Wednesday, October 27, 2010

Educational Loan procedures of State Bank of India

Eligible Courses to get loan from State Bank of India

1. All Graduation courses are considered as the eligible courses to get loan from State bank of India.
2. All the Post graduation courses are eligible to get Education Loan from State bank of India.
3. All the Professional courses are eligible to get Education loan from State bank of India.
4.Other courses approved by UGC/Government/AICTE etc are eligible to get Education loan from State bank of India..


Expenses considered by Educational loan from State Bank of India


1. Fees payable to college

2. Fees payable to hostel

3. Examination fees

4. Library fees

5. Laboratory fees

6. Expenses for Books

7. Expenses for Studying Equipment's

8. Expenses for Instruments during the course time

9. Expenses for using uniforms

10. Caution Deposit

11. Travel Expenses like College bus fare of bus pass

12. Purchase of computers considered necessary for completion of course

13. Cost of a Two-wheeler uptown Rds. 50,000/- also been given through State bank of India Educational loans.

14. Expenses for final year project works are given by the State bank of India Educaation loans.



Amount of Loan paid by State Bank of India as Education loan

Indian students can get maximum Rs. 10 lakhs from State bank of India Education loans.

Indians can get maximum 20 lakhs from State bank of India Education loans.


Interest Rates of State Bank of India Educational loans

For loans up to Rs.4 lacs - 12.25% p.a. Floating interest will be charged on the State bank of India Educational loans

For loans above Rs.4 lacs - 13.25% p.a. Floating interest will be charged by the State bank of India Educational loans


Processing Fees for State bank of India Educational loans

No processing fee will be collected for the State Bank of India Educational loans
Also no upfront charges will be collected for the State Bank of India Education loans.
Deposit amount of State bank Educational loans Rs. 5000/- paid for abroad studies will be adjusted in the margin money of the calculation.


Repayment Tenure of State Bank of India Educational loans

Repayment of State Bank of India Educational loans will commence from one year after completion of course or 6 months after securing a job, whichever is earlier

Place of Study - Studies in India
Repayment Period in Years - 5-7
Loan Amount - Rs. 10.0 lacs


Place of Study - Studies Abroad
Repayment Period in Years - 5-7
Loan Amount - Rs. 20.0 lacs


Security to be shown for State bank of India Education loans

- For loans upto Rs. 10.00 lacs for Studies in India and upto Rs. 20.00 lacs for studies abroad

Upto Rs. 4 lacs - No Security

Above Rs. 4 lacs to Rs. 7.50 lacs - Collateral security in the form of suitable third party guarantee should be shown for State bank of India Educational loans.

Above Rs. 7.50 lacs.- Tangible collateral security of suitable value, along with the assignment of future income of the student for payment of instalments shall be considered as the Security for State Bank of India Educational loans.

All loans from State Bank of India should be secured by parent(s)/guardian of the student borrower. In case of married person, co-obligator can be either spouse or the parent(s)/ parents-in-law shall secure for loan from State bank of India.


Margin limits for loans got from State Bank of India

• For loans up to Rs.4.0 lacs : No Margin
• For loans above Rs.4.0 lacs:
o Studies in India: 5%
o Studies Abroad: 15%


Documents Required to get State Bank of India Educational loans

• 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
• Borrower's Bank account statement for the last six months
• Income Tax assessment order, of last 2 years
• Brief statement of assets and liabilities, of the Co-borrower
• Proof of Income (i.e. Salary slips/ Form 16 etc)

Source-http://Indiastudychannel.com


Post a Comment

2 comments:

  1. An knowledge mortgage, represents that form of economical support, provided by various banks or banking organizations to help a student to acquire college. Most of Native indian students, are required to destroy the idea of further studies as their loved ones could not afford the college or institutional fees. Option study mortgage, when the time comes will help millions, to accomplish their ambitions of acquiring high knowledge anywhere and anytime.



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  2. Private loans issued by banks for students require an excellent credit score. Those with bad credit scores cannot apply for a private loan on their own. However, they can ask a trusted friend or relative with perfect credit to co-sign a student loan for them. As long as you have a friend or relative that trusts you to pay your loan on time each month after the repayment period begins, you should be fine.

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