Federal Bank 

The purpose of the loan is to make available financial assistance to the needy and deserving students of bright academic record so as to enable them to continue higher studies in India or Abroad either in diploma/graduation or post-graduation level in Arts, Science, Commerce, Management, Medicine and Engineering.

Eligibility
              
Under the scheme the loan can be sanctioned to a student of Indian nationality who intends to join an approved course in an educational institution recognised by the government, or a university in India or abroad.

• Courses approved
                   
  A - Category:- Academic courses such as Diploma, undergraduate/postgraduate courses in Arts, Science and Commerce etc.
• B - Category:- Professional courses such as Diploma, undergraduate/postgraduate courses in Engineering, Medicine, Dental Science, Agricultural Science, Veterinary Science, Computer Science, Nursing, Pharmacy, Business administration, Law etc.,

Type of Loan
            
The loan account will be deemed a term loan. To facilitate flexibility in operation, future debits on account of recurring expenses in each semester/year can be made to this account.

Margin
             
The margin is NIL for courses in India. For foreign studies a minimum margin of 10% is necessary.

Loan amount

Interest

• Upto and including Rs.2 lakhs PLR + IT 
• Above Rs.2 lakhs and upto and including Rs.5 lakhs PLR + 1 + IT
• Above Rs.5 lakhs and upto and including Rs.10 lakhs PLR + 2 +IT

Period of loan
                    
The repayment should begin within 12 months after the completion of the course, or after the student gets a job, whichever is earlier.

• Maximum period for course completion: 6 years
• Maximum period for repayment after course completion: 5 Years
• Hence maximum period of the loan: 11 Years
• Minimum period: 3 Years