IDBI Education Loan

The education loans of IDBI Bank are aimed to fulfill the needs of deserving students for higher education. They can avail the loans for a variety of courses, getting complete financial backing for for regular graduate, post graduate and various other diploma courses as well.

Interest Rates

Charges

Charges have not been disclosed on the website.

Flexibility

• Eligibility: Education loan of IDBI bank can be availed for all graduate and post-graduate courses. Apart from this, special courses such as aeronautics, pilot training, shipping etc., approved by Director General of Civil Aviation/ Shipping will also be funded.

• Loan Amount: The maximum loan amount allowed under this loan scheme is Rs 10 lakh for studying in India and Rs 20 lakh for studying abroad, which would cover fee payable to the institution for examination, library and laboratory fee, hostel fee, purchase of books, equipment and instruments, personal computers, laptops, caution deposit, building fund, refundable deposit supported by institution bills receipts, and any other expenses required to complete the course like study tours, project works, thesis, etc.

• Repayment options:

1. The loan has to be repaid within 5-7 years after the completion of repayment holiday.
2. Repayment holiday is course period + 1 year, or 6 months after getting the job, whichever is earlier.

• Margin is the percentage of study cost that borrower has to pay. There is no margin applicable for loan amount up to Rs 4 lakh; whereas for loans worth above Rs 4 lakh, 5 per cent of the study cost has to be paid by borrower for studying in India, and 15 per cent for studying abroad. Scholarship, if any, may be included in the 15 per cent amount.

• Time taken for processing: The loan will be processed within 10 to 12 days.

• Security: Security is required for loans of above Rs 4 lakh. For loans worth Rs 4-7.5 lakh, third-party guarantee is required; however, for loan amount higher than this, collateral security in the form of land/ building, whose minimum value is 1.33 times the loan amount will be sought by the bank.

 Government securities, public sector bonds, units of UTI, NSC, KVP, LIC policy, gold, shares, debentures, bank deposit in the name of parent, guardian, or co-applicant will also be accepted. The minimum value should be 1.1 times of the amount of loan.

• Special options:

1. 50 bps discount in interest rates will be given to girl applicants.
2. 50 bps discount in interest rates will be applicable for physically challenged applicants.

Example

Other Details

• Pre-Sales Information: Charges and documents required have not been disclosed on the website. Other information is adequate.

• Customer Support: There are a very small number of complaints on internet and most of them concern wrongfully deducted charges.

Ratings