Just to add, some banks ask to pay interest right from day one after giving loan.
Education Loan industry has not been very good in India and banks are very cautious in giving the loan and therefore the eligibility terms as given by Surabhi are strictly followed and a guarantor is always demanded by the banks.
There are certain things that one must keep ready in order to make sure that the person gets loan as soon as possible.
Ensure that you have secured confirmed admission
Estimate the amount of loan required for the full course as banks have different rates of interests for different slabs of loan amount.
Usually guarantors are required for sanctioning of loans so that if the applicant fails to pay the loan the same can be paid by the gurantor. should have regular source of income to the extent that they are able to repay the loan in case of need/unforeseen circumstances
Maximum amount of loan : Rs. 20.00 Lacs.
Upto Rs. 4.00 lacs :- NIL Above Rs. 4.00 lacs :- 15%
Suppose you want to take A loan of 3 lahs then you have to give your own 45, 000 an rest bank will give. This is what margin means.
Student Eligibility :
Should be an Indian National.
Secured admission to Professional/Technical Courses at foreign Universities/Institutions.
Coverage of expenses (for overseas studies) :
Admission/Tuition fees to College/University.
Purchase of books/equipments/instruments
Banks may consider top up loans to students pursuing further studies within the overall eligibility limit, with appropriate re-schedulement, subject to taking required security.
Banks may give loans for further studies to students already having a loan on the basis of collateral security.
Depending on the job prospective after the student will complete the course.
Depending on the past academic record of the student.
HDFC Bank offers Education Loan through its fully owned subsidiary CREDILA.
Dear Aspirant,This policy is taken
This policy is taken by banks so that in case of unexpected death of the loan taker (student), the money can be recovered through the life insurance amount.
This is a very good policy of all the major banks giving education loan so that the dependants are not bothered to repay the education loan taken which may be in lakhs.
If its less than 4 lakhs an da guarantor
a) 10th,12th,Graduation,mark-sheet and all passing certificate.
b) selection letter and fees Structure.
c) 2 Passport size photographs.
d) any govt photo id/pan card/voting card/driving license
e) passport(must for study in abroad)
f) Identity proof with signature.
g) Experience proof (if working).
Co-borrower Docs (Salaried employee):
a) last 8 months bank statement required of salary account
b) last 3 months salary slip
c) last 3 yrs form 16, ITR
d) pan card
e) Residential proof(electricity bill,voter id,passpo
Banks directly give to the Institute through which you are doing the course. Therefore they require Admission Confirmation Letter from the concerned Institute. This is a full proof method to avoid money laundering and frauds.
These benefits help you to reduce the overall cost of your education loan.
The deduction under section 80E is available to an individual if following conditions are satisfied:
Deduction available only to Individual not to HUF or other type of Assessee.
Deduction amount: – The amount of interest paid is eligible for deduction and moreover there is no cap on the amount to be deducted. You can deduct the entire interest amount from your taxable income. However there is no benefit available on the repayment of principal amount of t