IOB Vidya Jyoti Education Loan Scheme

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Eligibility :

Student

Students who have got admission into a college approved by AICTE, UGC or any other recognized Statutory Body under Management Quota without undergoing any test or Interview but have secured minimum cut off marks of 65% in the plus two or its equivalent examination approved by Govt. of India / respective State Governments.
The applicant should be an Indian National.
Should have secured admission to professional/technical courses in India or abroad

Courses

a) Studies in India

Loan is made available for

Graduation/ Post graduation/ Diploma/ Computer education in any recognized State/ Central Government/University
Professional courses including Engineering, Medical, Agriculture, Veterinary, Law, Dental, Management
Courses like ICWA, CA, CFA, etc.,
Courses conducted by IIM, IISC, XLRI, NIFT etc,
Courses offered in India by reputed foreign universities/ Evening courses of approved institutes
Regular degree/ diploma courses like Aeronautical , Pilot training , shipping etc approved by Director General of Civil Aviation/ shipping

b) Studies abroad:

Only for Graduation and Post Graduation Courses offered by Reputed Universities and not for diplomas
Courses like Aeronautical, Pilot training, shipping etc. recognized by the competent local aviation/ shipping authority.

Loan Details

Coverage of expenses

Fee payable to College / School / Hostel
Exam fees
Purchase of books / Equipment’s
Travel expenses / Passage money for studies abroad
Purchase of computers essential for completion of the course etc.

Quantum

Studies in India - Upto Rs.30 lakhs
Studies in Abroad - Upto- Rs. 40 lakhs

Margin

Upto Rs.4 lakhs - Nil
Above Rs.4 lakhs
- Studies in India 5%
- Studies abroad 15%

Scholarship/ assistantship to be included in margin.

Security

Documents should be executed both by the student and parent / guardian as joint borrower.

Upto Rs. 4 lacs - Co obligation of parents . No security
Above Rs. 4 lacs & Upto Rs.7.50 lacs - Co obligation of parents together with collateral security in the form of suitable third party guarantee
Above Rs.7.50 lacs - Co obligation of parents together with tangible collateral security .Collateral security in the form of NSC /KVP/ LIC Policy/ Immovable properties/ Bank Deposits 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. In case the loan is given for the purchase of computer , the computer has to be hypothecated to the bank.

Rate of Interest

For interest rate check out this link, IOB Interest Rate

Interest to be debited monthly on simple basis during the repayment holiday/moratorium period.

Interest servicing - It is left to the option of the student either to service the interest during the study period or pay it along with the principal over a period of 5 - 7 years to commence from 12th month after completion of the study.

For prompt servicing of interest for all months during the study period when repayment holiday is specified for interest / repayment under the scheme, an interest rebate @1.00 % is allowed. Interest concession at 0.50% on all Education Loans to Girl Students for pursuing education in India and Abroad is allowed. The interest rebate thus calculated will be credited back to loan account at the time of commencement of repayment of the principal sum.

Repayment

Repay the loan in equal monthly Instalments for a maximum period of 5 - 7 years excluding holiday period.

Contact Details

Indian Overseas Bank
Head Office :PB No.1384, 66, Rajaji Salai, Chennai 600 001, Tamil Nadu
Telephone No. : 044-25233231/25231253/25231254
Fax No. : 044-25231278
Customer Care Centre : ( 044 ) 39898911
National Toll Free No.: 1800 425 1400
E-mail : Contact Now
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.

Tags

Professional Education Loan , Study Abroad Loan , Indian Overseas Bank Education Loan

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