IDBI BANK Education loan for Higher studies in India and in Abroad

IDBI BANK Education Loan  IDBI BANK Education loan for Higher studies in India and in  Abroad : Education loans from IDBI Bank aims to provide financial support for deserved merit students to pursue further education in India and also in abroad. There are many courses to choose from and for easy repayment options, IDBI Bank make sure to you to get complete financial backing.

Courses offered

An installment which is based on loan for all courses are mentioned below:

a. Studies in India:

• Graduation courses includes BA, B.Com., B.Sc., etc
• Post Graduation courses includes Masters & Phd
• Professional courses includes Medical, Agriculture, Veterinary, Law, Engineering, Dental, Management, Computer etc
• Computer certificate courses from reputed institutes that are accredited to Dept. of Electronics or to institutes affiliated to university
• Courses like ICWA, CA, CFA etc
• Courses that conducted by IIM, IIT, IISc, XLRI. NIFT etc
• Courses which are offered by reputed foreign universities in India
• Evening courses that are by approved institutes
• Other courses leads to diploma / degree etc. which are conducted by colleges / universities which has been approved by UGC / Govt. / AICTE/ AIBMS / ICMR etc
• Courses which are offered by National Institutes and by other reputed private institutions. Banks may have the system to appraise by other institution courses that depends on future prospects/ recognition by user institutions.

b. Studies abroad:

• Graduation: For job oriented professionals and the technical courses which are offered by reputed universities.
• Post graduation like MCA, MBA, MS, etc. Courses conducted by CIMA- London, CPA in USA etc.

c. Special Courses

• Regular Degree or Diploma courses like Aeronautical, pilot training, shipping etc., which are approved by Director General of Civil Aviation or Shipping. In case of this course which is pursued in abroad, the competent local aviation or the shipping authority should recognize by the Institute.

Loan Amount
Maximum loan amount:

• Study Abroad -20 lakhs
• Study in India-10 lakhs

Loan Margin:

• Upto  4 lac No margin is required
• Above  4 lac  who study in India margin would be 5% of the total course expenditure/ studies in abroad margin would be 15% of the total course expenditure

Expenses Covered under Loan

• Fee payable to college / school/ hostel
• Any other expense required to complete the course – like study tours, project work, thesis, etc.
• Insurance premium for student borrower
• 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 that is essential to complete the course

Repayment terms

The repayment of loan that begins after the course period + 1 year or 6 months after getting a job, which is earlier. The loan should be repaid within 5 to 7 years with a maximum tenure of 84 months after commencement of repayment.

Rate of Interest

Loan amount	Rate of Interest (RoI)
Up to  4 lakhs	13.25%p.a.(Linked to BR)
Above 4 lakhs and up to  7.5 lakhs	13.50%p.a.(Linked to BR)
Above  7.5 lakhs up to  20 lakhs	13.00%p.a.(Linked to BR)

Base Rate(BR) = 10.75% (w.e.f. August 01,2011) Base rate subject to change

Simple interest that is to be charged at repayment period holiday and moratorium Accumulated interest at the repayment holiday period that should be added to the EMIs.

Where the borrower has not opted to repay holiday or is willing to service the interest at the repayment holiday (for principal)in the interest rate should be 1.00% less than the applicable rate.

• 50 basis points would be reduced for girl applicants
• 50 basis points would be reduced for physically challenged applicants or subjects for submission of certificate by a medical practitioner)
• 25 basis points for students who belong to SC/ST/Minority community
• 25 basis points for girl applicants ho belong to SC/ST/Minority community

Collateral Security

Up to  4 lacs	No security
Above  4 lacs and up to   7.5 lacs	Collateral in the form of a third party guarantee
Above  7.5 lacs	Collateral security in the form of Land/ building, (The minimum value shall be 1.33 times the amount of loan sought). Govt. securities/ Public Sector Bonds/ Units of UTI, NSC, KVP, LIC policy, gold, shares/ debentures, bank deposit in the name of parent/ guardian or in the name of the co-applicant (The minimum value shall be 1.1 times of the amount of loan sought).

Wherever the land or building which is mortgaged earlier, the unencumbered portion would be taken as security on IInd charge that is the basis to provide it that covers the required loan amount. In case the loan is given for purchase of a computer the same to be hypothecated to the Bank.