Baroda Education Loan to Students of Premier Institutions

This student education loan is available to Indian nationals who have been accepted into India's top educational institutions. The loan amount is determined by Bank of Baroda education loan list of premier institutions – which includes AA, A, B and C.

Benefits

  • No Processing Charges
  • Free debit card
  • Interest rates starts from 8.15%*.
  • NIL processing Charges for premier institute.
  • 100% Finance
  • Collateral Free Loan up to Rs.40.00 Lakhs
  • Repayment period up to 15 years (after completion of moratorium period ( i.e Course Period + 12 Months).
  • Digital Education Loan Facility
  • Special offer for students of Army Personnel
  • Income Tax Benefit under section 80E.

Features

This student education loan is given to Indian nationals who have secured admission into premier educational institutions in India. The loan amount depends on the categorization of the institute

Eligibility

Courses Eligible

Full time regular courses conducted by the premier educational institutions:

List of the institutions (List-AA, A, B & List-C)

Student Eligibility

  • Should be an Indian national
  • Secured admission to professional/technical courses abroad through entrance test/merit based selection process.

Interest rates & charges

Floating Rates:

Product

Category

Repo Rate + Spread

Effective Rate of Interest

Baroda Education Loan to Students of Premier Institutions (For Studies in India)

   

AA

BRLLR – 1.00%

8.15%

A

BRLLR – 0.70%

8.45%

B

BRLLR + 0.60%

9.75%

C

BRLLR+ 0.80%

9.95%

Rate of Interest for Children of defence personal Under Baroda Yoddha education Loan to Students of Premier Institutions (For Studies in India) Scheme is same as Baroda Education loan to students of Premier Institutions (For Studies in India).

Fixed Rates:

Product

Category

Repo Rate + Spread

Effective Rate of Interest

Baroda Education Loan to Students of Premier Institutions (For Studies in India)

AA

BRLLR + 1.00%

10.15%

A

BRLLR + 1.30%

10.45%

B

  

Upto Rs.7.50 Lakh

Base rate +2.00%

11.40%

Above Rs 7.50 lakh

BRLLR + 2.60%

11.75%

C

  

Upto Rs.7.50 Lakh

Base Rate + 2.00%

11.40%

Above Rs 7.50 lakh

BRLLR + 2.80%

11.95%

Rate of Interest for Children of defence personal Under Baroda Yoddha education Loan to Students of Premier Institutions (For Studies in India) Scheme is same as Baroda Education loan to students of Premier Institutions (For Studies in India).

  • No special concession for female students under this scheme.
  • Simple interest to be charged at monthly rests during the repayment holiday/moratorium period.
  • Penal charges @ 2% p.a. on overdue amount, if the loan amount exceeds Rs. 4 lakhs.
  • The accrued interest during the repayment holiday period to be added to the principal and repayment in Equated Monthly Instalment (EMI) be fixed.

List of Premium Institutions (India)

List of the institutions (List-AA, A, B & List-C)

Documents Required

  • KYC of applicant and co-applicants
  • Academic Records
  • Proof of admission
  • Entrance Exam Result(if applicable)
  • Statement of cost of study/ Schedule of expenses
  • Income Proof for Salaried Co-applicant/ Guarantor (if applicable)
  • Bank account statement for last 6 months etc
  • Property Documents (if applicable)

Most Important Terms and Conditions (MITC)

Target group

Students pursuing graduation, post-graduation, professional and other courses in India.

Quantum of finance

Category

Maximum Loan Limit

 

 

Without collateral

With collateral

Institutions under List AA

Rs. 40 lakhs

Rs. 80 lakhs

Institutions under List A

Rs. 30 lakhs

Rs. 80 lakhs

Institutions under List-B

Rs. 15 lakhs

Rs. 80 lakhs

Institutions under List-C

Rs. 10 lakhs

Rs. 80 lakhs

Need based finance subject to future repayment capacity, based on projected future earning which should commensurate with past placement records and average packages offered to the pass outs of the college.

Margin

Upto Rs 4.00 lakh

NIL

Above Rs.4.00 Lakh up to Rs 7.50 Lakh

5%

Above Rs 7.50 lakh

NIL

Repayment Holiday/ Moratorium Period

Course period + 1 year

Coverage of expenses for

  • Fee payable to college/institution/university/school/hostel.
  • Examination/library/laboratory fee.
  • Hostel fees/charges.
  • Purchase of books//instruments/uniforms.
  • Caution deposit, building fund/refundable deposit supported by institution bills/ receipts, subject to condition that the amount does not exceed 10% of the total tuition fees for the entire course.
  • Purchase of Personal computer/laptop – essential for completion of the course.
  • Insurance premium for student/borrower, if any opted by the student. Presently the bank has a tie up arrangement with M/s. IndiaFirst Life Insurance Co. & M/s. Kotak Life Insurance.co for Group Credit Life insurance cover to education loan borrowers.
  • Any other expenses required to complete the course like study tours, project works, thesis, etc.
  • Cost of external coaching/tuition is not to be considered.

Note The details of expenses for the entire course period to be obtained from college/institution.

Repayment Period

The loan is repayable in maximum 10-15 years after the completion of the moratorium period as mentioned above.

For loans up to Rs. 7.5 Lakhs: Moratorium Period + Maximum 120 instalments

For loans above Rs. 7.5 Lakhs: Moratorium Period + Maximum 180 instalments

Unified Processing charges

Study in India – NIL .

Study abroad – 1.00% of Loan amount (maximum Rs. 10,000) to be recovered upfront which will be refundable on availing (first disbursement) of loan

A non-refundable lump sum amount Rs. 8,500 per property (towards advocate and valuer charges) to be taken upfront in case of all education loan accounts, wherever property is mortgaged.

Security

List AA:

Up to Rs. 40 Lakh No Security Co-obligation of parents/guardian along with assignment of future income of the student for payment of instalments.

Above Rs. 40 Lakh Tangible collateral security equal to 100% of the loan amount along with assignment of future income of the student for payment of instalments.

For Institutions in List-A:

Up to Rs. 30 Lakh No Security

Co-obligation of parents/guardian along with assignment of future income of the student for payment of instalments.

Above Rs. 30 Lakh Tangible collateral security equal to 100% of the loan amount along with assignment of future income of the student for payment of instalments.

For Institutions in List-B:

Up to Rs. 15  Lakh No Security Co-obligation of parents/guardian along with assignment of future income of the student for payment of instalments.

Above Rs. 15  Lakh Tangible collateral security equal to 100% of the loan amount along with assignment of future income of the student for payment of instalments.

For Institutions in List-C:

Up to Rs.10 Lakh No Security Co-obligation of parents/guardian along with assignment of future income of the student for payment of instalments.

Above Rs.10 Lakh Tangible collateral security equal to 100% of the loan amount along with assignment of future income of the student for payment of instalments.

For all cases if  limit exceeds Rs.80.00 Lakh Security coverage should be 1.25 times

Disbursement

Directly to school/institution/hostel – term wise/year wise, in stages as per the requirement/demand.

Directly to book seller/shop for purchase of books, instruments, equipment.

In case a student does not secure a hostel facility with an educational institute, he may be allowed to make his own arrangement if required. Lodging/boarding charges in such cases to be paid directly to the concerned establishment, after verifying bonafides of the same.

Financing Branch

  • Branch in the vicinity of the institute

Or

  • Branch which is in close proximity to the permanent residence of parent/at the place of posting/service of the parent branch

In case where the programmes are being offered by these premier institutions in collaboration with the technology partners like Huges, Times Pro etc., the centres of such technology partners may be treated at par with the Institutions and a branch in the vicinity of the centre of such technology partners can also sanction.

Insurance :

Group credit Life Insurance Cover will be mandatory if Loan amount exceeds Rs.7.50 Lakh.The Cost of Insurance Premium may be financed by Bank by adding the same in the project cost and shall be recovered along with EMIs of the loan. Alternatively, student can provide any term insurance plan obtained from any IRDA approved insurance Company.