The need of the higher education from a reputated college is increasing; as it increases the chances of landing on a good job. The problem is that they are sometimes too expensive to go for. Education loans helps those students, who have the capability and pay for their expenses for the education that they want to recieve. It can be a loan to study in India or to go abroad and study there. Whatever the case SBI is there to help the students.

Any student can apply for the SBI education loan but they must clear some criteria and documentation needed. The information required for one to knwo before applying for the education loan can look on the information below.

Eligibility for SBI Education Loan

A term loan granted to Indian Nationals for pursuing higher education in India or abroad where admission has been secured.

Education Loan Amount you can avail from SBI is:

  1. For studies in India - maximum Rs. 10 lacs
  2. Studies abroad - maximum Rs. 30 lacs

SBI Education Loan Rate of Interest

The base rate of interest for education loan from SBI is 9.30% (w.e.f. 05.10.2015).

Loan Amount Rate of Interest*
For loans upto Rs.4 lacs 2% above Base Rate, currently 11.30% p.a.
Above Rs.4 lacs and upto Rs.7.50 lacs 2% above Base Rate, currently 11.30% p.a.
Above Rs.7.50 lacs 1.70% above Base Rate, currently 11.00% p.a.

 

Note: The education loan from SBI has some perks, some of which are as follows:

  1. (0.50% concession in interest for girl students)*
  2. 1% concession for full tenure of the loan, if interest is serviced promptly as and when applied during the moratorium period, including course duration#)
  3. IT exemption under Section 80(E) in respect of interest paid in all Education Loans

The loan application can include your:

  1. Admission Fee
  2. Tuition Fee
  3. Hostel Fee/Living Expenses
  4. Examination/Lab/Library fee
  5. Purchase of books
  6. Caution Fee
  7. Travel expenses for studies abroad
  8. Cost of two wheeler
  9. Purchase of computer
  10. Misc. expenses
  11. Fellowship/Scholarship
  12. Work experience

 

It can also ask some question regarding the course you have chosen. The questions can be like:

  1. Course Type
    1. Post Graduation
    2. Graduation
    3. Diploma
    4. Vocational
    5. Others
  2. Country opted for education
  3. Course Name
  4. Institute Name
  5. University Name
  6. Nature of course
    1. Full Time
    2. Part Time
  7. Course Duration - Which can be 6 Years max but they can consider a longer course if it is eligible according to thier Terms and Conditions.

 

Documents required for SBI Education Loan:

  1. Documents Required
  2. Letter of admission
  3. Completely filled in Loan Application Form
  4. 2 passport size photographs
  5. Statement of cost of study
  6. PAN Card of the student and Parent/ Guardian
  7. AADHAR Card of the student and Parent/ Guardian
  8. Proof of identity (Driving Licence/Passport/Aadhar/ any photo identity)
  9. Proof of residence (Driving Licence/Passport/Electricity bill/Telephone bill)
  10. Student/Co-borrower/ guarantor's bank account statement for last 6 months
  11. IT return/ IT assessment order, of previous 2 years of Parent/ Guardian/ other co-borrower (if IT Payee)
  12. Brief statement of assets & liabilities of Parent/ Guardian/ other co-borrower
  13. Proof of income (i.e. salary slips/ Form 16) Parent/ Guardian/ other co-borrower

 

Benefits and Features of Education Loan from SBI

  1. Repayment period of upto 15 years after Course Period + 12 months of repayment holiday*
  2. No processing / upfront charges will be levied on Education loans.

 

Expenses covered under this loan:

  1. Fees payable to college/school/hostel
  2. Examination/Library/Laboratory fees
  3. Purchase of Books/Equipment/Instruments/Uniforms, Purchase of computers- essential for completion of the course (maximum 20% of the total tuition fees payable for completion of the course)
  4. Caution Deposit/Building Fund/Refundable Deposit (maximum 10% of tuition fees for the entire course)
  5. Travel Expenses/Passage money for studies abroad
  6. Cost of a Two-wheeler upto Rs. 50,000/-
  7. Any other expenses required to complete the course like study tours, project work etc.

 

Repayment of the SBI Education Loan:

  1. Repayment will commence one year after completion of course.
  2. Loan to be repaid in 15 years after the commencement of repayment
  3. In case second loan is availed for higher studies later, to repay the combined loan amount in 15 years after completion of second course

This information was compiled from the SBI website. Please check the list of Indian Educational Institutes to only which SBI provides the education loan.

 

Leading Education Loan Providers (Click to Apply)

  1. HDFC Bank Education Loan
  2. BOI Star Education Loan
  3. ICICI Bank Education Loan
  4. Canara Bank Education Loan
  5. IDBI Education Loan
  6. Punjab National Bank Education Loan
  7. Other Banks

SBI Education Loan EMI Calculator SBI Education Loan Interest Rates
SBI Education Loan EMI Calculator SBI Education Loan Interest Rates

 

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