SBI Education Loan: Check Eligibility, Courses, Expenses Covered, Rate, Loan Amount, Repayment, EMI
State Bank of India (SBI), the largest bank in India by the number of customers and asset size, offers a range of credit facilities especially for higher education aspirants.
SBI education loan: Courses, expenses covered, interest rate, loan amount, repayment, EMI, margin, security depositCourses covered for higher studies in India:
Courses covered for higher studies abroad:
Loan amount: SBI grants an education loan of up to Rs 10 lakh for higher studies in India and up to Rs 20 lakh for higher studies abroad.
Interest rate: State Bank of India charges a rate of interest between 8.55 per cent and 10.80 per cent with 0.50 per cent concession for girl students and for students availing SBI Rinn Raksha or any other existing policy assigned in favour of the bank. The rate of interest may vary from depending upon the credit score, nature of the course, other things as mandated by the State Bank of India.
Repayment: The repayment of the loan amount commences one year after the completion of the course. The loan amount should be repaid within 15 years after the beginning of the repayment period. In case a second loan is availed for higher studies later, to repay the combined loan amount in 15 years after completion of the second course, SBI said.
EMIs: The accrued interest during the moratorium period (one year after the completion of course) and the course period is added to the principal amount and repayment is fixed in Equated Monthly Installments (EMIs). If an individual has paid full interest before the commencement of repayment the EMI is fixed based on principal amount only.
Security deposit: For educational loans of up to Rs 7.5 lakh, no collateral security or third party guarantee is required, only the parent/guardian should be the co-borrower. For loan amount over Rs 7.5 lakh, tangible collateral security is required along with parent/guardian being the co-borrower.
Margin: There is no margin requirement for the loan amount of up to Rs 4 lakh, whereas, for loan amount above Rs 4 lakh, SBI levies a margin at a rate of 5 per cent for studies in India and 15 per cent for studies abroad.
Source: Times Now News
Publish: Thursday, April 11, 2019 11:42 AM