Education loans – State Bank of India
How To Get Education Loan – A term loan given to Indian citizens for pursuing higher education in India or abroad where admission is secured.
Eligible Courses
All courses with employment potential are eligible.
- Undergraduate Courses/Post Graduate Courses/Professional Courses
- Other courses approved by UGC/Govt./AICTE etc.
Expenses considered for Loan
- Fee Payable to College/School/Hostel
- Examination/Library/Laboratory Fee
- Purchase of books/equipment/equipment/uniform
- Caution Deposit / Building Fund / Refundable Deposit (maximum 10% of tuition fee for the entire course)
- Travel expenses/passage money for studies abroad
- Purchase of computers deemed necessary to complete the course
- The cost of a two wheeler is Rs. 50,000/-
Any other expenses required to complete the course like study tour, project work etc.
Amount of Loan
- The maximum amount for studies in India is Rs. 10 lakh
- Study abroad, up to Rs. 2 million
SBI Student Loan Scheme
| Loan Amount | Rate of Interest |
| For loans upto Rs.7.5 lacs | 2% above MCLR, currently 11.10% p.a. |
| Above Rs.7.50 lacs | 1.85% above MCLR, currently 10.75% p.a. |
*(0.50% concession in interest for girl students)
*(Rebate of 1% for the full tenure of the loan, if interest is immediately serviced and when applied during the moratorium period, including the course period#
Repayment Tenure
Repayment will start one year after the completion of the course or 6 months after securing the job, whichever is earlier.
| Place of Study | Loan Amount | Repayment Period in Years |
| Studies in India | Rs. 10.0 lacs | 5-7 |
| Studies Abroad | Rs. 20.0 lacs | 5-7 |
Security
| Amount | For loans upto Rs. 10.00 lacs for Studies in India and upto Rs. 20.00 lacs for studies abroad |
| Upto Rs. 4 lacs | No Security |
| Above Rs. 4 lacs to Rs. 7.50 lacs | Collateral security in the form of suitable third party guarantee. The bank may, at its discretion, in exceptional cases, weive third party guarantee if satisfied with the net-worth/means of parent/s who would be executing the documents as “joint borrower”. |
All loans must be secured by the parent/guardian of the student borrower. In the case of a married person, the co-binding can be either the spouse or the parents/in-laws.
Margin
- For Loans up to Rs.4.0 Lakh : No Margin
- For loans above Rs.4.0 lakh:
- Study in India: 5%
- Study Abroad: 15%
Documentation Required
Complete education loan application form.
Marksheet of final qualifying examination
Proof of Admission Scholarship, Scholarship etc.
Schedule of Expenses for the specified course
2 passport size photographs
Bank account details of the borrower for the last six months
Income Tax Assessment Order of last 2 years
Brief description of the assets and liabilities of the co-borrower
Proof of Income (i.e. Salary Slip / Form 16 etc.)
- Conditions Apply
For details on Education Loans, click here.
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