Education Loans in India
Tuesday, January 21, 2020
Education & Career
Find Us on FacebookFollow Us on TwitterFollow Us on Google Plus tellafriendYoutube
Search by Voice
       Pin It       tellafriend        

State Bank of India Education Loan Scheme

Education Loan Scheme | Scholar Loans

Education Loan Scheme

Eligibility : 


  • A term loan granted to Indian Nationals for pursuing higher education in India or abroad where admission has been secured.


  • Graduation courses/ Post graduation courses/ Professional courses
  • Other courses approved by UGC/Government/AICTE etc.

Loan Details

Coverage of Expenses

  • Fees payable to college/school/hostel
  • Examination/Library/Laboratory fees
  • Purchase of Books/Equipment/Instruments/Uniforms
  • Caution Deposit/Building Fund/Refundable Deposit (maximum 10% tution fees for the entire course) 
  • Travel Expenses/Passage money for studies abroad
  • Purchase of computers considered necessary for completion of course
  • Cost of a Two-wheeler upto Rs. 50,000/-

Any other expenses required to complete the course like study tours, project work etc.


  • For studies in India - maximum Rs. 10 lacs
  • For studies Abroad - maximum Rs. 20 lacs


  • For loans up to Rs.4 lacs - No Margin
  • For loans above Rs. 4 lacs
    - Studies in India - 5%
    - Studies abroad - 15%


  • Upto Rs. 4 lacs - No Security
  • Above Rs. 4 lacs to Rs. 7.50 lacs - Collateral security in the form of suitable third party guarantee. The bank may, at its discretion, in exceptional cases, weive third party guarantee if satisfied with the net-worth/means of parent/s who would be executing the documents as "joint borrower".
  • Above Rs. 7.50 lacs. - Tangible collateral security of suitable value, along with the assignment of future income of the student for payment of installments.

All loans should be secured by parent(s)/guardian of the student borrower. In case of married person, co-obligator can be either spouse or the parent(s)/ parents-in-law

Rate of Interest

  • Upto Rs.4 lacs - 11.25 % p.a.
  • Above Rs. 4 lacs and upto Rs.7.50 lacs - 12.75 %
  • Above Rs.7.50 lacs - 11.75% p.a.

Processing Fees

  • No processing fee/ upfront charges
  • Deposit of Rs. 5000/- for education loan for studies abroad which will be adjusted in the margin money

Repayment will commence one year after completion of course or 6 months after securing a job, whichever is earlier.


Contact Details

Corporate Centre
State Bank of India,
State Bank Bhawan, 8th floor, Madame Cama Road, Mumbai-400 021
Phone : 022-22029456, 22029451
Fax : 022-22885369
E-mail : Contact Now
Website : visit
State Bank of India Head Offices

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.