UCO Bank Education Loan
The expenses related to study for higher education now a days in the country are on an unexampled acclivity. The cost of education is rising rapidly. In order to match the requirement of funding for education, the UCO Bank has launched a comprehensive education loan scheme to cater deserving students.
Eligibility Criterion for UCO Bank Education Loan
• Applicant must an Indian by nationality.
• Applicant must have secured admission in his/her desired university to pursue professional or technical course.
• The admission must have done on the basis of an entrance test or on merit basis after completion of higher secondary schooling.
• The university/college in which applicant desires to study must be approved by government.
For studies in India
• All government approved courses including graduate and post-graduate degree or diploma in Engineering, medical, law, science, commerce, arts, management, pharma etc.
• Approved certificate courses in Computers
• Courses in CA, CFA, ICWA etc.
For studies abroad
• Graduation courses in all job oriented professional degrees
• Post-graduation like MBA, MCA etc.
• Courses like CIMA London, CPA USA.
There is a limit on age to fall eligible for this education loan, the details are as follows –
Degree General category SC/ST category
Graduation 28 years 30 years
Post-graduation 30 years 33 years
Quantum of Finance
The loan is a need based advance with the following limits
• For studies in India – Rs. 10 lacs maximum
• For studies abroad – Rs. 20 lacs maximum
• For loan amount up to Rs. 4 lacs, no fund is required in terms of security.
• For loan amount up to Rs. 7.5 lacs, collateral security or a third party guarantee satisfactory to the bank.
• For loan amount more than 7.5 lacs, collateral security which equals full value of the loan is necessitated.
Up to Rs.4.00 lacs – margin is nil
Above Rs.4.00 lacs
– For studies in India: 5%
– Studies abroad: 15%
Insurance: There is Group life insurance cover scheme for Educational borrowers which pay for the outstanding loan amount in case of death or permanent disability of the borrower.
Processing fee: There is no charges for processing the loan.
Disbursement: The sanctioned loan will be directly disbursed to the college/university.
Please check the bank website for prevailing base rates:
• Up to 7.5 lacs – base rate + 2.5%
• More than 7.5 lacs – base rate + 2.25%
Credit Delivery: The education loan can be helped from the branch closest to the permanent residence of the applicant.
Guarantee: Personal Guarantee of parents/guardian is required to process the education loan.
• Repayment of loan starts out after one year of completion of the study program or Six months after getting job, whichever is earlier. This period in known as moratorium or holiday period.
• The repayment tenure for loans up to 7.5 lacs is maximum 10 years and for loan tenure more than 7.5 lacs is maximum 15 years.
Interest Concession: 1% of interest concession will be given during the moratorium/holiday period if interest is paid on time during the holiday period.
UCO Bank Official website: www.ucobank.com