In this competitive world, we all know the importance of education in our lives. Education plays an important role in shaping our life and personality. Education is very important to get a good position and a job in society. It not only improves our personality but also makes us mentally, spiritually, intellectually advanced. By going through the today’s topic on “Canara bank education loan eligibility and interest rates”, we will get a clear picture of all the FAQs and terms related to aforementioned loan.
Everyone wants to achieve success in their life. But only by getting proper education one can get success. Education is important in every sphere of life. Success cannot be imagined in today’s era without education. Many students in their childhood was having a dream to become a doctor,engineer,etc, but after growing up, most of them have to compromise with their dreams because of education cost. A middle-class family cannot bear the cost of these expensive institutions. For fulfilling these needs and to provide a better shape to your future we came up with education loan to meritorious students as well as to needy ones.
Let us check here some of the details of Canara bank Education loan
- Canara bank education loan is provided to help poor and needy for basic educations and to meritorious students for their higher studies. All expenses required to complete the course is provided here
- Person should be an Indian national
- Eligible courses to study in India- Graduation, Post Graduation, Technical/Professional/Diploma courses from reputed college or universities approved by UGC/Government, AICTE/Department of Electronics/IMC
- Eligible courses to study Abroad- Graduation, Post Graduation, Phd, Post Grduation in diploma, etc
- Rate of interest is not fixed. For loan up to Rs. 7.5 Lakhs it is on-going one year MCLR+2% and for above Rs. 7.5 Lakhs it is on-going one year MCLR+1.5%. MCLR is the minimum rate of interest that a bank can lend.
| MARGIN | UP TO Rs. 4 LAKHS | ABOVE Rs. 4 LAKHS |
| STUDY IN INDIA | NIL | 5% |
| STUDY ABROAD | NIL | 15% |
Maximum re-payment tenure of loan amount is 15 years excluding repayment holidaywhich is 1 year after the course period
| QUANTUM OF LOAN | SECURITY |
| UP TO Rs. 7.50 LAKHS | No collateral Security, loan will be covered under Credit Guarantee Fund Scheme for Education loans(CGFSEL) scheme subject to the conditions |
| ABOVE Rs. 7.50 LAKHS | Tangible Collateral security of amount equal to or more than the loan amount |
Vidya Turant- Education Loan for higher studies in reputed Institutions
- The purpose is to provide loan to meritorious students who are pursuing their higher studies in reputed institutions Reputed Institute lists
- An individual should be an Indian national
- Margin money for loan up to Rs. 4 Lakhs is nil and 5% for loan above Rs. 4 Lakhs
- Loan is granted jointly with parent/guardian and student. There is list of some institution where loan can be granted in the name of student only. Find the list Reputed Institute lists
- Processing charge to avail education loan is “NIL”
- Maximum tenure of re-payment is 15 years excluding the moratorium period
- Rate of interest is on-going one year MCLR+1.5%
Institute wise Quantum of Loan that can be avail
| INSTITUTE CATEGORY | QUANTUM OF LOAN |
| CATEGORY A | UP TO Rs. 25 LAKHS |
| CATEGORY B | UP TO Rs. 40 LAKHS |
| CATEGORY C | UP TO Rs. 20 LAKHS |
That’s all for Canara bank Education loan eligibility and interest rates. Hope you have understood better. Thanks for visiting us !
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