Education Loan .:: Bank of India ::.

Bank of India offering education loans under the following schemes 
1)Vidya Vardhini Scheme.
2) Star Education loan

Vidya Vardhini Scheme. 

Purpose: 
Pursuit of studies In India and abroad.
Approved Courses: 
Graduate and post-graduate courses in engineering, computer technology, medicine etc. All vocational courses/job oriented diploma courses, recognized by govt and universities. Similar courses pursued in universities abroad. Full time post graduate research in any of the afore said subjects.

Eligibility: 

Should be a citizen of India. For vocational training courses and job oriented course age of the individual should be between 15-28 years, and 18-30 in case of post graduate courses and/or studies abroad. The applicant should have a good academic record. For studies abroad, the candidate should have secured admission in a particular university after having appeared in the specific entrance examinations. The applicant should have secured a minimum of 50% marks in the major subject. In case of SC/ST candidates eligibility norms may be relaxed.

Amount of loan: 
The loan could vary depending on the specific subject requirement. For studies abroad Rs15 lakhs. For studies in India Rs 7.5lakhs.
Margin: 
Upto Rs 4lakhs –nil,
For Studies in India- 5%,
For studies abroad-15%.

Repayment: 
Within 15 years from the first date of disbursement, including moratorium period.
Contact: 
Delhi-Tel: 3312654, 3311557, Bangalore-Tel: 2212485, 2271130, Chennai-Tel: 8270041, 8276143, Hyderabad-Tel: 3315263, 3324487, Kolkata-Tel: 2481973, 2485703, Mumbai-Tel: 2023020.

Star Education loan. 

 OBJECTIVE & PURPOSE: 
The Star Educational Loan Scheme aims at providing financial support from the bank to deserving/ meritorious students for pursuing higher education in India and abroad. The main emphasis is that every meritorious student is provided with an opportunity to pursue education with the financial support on affordable terms and conditions.

 ELIGIBILITY CRITERIA: 

STUDENT'S ELIGIBILITY:

• Should be an Indian National;
• Secured admission to professional/technical courses in India or Abroad through Entrance Test/Merit based

selection process.

• Good academic career.
• The student should not have outstanding education loan from any other Institution.
• Father/Mother should be co-borrower.
• Branch nearest to the permanent residence of student will consider the loan.

ELIGIBLE COURSE 

Studies in abroad:

• Graduation: For job oriented professional/technical courses offered by reputed universities.
• Post Graduation: MCA, MBA, MS, etc.
• Courses conducted by CIMA - London, CPA in USA, etc.

EXPENSES CONSIDERED FOR LOAN :

• Fee payable to college/school/hostel*
• Examination/Library/Laboratory fee.
• Purchase of books/equipments/instruments/uniforms.
• Caution deposit/building fund/refundable deposit supported by Institution bills/receipts.
• Travel expenses/passage money for studies abroad.
• Purchase of computers - essential for completion of the course.
• Insurance cover for the student.
• Any other expense required to complete the course - like study tours, project work, thesis, etc. 

* As per brochure/ demand letter from the institution.

QUANTUM OF FINANCE : 

Need based finance subject to repaying capacity of the parents/students with margin and the following ceilings :
Studies in India - Maximum Rs.10.00 lakh
Studies abroad - Maximum Rs.20.00 lakh.

MARGIN: 
Upto Rs.4 lakh : Nil
Above Rs.4 lakh - Studies in India : 5%
Studies Abroad : 15%• Scholarship could be included in margin.• Margin to be brought in on year to year basis as and when disbursements are made.

SECURITY:

• Upto Rs. 4 lakh : No security
• Above Rs.4 lakh & upto Rs.7.5 lakh : Collateral security in the form of a suitable third party guarantee.
• Above Rs.7.5 lakh : Co-obligation of Parents together with tangible Collateral security of suitable value alongwith the assignment of future income of the student for payment of installments.

Note : The security can be in the form of land/building/Govt. Securities/Public Sector Bonds/NSC/KVP/LIP/ Banks Term Deposit etc., in the name of Student/Parent/Guardian/Guarantor with suitable margin.

RATE OF INTEREST:

• Upto Rs.7.50 lacs – 3.50% above Base Rate, 12.00% p.a.
• Above Rs.7.50 lacs – 4.00% above Base Rate, 12.50% p.a.
• Simple interest during the repayment holiday/moratorium period. Penal interest @2% for loans above Rs.4 lakh for the overdue amount and overdue period.
• Int. Concession of 0.50%p.a. for woman beneficiaries for limits upto Rs.50,000/- and 1% for limits over Rs.50,000/-
• 1% int. concession if interest is serviced during moratorium period, where repayment holiday is specified for interest/repayment under the scheme (concession available for moratorium period) No processing charges.

One time charges for any deviations from the scheme norms including approval of courses outside the scheme -

• Upto Rs.4.00 lacs - Rs. 500/-
• Over Rs.4.00 lacs upto Rs.7.50 lacs - Rs.1000/-
• Over Rs.7.50 lacs upto Rs.20.00 lacs - Rs.2000/-

REPAYMENT: 

Repayment holiday/Moratorium : Course period + 1 year or 6 months after getting job, whichever is earlier.
The loan is to be repaid in 5-7 years after commencement of repayment.
BANK CHARGES: 
Processing/upfront charges
For Studies Abroad – Rs.1000 for issuance of sanction letter for obtention of VISA.
Amount refundable on availing loan.
Document /Stamp Charges
At Actuals
Change of Institution
Studies in India – Rs.250/-
Studies Abroad- Rs.500/-
Agreement(copy to borrower) Xerox charges
Loan upto Rs.2 lacs- Rs. 25/-*
Loan over Rs.2 lacs- Rs.100/-*
Plus copying charge of Rs.1 per page
One time charges for any deviations from the scheme norms including approval of courses outside the scheme –

• Upto Rs.4.00 lacs - Rs.500/-
• Above Rs.4.00 lacs to Rs.7.50 lacs - Rs.1,000/-
• Over Rs. 7.50 lacs upto Rs.20.00 lacs – Rs.2,000/-

In respect of loans availed by borrowers from rural areas from the Rural Branches – Charges NIL. On Line facility available for submission of application, tracking of application status and resume completion of incomplete application .
For further information, you may contact nearest branch of the Bank. Loan at the sole discretion of Bank of India.

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