Andhra Bank Education Loans

Andhra Bank was founded by Dr Bhogaraju Pattabhi Sitaramayya who was an illustrious personality and a renowned freedom fighter. Andhra bank was registered on 20th November, 1923. Today, it has branches throughout India and even in countries like the USA and the UAE.

Andhra provides timely and affordable education loans to suitable candidates. It offers such loans both for studying in India and for studying abroad.

Rate of Interest

The rate of interest for the Andhra Bank education loans is given below.

• If the loan amount is below Rs. 7.5 lakhs, the rate of interest shall be MCLR of 1 year + 2%.

• If the loan amount is more than Rs. 7.5 lakhs, the rate of interest shall be MCLR of 1 year + 1.7%.

Note: 

• There shall be a 0.5% concession for all girl students

• For students going for studies at premiere institutions, the concessional interest rate shall be the MCLR of 1 year + 0.2%.

• These rates apply to studies in India as well as abroad

Eligibility of the Student

• The student needs to be an Indian national.

• An NRI is accepted as long as the person has an Indian passport.

• The student should already have secured admission in a recognized institute for higher education, based on merit based selection process or an entrance test.

• The candidate should have completed the 10+2 exam or another equivalent exam.

• In cases where the student did not get admission through a merit-based test, the only criteria is the qualifying marks. 65% shall be the minimum cutoff marks in aggregate in case of the qualifying exam.

• The education loan is offered to meritorious students who, although qualified at the entrance exam, choose to study under the management quota for a number of reasons like course choice, proximity etc.

Eligibility of the Institute

Reputation of the institute and the course’s employability determine the eligibility of the loan.

The courses need to be offered by these institutes for the loan application to be considered.

Documents Needed

1. Application form No. 1079

2. ID proof and address proof of the borrower, guarantor, and co-borrower

3. Passport-sized photos of the borrower, guarantor, and co-borrower

4. Borrower’s proof of date of birth

5. Marksheets from class 10 onwards

6. Bonafide certificate

7. Certificate of domicile

8. Rank card

9. Proof of seat allotment

10. Particulars of the fees from the institution

11. Institution’s verification of accreditation

12. If the case of studying abroad: A certified copy of the visa and passport, letter of offer

13. Copy of the admission letter with a complete fee breakdown, including other expenses like health insurance and travel, along with a special power of attorney

14. Copy of admission letter from the university

15. Proof and source of income of parents and guardians

16. Photocopies of the property title deeds, LIC policies, NSCs, securities, shares, etc.

17. If collateral security is needed: certified copy of the property’s title deed, copies of all the link documents, receipts of tax payment, No Encumbrance certificate, a valuation report by an approved valuer, legal opinion of a legal advisor, a certification of inspection of security, and valuation of the property done by the bank manager

18. Legal audit when needed

19. An adjustment letter for adjustment of the loan’s residual amount

20. A declaration from the applicant that he or she has not taken any similar loan from any other bank

21. Verification report from branch officials or outsourcing agencies

22. Credit information from CIBIL

23. Reports for due diligence, credit investigation, and pre-sanction

24. If the loan is for getting employment abroad: certified copies of visa, passport, employment offer letter or work permit, and a certified copy from the recruitment agency