Education loans from IDBI Bank aim at providing financial support to deserving/ meritorious students for pursuing higher education in India and abroad.
An installment based loan for all courses are mentioned below:
Interest Rate (% p.a.)
Priority Sector Lending (PSL)
Up to Rs. 10 lakhs for studies in India
and up to Rs. 20 lakhs for studies Abroad
Not Priority Sector Lending
Above Rs. 10 lakhs for studies in India
and above Rs. 20 lakhs for studies Abroad
Rates for students in Premier Education Institutes (including ISB) is 10.00% (BR+0.00%)
For those students who secured admission under Management Quota the rate of interest is 13.50% (BR+3.50%).
The repayment of loan to begin after the course period + 1 year or 6 months after getting a job, whichever is earlier. The loan to be repaid within 5-7 years (maximum tenor 84 months) after commencement of repayment.
Duration of the course period + 1 year / 6 months after getting a job, whichever is earlier .
The loan to be repaid in 5-7 years (maximum tenor 84 months) after commencement of repayment.
|Up to Rs 4 lacs||No security|
|Above Rs 4 lacs and up to Rs. 7.5 lacs||Collateral in the form of a third party guarantee|
|Above Rs 7.5 lacs|| Collateral security in the form of Land/ building, (The minimum value shall be 1.33 times the amount of loan sought).|
Govt. securities/ Public Sector Bonds/ Units of UTI, NSC, KVP, LIC policy, gold, shares/ debentures, bank deposit in the name of parent/ guardian or in the name of the co-applicant (The minimum value shall be 1.1 times of the amount of loan sought).
Wherever the land/ building is already mortgaged, the unencumbered portion can be taken as security on IInd charge basis provided it covers the required loan amount. In case the loan is given for purchase of a computer the same to be hypothecated to the Bank.
For details on education loans offered by IDBI, click here.