SBI Education Loan
A variety of education loans are available from State Bank of India (SBI), with interest rates starting at 7.95% per annum. After the course is over, there is a moratorium period built into the variable repayment schedules. Prepayment of the loan, which is permitted at any point during the loan term, has no penalties. Some loans also provide female students with interest reductions.
SBI provides loans for both domestic and foreign students. Both professional and vocational studies are eligible for financial aid. You can also replace your high-interest loans with SBI loans that have lower interest rates thanks to takeover loans.
Compare SBI Education Loan Schemes for Students
|Loan schemes||Loan limit||Interest Rate||Processing fee||Concession|
|SBI Student Loan Scheme||Up to Rs.7.5 lakhAbove Rs.7.5 lakh||10.55%||For girl students, concession of 0.50% for both the loam limitsFor students availing of SBI Rinn Raksha or any other existing policy, concession of 0.50% will be offered|
|SBI Scholar Loan Scheme||AA list: Rs.40 lakhA list: Rs.20 lakh/Rs.30 lakhB list: Rs.20 lakhC list: Rs.7.5 lakh||AA list:IITs: 7.95%Other institutions: 8.00%A list:IITs: 7.95%Other institutions: 8.45%B list:IITs: 8.45%Other institutions: 8.95%C list:IITs: 8.45%Other institutions: 9.45%|| |
Loans up to Rs.20 lakh: NILLoans above Rs. 20 lacs: Rs. 10,000 plus taxes
|SBI Skill Loan Scheme|| Loan Scheme|
Up to Rs.1.5 Lakh
|SBI Global Ed- Vantage||Above Rs.7.50 lacs & up to Rs.1.5 crore||10.55%||For students availing of SBI Rinn Raksha or any other existing life policy: 0.50%Girl students: 0.50%|
|SBI Takeover of Education Loan Scheme||Above Rs.10 lakh & up to Rs.1.5 crore||10.55%||SBI Rinn Raksha or any other existing life policy: 0.50%Girl students: 0.50%|
|SBI Shaurya Education Loan||Up to Rs.7.50 lakhAbove Rs.7.50 lakh & up to Rs.1.50 crore||10.55%10.55% – 11.15%||Students availing SBI Rinn Raksha or any other existing life policy: 0.50%Girl students: 0.50%|
Features of SBI Education Loan 2023:-
|Loan Amount||Studies in India: Maximum limit can be considered up to Rs.50 lakhMedical Courses: Up to Rs.30 lakhOther Courses: Up to Rs.10 lakhStudies in Abroad: Up to Rs.7.50 lakh maximum limit is Rs.1.50 crore under Global Ed-vantage scheme|
|Processing Charges||Loans up to Rs.20 lakh: NilLoans above Rs. 20 lakh: Rs.10,000 plus tax|
|Repayment period||Up to 15 years after Course Period along with 12 months of repayment holiday|
|Security||Only a parent or legal guardian may co-borrow up to Rs. 7.5 lakh. Over Rs. 7.5 lakh: Co-borrower status for a parent or guardian and physical collateral security|
|Margin||For amounts up to Rs.4 lakh, there is no margin. For amounts over Rs. 4 lakh, the margin for both domestic and international studies is 5.00% and 15%, respectively.|
|Courses covered||India: certificate courses and government-approved graduation, post-graduation, and AICTE/IMC programmes Regular or degree-granting courses offered by independent universities like IITs, IIMs, etc. Teacher preparation programmes and nursing programmes must be approved by the federal or state governments. Regular degree or diploma programmes allowed by the director general of civil aviation or shipping include shipping, pilot training, aeronautical, etc. Abroad: courses leading to professional or technical degrees, post-graduate degrees, and diplomas, such as MCA, MBA, MS, etc. London-based Chartered Institute of Management Accountants (CIMA) programmes Courses for Certified Public Accounting (CPA) in the USA|
|Expenses covered||Hostel, college, or other fees Charges for consultations, libraries, or laboratories books, tools, instruments, or clothes, 20% of the total tuition is spent on the purchase of computers and other materials that are necessary for finishing the course. The maximum caution deposit, building fund, and a refundable deposit is 10% of the total tuition fees. travel costs associated with studying abroad Cost of a two-wheeler can reach Rs. 50,000. Other costs, such as project work and study tours, etc.|
Note: No Collateral Security or third-party guarantee on amounts above Rs.7.5 lakh
Documents required to avail SBI Education Loan 2023
The following is the list of documents required to avail SBI Education Loan:
- Mark sheet of 10, 12, graduation, and entrance examination
- Admission Letter or offer letter as proof of admission to the course.
- Course expense details.
- Documents confirming scholarship or free ship
- Self-declaration for a gap in studies (if applicable)
- One passport-size photograph of each of the student and parent/co-borrower/co-applicant
- For loans above Rs 7.50 lacs, an asset-liability statement of the co-applicant or guarantor is required
- Latest salary slips and Form 16 or IT Return for salaried applicants
- Business address proof and latest salary slip for non-salaried applicants
- Last six months’ bank account statements of the parent, guarantor, or guardian
- If immovable property is offered as collateral security, then a copy of the Sale Deed is needed
- PAN of student and parent, guarantor, or co-borrower
- Officially Valid Documents (OVD)
- Driving license
- Voter ID card
- NREGA job card signed by a State Government officer
- A letter containing the name and address issued by the National Population Register
How to Apply for SBI Education Loan Online/Offline
You can apply for an SBI education loan either online or offline
Step 1: Visit the SBI official website.
Step 2: Navigate to the section on Education Loan.
Step 3: Choose your preferred loan option.
Step 4: Click on “Apply Now”.
Step 5: You will be redirected to the SBI website.
Step 6: Register yourself by entering all your details.
Step 7: Finally apply for the loan.
Step 8: A bank representative will get in touch with you.
SBI Scholar Loans: Available in select campuses or mapped branches.
Step 1: Walk into your nearest SBI branch with all the necessary documents.
Step 2: Fill in and submit the application form that you can obtain from there.
SBI Scholar Loans – Available in select campuses or mapped branches.
Subsidy Schemes on SBI Education Loan
SBI provides interest subsidy programmes for education loans, allowing qualifying students to save money while maintaining their academic progress. Below are a few of these schemes:
1. Central Scheme for Interest Subsidy for Economically Weaker Sections: The annual gross income of the parents or household cannot be higher than Rs. 4.5 lakh. This is applicable to programs in accredited technical and professional schools in India. The assistance is given throughout the EMI moratorium.
2. Padho Pardesh: This programme offers minority students a reimbursement for their interest in studying abroad. For the master’s, doctoral, and M.Phil. levels.
3. Dr. Ambedkar Central Sector Scheme: This is for students from Economically Backward Castes (EBCs) and Other Backward Castes to receive an interest subsidy on educational loans for abroad study (OBCs).
SBI Education Loan Repayment Rules
Under the SBI education loan policy plan, there is a moratorium period for courses lasting longer than six months. There is no requirement to pay anything at this time. Under both the SBI Student Loan Scheme and the SBI Global Advantage Scheme, the repayment of your SBI Education loan begins six months after you have finished your studies.
While you are still enrolled in your studies abroad, the majority of commercial banks and NBFCs require at least a partial payment of interest. There is no such thing as a moratorium period. This section needs to be revised.