Saraswati Education Loan

Being a bank, we understand the importance of inventing in education. The Saraswat Education Loan is here to give wings to your child’s dream of studying ahead in India or in a foreign country - course fees & other expenses (traveling/lodging/boarding).

Eligibility:

Individual who has secured admission in any of the graduate/post-graduate courses offered by college/institute/university approved by IBA.
Students applying for vocational courses will also be covered under this scheme with a maximum loan amount of Rs.10 lakh
Student should be applicant and parent or relative should be co-applicant
In case of minor student, parent will be applicant

Loan Amount:

Studies in India – Maximum upto Rs. 75.00 lakh
Studies in Abroad - Maximum upto Rs. 150.00 lakh
Vocational courses – Maximum upto Rs. 10 lakh

Basis of Advance:

a) 100% course fee and other expenses (traveling/lodging/boarding and other course related expenses)
b) 85-90% of face Value of NSC’s/LIP OR 90% of accrued value, in case of cumulative deposits or face value in case of other deposits OR 90% of market value of the property OR
c) 50 times of the Avg net salary of parents Or 4 times of the Avg Gross cash accruals in case of businessman or latest audited gross cash accrual with justification.
b) or c) whichever is lower

If property given as Security:
a) 90% of market value of the property OR
b)75 times of the Avg net salary of parents or 5 times of the Average gross cash accruals.
a) or b) whichever is lower

Repayment Period:

Maximum 12 years excluding moratorium period.
Moratorium: Three years or duration of the course plus one year, whichever is earlier.

Security:

Upto Rs. 4.00 lakh: without guarantor,
Above Rs. 4.00 lakh and upto Rs. 5.00 lakh – Third party guarantee,
Above Rs. 5.00 lakh: Pledge of any other tangible security acceptable to the bank or Equitable mortgage of Property.
Equitable mortgage of Property, NSC/LIP pledged/assigned in favour of Bank, Fixed Deposit

Rate of Interest (Floating):

w.e.f 13.02.2023

Particulars	Floating
General	(PLR-5.50) = 10.00%
Girl Child and Divyang (0.5%discount)	(PLR-6.00) = 9.50%
Premier Institutes (0.25% discount)	(PLR-5.75) = 9.75%

Present PLR @15.50% p.a

*0.50% concession for all girl students and Divyang.
*0.25% concession in rate for IIM, IIT, XLRI & ISB, Govt Recognized Medical College.

Processing Fees:

For Studies in India – NIL
For Studies Abroad – 0.5% max Rs 10,000/-

Shareholding:

As per extant shareholding norms

Insurance:

Life insurance policy of the student borrower.

Documents Required:

Duly filled prescribed application form
Latest Photograph, Photo Identity Proof, Residence proof of the Applicant and Guarantors
Proof of confirmed admission & Estimate of course fees & other expenses (traveling/lodging/boarding)
Fee receipts or proof of payments made.
Copy of Passport & Visa and related documents, if the student is going abroad for higher education.
Income proof of the applicant in the form of
1. Salaried: last 3 months’ salary slip/certificate or copy of the last three years IT returns or form 16 of last two years, 3 month bank statement.
2. Businessman: last 3 years’ profit & loss and balance sheet, ITR copies of last three years, 3 month bank statement.