The educational loan is a type of loan designed to help students for post Secondary Education associated fees such as books, supplies and living expenses.An education is must for a complete and a successful life. The cost of education is increasing. The cost of studying at a reputed institution is already quite and high.
parents who want to provide their children with the best education, invest their money in mutual fund, fixed deposits for a long term.An educational loan plays an important role helping to make a bridge gap between the short fall and required amount. An educational loan cover basic course fee, accommodation, exam and other charges.
Who can apply
- student
- the parent /spouse of a student
Types of course under the loan
- Full time
- Part time
- Graduation or post education in engineering
- Management
- Medical
- Hotel management
- Architect
Eligibility
- Must be an Indian
- Admission in a college recognised by competent authority
- The student must complete at Higher Secondary Level
- Admission letter
- SSLC marksheet
- Fee structure
- Income documents
Requirements
- 100% loan depending on amount
- For in India 5 % of money financed by applicant
- for Overseas the margin money increases to 15 percentage
- loans above 4 lakh upto 7.5 lakh required third party guarantee
- the bank disburse the amount directly to college
Repayment
- The loan repaid by student, when the course is completed
- Some banks give relaxation period 6 month, after a job
- The period between 5 to 7 years
- In this period the bank charges simple interest rate.