| Bank Name | Interest Rate | Processing Fees |
|---|---|---|
| Punjab National Bank | 6.90% to 9.55% p.a. | 1% of loan amount |
| Central Bank of India | 8.50% to 9.00% p.a. | Courses in India: Nil |
| Canara Bank | 7.35% to 9.35% p.a. | Nil |
| State Bank of India | 6.85% to 8.65% p.a. | Up to Rs.10,000 |
| Bank of Baroda | 7.85% to 9.85% p.a. | 1% of loan amount |
| IDBI Bank | 6.90% to 8.90% p.a. | Contact the bank |
| Bank of India | 8.95% to 9.75% p.a. | Up to Rs.5,000 |
| HDFC | 9.40% to 13.34% p.a. | Up to 1% of loan amount |
The type of interest rate on educational loans depends on the bank. Some banks offer a fixed interest rate throughout the loan repayment tenure. Others have interest rates that are pegged to the one-year Marginal Cost of funds based Lending Rate (MCLR). This can be reset at regular intervals, which would then affect the interest rate of the educational loan.
There are many factors that determine how much your Equated Monthly Instalment (EMI) will be on your education loan. These factors would be:
Interest rate on the loan
Loan amount
Repayment tenure
These are some of the documents required to complete your loan application:
Fully filled in application form with passport-size photographs affixed as required
Admission letter on letterhead of the educational institute
Academic certificates of the applicant
Marksheets of entrance examination, if any
Scholarship document, if any
Declaration that no loan has been availed from another lender
Proof of identity such as Aadhaar card/passport/driving license/PAN card, etc.
Proof of address or residence such as utility bills/ration card/Aadhaar card/passport, etc.
Proof of age such as birth certificate or 10th standard certificate
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