Educational Loan
Vidya-laxmi Educational loan scheme
Quality education is a must for a complete and successful life. For many, it is equivalent to graduating from a top institution. The cost of education is, however, increasing rapidly. In fact, the cost of studying at reputed institutions is already quite high.
Keeping this in mind, parents, who want to provide their children with the best possible education, invest their money in mutual funds (MFs), fixed deposits (FDs), unit-linked insurance plans (ULIPs), etc., for the long term. But despite all this, one may still encounter shortage of funds. An education loan, therefore, plays a vital role in such a scenario by helping to bridge the gap between the shortfall and the required amount.
What does an education loan cover?
It covers the basic course fee and other related expenses such as (college) accommodation, exam, library fees and other miscellaneous charges.
Who can apply for the loan?
A student is the main borrower. A parent, spouse or sibling can be the co-applicant.
Whom is the loan offered to?
It is offered to the member of this bank or their children (students) who want to study in India or pursue higher education overseas. The maximum amount offered for studies in India and overseas are different and varies from one bank to another.
Types of courses covered under the loan
It can be taken for a full-time, part-time or vocational course and graduation or post graduation in the fields of engineering, management, medical etc.
Eligibility, documents required.
Candidate should passed 12th standard or equivalent qualification.
Loan Duration:
5 to 9 years or until education process.
Interest rate:
11.50 % for female student candidate per year and for male student candidate 11.50% per year.
Guarantor
Minimum 2 well settled landlord one should be a serviceman.
Loan Application proof:
Candidate should submit the true copy of admission confirmation letter, challan, receipt etc.
Processing Fees:
0.25% of the Loan sanctioning will be charged.
Shares linking:
2.50% will be deduct of Loan Sanctioning amount.
Conclusion:
Taking an education loan helps you in building a good credit score as this is the first loan in a person's life. If you repay the loan on time without any defaults then it also makes easier for you to get home loan, car loan, etc., in future.
