, Exam Fees & Purchase essentials like Books, uniforms, Computers etc.

Security

Up to 4.00 – No security
Above Rs. 4.00 lakhs and up to 7.50 lakhs – Third party guarantee.
Above – 7.50 lakhs – Collateral security equal up to 100% of the loan amount. The acceptable collaterals are:
(a) Fixed deposits
(b) Property (Residential)

Rate of Interest

Varies from banks to bank

Repayment

Repayment Starts one year after completion of the courses or six months after getting own employment. Loan to be cleared within 5 to 7 years.

List of Banks Providing Educational Loans

  • ALLAHABAD BANK
  • CATHOLIC SYRIAN BANK
  • PUNJAB NATIONAL BANK
  • ANDHRA BANK
  • CENTRAL BANK OF INDIA
  • STATE BANK OF HYDERABAD
  • AXIS BANK
  • CENTURION BANK OF INDIA
  • STATE BANK OF MYSORE
  • BANK OF BARODA
  • DENA BANK
  • STATE BANK OF INDIA
  • BANK OF INDIA
  • FEDERAL BANK
  • SYNDICATE BANK
  • BANK OF MAHARASHTRA
  • HDFC BANK
  • UCO BANK
  • BANK OF PUNJAB
  • HSBC BANK
  • UNION BANK OF INDIA
  • BHARATH OVERSEAS BANK
  • IDBI BANK
  • VIJAYA BANK
  • CANARA BANK
  • INDIAN BANK