SBI Educational Loan, SBI Education Loans, SBI Student Education Loan Eligibility, Application, Interest Rate, Emi In India

State Bank of India (SBI) provides its customers with a variety of personal banking services. SBI Study Loans are sanctioned only to Indian Nationals. A study loan is sanctioned for studies both in India and abroad.

All courses having employment prospects are eligible.

• Graduation courses/ Post graduation courses/ Professional courses

• Other courses approved by UGC/Government/AICTE etc.

• Fees payable to college/school/hostel

• Examination/Library/Laboratory fees

• Purchase of Books/Equipment/Instruments/Uniforms

• Caution Deposit/Building Fund/Refundable Deposit (maximum 10% tution fees for the entire course) 

• Travel Expenses/Passage money for studies abroad

• Purchase of computers considered necessary for completion of course

• Cost of a Two-wheeler upto Rs. 50,000/-

Any other expenses required to complete the course like study tours, project work etc.

Amount of Loan

• For studies in India, maximum Rs. 10 lacs

• Studies abroad, maximum Rs. 20 lacs

Interest Rates
(w.e.f 01.01.2009)

An Interest Rate concession of 0.50% to Girl Student availing Education Loans

• No processing fee/ upfront charges

• Deposit of Rs. 5000/- for education loan for studies abroad which will be adjusted in the margin money

Repayment Tenure

Repayment will commence one year after completion of course or  6 months after securing a job, whichever is earlier. The borrower can begin repaying 6 months after getting job or one year after the course is completed, whichever happens earlier. The loan can be repaid in a period of 5 to 7 years.

Security

All loans should be secured by parent(s)/guardian of the student borrower. In case of married person, co-obligator can be either spouse or the parent(s)/ parents-in-law.An applicant is sanctioned a loan of maximum Rs 10 lacs for studying in India and Rs 20 lacs for studying in abroad. On a loan above Rs 4 lacs, there is a margin of 5% and 15% for studying in India and abroad respectively. Margin

• No security is required for loan amount upto Rs 4 lacs.
• A borrower should present a 3rd party as guarantee for a loan amount above Rs 4 lacs. However, on SBI discretion, this clause of 3rd party guarantee may be waived off in certain cases.
• If you borrow a loan amount above Rs 7.5 lacs, you need to offer a material collateral security and assign the future income of the student for paying installments.
• The guardians or parents of a borrowing student should secure an education loan.
• If the borrower is married, his or her spouse, parents-in-law or parents can act as the co-obligator.