Saturday, 8 December 2012

SBI education and career loans for students in India


An individual who is an Indian national can apply for an SBI educational loan. You can apply for pursuing a higher educational program in India as well as for pursuing a higher educational program in a foreign country. Female students can avail of concessions.

Types of SBI educational loans for studies in India
1. SBI educational loans for a graduation course: It could be a professional degree course or a diploma program or a technical course. The course applied for should be at a college or university which is approved by UGC / AICTE or a Govt. approved institute.

2. SBI educational loans for a post graduation course: It could be a professional degree course or a diploma program or a technical course. The course applied for should be at a college or university which is approved by UGC / AICTE / IMC or a Govt. approved institute.

3. SBI educational loans for a degree or diploma program: It could be one which is offered by an IIT or IIM institute or any other similar autonomous institute.

4. SBI educational loans for a teacher training course: It should be approved by the State Govt. or the Central Govt. of India.

5. SBI educational loans for a nursing course: It should be approved by the State Govt. or the Central Govt. of India.

6. SBI educational loans for a pilot training course or any other training course in the aeronautical & shipping field: The course could be a degree program or a diploma program, but must be approved by the Director General of Civil Aviation/Shipping.
Note: SBI educational loans for pursuing a vocational training program or a skill development study course is not under the category of the other regular SBI educational loans. You need to apply for the separate scheme for these types of courses.

Types of SBI educational loans for studies in foreign countries
1. SBI educational loans for a job oriented professional or technical graduation degree course: You should be pursuing such a course at a reputed university.

2. SBI educational loans for a job oriented professional or technical post graduation degree course: You should be pursuing such a course at a reputed university.

3. SBI educational loans for a job oriented professional or technical diploma course: You should be pursuing such a course at a reputed university.

Examples of above-mentioned courses: MBA courses, MCA courses, MS courses.

SBI educational loans amounts
  • If you wish to avail of the loan for studies in India, the maximum loan amount offered by SBI is Rs.10 lakhs.
  • If you wish to avail of the loan for studies abroad, the maximum loan amount offered by SBI is Rs. 30 lakhs.

SBI educational loans Repayment Tenure
Repayment of your educational loan will begin 1 year after completing the course you are pursuing or 6 months after you secure a job, whichever is the earlier case.
Repayment period:
  • Studies in India (loan amount Rs.10 lakhs): 5 – 7 years
  • Studies abroad (loan amount Rs.30 lakhs): 5- 7 years
Interest rates of SBI educational loans (as of 20/09/2012)
1. SBI Student Loan
Above Rs.7.50 lacs: 2.00% above Base Rate, currently 11.75% p.a.
Above Rs.4 lacs and upto Rs.7.50 lacs: 3.25% above Base Rate, currently 13.00% p.a.
For loans upto Rs.4 lacs: 3.50% above Base Rate, currently 13.25% p.a.

Note: Female students can avail of 0.50% concession in interest.

2. SBI Loan for Vocational Education & Training: 3.50% above Base Rate, currently 13.25% p.a.

3. SBI Scholar Loan Scheme: 2.00% above Base Rate, currently 11.75% p.a.

Note: Female students can avail of 0.50% concession in interest.

SBI education loans fees
1. There are no fees for processing of your loan applications.
2. You will need to pay a deposit of Rs. 5,000/- for an educational loan for studies abroad. This deposit will be adjusted in the margin money.

Security to be provided for SBI educational loan
1. For loan amount above Rs. 7.50 lacs.: You need to provide tangible collateral security of suitable value + assignment of future income of the student for payment of loan installments.

2. For loan amount 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, waive third party guarantee if satisfied with the net-worth/means of parent/s who would be executing the documents as "joint borrower".

3. For loan amount up to Rs. 4 lacs: No Security

Margin
1. There is no margin for a loan up to Rs.4.0 lacs.

2. For loans above Rs.4.0 lacs: (a) Studies in India: 5% (b) Studies Abroad: 15%

Documents to be submitted for SBI educational loan application
Along with the requisite loan application form filled in all respects, you need to submit the following documents:
1. The mark sheet of your last qualifying exam.
2. Proper proof of your admission studentship or scholarship or any other similar document.
3. A scheduled list of expenses for the course you are pursuing.
4. Two passport size photographs.
5. Your PAN Card and that of your parent or guardian.
6. The Bank account statement for the last 6 months of the borrower.
7. The Income tax Returns/ IT assessment order of last 2 years.
8. A brief statement of assets & liabilities of the co-borrower.
9. Proper proof of Income (Salary slips / Form 16) 

SBI educational loans Website: https://www.sbi.co.in/user.htm 

For more information:
Ph: 1800112211 (toll free from BSNL/MTNL)
or
Ph: 18004253800 (BSNL tollfree no.)