Canara Bank Abroad Education Loan, Common FAQs about eligibility, Collateral Free Loan Amount & how to apply online – Canara Bank foreign education loan is easy to apply through online mode instantly. Get the instant loan sanction approval for study abroad to Canada, US, UK, Australia, Russian countries and many more for study period more than a Year or regular full time courses. Canara Bank education loan is a popular nationalized bank loan for International students. Checkout the Education loan eligibility criteria, loan amount & other mandatory criteria’s for foreign study.
Canara Bank Abroad Education Loan Schemes
IBA model education loan schemes for their higher education abroad. The Canara Bank scheme for abroad study loan covers the 85% of the total study cost including the living expenses. The components of study cost covers under education loan by Canara Bank are course fee, accommodation fee, examination fee, library, GIC Fees, Living expenses, Laptop fees, Insurance, travel and laboratory fee of the program. It also covers the cost of essential equipment, uniforms, books, etc that are important for completing the program. The loan will also cover any caution deposit or building fund charged by the institution along with one side Air fare as travel costs and other expenses that are essential for completing the course. Also Know – How to Open GIC Account For Study in Canada ?
Post Contents
- 1 Canara Bank Abroad Education Loan Scheme
- 2 Canara Bank Education Loan for Abroad Studies – Overview
- 3 What is the Canara Bank Abroad Education Loan Interest Rate ?
- 4 Requirements For Abroad Education Loan?
- 5 Canara Bank Education Loan- Documents Required
- 6 Canara Bank Education Loan- Security or Collateral Requirements
- 7 Collateral Documents Requirements
- 8 Processing Fee
- 9 Education Loan Amount
- 10 Prepayment Charges
- 11 Canara Bank Education Loan Subsidy
- 12 Canara Bank Education Loan Customer Care
- 13 Comparison – Canara Bank Vs SBI Abroad Education Loan
- 14 Merit Quota:
- 15 Management Quota:
- 16 Subscribe To Get Updates :
Canara Bank Abroad Education Loan Scheme
Here is a list of all the Canara Bank Education Loan Schemes which are provided by the bank:
| Canara Bank Education Loan Schemes: | Applicable to: |
| IBA Model Education Loan Scheme | For pursuing higher studies abroad and in India |
| Model Loan Scheme For Vocational Education And Training | For vocational and training programs in India, from institutions recognized by UGC/ AICTE |
| Canara Bank Vidya Turant | Professional and Technical courses from reputed Indian institutions |
| Canara Vidya Sahay Education Loan Scheme | For students who have received admits to reputed Indian institutes. But to confirm admission during the counseling stage, many students need a loan to pay the first installment. |
NOTE : IBA Model Education Loan is applicable for abroad study as well as domestic study.
Canara Bank Education Loan for Abroad Studies – Overview
| Major Components | Details of Canara Bank’s Loan scheme for abroad education |
| Interest Rate | RLLR Plus Premium, 0.50% rebate to Girl students |
| Loan Amount | Maximum limit is Rs 10 Crore |
| Loan Period | 15 years maximum |
| Processing Fees | 1% of Loan Amount |
| Moratorium Period | Course duration + 1 year |
| Loan Margin | 15% |
| Eligible Expenses | Tuition fee, Living expenses, Stationary, Travel expenses, academic materials and exam fees. |
| Repayment begins | One year after course completion OR six months after gaining employment- whichever is earlier. |
NOTE : Canara Bank doesn’t charge the for advance payment or pre closure of loan.
What is the Canara Bank Abroad Education Loan Interest Rate ?
| Interest Rate 2022 | |
| Male | 9.90% (RLLR based) |
| Female | 9.40% (0.50% Rebate) |
The Interest rate ion education loan in canara bank is based on RLLR Plus 1.60% margin for abroad study. The ROI is based on 100% Colleteral. The ROI keeps on increasing with reduction in collateral value for Master Degree.
Requirements For Abroad Education Loan?
According to Canara Bank Education Loan Requirements:
- Applicant should be an Indian National
- Applicant should have received admission to a recognized university abroad, preferably to a professional or technical course
- Applicant should be ready to submit acceptable collateral
Canara Bank Education Loan- Documents Required
| Documents Required | Co applicant docs |
| Proof of residence/Existing customer not required | Relevant proof of Residence like Aadhar Card or Electricity Bill |
| Copy of Passport | Identity Proof (Drivers Licence or PAN card) |
| Relevant proof of Residence like Aadhar Card or Electricity Bill | Form 16 of the last 2 years at least |
| Identity Proof like PAN card or Driving Licence | Latest salary slips (for last 3 months) |
| Copy of Class X, Class XII, Degree and latest academic qualifications- certificate and mark sheet. | ITR of Last 2 years |
| Letter of Admission from the University | 2 Passport size photos |
| University Ranking Printout | Balance Sheet for the last 3 years and Profit and Loss Statement (only if self-employed) |
| Scorecard of qualifying exams like IELTS, TOEFL, GRE or GMAT | If self- employed- Proof of Business Address |
| 2 Passport size photographs | If employed- Employer’s ID Card |
Canara Bank Education Loan- Security or Collateral Requirements
Canara bank doesn’t sanction the education loan for foreign study without collateral. The minimum value of security or collateral must be 50% and above.
| Collateral security | Types of Collateral |
| Immovable property | House, flat, empty plot of land with boundaries |
| Liquid Security | Fixed Deposits, Liquid Security, LIC Policies |
- Surrender value as on date will be considered for LIC Policies
- Also, gram panchayat property will not be accepted, according to Canara Bank Education Loan Rules.
Collateral Documents Requirements
- Property Title Deed and Registered Sale Agreement
- Original Registration Receipt for the above agreement
- Allotment Letter by Municipal Corporation/ Authorized Government Authority like MHADA, CIDCO, HUDA, JDA, GIDC ETC (if applicable)
- Encumbrance Certificate (EC) of the last 30 years. This document is commonly known as Link Document
- Copy of municipality approved building plan or plot layout
- Latest property tax bill or Latest electricity bill bearing the same address
Processing Fee
The Canara Bank Education Loan Processing Fee is 1% of the loan amount that is sanctioned to the student. Additionally, charges for Legal & valuation will be borne by borrower.
Education Loan Amount
| Minimum loan amount under Canara Bank Education Loan for International Studies | Rs. 0.50 Lacs |
| Maximum loan amount under Canara Bank as Education Loan for Higher Studies Abroad | Rs. 1000 Lacs |
Prepayment Charges
Canara Bank doesn’t levy any Pre payment or pre closure charges.
Canara Bank Education Loan Subsidy
| Interest Subsidy Scheme | Provided by | Applicable to |
| Central Sector Interest Subsidy | Ministry of Human Resources and Development, GOI | Family income not more than 4.5 L. This scheme is only available for higher studies in India. This is not eligible for Canara Bank Education Loan abroad. |
| Dr. Ambedkar Central Sector Scheme of Interest Subsidy on Educational Loans for Overseas Studies for Other Backward Classes (OBCs) and Economically Backward Classes (EBCs) | Ministry of Social Justice and Empowerment, GOI | Students of OBC and EBC communities pursuing higher studies abroad- with a maximum family income of Rs. 6 Lacs for OBC families and Rs. 2 Lacs for EBC families. |
| Padho Pardesh – Scheme of Interest Subsidy on Educational Loans for Overseas Studies for The Students | Ministry of Minority Affairs, GOI | Students from religious minority communities who plan to pursue their higher studies abroad, with a maximum family income of Rs. 6 Lacs. |
Canara Bank Education Loan Customer Care
Dial Canara Bank customer care for any queries related to Education Loan to 1800-208-3333
Comparison – Canara Bank Vs SBI Abroad Education Loan
| Parameters | Canara Bank | SBI |
| ROI | RLLR+1.60%, 0.50% rebate to Girl students | 10.25% for male and 9.75% for female |
| Max Loan Amount | Rs 1000 lacs or Rs 10.00 Crore | Rs 1000 lacs or Rs 10.00 Crore |
| Processing Fee | 1% of the loan amount
LSR & Valuation Charges CIBIL Charges, CERSAI Charges |
Rs. 10,000 (fixed charge irrespective of the loan amount) + Rs. 7,500 approximately for legal and valuation charges |
| Valid Courses | As Per IBA Model | As per IBA Model |
| Loan Margin | 15% | 10% |
| Online Payment | Available | Available |
IBA MODEL EDUCATION LOAN SCHEME FOR PURSUING HIGHER STUDIES IN INDIA AND ABROAD :
| Purpose |
Payment of Course fee, Hostel/Boarding/Examination/Library& Laboratory fee and for Purchase of books, equipments, instruments, uniforms, computers if it is essential for completion of the course, Caution deposit, Building fund/refundable deposit supported by Institution bills/receipts. Travel expenses / passage money for studies abroad. Any other expenses required to complete the course subject to ceiling. |
| Eligibility |
|
| Eligible courses | INLAND STUDIES:
Graduation, post graduation, including technical/professional courses from reputed colleges/universities approved by UGC/Government, AICTE/Department of Electronics/IMC, autonomous institutions like IIM, IIT, etc. Any courses leading to degree/diploma from reputed Institutes/Colleges/Universities for studies in India. ABROAD STUDIES: Course which lead to undergraduate, Post Graduation/PHD, Post Graduate Diploma etc are eligible. |
| Quantum of finance | Need-based finance
Students may submit their loan applications either at the bank branches near to the residence of parents or bank branches near to the educational institution where they are studying. |
| Rate of Interest | Click Here for latest ROI |
| Margin | Upto Rs.4.00 Lakhs – Nil
Above Rs.4.00 Lakhs – Studies in India – 5% Studies abroad – 15% |
| Security | Assignment of future income of the student
Merit Quota:
Management Quota:
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| Repayment |
Repayment of the loan will be in equated monthly Installments up to a maximum of 15 years excluding the moratorium period ( i.e., course period plus one year). |
