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| Loan for Higher Education |
Education Loan
Bank Educational Loan
India has wide spread of self financing Institutions for higher education like Engineering, Medical, Management etc. These Institutions generally have higher fees structure than their government counterpart. So students who opt for studies in these Institutions often look for financial aid i.e. Loan, this is commonly known as "Education Loan" in India.There are many Banks, Non Banking Financial companies and private bodies who provides the Education loan to Students.
This is in generally Broadly in 2 kinds:
1. To Study in India
2. To study Abroad
Loan for students or education was first started by State Bank of India, then many other followed the suites. There are few banks popular for education loan.
1. State Bank Of India
2. HDFC Bank
3. ICICI Bank
4. Bank Of India Star Education Loan
5 Axis Bank
6. Credila (Subsidiary of HDFC bank)
7. Bank Of Baroda
8. Punjab National Bank etc....
Eligibility
General criteria for obtaining loan from above banks are as follows
STUDENT'S ELIGIBILITY:
Should be an Indian National;
Secured admission to professional/technical courses in India or Abroad through Entrance Test/Merit based selection process.
Good academic career.
The student should not have outstanding education loan from any other Institution.
Father/Mother should be co-borrower.
Branch nearest to the permanent residence of student will consider the loan.
ELIGIBLE COURSE
Studies in India
(Indicative list)
Graduation/ Post Graduation courses
Professional courses: Engineering, Medical, Agriculture, Veterinary, Law, Dental, Management, Computer, etc.
Courses conducted by IIM, IIT, IISc, XLRI, NIFT, NID and other Institutes set up by Central/State Govt.
Other courses leading to diploma/degree, etc. conducted by colleges/universities approved by UGC/Govt./AICTE/AIBMS/ ICMR, etc.
Note : Professional courses not approved by AICTE and conducted by Institutes not recognized by State Universities is outside the purview of the eligibility under the scheme.
Studies abroad :
Graduation: For job oriented professional/technical courses offered by reputed universities.
Post-Graduation: MCA, MBA, MS, etc.
Courses conducted by CIMA - London, CPA in USA, etc.
Loan Amount:
Usually it is 10 lakhs to 30 lakhs differs from bank to bank and repayment period is generally is 10 year or depends on the terms and conditions of the lending bank.
There may be payment of Margin money will be applicable (depends upon the bank and loan amount) while obtaining the loan.
This Loan is getting popular day by day in India. Students must check carefully all the terms and conditions of the loan application and also they should compare the loan availability from all the possible institutions before taking the Education Loan.
The Interest is generally in this category is 9-10%. but it may vary bak to bank.
Students can check the link below for the Education Loan:
State Bank Of India
https://www.sbi.co.in/user.htm?action=viewsection&id=0,1,20,118&lang=0
HDFC Bank Education Loan
http://www.hdfcbank.com/personal/products/loans/educational-loan/education-loan-for-indian-education
Axis Bank
http://www.axisbank.com/personal/loans/education-loan/education-loan-features.aspx
BOI Star Education Loan
http://www.bankofindia.co.in/english/EducationLoan.aspx
By Varallika Mehta
