Banks are are coming out with
innovative loan products to cater emerging segment of customers. One
such loan product is 'Scholar Loan'. This loan is provided by banks to
students on the basis of their academic performance/merit. Students
enrolled in top engineering/ medical/B schools are eligible to apply for
such loans.
Maximum Loan offered by Banks for Scholar Loan:
The amount of
loan provided varies in different banks. It can range from Rs. 2 lakh to
Rs.15 lakhs. The loan can be repaid by Equated Monthly Instalments or
EMI.
Interest Charged by Bank on Scholar Loan:
The interest on
scholar loan varies from bank to bank and also the prevailing market
rate. The rate of interest can increase or decrease with respect to the
amount of loan required.
Process of Scholar Loan Application:
Scholar loans forms are
available at bank premises. Online forms are also available for ease of
the clients. Generally no processing fee is charged. A deposit can
however required sometimes, which is adjusted later on.
Documents Required for Scholar Loan:
- Completed Education Loan Application Form
- Original mark sheets of last qualifying examination
- Proof of admission scholarship, studentship etc
- Prospectus of the institute containing schedule of expenses for
the specified course
- Passport size photographs
- Borrower's Bank account statement for the last six months
- In case the borrower in an income tax payee, Income tax
assessment order, of last 2 years
- Brief statement of assets and liabilities, of the Co-borrower ,
if any
- Proof of Income (i.e. Salary slips/ Form 16 etc) , if any
List of Leading Banks Offering Scholar Loans:
