SBI Education Loan – Types, Benefits, and How to Apply for the Loan

SBI Education Loan

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State Bank of India is an Indian public sector bank and financial services statutory body. SBI is the 49th largest bank in the world by total assts and ranked 221st in the Fortune Global 500 list of the world’s biggest corporations of 2020. It is also the 5th largest employer in India with nearly 250,000 employees. On 14th of September 2022, State Bank of India became the third lender and seventh Indian company to cross the 5 trillion market capitalization on the Indian stock exchanges for the first time.

SBI Education Loan

SBI offers wide range of education loan. If you are planning to study abroad or planning for your higher studies but can’t afford because of higher fees then, no need to worry, you can opt for education loan and can go for your dream education. SBI Education Loan is the first option for every Indian student. SBI Education Loan is a popular option for every students because of its low interest rate, easy repayment options, income tax benefits, interest rate concession for female students and many more.

Also Read: Health Benefits of Buttermilk – Uses, Nutritional Value, and Side-effect

Benefits and Features of SBI Education Loan

There are various features and benefits of SBI education loan. Some of them are as follows

• State Bank of India does not charges processing fees when the students pursue their higher education in India or when the loan amount is below Rs 20.00 lakh for overseas.
• State Bank of India also does not charges any hidden fees.
• Repayment tenure of the loan is up to 15 years.
• No collateral is required for the SBI education loan if you borrow up to INR 7.5 lakh
• The loan is extended with no margin on loan amount up to INR 4 lakhs
• Low interest rates
• Minimal documentation
• Pocket friendly EMIs

Also Read: SBI Home Loan

SBI Student Loan Schemes & Eligibility

SBI has been offering various SBI education loan schemes for students as per their specific requirements. The first step for you to choose the type of SBI education loan you want in order to pursue your education journey. SBI offers a range of student loan schemes depending upon the requirement of the students such as SBI Student Loan, Scheme, SBI Scholar Loan Scheme, SBI Skill Loan Scheme, SBI Global Loan Scheme. You can choose the scheme and apply for the best one as your requirement for your higher education.

1. SBI Student Loan Scheme

Under this scheme you can study in India or abroad as per your qualification. In this scheme SBI offers you up to INR 20 lakh. The loan amount includes all your educational expenses including college fees, purchasing of books, uniforms and travel expenses for studying abroad. All the additional charges such as tours or educational trips can be managed in the SBI Student Loan Scheme. So you can apply for the loan, and pay for it in EMIs. You can repay the loan a year after completing the course. 10.45% interest rate is offered for up to INR 7.5 lakhs with 0.50% concession for girl students. 10.70% is offered for above INR 7.5 lakhs with 0.50% concession of girl students and 0.50% concession for students availing SBI Rinn Raksha or any other existing policy assigned in favour of SBI.

2. SBI Scholar Loan Scheme

SBI Scholar Loan Scheme enables you to pursue your higher studies like IIT,IIM,NIIT, and offers 100% financing for your studies. To apply for this loan you first needs to clear your entrance test and as per your result SBI offers you the loan amount. SBI Scholar Scheme interest rate ranges from 7.95% to 9.25% per annum. Below is the table given how much you can borrow as per your SBI grades

3. SBI Skill Loan Scheme

If you have a special skill and wants to gets the opportunity to utilize your skills in some courses and need a separate fund for it, SBI supports you with the Skill Loan Scheme, you can borrow loan amount from INR 5,000 to INR 1.5 lakh. There is no need for collateral or guarantor as other SBI Educational Loans. With a recognized institute, you can improve your skills, whether it is photography, journalism etc.

The interest rate ranges from 9.55% per annum. The fixed rate of interest is based on your loan tenure, which is based on your borrowed amount.

4. SBI Global Ed-Vantage Scheme

SBI Global Ed-Vantage Scheme is for Graduate, Post-graduate, and Doctorate degrees offered by foreign universities. You can get financial support form SBI to the tune of INR 1.5 crore. The loan scheme covers all your expenses including your books, uniform, travel charges etc. Once you get your Visa you can apply for the loan. You can apply for SBI Global Ed-Vantage Scheme online. The interest rate on your Global Ed-Vantage Education Loan starts from 10.05% per annum.

SBI Rinn Raksha

To make your loan secure, you can add SBI Rinn Raksha insurance, using it you can make your family secure for your liabilities. With the help of Rinn Raksha, you can get up to 0.50% concession on your SBI Education Loan interest rates.

Expenses covered under SBI Student Loan Scheme

• College Fees
• Hostel Fees
• Examination Fees
• Purchase of Books, Equipment’s, Uniforms
• Travel Expenses for abroad studies
• Cost of other activities like study tours, project work etc.

How to Apply for SBI Education Loan

You can apply for SBI Education Loan through both online and offline mode

• Online Mode

You can visit the SBI official website, fill up the education loan application form mention all your details, submit all your required documents, Select the loan and once SBI approves your online application, choose the desired amount. Complete the process by uploading documents mentioned above and pay the processing charge if it applies to your loan amount.

• Offline Mode

You can also apply for SBI Education Loan through offline procedure, visit to your nearest SBI branch, complete all your paperwork’s and wait for the loan approval. Give all your necessary documents as well as the processing fee cheque. If you have enough time to spend on every detail of the loan, the offline procedure is best for you.

• YONO SBI for Education Loan

To get your loan approval quickly, you can apply for the education loan from SBI mobile app YONO. Only the bank customers are eligible to use this app and using it they can apply for the loan from their smartphones. So use the YONO app to submit your application quickly.

Documents Required

To apply for students loan you need a certain list of documentations which are discussed below. Have a look at the below mentioned list of documents to apply for an SBI Education Loan.

• ID Proof
• Residence Proof
• Passport is mandatory
• 2 Passport-Size Photographs
• 10th and 12th Marksheets
• Entrance Exam Marksheet
• Admission Proof
• Loan statement for last 1 year

Documents Required for Co-applicant

• ID Proof
• Address Proof
• Passport Size Photographs
• Loan statement of the co-borrower for past 1 year

Income Proof for Salaried Co-applicant/ Guarantor

• Salary Slip of last 3 months
• Copy of the dully filled form 16 for the last 2 years
• Bank account statement

Income Proof foe Self-employed Co-applicant/ Guarantor

• Business Address Proof
• IT return report for the last 2 years
• TDS Certificate
• Certificate of qualification
• Bank statement of last 6 months

EMI Calculator

SBI Education Loan EMI online calculator is very beneficial for the one to calculate their EMI. EMI calculator from SBI can be easily accessed online on the bank’s website. It just requires a few basic inputs such as the applicant’s monthly income, desired loan tenure, prevailing home loan interest rate and outstanding EMI obligations. SBI student loan EMI calculator computes repayment schedule by providing two types of calculations. One computation is based on interest being paid during the course duration and other computation in which the interest is not paid during the study period. It is flexible as it allows you to factor in prepayment as well. SBI education loan EMI calculator will give you a good estimate regarding your SBI education loan repayment.

FAQs

1. What are the different types of SBI Education Loan Schemes?

Ans: There are wide range of SBI education loan schemes which includes SBI Education Loan Schemes, SBI Skill Loan Schemes, SBI Scholar Loan Scheme, SBI Global Education Loan Scheme. etc.

2. Is there a processing fee for SBI Student Loan?

Ans: No there is no processing fee for SBI student loan.

3. How is SBI Education Loan EMI calculated?

Ans: SBI offers a fixed rate of interest for which it is very easy to calculate your monthly EMIs. EMI calculator from SBI can be easily accessed online on the bank’s website. You can refer to an SBI education loan EMI calculator and fill in all the required details such as total amount, your loan tenure, your annual rate of interest and plan your EMI payment accordingly.

4. What is the procedure of repayment schedule?

Ans: The repayment tenure would begin after the course period is over or after you get a job. You are expected to pay minimum amount equivalent to the EMI on a monthly basis.

Dev Kirtonia

Hi, I’m Dev Kirtonia, Founder & CEO of Dev Library. A website that provides all SCERT, NCERT 3 to 12, and BA, B.com, B.Sc, and Computer Science with Post Graduate Notes & Suggestions, Novel, eBooks, Biography, Quotes, Study Materials, and more.