Bank Of India -Education Loan

Bank Of India provides Star Education loan that cares for careers making  Students

1. ELIGIBILITY CRITERIA:

a) STUDENT’S ELIGIBILITY:
Should be an Indian National;
Secured admission to professional/technical courses in India or Abroad through Entrance Test/Merit based selection process.
Good academic career.
The student should not have outstanding education loan from any other Institution.
Father/Mother should be co-borrower.
Branch nearest to the permanent residence of student will consider the loan.
b) ELIGIBLE COURSE:
(i) Studies in India (Indicative list):
Graduation courses : BA, B.Com., B.Sc., etc.
Post Graduation courses : Masters & Phd.
Professional courses : Engineering, Medical, Agriculture, Veterinary, Law, Dental, Management, Computer, etc
Computer certificate courses of reputed institutes accredited to Department of Electronics or institutes affiliated to university.
Courses like ICWA, CA, CFA, etc.
Courses conducted by IIM, IIT, IISc, XLRI, NIFT, NID and other Institutes set up by Central/State Govt.
Evening courses of approved institutes.
Other courses leading to diploma/degree, etc. conducted by colleges/universities approved by UGC/Govt./AICTE/AIBMS/ ICMR, etc.
Courses offered by National Institutes and other reputed private institutions with prior approval of Head Office.
Courses offered in India by reputed foreign universities with prior approval of Head Office.
Note : 1. Professional courses not approved by AICTE and conducted by Institutes not recognised by State Universities is outside the purview of the eligibility under the scheme.
2. Special scheme for students admitted to IITs, at concessional rate of interest.
2. QUANTUM OF FINANCE :
Need based finance subject to repaying capacity of the parents/students with margin and the following ceilings :
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.
4. SECURITY:
Upto Rs. 4 lakh : No security
Above Rs.4 lakh & upto Rs.7.5 lakh : Collateral security in the form of a suitable third party guarantee.
Above Rs.7.5 lakh : Collateral security of suitable value or at the discretion of the Bank suitable third party guarantee alongwith the assignment of future income of the student for payment of installments.
Note : The security can be in the form of land/building/Govt. Securities/Public Sector Bonds/NSC/KVP/LIP/ Banks Term Deposit etc.,in the name of Student/Parent/Guardian/Guarantor with suitable margin.

5. RATE OF INTEREST*: (w.e.f. 01.04.09)
Upto Rs.4.00 lacs – 2.50% below BPLR., Min. 9.50% p.a.
Above Rs.4.00 lacs upto Rs.7.50 lacs – 2.00% below BPLR, Min. 10.00% p.a.
Above Rs.7.50 lacs – 1.25% below BPLR, Min. 10.75% p.a.
Simple interest during the repayment holiday/moratorium period. Penal interest @2% for loans above Rs.4 lakh for the overdue amount and overdue period.9. REPAYMENT:
Repayment holiday/Moratorium : Course period + 1 year or 6 months after getting job, whichever is earlier.
The loan is to be repaid in 5-7 years after commencement of repayment.
6.REPAYMENT:
Repayment holiday/Moratorium : Course period + 1 year or 6 months after getting job, whichever is earlier.
The loan is to be repaid in 5-7 years after commencement of repayment.
7. BANK CHARGES:
Processing/upfront charges
For Studies in India- NIL.
For Studies Abroad – Rs.1000 for issuance of sanction letter for

8. BANK CHARGES: