Personal Advances / Educational Loan Scheme

Purpose Financial assistance to deserving/meritorious students for pursuing higher studies in India or abroad.

Eligibility Students seeking loan should be of Indian nationals. Computer courses conducted by NIIT are also included under Education Loans
Amount of finance For studies in India : Maximum Rs.7.50 lakhs
For studies abroad: Maximum Rs.15.00 lakhs
Margin money Upto Rs. 4.00 lakhs: Nil
Above Rs. 4.00 lakhs: For studies in India - 5%
                                        For studies abroad - 15%

Security Norms
  1. Upto Rs. 4.00 lakhs: No Security
  2. Above Rs. 4.00 lakhs and upto 7.5 lakhs:Collateral in the form of satisfactory 3 rd party guarantee.
  3. Above Rs. 7.5 lakhs and upto 15.00 lakhs:Collateral security equal to 100% of the loan amount or guarantee of 3 rd person known to bank good for 100% of the loan amount.

Rate Of Interest

Upto Rs.4.00 Lacs - 11.00%

Above R.s4.00 Lacs - 12.00%

Penal rate of Interest @2% on all irregular Education loans above Rs.4.00 Lacs for the over due amount and over due period.

Repayment Period 5 to 7 years after completion of course.
Processing Charges Processing Charges of Rs.5000/- for Education Loans above Rs.4.00 Lakhs for students going abroad (studies abroad). Insurance of SBI Life Insurance Co. Ltd. Is available