SBI Bank Education Loan in India

Education Loan in India by SBI Bank – The State Bank of India is one of the topmost education loan benefactors in India. Each and every year the bank endows loans to the candidates who secured admissions in several documented institutions in India and abroad with no dispensation fee.

State Bank of India is an Indian cosmopolitan financial services establishment that was established in 1921. State Bank of India has a functioning occurrence of over 14,000 twigs in India helping masses of happy customers. The bank has a much expanded assortment that comprises services in international banking services, personal banking, business banking and.

SBI Education Loan is of three classifications – for education in India and abroad, for education in premier Indian institutions and loan for pursuing occupational edification and training.

SBI Bank Education Loan in India Eligibility

  • The students need be a citizen of India.
  • The students must have achieved admission in any of the renowned institution of higher education in the world.
  • The applicant must have gained admission to one of the following courses:
  1. Job oriented professional degree courses.
  2. Job oriented professional diploma courses.
  3. Job oriented technical degree courses.
  4. Courses conducted by CPA (Certified Public Accountant) in USA and CIMA (Chartered Institute of Management Accountants) – London

SBI Bank Education Loan in India Features

Purpose:

SBI Student Loan system is accessible to Indian nations for pursuing higher education in India or at an overseas institution. SBI Scholar Loan scheme is vacant to candidates who have secured admissions in foremost Indian institutions. A separate loan scheme is offered for pursuing professional education and training in India.

Expenses Considered for SBI Education Loan:

SBI provides teaching loan for up to Rs. 30 lakhs for candidates who wish to go overseas for higher education. The expenditures covered in the student loan are:

  • Tuition and course fee
  • Examination, library and laboratory fees
  • Caution deposit
  • Cost of books, apparatus and other instruments.

The following incomes are considered only for the student loan scheme and not for the professional training loan.

  • Price of a two wheeler up to Rs.50, 000
  • Travel expenditures and passage cash for abroad studies
  • Cautiousness deposit, building fund and other refundable deposit which amounts up to 10% of the tuition fees for the entire semester
  • Any other expenditure is obligatory to complete the project like education tours, theory, project etc.

Amount of SBI Bank Education Loan in India:

  • SBI Student Loan Scheme
  • A maximum of Rs.10 lakhs is accessible for educations in India. For educations in abroad, a maximum of Rs.30 lakhs is offered as loan.
  • State Bank of India Scholar Loan Scheme
Category of the educational institutionMaximum Loan Limit
Without SecurityWith Security
List AARs.30 LakhsNA
List ARs.20 lakhsRs.30 lakhs
List BRs.20 lakhsNA
List CRs.7.5 lakhsRs.30 lakhs
  • Loan Scheme for Vocational Education and Training

For courses of duration up to 6 months, loans up to Rs. 50,000 are delivered. A maximum of Rs.1 lakh is provided as loan for courses of duration above 6 months.

SBI Bank Education Loan in India Interest Rates

  • SBI Student Loan Scheme
Loan AmountRate of Interest
Up to Rs.4 lakhs3.50% above base rate
Above Rs.4 lakhs and up to Rs.7.5 lakhs3.75% above base rate
Above Rs.7.50 lakhs1.75% above base rate

The base rate is fixed at 9.85%. A concession of 0.50% is provided for girl students and a 1% concession is accessible for full tenancy of loan, if the interest is examined punctually throughout moratorium and course period.

  • SBI Scholar Loan scheme
Type of InstitutionInterest Rate per annum
List AA25 bps above base rate (10.10% at present)
List A25 bps above base rate (10.10% at present)
List BFor unsecured loan up to Rs.20 lakhs, 50 bps above base rate (10.35% at present)
List C175 bps above base rate (11.60% at present)
  • SBI Loan for Vocational Education and Training

The rate of interest is fixed at 3.50% above the base rate of 9.85%

SBI Bank Education Loan in India – Repayment Tenure

  • SBI Student Loans
Maximum Loan AmountRepayment Period
Up to Rs.4 lakhsUp to 10 years
Above Rs.4 lakhs to up to Rs.7.5 lakhsUp to 10 years
Above Rs.7.5 lakhsUp to 12 years
  • SBI Scholar Education Loan

The maximum reimbursement tenancy is 12 years. The payment duration starts after 6 months of course accomplishment.

  • SBI Loan for Vocational Education and Training

For courses of duration up to 1 year, the reimbursement period can be up to 3 years. For courses of duration above 1 year, the repayment period can outspread up to 5 years.

Security for SBI Bank Education Loan in India

  • SBI Student Education Loan
Loan AmountSecurity
Up to Rs.4 lakhParent or guardian as co-borrower
Above Rs.4 lakhs and to Rs.7.50 lakhsParent or guardian as co-borrower and collateral security in the form of a third party guarantee
Above Rs.7.50 lakhsParent or guardian as co-borrower and tangible collateral security

SBI Bank Education Loans in India Documents required

  • Completed application form
  • Two passport size photographs
  • Letter of admission from the University
  • Documents on the cost of studies
  • PAN card of the candidate
  • Proof of identity (any one)
  1. Passport
  2. Driving license
  3. Voters ID card
  4. Aadhaar card
  • Proof of residence
  1. Passport
  2. Driving license
  3. Voters ID card
  4. Electricity bill
  5. Telephone bill
  • Student/ co-borrower/ guarantor’s bank account statement for the last six months
  • Statement of assets and liabilities of student/ co-borrower/ guarantor
  • Student/ co-borrower/ guarantor’s proof of income

Security needed to take education loan from SBI

If the applicant is taking a student loan up to four lakhs, the only safekeeping compulsory is the parental or guardian as the co-borrower. If the loan sum is between 4 lakhs and 7.5 lakhs, the candidate must deliver parental or guardian as the co-borrower and guarantee security in the form of the particulars of the Gross Annual Income of the parent or guardian. If the student is applying for an education loan above 7.5 lakhs, the parent or guardian must be the co-borrower and the applicant must show tangible warranty security.

Repayment SBI Bank Education Loan in India

The students who take educational loan up to 4 lakhs or between 4 lakhs and 7.5 lakhs will get 10 years to reimburse the total amount. The reimbursement duration for the loan amount above 7.5 lakhs is 20 years.

The rate of interest of education loan is given below:

Loan amountAbove Base RateCurrent Rate
Up to Rs. 4 lakhs3.50%13.50%
4-7.5 lakhs3.75%13.75%
Above 7.5 lakhs1.75%11.75%

* Girls will have 0.50% concession

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