| Loan
amount |
Upto
Rs.10 lakhs
|
| Interest
rate |
11.5%
upto Rs.2 lakhs and 13.5% from 2 to 10 lakhs.
|
Details
of interest/
Payment |
Maximum
period of 10 years (principal amount).
Payment commences 6 months after the completion of
the course or getting employed.
Accumulated
interest is to be paid within 2-3 years of course
completion.
Interest
during course is simple. After the course, interest
is compound.
If
student does not return to India in 6 months, the
interest charged is at commercial rates.
|
| Margin
money |
Student
has to arrange 25% of all tuition and living costs.
|
| Security/Collateral |
Mortgage
on property (in parents’ names), shares, LIC, NSCs,
Unit Trust, other investments.
These
must be at least 200% of the loan amount.
|
| Documents
required |
Bank
forms, letter of admission from overseas university
clearly stating living costs and tuition fees and
other costs. Student
should have secured first division in previous
studies (excluding language).
|
| Where
to apply |
Any
Bank of India branch in India.
|
| Time
taken |
Usually
processed within 1 month.
|
