Development Credit Bank Education Loan Scheme

Eligibility :

Student

Individuals of Indian Nationality who have secured admission to recognized courses/universities in India or Abroad through entrance test/selection process

Courses

a) Studies in India

Post graduation courses from recognised universities
Professional courses from reputed institutes:.
Courses conducted by IIM, IIT, IISc, XLRI, NIFT, etc.

b) Studies abroad:

Courses conducted by CIMA – London, CPA – USA, etc.,
Courses in Universities which take admissions through TOEFL,GMAT,GRE,SAT exams

Only one course at a time will be financed

Loan Details

Coverage of expenses

Tuition and other fees
Maintenance costs, books & equipments, uniform, etc.
Caution fund/ building fund/ refundable deposit
Travel expenses/passage money for studies abroad for the first time only
Any other expense required to complete the course – like study tours, project work, thesis, etc.

All the above expense should be supported by institution bills/receipts

Quantum

a) Studies in India

Minimum - Rs. 25,000
Maximum - Rs. 7,50,000

b) Studies abroad

Minimum - Rs. 1,00,000
Maximum - Rs. 15,00,000

Margin :

Upto Rs.4 lakh : Nil
Above Rs.4 lakh - Studies in India : 5%
Studies Abroad : 15%

Scholarship/assistantship to be included in margin

Security :

Upto Rs. 4 lakh : no security/collateral required
Above Rs.4 lakh & upto Rs.7.5 lakh : Collateral in the form of a satisfactory third party guarantee.
Above Rs.7.5 lakh :Collateral security upto 100% of the loan amount and guarantee of an earning acquaintance of the student for 100% of the loan amount.

Collateral can be in the form of:

Land/ building/,govt. securities/Public Sector Bonds/ Units of NSC, KVP, LIC policy, shares/ debentures, bank deposit in the name of student/ parent/ guardian or any other third party for 100% of the loan.
In case the loan is given for purchase of computer the same to be hypothecated to the Bank

Rate of Interest

As per bank rules

Repayment

Period :
Maximum 5 years after commencement of repayment for studies in India and 3 years for studies abroad

The holiday period enjoyed by the borrower towards repayment of the loan. Moratorium period shall not exceed course duration + 6 months.

The borrower has to repay the interest accrued during the moratorium period on a monthly basis.

Contact Details

Head Office - Ground floor, Hansalaya Building, 15, Barakhamba Road, Connaught Place, New Delhi - 110001
Phone : 011-2335 0077
Website : visit

Click here for the nearest bank branches

Note : Since the rules, regulations, eligibility conditions, repayments and interests rates etc. are revised by the banks from time to time in keeping pace with the changing capital market conditions, students and parents are advised to thoroughly check the terms and conditions of educational loan scheme on offer at the time of application.