SBI Student Loan: Interest rate, processing fee, how to apply; check here for details

SBI Student Loan is a term loan granted to Indian Nationals for pursuing higher education in India or abroad where admission has been secured.

This loan provides customized financing solution to the students – who are in-road to transform the future of India.

Courses covered:

For studies in India

Graduation, Post-graduation including regular technical and professional Degree/Diploma courses conducted by colleges/universities approved by UGC/ AICTE/IMC/Govt. etc. Regular Degree/ Diploma Courses conducted by autonomous institutions like IIT, IIM etc.

Teacher training/ Nursing courses approved by Central government or the State Government

Regular Degree/Diploma Courses like Aeronautical, pilot training, shipping etc. approved by Director General of Civil Aviation/Shipping/ concerned regulatory authority

For studies abroad

Job oriented professional/ technical Graduation Degree courses/ Post Graduation Degree and Diploma courses like MCA, MBA, MS, etc. offered by reputed universities.

Courses conducted by CIMA (Chartered Institute of Management Accountants) - London, CPA (Certified Public Accountant) in USA, etc.

Features and Benefits

• Lower interest rates

• Concession in interest for girl students

• No Collateral Security for loans upto Rs. 7.5 lakh

• No processing charges for loans up to Rs. 20 lakh

• Repayment will commence one year after completion of course

• Repayment period of up to 15 years after Course Period + 12 months of repayment holiday

• In case second loan is availed for higher studies, students after completion of second course, can repay the combined loan amount in 15 years

No margin for loans up to Rs. 4 lakh

Loan Amount

Students can avail this loan of up to Rs. 50 lakh for studies in India and up to Rs. 1.50 crores for studying overseas

Interest Rate:

Effective interest rate - 8.65%

0.50% concession in interest for girl students

Processing fee:

Loans up to Rs. 20 lacs – Nil

Loans above Rs.20 lakh - Rs.10,000 (plus taxes)

Collateral:

For loans up to Rs.7.5 lakh - None

For loans above Rs.7.5 lakh - Tangible collateral security

Expenses covered in SBI Student Loan:

Fees payable to college/school/hostel

Examination/Library/Laboratory fees

Purchase of Books/Equipment/Instruments/Uniforms, Purchase of computers- essential for completion of the course (maximum 20 percent of the total tuition fees payable for completion of the course)

Caution Deposit/Building Fund/Refundable Deposit (maximum 10 percent of tuition fees for the entire course)

Travel Expenses/Passage money for studies abroad

Cost of a Two-wheeler up to Rs. 50,000

Any other expenses required to complete the course like study tours, project work etc.

Published on: Monday, May 23, 2022, 08:17 PM IST