What Is The Limit Of Education Loan In India?
Basic Criteria for Educational Loan One of the most vital questions that you may wonder about is the amount of the educational loan. In general, you can get up to 4 lakhs of educational loan for higher studies without any collateral. Under education loan scheme, you can get a maximum of 15 lakhs for studies in India and more 25 lakhs for abroad studies.
- When you take education loan up to 4 lakhs, only the student and the parent have to sign the document and no collateral are necessary.
- However, if your loan amount is between 4 lakhs and 7.5 lakhs, you will have to provide third party guarantee to the bank.
- If the loan is above 7.5 lakhs, you will have to furnish the bank with collateral documents.
These are documents of any securities like NSC which the bank can sell to recover the amount if you fail to pay. How to apply for an educational loan for higher studies? In order to apply for an educational loan, you will have to prepare a number of documents beforehand.
The process goes as follows: Once you have determined to study at an institution and completed the process of admission, then you will have to concentrate on taking out an educational loan. Here are the documents which you should keep ready: You will have to provide a proof of admission to the selected recognized institution.
Proof of your consistently high academic performance along with the last mark sheet will need to be produced. The cut-off marks generally differ from general students to reserved students. You need to produce a schedule of fees. Depending on the amount that you are applying for, you will need to produce income statement, statement of assets and liabilities etc.
If you are going to study abroad, you need to produce your passport with a valid visa also. Your education loan will cover a number of things in addition to your tuition fees. These include hostel fees, exam fees, library fees, purchasing books, travel and other expenses for educational projects. After all the documents have been submitted and verified, you will have to appear for an interview.
It is best to know as much as possible about the course and the institutions that you have chosen. It takes around 15 days for an educational loan to be sanctioned. Once it has been sanctioned, you will get a promissory note which you will have to sign.
- In most cases, banks pay the institution directly and or to you.
- You should check the repayment clause.
- In most cases, repayment starts six months after the end of the course or as soon as you get a job – whichever comes earlier.
- Interest rates on educational loans depend on a number of factors.
- In general, they vary between 10% and 15% rates of interest.
You can claim tax deduction on the interest of the education loan. However, no deduction can be claimed on the principal. : Basic Criteria for Educational Loan
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Contents
Can I get education loan upto 50 lakhs?
Instant Loan for Students | Education Loan Apply Online | UBI
| 1. PURPOSE | |||||||||||
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To the meritorious students to pursue higher / professional/ technical education in recognized institution in India & Abroad. |
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| 2. STUDENT ELIGIBILITY | |||||||||||
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Should be an Indian national. Should have secured admission in India or abroad to pursue higher / professional/ technical education, through appropriate selection process and cleared the qualifying examination, if any. NRI student should hold Indian Passport & has secured admission to a course for studies in India only. |
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| 3. AGE OF THE STUDENT | |||||||||||
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No restriction with regard to the minimum and maximum age. |
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| 4. CO-APPLICANT | |||||||||||
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The parent(s) of the student has to compulsorily join in as co-applicant. In case of a married person, co-applicant can be spouse/parent(s)/parent(s)-in-law. In cases where both the parents are not alive, close relative or guardian to be taken as co-applicant. The co-applicant should be Indian national |
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| 5. ELIGIBLE COURSES** | |||||||||||
| Courses covered in India:
Graduation / post-graduation / diploma courses from recognized universities Technical / professional / management courses PhD courses Courses covered outside India: Graduation / post-graduation degrees offered by recognized universities Certified degree courses conducted by CIMA, London, CPA, USA and other such institutes PhD courses Diploma courses abroad are not covered |
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| 6. LOAN IN SUBSEQUENT YEARS OF COURSE | |||||||||||
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Educational loans can also be considered for eligible students in case they approach the bank in the subsequent years of the course provided the student has not availed loan for initial years from any other bank / FI. |
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| 7. QUANTUM | |||||||||||
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Need based finance to meet the expenses will be considered taking into account margins norms. There is no restriction on maximum amount of loan that can be sanctioned under the education loan scheme. For NRI students Maximum quantum Rs.20 Lakhs & Rs.30 Lakhs for premium institutes. |
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| 8. MARGIN | |||||||||||
Scholarship / assistance to be included in margin Margin may be brought-in on year-to-year basis as and when disbursements are made on a pro-rata basis |
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| 9. EXPENSES CONSIDERED | |||||||||||
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Tuition fee payable to college/ school/ university Hostel / mess charges Examination/ Library/ Laboratory fee Insurance premium for the student borrower Caution deposit, Building fund/ refundable deposit supported by Institution bills/ receipts Purchase of books/ equipment’s/ instruments/ uniforms Purchase of computer/laptop at reasonable cost, if required for completion of the course Travel expenses/ passage money for studies abroad Admission acceptance fee Any other expense required to complete the course – like study tours, project work, thesis, etc. |
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| 10. REPAYMENT TENURE | |||||||||||
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The maximum repayment tenure will be 15 years (after course & moratorium period) Irrespective of quantum of loan. The accrued interest during the moratorium period (if not serviced) will be added to the principal amount while calculating Equated Monthly Installments (EMI) for repayment. |
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| 11. RATE OF INTEREST | |||||||||||
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to know our latest interest rates If interest is regularly serviced during the course and moratorium period, i.e. prior to the commencement of repayment, then the student is eligible for interest rebate. Simple interest will be calculated during course / moratorium period; subsequently compounding interest will be charged. |
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| 12. EDUCATION LOAN SECURITY | |||||||||||
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The security required is as mentioned below:
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Life insurance of the student is mandatory to the tune of the loan amount.
for EMI Calculator
ul> The loan shall be sanctioned / disbursed from the branch nearest to the place of domicile of the student Loan would be disbursed directly to the institute
**Conditions Apply** **Contact our nearest Branch for more details** for apply online loan
: Instant Loan for Students | Education Loan Apply Online | UBI
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What is the maximum limit for education loan?
Education Loan
A loan given out to parents of an Indian national/residing student for schooling at a recognized institute. This loans covers other expenses such as purchase of books and computer/laptop required for education. Loan Amount: Rs.4 lakhs
This education loan is specifically designed Indian students pursuing graduation, post-graduation, or any other professional courses in India. To avail this loan, the student should have secured admission in the course. Loan Amount: Maximum Rs.125 lakhs Maximum Tenure: 10-15 years
An education loan scheme given for MBA, MCA, MS, and other notified courses that help with job creation. To avail this education loan in India, the student must have secured admission to the notified institute and course. Loan Amount: Maximum Rs.150 lakhs Maximum Tenure: 10-15 years
This student education loan is given to Indian nationals who have secured admission into premier educational institutions in India. The loan amount depends on the categorization of the institute. Loan Amount: Up to Rs.80 lakhs Maximum Tenure: 10-15 years
A loan designed for students pursuing technical courses. Any Indian national who has secured admission in a course run by Industrial Training Institutes or National Skill Qualification Framework., etc shall be covered by skill loan. Loan Amount: Rs.1.50 lakhs Maximum Tenure: Up to 7 years
Vidya Lakshmi is a first of its kind portal for students seeking Education Loan. This portal has been developed under the guidance of Department of Financial Services
A student can apply for an education loan and get loan subsidy by checking his eligibility under few government subsidy schemes.
This study loan is offered to resident Indians who must have secured admission in the institute and should be employed during the course of study. Loan Amount: Maximum of Rs.20 lakhs Maximum Tenure: 10-15 years
A study loan given for executive development programmes abroad. The student must have secured admission in the university and be employed while applying & during the course of study. Loan Amount: Up to Rs.80 lakhs
A loan that helps provide a meritorious student in the Delhi the opportunity to pursue higher education with the financial support from the banking system, within reasonable terms and conditions. Loan Amount: Maximum Rs.10 lakhs Maximum Tenure: 15 years
Education loan or student loan is a form of monetary assistance availed by students to meet the expenses associated with their studies. The student loan includes expenses related to school fees, post-secondary education or cost associated to higher education. Bank of Baroda offers various education loans at attractive interest rates with repayment tenure of up to 15 years. No collateral needs to be provided for education loans of up to Rs.40.00 lakh for the identified premier institutes. Maximum Education Loan limit is Rs.125.00 lakh for study in India and Rs.150.00 lakh for study abroad. Opting for an education loan reduces the strain on existing savings and eliminates the need to liquidate the existing investments. The interest on an education loan is eligible for a tax rebate under Section 80 E of the Income Tax Act 1961 To apply for education loan online one needs to visit the bank’s website The student applying for the education loan must be a resident of India. He/she must have confirmed admission in recognized educational institutes in India or abroad. For study in India one can get Education Loan up to – Rs.125.00 lakh For study abroad one can get Education Loan up to – Rs.150.00 lakh Starting from BRLLR+0.25 % for study in India & BRLLR+1.75% for study abroad. For Current ROI kindly visit our page. The education loan can be paid using any online channel like net banking, mobile banking etc. The Borrower will have also a choice to pay the Education loan by visiting the nearby branch. Co-applicant should normally be parent(s)/guardian of the student borrower. In case of a married person, joint borrower can be either spouse or the parent(s)/parents-in-law as a co-applicant for Education Loan.
: Education Loan
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Can I get education loan 40 lakh?
Processing Fees – 0 (Up to 20 Lakhs) | INR 750 per lakh (More than 20 Lakhs) Apply Loan Online Established in 1994 as UTI Bank, Axis bank provides education loans to students who want to study in India or abroad. Axis bank is the third largest commercial private bank in India.
- Prime A: This list contains mostly Masters programmes from top universities.
- Prime B: Besides Masters programmes, it includes a few Bachelors degrees as well.
- Non-prime: Courses and institutes which do not form a part of Prime A & B lists are included in this category.
” frameborder=”0″ allow=”accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture” allowfullscreen=”” title=”Axis Bank education loans: GyanDhan”> Axis education loan does not just help students to realize the financial requirements of studying abroad but also offers a 100% tax benefit to them on the interest paid under Section 80(E) of the IT Act. Other than these features, as a scheduled commercial bank, government schemes such as Central Government Interest Subsidy Scheme ( CSIS ) for Economically Weaker sections (income up to Rs.4.5 Lakhs) are available at Axis Bank. Check Axis Education Loan Eligibility
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Can I get 1cr education loan?
Maximum loan amount is Rs.1 crore for international and Rs.50 lakh for domestic education loan.5) Ease in applying: The customers can apply for education loan through internet banking facility of the Bank with just a few clicks.
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Why education loan is costly in India?
Safety in Car Loans – are considered to be the safest asset for a bank as it is a material asset which can be claimed by the bank in case of a default. Same goes for a home loan as well. The bank can claim the house in case of a default. However, education loans are much riskier and do not come with any kind of an underlying asset.
- In secured loans, you generally pay a much lesser interest rate than in,
- And student loans are considered as unsecured debt.
- Any funds loaned under these products are not guaranteed by any collateral.
- Whereas home loans and car loans are secured loans.
- This is the reason that private banks do not indulge much in education loans.
More than 90% of the education loans are provided by the public sector bank who also see the highest proportions of NPAs. This high proportion of NPA combined with the lack of competition from private banks further prevents education loan interest rates from getting lower.
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Can I get 75 lakh education loan?
Axis Bank India offers education loans at attractive interest rates for a loan amount ranging from Rs 50,000 to Rs 75 lakh.
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What should be the salary to get 50 lakh loan?
Eligibility Criteria for Personal Loan of ₹ 50 Lakh – To avail a personal loan of upto ₹ 50 Lakhs, you need to fulfil the following eligibility criteria related to age, income & credit score etc.
Age: To avail of a personal loan, you must fulfil the age criteria of banks and NBFCs. Generally, you can apply for a personal loan up to ₹ 50 lakh if you fall within the age range of 18 years to 65 years. Minimum Income: The income criteria to avail of the best offers with top banks varies based on your occupation. Most banks prefer that your monthly take-home salary is 1200 if you are a salaried individual or professional. Also, the self-employed applicants must have a gross annual income of upto ₹ 1,200 to get the ₹ 50 lakh personal loan approved quickly. Credit Score: A credit score is a significant factor that helps to determine your eligibility for a ₹ 50 lakh personal loan three-digit number. Banks require you to have a good credit score of 650 or above to apply for a ₹ 50 lakh personal loan. Work Experience: The minimum work experience to avail ₹ 50 lakh personal loan may vary in banks. However, banks prefer individuals with job stability with at least three years of total experience and 6-12 months of current work experience.
Can I get education loan 60 lakhs?
Basic Criteria for Educational Loan One of the most vital questions that you may wonder about is the amount of the educational loan. In general, you can get up to 4 lakhs of educational loan for higher studies without any collateral. Under education loan scheme, you can get a maximum of 15 lakhs for studies in India and more 25 lakhs for abroad studies.
When you take education loan up to 4 lakhs, only the student and the parent have to sign the document and no collateral are necessary. However, if your loan amount is between 4 lakhs and 7.5 lakhs, you will have to provide third party guarantee to the bank. If the loan is above 7.5 lakhs, you will have to furnish the bank with collateral documents.
These are documents of any securities like NSC which the bank can sell to recover the amount if you fail to pay. How to apply for an educational loan for higher studies? In order to apply for an educational loan, you will have to prepare a number of documents beforehand.
- The process goes as follows: Once you have determined to study at an institution and completed the process of admission, then you will have to concentrate on taking out an educational loan.
- Here are the documents which you should keep ready: You will have to provide a proof of admission to the selected recognized institution.
Proof of your consistently high academic performance along with the last mark sheet will need to be produced. The cut-off marks generally differ from general students to reserved students. You need to produce a schedule of fees. Depending on the amount that you are applying for, you will need to produce income statement, statement of assets and liabilities etc.
If you are going to study abroad, you need to produce your passport with a valid visa also. Your education loan will cover a number of things in addition to your tuition fees. These include hostel fees, exam fees, library fees, purchasing books, travel and other expenses for educational projects. After all the documents have been submitted and verified, you will have to appear for an interview.
It is best to know as much as possible about the course and the institutions that you have chosen. It takes around 15 days for an educational loan to be sanctioned. Once it has been sanctioned, you will get a promissory note which you will have to sign.
- In most cases, banks pay the institution directly and or to you.
- You should check the repayment clause.
- In most cases, repayment starts six months after the end of the course or as soon as you get a job – whichever comes earlier.
- Interest rates on educational loans depend on a number of factors.
- In general, they vary between 10% and 15% rates of interest.
You can claim tax deduction on the interest of the education loan. However, no deduction can be claimed on the principal. : Basic Criteria for Educational Loan
View complete answer
Can I get a student loan at 50?
Tuition fee loans – Tuition fee loans cover the cost of your undergraduate course fees, and are paid directly to the university or college. There is no age limit on eligibility for tuition fee loans, so anyone can apply, provid ing that they’re going to be studying for their first undergraduate degree.
Universities and colleges can charge up to £9, 25 0 a year for undergraduate tuition fees to full-time UK and EU students. This amount is set by the governments in each country, and can vary depending on whether you study in or outside your home country. Check the tuition fee costs for your course and university on the UCAS search tool,
Depending on where you live, there are different options available, and you will need to apply to different organisations. Each will have different deadlines, so read the following information carefully:
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