Student Education Loan Scheme Eligibility, Recommended Courses, Interest Rate

By | May 19, 2017

Student Education Loan Scheme Criteria

Education Loan Scheme || Student Education Loan || SBI Education Loan || Best Bank For Education Loan || Education Loan Eligibility || HDFC Education Loan || Education Loan Interest Rate || Education Loan Details

Education Loans

Every parent wants their children to get best education. Education is the base of bright future. But education has become so expensive these days. For a normal middle class family it’s quite difficult sometime to expend that much amount on education. Professional courses like Engineering, medical courses can cost 5-10 lakh a year.

Parents who are not able to pay big fee amount at one time they can get education loan. Education loans are great source to educate children without having one time burden of paying fee. You can apply loan for different type of courses. Loans are available for professional, vocation course, under graduate or post graduate.

Education loans are like boon for those students who deserve education from better institution. They provide tuition fee and other expense.

Loan application process

You want to apply for a loan get your documents ready in order.

  • Proof of admission cost.
  • Properly filled application form
  • Passport size photograph
  • Student’s academic record
  • Address proof
  • Identity proof
  • Income related proof of guardian
  • Schedule of course expenses
  • Details about the institute in which student is going to take admission.
  • Bank statements

Eligibility/factor for loan

·         Students can apply by their selves. Parent/sibling/spouse can be the guarantor.

·         Most of the bank have payback policy that student will start paying back 6 month or a year after completing their degree.

·         Student record like marks, achievement will be considered. How the academic background of student is important factor.

·         Co-borrower’s background will also get checked by banks.

Courses eligible for Educational Loans

Following courses are eligible for education loan

  • Undergraduate degrees/diplomas and special courses.
  • Postgraduate degrees/diplomas and special courses.
  • Phds and Doctoral Programmes.
  • Computer certificate course
  • Engineering diploma
  • Certificate courses from ITI
  • Data entry operator course
  • Nursing/Teacher Training certificate courses and B.Ed
  • Agriculture diploma
  • Veterinary diploma
  • Any job-oriented diploma or certificate course
  • Degree or diplomas for aeronautics, pilot training, shipping held by recognized regulatory bodies for the purpose of employment in India or abroad
  • Vocational courses run by a Government organization or department
  • Courses run by State Skill Missions, State Skill Corporations, or National Skill Development Corporation

Things to take care before getting an education loan

Here are some points to consider before taking an education loan:

1.      Education loans have become difficult to procure: due to increment in number of default cases education loan has become more difficult and formal. Banks are getting more conscious about giving loans as they are ensuring that student would be able to pay the loan or not.

2.      A solid repayment plan: You must think of a repayment plan from day one of having loan. Get stuck to the thing that you need to pay it back in well planned manner.

3.      Decide the amount of loan: candidates should first of all decide how much amount he/she can pay from their savings and how much amount can be borrowed from the bank as education loan.

4.      Keep copies of loan: Take care of record of all the copies received from banks related to education loan. So that in any confusion you can have hard proof with you.

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