Education Loan – A Quick Overview

By Lehar Maan | May 18, 2017

Education Loan – A Quick overview

Education is no more a privilege restricted to a few, but sometimes, the cost of it makes it seem so. If this thought is making you mopey, then do check out these popular Education Loan offers. They could help you fulfill you Ivy League dream.

Additional Reading: The Nitty-Gritty Of Education Loans

Popular Education Loans:

Bank Interest Rates & Margin Maximum Loan Amount Repayment Tenure Benefits
State Bank of India

Base Rate: 9.85%

 

SBI provides Education Loan under three categories

 

·         For studies in India and abroad

 

·         For studies in premier Indian institutions

 

·         For pursuing vocational education & training

 

 

Interest Rate

 

·      Up to Rs. 4 lakhs: 3.50% above the base rate.

 

·      Between Rs. 4 – Rs. 7.5 lakhs: 3.75% above the base rate.

 

·      Above Rs. 7.5 lakhs: 1.75% above the base rate.

 

Margin

·         Up to Rs. 4 lakhs: Nil

 

·         Above Rs. 4 lakhs:

India: 5%

Abroad: 15%

·         For studies in India: Rs.10 lakhs.

 

·         For studies abroad: Rs. 30 lakhs.

The maximum repayment tenure is 12 years and it starts after 6 months of course completion.

The repayment period can be up to 3 years for vocational education & training courses of up to 1 year.

 

The repayment period can extend up to 5 years for courses of more than 1 year.

 

 

SBI is a favourite of many for Education Loans. It boasts competitive rates of interest, coverage of a large number of educational courses in India and abroad, and student friendly terms.
Axis Bank

Base Rate: 9.95%

 

Axis Bank provides Education Loans to students who have secured admission to career-oriented courses like medicine, engineering and management at either graduate or post-graduate levels.

Interest Rate

 

·         Up to Rs. 4 lakhs: Male students: Base rate + 7%

Female students: Base rate + 6.50%

 

·         Between Rs. 4 – Rs. 7.5 lakhs:

Male students: Base rate + 8%

Female students: Base rate + 7.50%

 

·         Above Rs. 7.5 lakhs:

Male students: Base rate + 6%

Female students: Base rate + 5.50%

 

Margin

·         Up to Rs. 4 lakhs: Nil

 

·         Above Rs. 4 lakhs:

India: 5%

Abroad: 15%

 

The minimum amount of Education Loan is fixed at Rs. 50,000 and maximum at Rs. 75 lakhs, which can be extended in special cases.

 

Will be decided depending on the loan amount and eligibility of the applicant. Axis Bank Education Loans are a strong contender to SBI’s Education Loans. Its features include, competitive interest rates, quick loan processing time, a comprehensive listing of funded educational courses (in India and abroad) and excellent customer support service.

 

Punjab National Bank

Base Rate- 9.35%

 

PNB offers Education Loans under three categories:

 

PNB Saraswati
This loan is extended to applicants who wish to pursue higher education in India.

 

 

 

Interest Rate

PNB Saraswati

Repayable in less than 3 years

 

·         Up to Rs. 4 lakhs: Base rate + 3.00%

 

·         Between Rs. 4 – Rs. 7.5 lakhs: Base rate + 4.00%

 

·         Above Rs. 7.5 lakhs: Base rate + 2.00%

 

Repayable in more than 3 years

 

·         Up to Rs. 4 lakhs: Base rate + 2.50% + term premium (TP)

 

·         Between Rs. 4 – Rs. 7.5 lakhs: Base rate + 3.50% + TP

 

·         Above Rs. 7.5 lakhs: Base rate + 2.00%

 

Margin

·         Up to Rs. 4 lakhs: Nil

 

·         Above Rs. 4 lakhs: 5%

Maximum loan amount

PNB Saraswati

·         Rs. 10 lakhs

 

 

PNB Saraswati

 

·         For loans up to Rs. 7.50 lakhs: 10 years

 

·         For loans above Rs. 7.50 lakhs: 15 years

 

Applicants will be entitled to a repayment holiday period of either course duration + 1 year or 6 months after getting a job, whichever occurs earlier.

 

 

 

PNB Education Loan covers all course related expenses and fees. The bank also offers PNB Udaan Education Loan for studies abroad.
PNB Kaamgar
This loan is extended to individuals who have completed 10th standard and wish to pursue employment-oriented skill development courses offered by a recognized institute.
Interest Rate

PNB Kaamgar

Repayable in less than 3 years

 

·         Up to Rs. 4 lakhs: Base rate + 3.00%

 

·         Between Rs. 4 – Rs. 7.5 lakhs: Base rate + 4.00%

 

·         Above Rs. 7.5 lakhs: Base rate + 2.00%

 

Repayable in more than 3 years

 

·         Up to Rs. 4 lakhs: Base rate + 2.50% + term premium (TP)

 

·         Between Rs. 4 – Rs. 7.5 lakhs: Base rate + 3.50% + TP

 

·         Above Rs. 7.5 lakhs: Base rate + 2.00%

 

Margin: Nil

Maximum loan amount

PNB Kaamgar

·         Up to 3 months: Rs. 20,000
·         Above 3 months and up to 6 months: Rs. 50,000
·         Above 6 months and up to 1 year: Rs. 75,000
·         Above 1 year: Rs. 1.5 lakhs

 

PNB Kaamgar

For courses up to 1 year, loan must be repaid in 2 to 5 years and for courses over 1 year, loan must be repaid in 3 to 7 years.

 

Loan repayment holiday/ moratorium period for courses up to 1 year will be 6 months from completion of course, and for courses above 1 year, this period will be 12 months from completion of course.

 

PNB Pratibha: This loan is catered to students who wish to pursue higher education in any of India’s premier colleges/institutions like IITs, IIMs, NITs, etc.

 

Interest Rate

PNB Pratibha

·         Less than 3 years: Base rate + 1.50%

 

·         3 years & more: Base rate + 1.50% + term premium

Margin

·         Up to Rs. 4 lakhs: Nil

 

·         Above Rs. 4 lakhs: 5%

Loan amount

PNB Pratibha

·         Between Rs. 7.50 lakhs and Rs 15 lakhs.

PNB Pratibha

At the discretion of the bank.

Avanse Education Loan

Base Rate- 11.50%

Interest Rate

 

Calculated based on the applicant’s eligibility, the course being pursued, and other accompanying costs.

·         Minimum: Rs. 50,000

 

·         Maximum: No Limit

·         Minimum Repayment Tenure: 12 months

 

·         Maximum Repayment Tenure: 10 years

 

The first thing that hits you about Education Loan offers from Avanse is the sheer number of options on offer. Loans for studies in India, abroad, executive education, pre-admission loans, pre-visa disbursement loans and fast track loans are popular choices. To top this, student-friendly loan terms add to the popularity. You can also expect top-notch customer service and speedy loan processing and disbursal process.

If these four loan offers do not meet your needs then, well, allow us to spoil you for choices.

Bank Interest Rate & Margin Maximum Loan Amount Repayment Tenure
Allahabad Bank
Base Rate – 9.70% 
Interest Rate

 

·         IIMs, ISBs, XLRI: Base rate + 1.50%

 

·         IITs, BITS and other premier engineering, management & medical institutions: Base rate + 2%

 

·         NITs, BITS and other reputed medical, management & engineering institutions: Base rate + 2.50%

 

·         Other colleges and universities recognized by UGC, Govt., AICTE, AIBMS, ICMR etc: Base rate + 3.00%

 

·         For students applying under the management quota: Base rate + 3.00%

 

Margin

·         Up to Rs. 4 lakhs: Nil

 

·         Above Rs. 4 lakhs:

India: 5%

Abroad: 15%

 

·         IIMs, ISBs, XLRI: Rs. 20 lakhs

 

·         IITs, BITS and other premier engineering, management & medical institutions: Rs. 15 lakhs

 

·         NITs, BITS and other reputed medical, management & engineering institutions: Rs. 10 lakhs

 

·         Other colleges and universities recognized by UGC, Govt., AICTE, AIBMS, ICMR etc: Rs. 10 lakhs

 

 

·         Loans of up to Rs. 7.50 lakh: within a maximum period of 10 years.

 

·         Loans above Rs. 7.50 lakh: within a maximum period of 15 years

 

The repayment holiday includes the course period + 1 year or 6 months after getting the job, whichever comes first.

 

Andhra Bank

Base Rate  – 10.25%

 

The bank offers Education Loans for:

 

·         Educational Loans for higher studies in India and Abroad.

 

·         Educational Loans for pursuing vocational courses.

 

Interest Rate

 

·         Up to Rs. 7.50 lakhs: Base rate + 2.75%

 

·         Above Rs. 7.50 lakhs: Base rate + 1.50%

 

Margin

·         Up to Rs. 4 lakhs: Nil

 

·         Above Rs. 4 lakhs:

India: 5%

Abroad: 15%

 

Higher studies in India or Abroad: No Limit

 

Vocational Courses

 

·         Above 1 year: Rs. 1.5 – Rs. 2 lakhs

 

·         For 6 months – 1 year: Rs. 75,000

 

·         For 3 – 6 months: Rs. 50,000

 

·         For up to 3 months: Rs. 20,000

Students can pursuing higher studies in India or abroad get repayment holiday for the course period + 1 year or 6 months after getting a job, whichever comes first.

 

Vocational Courses

 

·         Up to Rs. 50,000: 2 years
·         Loans between Rs. 50,000 and  Rs.1 lakh: 2 to 5 years
·         Loans above Rs.1 lakh: 3 to 7 years

 

 

 

Bank Of Baroda

Base Rate: 9.60%

 

Baroda Gyan
This loan applies to students who are pursuing graduation, post-graduation and other professional courses in India. The Baroda Gyan loan is a feature rich package that is also immensely student friendly.

Interest Rate

 

·         Up to Rs. 4 lakhs: Base rate + 2.50%

 

·         Between Rs. 4 – Rs. 7.50 lakhs: Base rate + 2.50%

 

·         Loan above Rs. 7.50 lakhs: Base rate + 1.75%

 

·         Female students get 0.50% concession

 

Margin

·         Up to Rs. 4 lakhs: Nil

 

·         Above Rs. 4 lakhs: 5%

 

Maximum loan amount: Up to Rs. 10 lakhs

 

 

 

·         For loan amount up to Rs.7.50 lakhs: Repayment must be made in maximum 120 instalments.

·         For loan amount above Rs.7.50 lakhs: Repayment must be made in maximum 180 instalments.

 

 

 

Baroda Scholar

This loan is exclusively for students who wish to pursue their higher professional and/or technical studies at reputed educational institutions abroad.

Interest Rate

 

·         Up to Rs. 4 lakhs: Base rate + 2.50%

 

·         Between Rs. 4 – Rs. 7.50 lakhs: Base rate + 2.50%

 

·         Loan above Rs. 7.50 lakhs: Base rate + 1.75%

 

·         Female students get 0.50% concession

 

Margin: 15%

 

Baroda Education Loan for vocational education & training:

 

·         Base rate + 2.00%

Maximum loan amount: Up to Rs. 20 lakhs

 

·         For loan amount up to Rs.7.50 lakhs: Repayment must be made in maximum 120 instalments.

·         For loan amount above Rs.7.50 lakhs: Repayment must be made in maximum 180 instalments.

 

Bank Of India

Base Rate: 9.55%

 

BOI Star Education Loan
The Star Education Loan is extended to students who wish to pursue higher studies in India or abroad.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest Rate

 

·         Loans up to Rs. 7.50 lakhs: Base rate + 3.00%

 

·         Loans above Rs. 7.50 lakhs: Base rate + 2.50%

 

·         Concession to women applicants of 0.5% per annum for loan amount up to Rs. 50,000 and 1% for loan amount over Rs. 50,000.

 

Margin

·         Up to Rs. 4 lakhs: Nil

 

·         Above Rs. 4 lakhs:

India: 5%

Abroad: 15%

·         Studies in India: Rs. 10 lakhs

 

·         Studies abroad: Rs. 20 lakhs

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

·         Loans of up to Rs. 7.50 lakh: within a maximum period of 10 years.

 

·         Loans above Rs. 7.50 lakh: within a maximum period of 15 years

 

The repayment holiday includes the course period + 1 year or 6 months after getting the job, whichever comes first.

BOI Star Vidya Loan
This exclusive education loan scheme is for students who have secured admission at premier educational institutions in India like IITs and IIMs.
Interest Rates

 

·         For students of IITs/IIMs: At the base rate

 

·         For students of premier institutes under A, B and C category: 0.50% over the base rate

 

·         Concession to women of 0.5% on the base rate.

 

Margin: Nil

 

Institutes under:

 

·         List A: Rs. 20 lakhs
·         List B: 10 lakhs
·         List C: 7.5 lakhs

Bank Of Maharashtra

Base Rate: 9.70%

 

Interest Rate

 

·         Up to Rs. 4 lakhs: 12.75%

 

·         Between Rs. 4 – Rs. 7.50 lakhs: 12.25%

 

·         Loan above Rs. 7.50 lakhs: 11.50%

 

Margin

·         Up to Rs. 4 lakhs: Nil

 

·         Above Rs. 4 lakhs:

India: 5%

Abroad: 15%

·         Studies in India: Rs. 10 lakhs

 

·         Studies abroad: Rs. 20 lakhs

The repayment holiday includes the course period + 1 year or 6 months after getting the job, whichever comes first. After which, repayment must be made within 5 years.

 

Canara Bank

Base Rate: 9.65%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest Rate

 

·         Up to Rs. 4 lakhs: Nil

 

·         Above Rs. 4 lakhs: India: 5%
Abroad: 15%

 

Margin

 

·         Up to Rs. 4 lakhs: Nil

 

·         Above Rs. 4 lakhs:

India: 5%

Abroad: 15%

 

 

 

 

 

 

 

 

 

 

Margin: Nil

·         Studies in India: Rs. 10 lakhs

 

·         Studies abroad: Rs. 20 lakhs

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

·         For 3 months courses: Rs. 20,000

 

·         For 3 to 6 months courses: Rs: 50,000

 

·         For 6 months to 1 year courses: Rs. 75,000

 

·         For courses of one year and above: Rs. 1.50 lakhs

 

·         Loans of up to Rs. 7.50 lakh: within a maximum period of 10 years.

 

·         Loans above Rs. 7.50 lakh: within a maximum period of 15 years

 

The repayment holiday includes the course period + 1 year or 6 months after getting the job, whichever comes first.

 

 

 

 

 

 

 

 

 

 

 

Once the course is completed, the settlement of loan will begin after a cessation period as given below:

·         For courses of up to one year: Six months from completion.

 

·         For courses that takes more than one year: One year from completion.

 

Loan for vocational education and training
Central Bank Of India

Base Rate: 9.65%

 

Interest Rate

 

·         Male Students: Base rate + 2%

 

·         Female, SC, ST & students admitted to IIM/IIT: Base rate + 1.50%

 

Margin

 

·         Up to Rs. 4 lakhs: Nil

 

·         Above Rs. 4 lakhs:

India: 5%

Abroad: 15%

 

·         Studies in India: Rs. 10 lakhs

 

·         Studies abroad: Rs. 20 lakhs

 

 

·         Loans of up to Rs. 7.50 lakh: within a maximum period of 10 years.

 

·         Loans above Rs. 7.50 lakh: within a maximum period of 15 years

 

The repayment holiday includes the course period + 1 year or 6 months after getting the job, whichever comes first.

 

City Union Bank

Base Rate: 9.75%

 

Interest Rate

 

·         For loans up to Rs. 4 lakhs:

Male students: 13.75%

Female students: 13.25%

 

·         For loans above Rs. 4 lakhs:

Male students: 14.50%

Female students: 14.00%

 

Margin

 

·         Up to Rs. 4 lakhs: Nil

 

·         Above Rs. 4 lakhs:

India: 5%

Abroad: 15%

 

·         Studies in India: Rs. 10 lakhs

 

·         Studies abroad: Rs. 20 lakhs

The students and their parents can repay the interest amount on loan during the holiday period.

 

In case the students or their parents don’t choose this option, the payable interest amount will be added to the principal loan amount and repaid as monthly instalments.

 

At the beginning of the repayment process, the EMI amount will be fixed and the complete loan amount is to be paid in a span of 5 to 7 years.

 

 

Corporation Bank

Base Rate: 9.65%

 

Interest Rate

 

·         For loans up to Rs. 4 lakhs: 12.10%

 

·         For loans between Rs. 4 – Rs. 7.5 lakhs: 13.10%

 

·         For loans above Rs. 7.5 lakhs: 12.60%

 

·         Female students get a concession of 50 bps on the interest rate (which includes 25 bps for SC, ST and women students) for all Education Loans

 

·         Physically challenged students get a concession of 0.50% for all Education Loans

 

Margin

 

·         Up to Rs. 4 lakhs: Nil

 

·         Above Rs. 4 lakhs:

India: 5%

Abroad: 15%

 

·         Studies in India: Rs. 10 lakhs

 

·         Studies abroad: Rs. 20 lakhs

·         Loans of up to Rs. 7.50 lakh: within a maximum period of 10 years after the repayment holiday period.

 

·         Loans above Rs. 7.50 lakh: within a maximum period of 15 years

The repayment holiday includes the course period + 1 year or 6 months after getting the job, whichever comes first.

 

Dena Bank

Base Rate: 9.70%

 

Interest Rate

 

·         11.80% p.a. for all loan amounts

 

·         The students get a concession of 1% on the interest rate when the payments for the interest charged are made on time, during the repayment holiday period.

 

Margin

 

·         Up to Rs. 4 lakhs: Nil

 

·         Above Rs. 4 lakhs:

India: 5%

Abroad: 15%

 

·         Studies in India: Rs. 10 lakhs

 

·         Studies abroad: Rs. 20 lakhs

·         Loans of up to Rs. 7.50 lakh: within a maximum period of 10 years after the repayment holiday period.

 

·         Loans above Rs. 7.50 lakh: within a maximum period of 15 years

The repayment holiday includes the course period + 1 year or 6 months after getting the job, whichever comes first.

 

Federal Bank

Base Rate: 9.63%

 

Interest Rate

 

·         Ranges from Base rate + 3.25% to Base rate + 4.90%

 

Margin

 

·         Up to Rs. 4 lakhs: Nil

 

·         Above Rs. 4 lakhs:

India: 5%

Abroad: 15%

 

·         Studies in India: Rs. 10 lakhs

 

·         Studies abroad: Rs. 20 lakhs

 

This loan can’t be availed for vocational training and skill development courses, whether in India or abroad.

The repayment holiday includes the course period + 1 year or 6 months after getting the job, whichever comes first. After which, loan must be repaid in 5-7 years.

 

HDFC Bank

Base Rate: 9.00%

 

Interest Rate

 

·         Charged at an average of 12.27%  in the past 1 year

 

 

Margin

 

·         Up to Rs. 4 lakhs: Nil

 

·         Above Rs. 4 lakhs:

India: 5%

Abroad: 15%

·         Studies in India: Rs. 10 lakhs

 

·         Studies abroad: No upper limit

For Indian Schools

 

·         Loans of up to Rs. 7.50 lakh: within a maximum period of 10 years.

 

·         Loans above Rs. 7.50 lakh: within a maximum period of 15 years

 

The repayment holiday includes the course period + 1 year or 6 months after getting the job, whichever comes first.

 

For Studies Abroad

 

·         Borrowers can opt to pay just the simple interest during the course period and start regular repayments after the completion of the course. 

IDBI Bank

Base Rate: 9.50%

 

 

For non-vocational courses

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest Rate

 

·         Priority sector lending (PSL): Base rate + 1%

 

·         Not priority sector lending: Base rate + 2%

 

Margin

 

·         Up to Rs. 4 lakhs: Nil

 

·         Above Rs. 4 lakhs: 5%

·         Studies in India: Rs. 10 lakhs

 

·         Studies abroad: Rs. 20 lakhs

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

·         Loans of up to Rs. 7.50 lakh: within a maximum period of 10 years.

 

·         Loans above Rs. 7.50 lakh: within a maximum period of 15 years

 

The repayment holiday includes the course period + 1 year or 6 months after getting the job, whichever comes first.

Vocational courses

 

Interest Rate

 

·         The rate of interest is base rate +1%

 

·         Up to 3 months: Rs. 20,000

 

·         3 to 6 months: Rs. 50,000
·         6 months to 1 year: Rs. 75,000
·         Above 1 year: Rs. 1.5 lakhs

 

The moratorium period for courses up to the duration of 1 year is 6 months after the completion of the course.

For courses above 1 year duration, it is 12 months after the completion of the course.

After this period, the duration repayment tenure is:

·         Loans of up to Rs. 50,000: 2 years

·         Loans between Rs. 50,000 to Rs. 1 lakh: 2 to 5 years

·         Loans above 1 lakh: 3 to 7 years

 

Indian Bank

Base Rate: 9.45%

 

Interest Rate

 

·         Indian Bank offers Education Loans at a floating interest rate of 12.50% p.a. with a concession of 0.50% under the IBA scheme for female students.

 

Margin

 

·         Up to Rs. 4 lakhs: Nil

 

·         Above Rs. 4 lakhs:

India: 5%

Abroad: 15%

 

 

·         Studies in India: Rs. 15 lakhs

 

·         Studies abroad: Rs. 25 lakhs

·         Loans of up to Rs. 7.50 lakh: within a maximum period of 10 years.

 

·         Loans above Rs. 7.50 lakh: within a maximum period of 15 years

 

The repayment holiday includes the course period + 1 year or 6 months after getting the job, whichever comes first.

 

Indian Overseas Bank

Base Rate: 9.50%

 

Interest Rate

 

·         Up to Rs. 4 lakhs: 12.25%

 

·         Between Rs. 4 – Rs. 7.5 lakhs: 13.50%
·         Above Rs. 7.50 lakhs: 13.25%
·         Vocational courses: 12.25%
·         Ward of staff: 12%

 

Margin

 

·         Up to Rs. 4 lakhs: Nil

 

·         Above Rs. 4 lakhs:

India: 5%

Abroad: 15%

·         Studies in India: Rs. 30 lakhs

 

·         Studies abroad: Rs. 40 lakhs

The repayment holiday includes the course period + 1 year or 6 months after getting the job, whichever comes first. After which, loan must be repaid in 5 to 7 years.

 

 

Jammu and Kashmir Bank

Base Rate: 9.50%

 

Interest Rate

 

For a tenure of 5 years

 

·         Up to Rs. 5 lakhs: 12.25%
·         Between Rs. 5 lakhs – Rs. 10 lakhs: 13.25%
·         Between Rs. 10 – Rs. 20 lakhs: 14.00%

 

Floating interest rate is charged on loans with tenure of more than 5 years as follows:

 

·         Up to Rs. 5 lakhs: Bank rate + 1.5% or prime lending rate – 3.00%
·         Between Rs. 5 – 10 lakhs: Bank rate + 2.5% or prime lending rate – 2.00%
·         Between Rs. 10 – 20 lakhs: Bank rate + 3.75% or prime lending rate – 0.75%

 

Margin

 

·         Up to Rs. 4 lakhs: Nil

 

·         Above Rs. 4 lakhs:

India: 5%

Abroad: 15%

 

·         Studies in India: Rs. 10 lakhs

 

·         Studies abroad: Rs. 20 lakhs

·         Loans of up to Rs. 7.50 lakh: within a maximum period of 10 years.

 

·         Loans above Rs. 7.50 lakh: within a maximum period of 15 years

 

The repayment holiday includes the course period + 1 year or 6 months after getting the job, whichever comes first.

 

Karnataka Bank

Base Rate: 10.25%

 

 

KBL Vidyanidhi

Interest

 

Akin to its public sector counterparts, Karnataka bank follows the nomenclature of base rate linked system of computing the applicable interest rate on Education Loans. Therefore, there are two components, base rate + fixed rate (Scheme).

 

Margin

 

·         Up to Rs. 4 lakhs: Nil

 

·         Above Rs. 4 lakhs:

India: 5%

Abroad: 15%

 

·         Studies in India: Rs. 10 lakhs

 

·         Studies abroad: Rs. 20 lakhs

The repayment holiday includes the course period + 1 year or 6 months after getting the job, whichever comes first. After which, loan must be repaid in 5 to 7 years.

 

Karur Vysya Bank

Base Rate: 10.25%

 

Interest

 

·         Loans of up to Rs. 7.5 lakhs:

Male students: Base rate + 3%

Female Students: Base rate + 2.50%

 

·         Loan above Rs. 7.5 lakhs (priority sector):

Male students: Base rate + 3.50%

Female students: Base rate + 3%

 

·         Loan above Rs. 7.5 lakhs (non-priority sector):

Male students: Base rate + 4%

Female students: Base rate + 3.50%

 

Margin

 

·         Up to Rs. 4 lakhs: Nil

 

·         Above Rs. 4 lakhs:

India: 5%

Abroad: 15%

 

·         Studies in India: Rs. 10 lakhs

 

·         Studies abroad: Rs. 20 lakhs

The repayment holiday includes the course period + 1 year or 6 months after getting the job, whichever comes first. After which, loan must be repaid in 5 to 7 years.

 

Lakshmi Vilas Bank

Base Rate: 10.50%

 

Interest

 

·         Loans of up to Rs. 4 lakhs:

Male students: Base rate + 3.25%

Female Students: Base rate + 2.75%

 

·         Loan above Rs. 4 lakhs:

Male students: Base rate + 4.25%

Female students: Base rate + 3.75%

 

Margin

 

·         Up to Rs. 4 lakhs: Nil

 

·         Above Rs. 4 lakhs:

India: 5%

Abroad: 15%

 

·         Studies in India: Rs. 10 lakhs

 

·         Studies abroad: Rs. 20 lakhs

·         Loans of up to Rs. 7.50 lakh: within a maximum period of 10 years.

 

·         Loans above Rs. 7.50 lakh: within a maximum period of 15 years

 

The repayment holiday includes the course period + 1 year or 6 months after getting the job, whichever comes first.

 

Oriental Bank of Commerce

Base Rate: 9.65%

 

Interest

 

·         Loan of up to Rs. 4 lakhs

Male students: base rate + 2.50

Female Students: Concession of 0.50%

 

·         Loan between Rs. 4 – 7.5 lakhs (with third party guarantee):

Male students:

Base rate + 3.00

Female students: Concession of 0.50%

 

·         Loan between Rs. 4-7.5 lakhs (with immovable property or tangible assets as collateral):

Male students: base rate + 1.75%

Female students: Concession of 0.50%

 

Margin

 

·         Up to Rs. 4 lakhs: Nil

 

·         Above Rs. 4 lakhs:

India: 5%

Abroad: 15%

 

·         Studies in India: Rs. 10 lakhs

 

·         Studies abroad: Rs. 20 lakhs

·         Loans of up to Rs. 7.50 lakh: within a maximum period of 10 years.

 

·         Loans above Rs. 7.50 lakh: within a maximum period of 15 years

 

The repayment holiday includes the course period + 1 year or 6 months after getting the job, whichever comes first.

 

Syndicate Bank

Base Rate: 9.50%

 

Base Prime Lending Rate: 13.85%

 

Interest

 

 

·         Loans up to Rs. 4 lakhs, the interest rate is prime lending rate – 1.50%.

 

·         Loans above Rs. 4 lakhs, the interest rate is PLR – 1%

 

·         Female students and students belonging to SC/ST group are entitled for a deduction of 0.50 percent on the aforementioned rates.

 

·         Female students under SC/ST group are qualified for an additional rebate of 0.25 percent on the said rates and together they get a concession of 0.75%

 

Margin

 

·         Up to Rs. 4 lakhs: Nil

 

·         Above Rs. 4 lakhs:

India: 5%

Abroad: 15%

 

·         Studies in India: Rs. 10 lakhs

 

·         Studies abroad: Rs. 20 lakhs

The repayment holiday includes the course period + 1 year or 6 months after getting the job, whichever comes first. After which, loan must be repaid in 5 to 7 years.

 

UCO Bank

Base Rate: 9.70%

Interest

 

·         Loan of up to Rs. 7.50 lakhs: Base rate + 2.50%

 

·         Loan of above Rs. 7.50 lakhs: Base rate + 2.25%

 

Margin

 

·         Up to Rs. 4 lakhs: Nil

 

·         Above Rs. 4 lakhs:

India: 5%

Abroad: 15%

 

·         Studies in India: Rs. 10 lakhs

 

·         Studies abroad: Rs. 20 lakhs

·         Loans of up to Rs. 7.50 lakh: within a maximum period of 10 years.

 

·         Loans above Rs. 7.50 lakh: within a maximum period of 15 years

 

The repayment holiday includes the course period + 1 year or 6 months after getting the job, whichever comes first.

Union Bank Of India

Base Rate: 9.30%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest Rate:

 

·         Loan of up to Rs. 7.50 lakhs:

Male students: 12.25%

Female Students: 11.75%

 

·         Loan of above Rs. 7.50 lakhs:

Male students: 12.00%

Female Students: 11.50%

 

·         Vocational education & training

Male students: 11.75%

Female students: 11.25%

 

Margin

 

·         Up to Rs. 4 lakhs: Nil

 

·         Above Rs. 4 lakhs:

India: 5%

Abroad: 15%

·         Studies in India: Rs. 10 lakhs

 

·         Studies abroad: Rs. 20 lakhs

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

·         Loans of up to Rs. 7.50 lakh: within a maximum period of 10 years.

 

·         Loans above Rs. 7.50 lakh: within a maximum period of 15 years

 

The repayment holiday includes the course period + 1 year or 6 months after getting the job, whichever comes first.

United Bank Of India

Base Rate: 9.65%

 

 

UBI Education Loan

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest Rate:

 

·         Loans of up to Rs. 4 lakhs: Base rate + 2%

·         Loans of between Rs. 4 – 7.5 lakhs: Base rate + 2.75%

 

·         Loans above Rs. 7.5 lakhs: Base rate + 2%

 

·         Borrowers can enjoy a 1% concession on the regular interest rates, during the moratorium period, if the interest is serviced monthly and regularly during this period.

 

·         Parents with an income of up to Rs. 4.5 lakhs p.a enjoy an interest subsidy by the government, during the moratorium period.

 

Margin

 

·         Up to Rs. 4 lakhs: Nil

 

·         Above Rs. 4 lakhs:

India: 5%

Abroad: 15%

·         Studies in India: Rs. 10 lakhs

 

·         Studies abroad: Rs. 20 lakhs

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

·         Loans of up to Rs. 7.50 lakh: within a maximum period of 10 years.

 

·         Loans above Rs. 7.50 lakh: within a maximum period of 15 years

 

The repayment holiday includes the course period + 1 year or 6 months after getting the job, whichever comes first.

UBI Superb Education Loan
UBI provides ‘Superb Education Loan Scheme’ to attend to the financial needs of students studying in the country’s premier management, medical, law, engineering colleges and other reputed institutes, as per the bank’s approved list.
Interest Rate:

 

·         A List: Base Rate

 

·         B List

Male students: Base rate + 0.50%

Female students: Base rate + 0.25%

 

 

The maximum loan amount disbursed under this scheme is Rs. 30 lakhs.

 

The repayment holiday includes the course period + 1 year or 6 months after getting the job, whichever comes first. After which, loan must be repaid within 10 years.
Vijaya Bank

Base Rate: 9.65%

 

Interest Rate:

For students under the Indian Banks’ Association (IBA) Scheme

 

·         For loans of up to Rs. 4 lakhs: Base rate + 1.80%

 

·         Loans of above Rs. 4 lakhs: Base rate + 2.25%

 

·         For other loans, the rate of interest is fixed irrespective of the loan amount.

 

·         Management quota (non IBA): Base rate + 2.55%

 

·         ISB: 11.75%

 

·         Premier Institutions such as IIMs, IITs, etc: 11.75%

 

Margin

 

IBA scheme

·         Up to Rs. 4 lakhs: Nil

 

·         Above Rs. 4 lakhs:

India: 5%

Abroad: 15%

 

Premier Institutions, IIMs, IITs, etc.

 

·         Up to Rs. 4 lakhs: Nil

 

·         Above Rs. 4 lakhs:

15%

 

Management quota (non IBA): 15%

 

ISB: 5%

 

 

·         Studies in India: Rs. 10 lakhs

 

·         Studies abroad: Rs. 20 lakhs

 

  • For students of Indian School of Business (ISB), and other Premier Institutions like IITs and IIMs: Rs.20 lakhs

 

·         The moratorium period for all loans except ISB is the duration of the course plus the repayment holiday includes the course period + 1 year or 6 months after getting the job, whichever comes first.

 

·         For the students of ISB, the repayment holiday is the duration of the course plus 18 months or soon after employment, whichever is earlier.

 

·         Management quota (non IBA): Up to 10 years

 

·         Premier Institutions, IIMs, IITs etc: Up to 7 years

 

·         ISB: Up to 7 years

IBA Scheme:

 

·         Up to Rs. 7.5 lakhs: 10 years

 

·         More than Rs. 7.5  lakhs: 15 years

*The interest rates for Education Loans listed above are subject to change. Always check with the bank before applying.

Additional Reading: Education Loans – Things to Think About

Sure, we’ve spoilt you for choices. Always factor in the processing fees and other charges to get an exact picture of how much it’ll cost you to take an Education loan.

An Education Loan EMI Calculator will help you do just that!

Related Post

Category: Education Loans
Lehar Maan

About Lehar Maan

When not writing articles for the BankBazaar blog Lehar spends her time buried inside books by Dostoyevsky, Oscar Wilde and Salman Rushdie. Her life goals are to turn all long weekends into fulfilling holidays and convert her prolonged sleep hours into more productive time. She also likes all things watercolour, cupcakes and Star Wars.

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