Education Loan -State Bank of Hyderabad



To extend financial assistance to all eligible / deserving / meritorious students for pursuing higher education in India & Abroad.


  • Student Should be an Indian National
  • Secured admission to professional/ technical courses through Entrance Test / Selection process
  • Secured admission to foreign University / Institution

Amount of Finance

Need based finance subject to repaying capacity of the parents / students.-

  •  Studies in India – Maximum Rs.10.00 lacs
  •  Studies abroad – Maximum Rs.20.00 lacs

Margin money

  • Upto Rs.4.00 Lacs – NIL
  • Above Rs. 4.00 Lacs
    • Studies in India – 5% AND Studies Abroad – 15%
    • Scholarship /assistantship to be included in margin
    • Margin may be brought in on year to year basis as and when disbursements are made on a pro-rata basis

Rate of Interest


SlabInterest RateRemarks
Upto 4 Lacs 12.00PA
Above 4 Lacs & up to 7.5 Lacs 12.25PA
Above 7.5 Lacs 12.75PA
Gyan Shakti 10.75PA

Security Norms

Upto Rs. 4.00 Lacs – No Security (Co-obligation of parent / guardian is compulsory).
Above Rs.4.00 Lacs and upto Rs.7.50 Lacs: Collateral in the form of a suitable third party guarantee.
Above Rs.7.50 Lacs: – Collateral security of suitable value or Co-obligation of parents / Guardians / third party guarantee along with the assignment of future income of the student for payment of installments.

Penal rate of Interest

@2% on all irregular Education loans above Rs.4.00 Lacs for the over due amount and over due period.

Repayment Period

Course period + one year or six months after getting job, whichever is earlier.
5 to 7 years after commencement of repayment.

Read: Education loan in India

Processing Charges

No processing charges for studies abroad upto Rs.4.00 Lacs and in case of studies in India irrespective of loan amount.
In case of loans above Rs.4.00 Lacs for studies abroad.
            1. Rs. 5000/- to be collected at the time of delivering sanction letter to the student / guardian.
            2. Rs.1000/- to be appropriated towards processing fees.
            3. Rs.4000/- to be adjusted towards student’s margin at the time of release of the loan.
            4. In case the loan is not availed for any reason by the student, the amount of Rs.4000/-
                to be refunded to the student without interest.
No processing charges to be levied on the loans to the wards of Bank’s staff members including Retired Staff.

For details on State Bank of Hyderabad, click here.