Development Credit bank Indian and Foreign Education Loan

21 Mar, 2016

Development Credit bank Indian and Foreign Education Loan – Development Credit bank (DCB) was established 75 years ago from now. Development Credit Bank was a result of India’s economic liberalization policy. It is a private sector bank privatized on 31st May 1995. Currently it has as many as 72 regional branches in different states like New Delhi, Karnataka, Goa, Tamil Nadu, Maharashtra, Gujarat, West Bengal, Andhra Pradesh, Haryana, and in the two union territories of Dadra & Nagar Haveli and Daman & Diu. Development Credit Bank is in continuous efforts to work for the well-being of common public. As a result of this, it is involved in social activities in the areas of health, education and economic development under the present CEO and Managing Director of the Development Credit Bank, Mr. Gautam Vir supported by his board of directors. Development Credit Bank provides educational loans to commendable students who aspire to pursue higher studies. The maximum time compulsory for the processing of the loan is one week.

Eligibility Criterion

  • Candidates should belong to Indian citizenship.
  • The acceptable age of candidate should lie between 23-58 years slab.
  • Gross specifying annually income should be minimum Rs. 1, 00,000.
  • Candidate must have cleared previous examinations successfully and have got minimum 60% in such examinations.
  • Student must have ensured admission for further studies programs in his/her chosen institution in India or abroad via relevant entrance examinations or selection based on merit or via Management quota after completing higher secondary education.

Loan Amount

Varieties of mortgage amount options are accessible for candidates to select as per their requirements:

  • Lower slab: Rs. 50,000
  • Upper slab: Rs. 10, 00,000

Interest Rates

Check with the bank for real time interest rate as it subject to vary:

Salaried candidates 19.00% – 25.00%
Self-employed individuals 27.00%
Doctors 15.50% – 17.00%
Other professionals 18.50% – 21.00%
Existing Clients of Bank 17.00% – 21.00%
Other special schemes 18.50% – 26.00%

Service Charges

Mortgage processing charges 2.50%
Prepayment charges 5.00% on principal amount outstanding plus applicable taxes
No due certificate No charges
Solvency certificate No charges
Fine for late payment of EMI 36% plus applicable taxes
Fee for Cheques returns charges (per Cheques) Rs.500 plus applicable taxes
Fee for Cheques swapping (per swap) Rs.500 plus applicable taxes

Loan Tenure

Mortgage tenancy fluctuates from one to five years.

Eligible Courses

In India

  • Courses sanctioned by ICMR, UGC, AICTE, AIBMS, and Government etc. for Graduation/Post Graduation programs (Degree/Diploma) and conducted by reputed Colleges/Universities.
  • CFA, ICWA, CA, etc. courses.
  • Courses led by honored institutions like XLRI, IIM, NIFT, IIT, etc.
  • In India, permitted regular degree or diploma programs in fields like Aeronautics, Shipping, Pilot training etc. Aircraft Maintenance Engineering or Pre Sea training programs also should be accepted by suitable establishments.
  • B.Ed., nursing etc. programs also must be sanctioned by either Central or State Government.
  • Courses accessible by reputed and sanctioned Foreign Universities in India.
  • Research and Ph. D programs candidate for study in India may not apply.
  • Part time/ equivalent study programs are not suitable for this loan.

 In Abroad

  • Graduation and Post-graduation for courses which are job oriented and professional and/or technical in nature and are led by known and reputed universities. Like MCA, MBA, MS, PhD or CIMA-London, CPA etc.
  • PG diploma programs are allowable but Diploma courses are not acceptable to study abroad.


Disbursement is directly paid to University /College /Hostel etc.


  • Repayments start out one year after completion of the course or Six months after receiving job, whichever is earlier.
  • Simple Interest will be deducted three-monthly during the reimbursement moratorium period. When the reimbursement starts, the accumulated interest is added to the principal amount and EMI is fixed on total outstanding loan amount.

Credit Delivery

The loan can be facilitated from the branch neighboring to the place of enduring residence.

Loan Purpose

  • For the payment of College fees / School or Hostel Fees. Examination, Laboratory, Library charges.
  • For buying books/equipment.
  • To pay Caution Deposits.
  • To pay Travel Expenditures for learners who are chasing studies abroad.
  • For purchase of computer or uniforms
  • Insurance premium for learner recipient


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