Karnataka Bank Education Loan
Karnataka bank assists the deserving students to accomplish their ambition to secure admittance in a prestigious college in India or abroad. Karnataka bank offers education loan to students for pursuing studies in India and abroad. The features of the education loan is as follows-
Eligibility Criteria for education loan
• Applicant should belong to India
• Applicant must have ensured admission for further studies programs in his/her desired institute in India or abroad via relevant entrance exams or selection based on merit or via Management quota after completing higher secondary education.
• Courses approved by UGC, AICTE, ICMR, AIBMS, and Govt. etc. for Graduation/Post Graduation programs (Degree/Diploma) and conducted by reputed Colleges/Universities.
• ICWA, CA, CFA, etc. courses.
• Courses led by esteemed institutes like IIM, IIT, XLRI, NIFT etc.
• In India, approved regular degree or diploma programs in fields like Aeronautics, Shipping, Pilot training etc. Aircraft Maintenance Engineering or Pre Sea training programs also should be approved by appropriate authorities.
• B.Ed., nursing etc. programs also must be approved by either Central or State Govt.
• Courses offered by reputed and approved Foreign Universities in India.
• Research and Ph. D programs applicant for study in India may not apply.
• Part time/ correspondence study programs are not eligible for this loan.
• Graduation and Post-graduation for courses which are job oriented and professional and/or technical in nature and are conducted by known and reputed universities. Like MCA, MBA, MS, PhD or CIMA-London, CPA etc.
• PG diploma programs are allowed but Diploma courses are not allowed to study abroad.
• Any research or Ph.D. program for study abroad are not entitled under this education loan.
Quantum of Loan
In India: 10 lacs, maximum
Outside India: 20 lacs, maximum
Loan Details: Coverage of expenses are as follows –
• Fee payable to College/School/Hostel.
• Examination/Library/Laboratory fee.
• Purchase of books/equipment/uniforms dress.
• Caution &refundable deposit.
• Travel expenses for studies abroad.
• Purchase of computers – essential for completion of the course.
• Any other expenses needed to finish the program.
• Up to Rs. 4.00 Lacs – Nil
• Above Rs.4.00 Lacs – 5% for study in India and 15% for studies abroad.
• Loan is given conjointly to the student and parent or guardian.
• Assignment of future income of the student
i. Upto Rs.4.00 lacs- No security
ii. From Rs.4.00 lacs to Rs. 7.50 lacs – third party guarantee is required
iii. Above Rs. 7.50 lakhs – Collateral security is required which is 100% of the loan amount.
Tenure: A period of 5 to 7 years.
Disbursement: Directly to University /College /Hostel etc.
• Starts out one year after completion of the course or Six months after getting job, whichever is earlier.
• Simple Interest will be debited quarterly during the repayment moratorium period. When the repayment starts, the accrued interest is added to the principal amount and EMI is fixed on total outstanding loan amount.
Guarantee: Personal Guarantee of parents/guardian is required to process the education loan.
Credit Delivery: The loan can be facilitated from the branch closest to the place of permanent residence.
Karnataka Bank Official website: karnatakabank.com