PNB Education Loans

PNB Pravasi Shiksha Loan

PNB Saraswati

PNB Pratibha

Description

It aims at facilitating the education of students who are PIO  (Person of Indian Origin) or OCI (Overseas Citizen in India).

It aims to offer financial support to students who wish to pursue education within India

It aims at offering timely education loans to deserving students who have already gained admission at premier Indian institutes.

Eligibility

PIOs, OCIs, wards of Indian parents during their stay abroad, as long as they have already secured admission in an institution

Indian citizen and must have already gotten admission through an entrance or merit test

Management quota cases are considered on a case-to-case basis

Indian citizen, Must have already secured admission in regular full time degree/diploma courses provided by premiere institutes, engineering colleges, business schools, medical colleges and others

KYC

All required documents as required. Passport and OCI card is mandatory.

All required documents as required

All required documents

Expenses Sanctioned

1-time travel expense to India, hostel accommodation as provided by the college

• Fees for college tuition, rent at hostel and school

• Library, exam, and lab fees

• Passage money and traveling expenses

• The student borrower's insurance premium

• Building fund, caution deposit, and refundable deposits (supported by receipts and bills)

• Buying uniforms, books, equipment, and instruments

• Buying a computer available at a reasonable price (if needed for course completion)

• Other expenses required for course completion, like thesis, study tour, and project work

• Need-based loan, the provision of which is subject to the repaying capacity of the student’s parents after the student gets employment 

• Reimbursement of fees provided within 6 months is decided on a case-to-case basis

Age Criteria

No minimum age limit but minors are not permitted

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Courses Eligible

Full Time UG, PG, Elective courses and Diploma courses are allowed 

Approved courses that lead to UG, PG, PG Diplomas given by UGC/ AICTE/ Govt./ AIBMS/ ICMR etc. 

• Courses like CA, ICWA, CFA etc.

• Courses offered by IIMs, IISc,IITs, NIFT, XLRI, NID etc.

• Regular degree and diploma vocational courses offered by the Indian government

• Advanced Diploma course in the Banking Technology offered by PNB IIT in Lucknow

• Foreign-university approved courses within India

• Research programs

Part-time PG management courses for executives and senior executives are also considered

Institutes Covered

Identified Indian educational institutions

See above

Institutes covered

Loan Amount and Margin

Based on individual needs and 20% margin

• No margin upto Rs. 4 lakhs loan amount

• 5% margin above Rs. 4 lakhs loan amount

• Assistantship/scholarship shall be considered

• Margin can be on a yearly basis when pro-rata disbursements are made

• If the institute is covered- Nil

• If the institute is not covered-
  -No Margin up to Rs. 4 lakhs,
  -5% margin above Rs. 4 lakhs

• Assistantship/scholarship shall be considered

• Margin can be on a yearly basis when pro-rata disbursements are made-

In Annex. I- Nil

In Annex.II- 5%

Security

Registered mortgage of immovable property within India in the guarantor’s name, which needs to be at least 125% of the loan’s value (not be agricultural or farm related property)

OR 

Liquid security that is at least 125% of the loan’s value

• When loan is up to Rs. 7.5 lakhs, parents can be joint borrowers, and tangible security and 3rd party guarantee is not needed

• When loan amount is above Rs. 7.5 lakhs, parents can be joint borrowers and collateral security of suitable value is needed

Co-obligation of parents or guardians to pay back the loan as joint borrowers

Guarantors

A written guarantee of those who are offering collateral security is mandatory

Parents

Parents or Guardians

Insurance Cover

LIC is needed and needs to be equal to the loan amount including interest accrued during Moratorium

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Repayment Period

Maximum of 10 years, apart from moratorium

15 years maximum

15 years maximum

Moratorium Period

Full course period plus 6 months

Course period plus 1 year

Course period plus 1 year

Rate of Interest

MCLR+2.00%

• MCLR+2% for loans till Rs. 7.5 lakhs

• MCLR+2.60 for loans beyond Rs. 7.5 lakhs

For admission to institutes other than IIM, IIT, XLRI, NIT and Jamshedpur:

-Loan up till Rs. 7.5 lakhs- MCLR+0.60%
-Loan beyond Rs. 7.5 lakhs- MCLR+0.10

For admission to institutes other than IIM, IIT, XLRI, NIT and Jamshedpur:

-Loan up till Rs. 7.5 lakhs- MCLR+0.50%
-Loan beyond Rs. 7.5 lakhs- MCLR

Processing Fee

• For students in India- Nil

• For studying abroad- 1% of the loan amount and Rs, 10k (non-refundable)

• For studies within India= Nil

• For studies abroad: Minimum 1%, Rs. 10000

See above

Documentation Fee

Rs 450

• Rs. 270 for loans of upto Rs. 4 lakhs

• Rs. 450 for loans beyond Rs. 4 lakhs

• For courses in IIT and IIM= Nil

• Rs. 270 for loans of upto Rs. 4 lakhs

• Rs. 450 for loans beyond Rs. 4 lakhs

• For courses in IIT and IIM= Nil

PNB Udaan

PNB Kaushal

PNB HONHAAR

Description

It aims to support students who wish to pursue studies abroad. 

This scheme aims at providing education financial support to deserving candidates for their skill development. 

The scheme is also applicable for those who have already secured admission in skill development courses that have no minimum course duration

It aims to support students who wish to pursue studies in Delhi.

Eligibility

The student needs to be an Indian national, and should have secured admission to the institution through an entrance or merit test

The candidate needs to be an Indian national

And should have already gained admission in an institute or college

• The student needs to be an Indian national.

• Needs to pursue a degree or diploma or skill development courses within Delhi and should have completed their Class X or Class XII from Delhi itself

• The student should already have had gained admittance in skill development or advanced courses in recognized institutions within Delhi, based on merit tests.

KYC

Required

Required

Required

Expenses Sanctioned

• Institution fees

• Fees for library, exam, and lab

• Passage money and travel expenses

• LIC premiums for the student borrower, as applicable

• Building fund, caution deposit, and refundable deposits

• Purchase of instruments, books, uniforms and equipment

• Buying of a reasonably-priced laptop

• Other expenses required for the completion of the course

Need-based loan finance for meeting the expenses based on these ceilings: 

Minimum of Rs. 5000 and a Maximum or Rs. 1,50,000.

• Institution fees

• Fees for library, exam, and lab

• Passage money and travel expenses

• LIC premiums for the student borrower, as applicable

• Building fund, caution deposit, and refundable deposits

• Purchase of instruments, books, uniforms and equipment

• Buying of a reasonably-priced laptop

• Other expenses required for the completion of the course

• Scholarships and fee waivers, if any, are taken into account for loan amount computation

• In case the scholarship component is included, it is credited to the loan amount when the scholarship is received from the Indian Government.

Courses Eligible

The courses include UG, PG, CIMA courses, degree and diploma courses and those taught by reputed institutes.

Courses eligible are those run by ITIs, any polytechnic institute, by schools recognized by the central or state boards of education, a college or a recognized university partnered with NSDC, State Skill development, State Skill Corporation etc. which lead to degrees, diplomas, and certificates according to the National Skill Level Qualification Framework.

See Eligibility, or check out this link.

Institutes Covered

List of institutions

See above

Recognized institutions in Delhi only

Loan Amount and Margin

• No margin upto Rs. 4 lakhs loan amount

• 15% margin above Rs. 4 lakhs loan amount

• Assistantship/scholarship shall be considered

• Margin can be on a yearly basis when pro-rata disbursements are made

No margin

Minimum of Rs. 5000 and a Maximum or Rs. 1,50,000.

Loan amount shall be need-based and shall be at a maximum of Rs. 10 lakhs to meet the course expenses.

No Margin.

Security

• When the loan is of up to Rs. 7.5 lakhs, parents can be joint borrowers, and tangible security and 3rd party guarantee is not needed

• When loan amount is above Rs. 7.5 lakhs, parents can be joint borrowers and collateral security of suitable value is needed

Parents and guardians are to be the joint-borrowers, and third party guarantees and collateral securities are not needed.

Parents and guardians are to be the joint-borrowers, and third party guarantees and collateral securities are not needed.

Guarantors

See above

Parents and guardians

Parents and guardians

Repayment Period

Upto 15 years

• Upto 3 years in case of loans of up to Rs. 50k

• Upto 5 years for loans from Rs. 50k to 100k

• Upto 7 years for loans beyond Rs 100k

Upto 15 years

Moratorium Period

Course period plus 1 year

• 6 months from course completion for courses whose duration is 1 year

• 12 months from course completion when the course duration is beyond 1 year

Course period plus 1 year

Rate of Interest

• MCLR+2% for loans of up to Rs. 7.5 lakhs

• MCLR+2.60 for loans beyond Rs. 7.5 lakhs

• MCLR+1.85% for loans irrespective of the amount

• MCLR+1.85 for loans for studying at premiere institutions, wherein the loan is of up to Rs. 7.5 lakhs

• MCLR+1.85 for Others

• MCLR+1.5% for loans till Rs. 1.5 lakhs

• MCLR+0.50 for loans for wards of PNB employees, in which the employee is the co-borrower or guarantor

• MCLR+2.0% for loans of up to Rs. 10 lakhs

Processing Fee

• No processing fees for studying in India

• 1% min. For studying abroad

• Rs. 10000 refundable sum that is paid back after the first disbursement

• No fees for studying in India

• 1% Minimum Rs.10000/ refundable after the 1st disbursement for studying abroad

• No fees for studying in India

• 1% Minimum Rs.10000/ refundable after the 1st disbursement for studying abroad

Documentation Fee

Rs.270/- for loans of upto Rs. 4 lakhs   

Rs 450 for loans above Rs. 4 lakhs

NIL for studies in IIM and IIT

Rs.270 for loans of upto Rs.4 lac 

No fees for IIT and IIM courses

Rs.450 for loans above Rs. 4 lakhs

Rs.270 for loans of upto Rs.4 lac 

No fees for IIT and IIM courses

Rs.450 for loans above Rs. 4 lakhs

PNB BIHAR STUDENT CREDIT CARD SCHEME

Concessional Education Loan

Padho Pardesh

Description

The PNB Bihar Student Credit Card Scheme aims to promote financial support for the education of candidates who had already passed their Class XII exam from Government of Bihar recognized institutions. This loan is for such candidates who are otherwise unable to start the course due to lack of funds 

This scheme also supports courses outside Bihar as long as they are Technical and Non-Technical courses

This education loan is offered to people with disabilities and applies to all other existing educational loans schemes under the bank.

This Central Sector Scheme seeks to offer overseas study loan interest subsidy to students of minority communities, on the interest payable for the moratorium period.

Eligibility

• The student needs to be an Indian national.

• Should be a resident of the state of Bihar

• Should not be more than 25 years of age.

• The student should have passed the intermediate exam from institutions that are recognized by the Bihar Exam committee, by the Central Board of Secondary Education, or similar boards

• Students who have passed the Sub-Shastri from recognized institutions, and students who have passed under the Bihar State Madrasa System. All of these need to be in Bihar.

• Loan is not applicable for technical management courses but for courses like MCA and MBA. If the applicant holds degree of one level, he/she shall not be given loan for a degree of the same level

• The student’s credit score needs to be more than or equal to 700. If the score is lower than this, the loan needs to be sanctioned by a higher authority.

• The student needs to be going for courses at educational institutions that are recognized by the Bihar government, the Central government or other state governments.

• Student mandatorily needs to have either Aadhar card number or a UID number.

• Loan shall be provided only after the student’s PAN card number is provided.

The loan is provided to students who have 40% or more than 40% disability, as agreed on the Disability certificate which has been issued by the appropriate authorities empowered to do so under the State, Central, and UT governments.

• The student should already have secured admission in courses which are approved, such as Masters, Ph.D, and M.Phil.

• The student should have secured a loan from an urban co-operative bank and scheduled bank already under the IBA.

• The total income of the family should not exceed Rs. 600000 per year.

• The student needs to furnish proof of belonging to a minority community.

KYC

Needed

Needed

Needed

Expenses Covered

• Institution fees

• Fees for library, exam, and lab

• Passage money and travel expenses

• LIC premiums for the student borrower, as applicable

• Building fund, caution deposit, and refundable deposits

• Purchase of instruments, books, uniforms and equipment

• Buying of a reasonably-priced laptop

• Other expenses required for the completion of the course

• Scholarships and fee waivers, if any, are taken into account for loan amount computation

• In case the scholarship component is included, it is credited to the loan amount when the scholarship is received from the Indian Government.

This loan covers the cost of a 2-wheeler, the cost of which needs to be Rs. 50000 maximum.

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Age Criteria

Up to 25 years of age

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Institutes Covered

• Institutes covered by the Central Board of Education and State boards (including the Bihar board)

• Non-technical general courses, technical courses, and financial courses.

Please see this link for more information.

Loan Amount and Margin

This is a need-based finance with the following ceiling:

Loan amount shall be Rs. 4 lakhs max.

There is no Margin.

This is a need-based finance with the following ceiling:

Max. of Rs 10 lakhs for studies in India

Max. of Rs. 20 lakhs for studies abroad

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Security

Parents and guardians are to be the joint-borrowers and third party guarantees and collateral securities are not needed.

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Guarantors

Parents and guardians

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Repayment Period

Repayment is through EMIs for 15 years 

7 years after the prescribed commencement period

Not specified

Moratorium Period

Course period plus 1 year

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Rate of Interest

When the loan is up to Rs.4.00 lacs, it is MCLR+2%

3.50% for Women    4.00% for Others           

100% interest payable till the Moratorium period is covered under this scheme.

Documentation Fee

Rs.270 for loans of upto Rs.4 lac 

No fees for IIT and IIM courses

Rs.450 for loans above Rs. 4 lakhs

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Govt Guidelines On New CSIS Scheme

Govt Guidelines On Old CSIS Scheme

Guidelines of Dr. Ambedkar Central Sector Scheme of Interest Subsidy on Educational Loans for Overseas Studies for Other Backward Classes (OBCs) and Economically Backward Classes (EBCs)

Description

This scheme aims at providing relief on the outstanding interest on all education loans that are availed or sanctioned up to 31/3/09 and have been outstanding as on 31/12/13.

According to this scheme by the Central Government of India, full interest subsidy is given to the student during the moratorium period. The student needs to be from the Economically Weaker Section. 

The loan needs to be taken from a scheduled bank of the Indian Bank Association for the pursuit of professional and technical studies or courses. The course needs to be within India.

1. This Interest Subsidy scheme for loans on studying abroad is for students of OBCs and EBCs.
   
   The scheme is for offering them the opportunity for higher studies abroad for the development of their professional skills.

Eligibility

• The scheme is adopted by RRBs and all other scheduled banks.

• The scheme can only be for the benefit of students belonging to the Economically Weaker Sections of the society.

• The loans taken by the students needs to be till 31.3.2009 and is outstanding as on 31.12.2013 .

• The student needs to be pursuing Professional and Technical within India.

• This scheme is available for the student just once, either for PG or UG courses and for degrees and diplomas within India.

• The scheme will not apply to those who discontinue their courses or are expelled on academic or disciplinary grounds.

• However, the scheme shall apply to those who discontinue on medical grounds. For this, documentation by the institution’s head shall be required.

1. The students should already have gained admission in approved and listed M.Phil, Masters, and Ph.D courses.

2. The student should already have had gotten a loan sanctioned by a scheduled bank under the Education Loan Scheme of IBA for the same.

3. For students from the OBC category, they need to furnish the OBC Caste Certificate that is issued by the appropriate authority and it has to be accepted by the bank giving the loan.

4. The yearly income of the candidate’s family should not be more than Rs. 2.5 lakhs.

KYC/Documents Needed

General document requirements

General document requirements

Any of these documents: 

• ITR/Form 16/

• Audited Accounts 

• Income certificate issued by the authority of State Government or UT Administration 

Expenses covered

This scheme aims at providing relief on the outstanding interest on all education loans that are availed or sanctioned up to 31/3/09 and where the outstanding as on 31/12/13.

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This scheme covers a maximum loan amount of Rs. 20 lakhs.

Courses eligible

Professional and Technical courses that are brought out and approved by the Ministry of Human Resource Development in collaboration with the Departments and Ministries, and with the Indian Bank’s Association. 

Professional and Technical courses that are brought out and approved by the Ministry of Human Resource Development in collaboration with the Departments and Ministries, and with the Indian Bank’s Association. 

The scheme supports Masters, M.Phil. and Ph.D courses abroad. 

For a full list of courses and disciplines covered, please see this link.

Institutes Covered

For finding out the names of universities and institutions covered, look at the AICTE and UGC sites for verification.

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Not specified

Loan Amount and Margin

Adjusted according to the outstanding loan. The principal amount shall remain unchanged. 

The interest that is charged under this scheme on the existing loan needs to be according to the BPLRJ Base Rate of the recognized bank and as per the rules for interest rates under the IBA Model Educational Loan Schemes.

Under this scheme, 1% interest concession is given to the loanees if the interest is offered during the specified moratorium period for repayment and interest. The concession can be further extended under the Central Scheme of interest Subsidy if the Indian Government offers interest subsidy to the banks at a  ½ yearly or 1 yearly basis.
 

Margin is not applicable

Maximum loan amount of Rs. 20 lakhs.

Moratorium period

Not specified

Course period + 6 months after getting a job

Course period + 6 months after getting a job 

OR

Course period + 1 year

CREDIT GUARANTEE FUND SCHEME FOR EDUCATION LOANS (CGFSEL)

CREDIT GUARANTEE FUND SCHEME FOR SKILL DEVELOPMENT (CGFSSD)

Description

This scheme covers those new education loans that are sanctioned on or after 16.09.2015.

In case of loan amount repayment default, the loan shall cover 75% of the amount. 

This scheme supports loans for skill development courses where the loan is taken from sanctioned or supported banks. The said loans need to be taken on or after July  15, 2015.

Expenses Covered

75% of the loan in case of a default

Not specified

Courses Eligible

Not specified

The courses supported needs to be by 

Polytechnics, Industrial Training Institutes (ITIs), and schools that are recognized by state and central governments and under a recognized university. Courses run by training partners who are affiliated to NSDC, State Skill Councils etc. are also supported.

These courses need to lead to a diploma, certificate, or degree offered by organizations like the NSQF.

Institutes Covered

Not specified

See Courses Eligible above.

Loan Amount and Margin

Rs. 7.50 lakhs is the maximum loan limit. However, it should be remembered that the bank still has the authority to revise the loan amount as and when the need arises.

Margin

The margin upto a loan of Rs. 4 lakh is Nil 

The margin of a loan amount beyond Rs. 4 lakh for:

Studies within India is 5%

Studies abroad is 15%

The minimum loan amount is Rs.5000 and the maximum loan amount covered is Rs.1,50,000.

Security

No third-party guarantee or collateral security is needed.

No third-party guarantee or collateral security is needed. However, it should be remembered that the loan limit can be revised by the Fund as and when needed.

Rate of Interest

The interest shall be at a maximum of 2% on the base rate. However, this ceiling can be raised by the bank from time to time.

The interest rate is 1.5% over the base rate or MCLR.