Education Loan Rates

Can you tell me in details about the Star Education loan Scheme of Bank of India as I want to check if I am eligible to apply for it or not, as I want to take up the facility for my Brother?

[Kiran Chandar]

The Star Educational Loan Scheme of Bank of India aims at providing financial support from the bank to deserving/ meritorious students for pursuing higher education in India and abroad.

1. Eligibility Criteria :
a. Student's Eligibility:
• One should be an Indian National;
• One should have secured admission to professional/technical courses in India or Abroad through Entrance Test/Merit based selection process.
• One should have good academic career.
• One should not have outstanding education loan from any other Institution.
• Father/Mother should be co-borrower.
• Branch nearest to the permanent residence of student consider the loan.

b. Eligible Course :

i. Studies in India (Indicative list) :


• Graduation/ Post Graduation courses
• Professional courses: Engineering, Medical, Agriculture, Veterinary, Law, Dental, Management, Computer, etc.
• Courses conducted by IIM, IIT, IISc, XLRI, NIFT, NID and other Institutes set up by Central/State Govt.
• Other courses leading to diploma/degree, etc. conducted by colleges/universities approved by UGC/Govt./AICTE/AIBMS/ ICMR, etc.

ii. Studies abroad :
• Graduation: For job oriented professional/technical courses offered by reputed universities.
• Post-Graduation: MCA, MBA, MS, etc.
• Courses conducted by CIMA - London, CPA in USA, etc.

2. Expenses Considered for Loan :


• Fee payable for college/school/hostel
• Examination/Library/Laboratory fee.
• Purchase of books/equipment’s/instruments/uniforms.
• Caution deposit/building fund/refundable deposit supported by Institution bills/receipts.
• Travel expenses/passage money for studies abroad.
• Purchase of computers - essential for completion of the course.
• Insurance cover for the student.

Any other expense required to complete the course - like study tours, project work, thesis, etc.

Quantum of Finance:

• Studies in India - Maximum Rs.10.00 lakh
• Studies abroad - Maximum Rs.20.00 lakh.

3. Margin:

Upto Rs.4 lakh : Nil
Above Rs.4 lakh - Studies in India : 5%
Studies Abroad : 15%• Scholarship could be included in margin.• Margin to be brought in on year to year basis as and when disbursements are made.