Education
loan is a financial support 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 lacs and up to 7.50 lacs - Third party
guarantee.
Above – 7.50 lacs - 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 :