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Educational Loan- Select The Bank

About Educational Loan

Education Loan is a loan available for all your education needs. The loans are provided by most Banks in India and can be availed for various courses by all those who would like to pursue their dreams of higher studies in India or abroad. Education Loan has been successful in helping out students by providing them the much needed financial assistance for most of the recognized courses as they provide finance at competitive Education Loan Interest Rates. Banks provide Education Loan through a hassle free procedure to guarantee you a successful life ahead. 

 Education Loan interest rate

The Education Loan interest rate is usually based on the competitive Base Rate. The rates are subject to change and the Education Loan Interest rate range in India is 12.75%-15.75%. Bank websites have Education Loan Calculator for EMI calculation etc. 

Most students looking for Bank finance find Education Loan interest rate very competitive and attractive after checking details on website and calculating EMI? by Education Loan Calculator. 

Education Loan eligibility and expenses covered: 

Education Loan scheme in India can be availed by any resident Indian in the age group of 18 to 35 years. The loan can be availed for various graduation and post graduation courses and all Recognized Courses like:

  • ICWAI
  • CA, CFA
  • IIM, IISc
  • IIT, XLRI

Education Loans are also offered for courses by UGC / Govt. / AICTE/ AIBMS / ICMR that qualify for Education Loan eligibility. 

The customer has to pay the EMI according to the Education loan calculator and also the loan applicant usually has to pay margin money ranging from 5-15 % of the total loan amount applied for courses in India & Abroad. 

Other qualifications for Education Loan eligibility are: 

  • For Education Loan eligibility the candidate should be a Resident Indian.
  • Admission to technical courses in India is possible through Education Loan eligibility.
  • A co-applicant is required for full time courses.
  • The maximum loan for studies in India is usually maximum Rs.15 lacs and Rs 20 lacs for studies abroad. 

The expenses covered under the EMI calculated by Education loan calculator are:

  • School/College Fee
  • Hostel and Library charges
  • Caution deposit
  • Travel Expenses
  • Money for Study tours, Project work, Thesis or Computer purchase etc. 

Education loan scheme and documentation: 

According to the Education Loan scheme the student are required to provide the following documents apart from Proof of Age, Signature, Identity and Residence: 

  • Fully completed loan application form along with Institutes Admission letter with Fee Break up.
  • Two Photographs 

 Documentation for the salaried co- borrower: 

  • Bank Statement for last 6 months.
  • Income Tax Statement for the last two years
  • A brief about the asset and liabilities possessed by the borrower
  • Latest 2 Salary slips 

 Documentation for the self employed individual: 

  • Bank Statement
  • Income Tax Return
  • Profit and Loss Account or Balance Sheet of the Company
  • Proof of Qualification. 

Education loan scheme: 

Education Loan application forms are available at all major bank branches across India. The filled up forms can be then submitted along with the loan application at the branch and the loan will be disbursed in installments to the college or institute directly. 

Education Loan rate repayment option and Pre closure process: 

The loan needs to be paid back in maximum 5-7 years from the date of disbursement of the loan. The student can avail a repayment holiday for a period of six months or till the person gets a job or whichever is earlier. Check with nearest branch for pre closure charges and late fee charges. 

 Education Loan Tax benefits: One can get tax benefits if any according to the Income Tax Act 1961 which varies yearly according to the changes made by the Government.

 

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