State Bank Of India Education Loan Details

Unknown

7 Jan, 2015

Rules and Regulations

Eligible Courses :

All courses having employment prospects are eligible.

Graduation courses/ Post graduation courses/ Professional courses
Other courses approved by UGC/Government/AICTE etc.

Expenses considered for loan :

Fees payable to college/school/hostel
Examination/Library/Laboratory fees
Purchase of Books/Equipment/Instruments/Uniforms
Caution Deposit/Building Fund/Refundable Deposit (maximum 10% tution fees for the entire course)
Travel Expenses/Passage money for studies abroad
Purchase of computers considered necessary for completion of course
Cost of a Two-wheeler upto Rs. 50,000/-

Any other expenses required to complete the course like study tours, project work etc.

Amount of Loan :

For studies in India, maximum Rs. 10 lacs
Studies abroad, maximum Rs. 20 lacs

Interest Rates (w.e.f 29.06.2009) :

Loan Amount	Rate of Interest
Loans upto Rs. 4.00 Lacs	0.50% below SBAR i.e. 11.25% p.a.
Loans above Rs. 4.00 Lacs and upto Rs. 7.50 Lacs	1.00% above SBAR i.e. 12.75% p.a.
Loans above Rs. 7.50 Lacs	At SBAR i.e. 11.75% p.a.

An Interest Rate concession of 0.50% to Girl Student availing Student Loans

Processing Fees :

No processing fee/ upfront charges
Deposit of Rs. 5000/- for education loan for studies abroad which will be adjusted in the margin money

Repayment Tenure :

Repayment will commence one year after completion of course or 6 months after securing a job, whichever is earlier.

Place of Study	Loan Amount	Repayment Period in Years
Studies in India	Rs. 10.0 lacs	5-7
Studies Abroad	Rs. 20.0 lacs	5-7

Security :

Amount	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. The bank may, at its discretion, in exceptional cases, weive third party guarantee if satisfied with the net-worth/means of parent/s who would be executing the documents as joint borrower.
Above Rs. 7.50 lacs.	Tangible collateral security of suitable value, along with the assignment of future income of the student for payment of installments.

All loans 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

Margin :

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

Documentation Required

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
Borrowers 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)

Online Loan Application Form: http://www.sbi.co.in/sbiEdulLoan.jsp

State Bank Of India Contact Details:-

Contact Number : 044 28603203, 28603204

WebLink : www.sbi.co.in