Central Bank of India Study Loan / Student loan: Details on Interest Rates, Documents, Fees and Charges, Repayment Options, Benefits, Eligibility and Other Details of Central Bank of India Education loans Online.
Cent Vidyarthi Loans For IIM’s Students, Weeker Students, Poor Students, Vocational Education and Training Courses.
Central Bank of India Education loan Interest Rates 2018
|For IIM Students||8.80%||8.30%||8.30%|
|Eligibility for Central Bank of India Education Loan||
|Nature of Facility||Term Loan|
|Expenses considered for loan||
It is likely that expenditure under Item Nos. vi, vii & viii above may not be available in the schedule of fees and charges prescribed by the college authorities. Therefore, a realistic assessment may be made of the requirement under these heads. However, the maximum expenses included under vi, vii & viii may be capped at 20% of the total tuition fees payable for completion of the course.
|Maximum loan amount||Rs. 10 lacs for studies in India.
Rs. 20 lacs for studies Abroad.
The ceilings fixed for studies in India and Abroad correspond to the limits fixed by the RBI for treatment as priority sector lending. However Regional Managerscan consider/sanction higher quantum of loan on course to course basis and on merits subject to condition that the loan amount should be backed by 100% liquid security/collateral security. It may also be noted that even loans in excess of Rs. 10 lakh qualify for interest subsidy under Central Sector Interest Subsidy Scheme for loans up to Rs.10 lakh.
|Margin||Upto Rs. 4 lacs : NIL, Above Rs. 4 lacs:In India – 5% ,Abroad – 15% Margin (scholarship may be included in margin.)|
|Incentive||1% interest concession may be provided by the bank, if interest is serviced during the study period and subsequent moratorium period prior to commencement of repayment.
Interest is calculated at simple basis during Repayment Holiday / Moratorium Period. Interest will be compounded on monthly rests from due date of first instalment.
|Disbursement||Payment directly to college / hostel / mess / airlines etc. In appropriate cases disbursement to be made to borrowers subject to satisfactory evidence. Original receipts to be submitted.|
|Repayment||Repayment to commence 12 months after completion of studies or 6 months after securing job whichever is earlier.
Maximum repayment period upto 10 years for loans upto Rs.7.50 lakh
Maximum repayment period upto 15 years for loans above Rs.7.50 lakh. Repayment on EMI basis.
|Security||Upto Rs 4 lacs||Parent(s)/guardian to be joint borrower(s). Assignment of future income of the student for payment of loan instalments. No security.|
|Above Rs.4 lacs and upto Rs7.5 lakhs||Besides the Parent(s)/guardian executing the documents as joint borrower(s), collateral security in the form of suitable third party guarantee will be taken along with the assignment of future income of the student for payment of instalments. The Executive Director and above, at their discretion, in exceptional cases, waive third party guarantee if satisfied with the net-worth / means of parent/s who would be executing the document as joint borrower(s).|
|Above Rs.7.5 lakhs||Parent(s)/guardian to be joint borrower(s). Tangible collateral security of suitable value acceptable to bank, along with the assignment of future income of the student for payment of instalments.|
Comprehensive life insurance policy for the student availing Educational Loan to the minimum of loan amount for a minimum period of loan term (i.e., course period + moratorium period + repayment period) assigned in favour of the Bank. Premium to be paid regularly.
Regional Manager is empowered to waive the condition of insurance very selectively but the education loan amount should be covered by 100% liquid security/collateral security.
|Central sector interest subsidy scheme:||It need to be noted that while the Central Sector Interest Subsidy Scheme of MoHRD is based on ‘IBA Model Educational Loan Scheme’, the subsidy is applicable only for loans given for Professional and Technical courses (after 12th standard) in India.
It may also be noted that even loans in excess of Rs. 10 lakh qualify for interest subsidy under Central Sector Interest Subsidy Scheme of MoHRD for loans up to Rs.10 lakh.
|Educational Loans to students under Management Quota||
Irrespective of loan amount, 100% tangible collateral security acceptable to bank should be obtained along with assignment of future income of the student for payment of instalments.
|Processing Fees||No Processing Fees|
Other Loan Offers From Central Bank of India:-
- Central Bank of India Home Loan
- Central Bank of India Personal Loan
- Central Bank of India Credit Card
Source: Centralbankofindia Website