What can
I use the loan for ?
You can avail the loan for your
Graduation/Post
graduation/Diploma/Computer education
in any recognised State/Central
Government/University. Professional
courses including Engineering,
Medical, Agriculture, Veterinary,
Law, Dental, Management, courses like
ICWA, CA, CFA, etc., courses
conducted by IIM, IISC, XLRI, NIFT
etc. Courses offered in India by
reputed foreign universities/Evening
courses of approved institutes. Regular degree/Diploma courses like Aeronautical, Pilot training, shipping etc approved by Director General of Civil Aviation/shipping if the course is pursued in India. In case the course is pursued abroad the institute should be recognized by the competent local aviation/shipping authority.
How much can I get ?
You can get a maximum of Rs. 10.00
lakh for studying in India and Rs.
20.00 lakh for studying abroad.
What rate of Interest will I have
to pay ?
Present Interest rate linked to BPLR is as follows:
- Up to Rs. 4.00 lakh - 12.25%
- Above Rs. 4.00 lakh
13.50%
- Interest to be debited monthly on simple basis during the repayment holiday/moratorium period.
What is the margin for the loan ?
| For loans upto
Rs. 4.00 lakh |
Nil |
| For loans above
Rs. 4.00 lakh |
Studies within
India 5% |
| For studies
abroad 15% |
Scholarship/assistantship to be
included in margin.
What security do I need to provide
?
| For loans upto
Rs. 4.00 lakh |
Co obligation of parents. No security |
| For loans above
Rs. 4.00 lakh and up to
Rs.7.50 lakh |
Co obligation of parents together with collateral security in the form of suitable third party guarantee |
| For loans above
Rs.7.50 lakh |
Coobligation of parents together with tangible collateral security. Collateral
security in the form of
NSC/KVIP, LIC Policy, Gold,
Shares/Debentures or
immovable properties Bank
Deposits in the name of
student/Parent/Guardian or
any other third party with
suitable margin. Wherever the land/building is already mortgaged the unencumbered portion can be taken as security on second charge basis provided it covers the required loan amount. In case the loan is given for the purchase of computer, the computer has to be hypothecated to the bank. |
Is there a Holiday period for my
loan ?
Yes, there is. You can pay back your
loan 6 - 12 months after you complete
the course.
How do I repay my loan ?
You can repay the loan in equal
monthly Instalments for a maximum
period of 5 - 7 years excluding
holiday period.
Whether I have to pay Interest
every month during my study period?
It is left to the option of the
student either to service the
interest during the study period or
pay it along with the principal over
a period of 5 - 7 years to commence
from 12th month after completion of
the study.
In case I opt to service the
interest, am I eligible for any
concession?
Yes. For prompt servicing of interest
for all months during the study
period when repayment holiday is specified for interest/repayment under the scheme, an interest rebate of 1.0% is
allowed. The interest rebate thus
calculated will be credited back to
loan account at the time of
commencement of repayment of the
principal sum.
How can I apply?
 |
Download the
application form in MS - Word
format. |
|
Save it on
your computer, print it out
and send it to the
nearest/convenient I.O.B.
branch for processing |
Click here to
download the Application Form
|
|
