Corp Vidya- Education Loan

Eligibility :
	Student Student should be an Indian National. Should have completed previous qualifying examination Secured admission to professional/ technical courses in India or Abroad through Entrance Test/Merit Based Selection process. Person already in gainful employment are not eligible for loan under the scheme except for pursuing evening course covered under the scheme of approved institute. Courses a) For Studies in India Graduation Courses : BA, B.Com, B.Sc., etc Post Graduation Courses : Masters & Phd. Professional Courses : Engineering, Medical, Agriculture, Veterinary, Law, Dental, Management, Computer etc. Courses like ICWA, CA, CFA etc Courses conducted by IIM, IIT, IISc, XLRI, NIFT etc Regular Degree/Diploma courses like Aeronautical pilot training, shipping etc., approved by Director General of Civil Aviation/Shipping, if the Course is pursued in India. In case the course is pursued abroad, the Institute should be recognized by the competent local aviation/shipping authority. Courses offered in India by reputed foreign universities Evening courses of approved institutes. Nursing/Teachers training courses for periods of one year & above from recognized colleges/institutes leading to Diploma/Degree. 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. Vocational Training and skill development study courses will not be covered under the model educational loan scheme, as the scheme is framed to provide Bank loans for higher studies b) 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 c) Other conditions: The courses eligible for financial assistance under the scheme should be conducted by the colleges/ universities/ institutions which are either recognized by the government /affiliated to a university/deemed university or conducted by autonomous institutions like IIT, IIM etc or approved by AICTE /accredited to Department of Electronics, Government of India, courses offered by reputed universities/institutions abroad. Correspondence courses / computer part time /certificate courses are not eligible for finance under the scheme.
Loan Details
	Coverage of expenses  Fee payable to college/school/hostel Examination/Library/Laboratory fee Caution deposit (i.e building fund/refundable deposit supported by Institution bills/ receipts stands deleted) Travel expenses/ passage money for studies abroad Purchase of computers - essential for completion of the course Insurance premium for student borrower Any other expense required to complete the course - like study tours, project work, thesis etc. Quantum Need based finance subject to repaying capacity of the parents/students with margin and the following ceilings: Studies in India - Maximum upto Rs.10 lakhs Studies in Abroad - Maximum upto Rs.20 lakhs Margin Upto Rs.4 lakhs - Nil Above Rs.4 lakhs - Studies in India 5% Studies abroad 15% - Scholarships / assistantship to be included in margin - Margin may be brought-in on year-to-year basis as and when disbursement are made on a pro-rata basis Security : Upto Rs.4 lakhs : Co-obligation of parent/s. No other collateral Security Above Rs.4 lakhs and upto Rs.7.50 lakhs : Co-obligation of parents together with collateral security in the form of suitable third party guarantee. Above Rs.7.5 lacs : Co-obligation of parents together with tangible collateral security along with the assignment of future income of the student for payment of installments Note : The loan documents should be executed by both the student and the parent/guardian as joint-borrower The security can be in the form of land/building/ Govt. securities/Public Sector Bonds/Units of UTI, NSC, KVP, life policy, gold, shares/mutual fund units/ debentures, bank deposit in the name of student/ parent/ guardian or any other third party with suitable margin. Wherever the land/building is already mortgaged, the unencumbered portion can be taken as security on second charge basis provided it covers the required loan amount with prescribed margin of 35% In case the loan is given for purchase of computer, the computer has to be hypothecated to the Bank.
Rate of Interest
	Applicable for fresh loans sanctioned/ initially disbursed on or after 14.08.2009 : Upto Rs. 4.00 Lakh - 11.00% Above Rs. 4 Lakh & Upto Rs. 7.50 Lakh- 12.00% Above Rs.7.50 Lakh- 11.50% Simple interest will be charged during repayment holiday period. Concession in rate of interest at 25 bps below the applicable card rate is extended to SC/ST/ Women beneficiaries for fresh loans sanctioned/ disbursed on or after 15.08.2008. Concession in rate of interest at 50 bps (inclusive of 25 bps available for SC/ST/Women) below the applicable card rate for girl students for new loans sanctioned/ disbursed w.e.f. 04.03.2009. Note: 1% interest concession is available during repayment holiday period if the interest is serviced as and when debited, but not later than 30 days of debit. In the event of intermittent default, concession will be extended for the period of regular interest servicing. Appraisal / Sanction / Disbursement The loan to be sanctioned as per delegation of powers preferably by the Branch nearest to the place of domicile of parents
Repayment
	Course period + 1 year, or 6 months after getting the job, whichever is earlier. The loan has to be repaid within a maximum period of 7-10 years after completion of repayment holiday period. Insurance The student borrower may be covered under the Banks insurance scheme Corp Suraksha. Processing Charges No Processing Charges for studies in India Rs. 2000/- only for studies abroad to be refunded once the loan is availed (Charges are inclusive of service tax)
Other Conditions:
	Multiple loans : In case of receipt of application for more than one loan for student borrower from a family, the family as a unit has to be taken into account for considering the loan and security taken in relation to the total loan limit sanctioned, subject to margin and repaying capacity of the parent/student. Take over of loans from other Banks : Student should avail education loan from any one Bank/branch.Take over of education loan availed with other bank is not permitted. Co-obligant : The co-obligant should be parent[s]/guardian of the student borrower. In case of married person, co-obligant can be either spouse or the parent[s]/parent-in-law Disposal of application : Loan applications have to be disposed off within a period of 7 days of receipt of application complete in all respects.