Canara Bank Education Loan
Recruitment Notification Highlights
- 1 Canara Bank Education Loan
- 1.1 Canara Bank Education Loan Schemes
- 1.2 Canara Bank Education Loan Student Eligibility
- 1.3 Canara Bank Education Loan Courses Eligibility
- 1.4 Quantum of Loan
- 1.5 Expenses covered
- 1.6 Canara Bank Education Loan Margin
- 1.7 Canara Bank Education Loan Security
- 1.8 Canara Bank Education Loan Rate of Interest
- 1.9 Canara Bank Education Loan Repayment
- 1.10 Canara Bank Education Loan Processing Fee
- 1.11 Canara Bank Education Loan Interest Subsidy Schemes
- 1.12 Canara Bank Education Loan Required Documents / Application Process
- 1.13 Others
In this article, we are presenting essential information about Canara Bank Education Loan. Canara Bank is one of the major public sector bank owned by the government of India with its headquarters in Bangalore, India. The bank stretched its hand to help students for higher educations with different types of schemes. For clear information about Canara Bank Education Loan, schemes keep reading this article till the end carefully. The wait is over for the students who want to pursue their higher esteem/studies in reputed colleges in India or Abroad but unable to proceed because of financial constraints. Yes, Canara Bank the provides financial support through Canara Bank Education Loan for the meritorious students who have secured the admission from the accredited university through entrance exam or merit base selection process.
Canara Bank Education Loan Schemes
- IBA model education loan scheme for pursing higher education in India or Abroad
- Model Loan Scheme for Vocational course and training
- Vidya sahay
- Vidya Turant
Canara Bank Education Loan Student Eligibility
- The applicant should be an Indian national
- The student should be completed 10th standard and should be obtained admission in a course run by state/central government recognized by the authorized board in order to avail vocational trading course scheme.
- Contenders who appeared in common entrance test or test conducted by IIT or such other all India examination will be eligible for availing vidya sahay scheme
- The intender should qualify previous academics and selected through entrance exam or merit base selection conducted by competent authorities are eligible for Vidya Turant scheme.
Canara Bank Education Loan Courses Eligibility
- For studies in India the eligible graduation courses, post graduation courses, including technical/professional courses conducted by colleges/institutions recognized by respective state/Central/UGC/AICTE boards.
- For studies in Abroad, the eligible courses would be job oriented professional or technical courses conducted by IIT, IIM etc and post graduation courses namely MBA, MCA, MS etc. Also, courses conducted by CIMA-London, CPA in the USA etc.
- For pursuing vocational courses and training the eligible courses are like development courses of duration 2 months to the maximum of 3 years leading to certificate/Diploma/degree issued and recognized by corresponding authorized government boards to do so.
Quantum of Loan
The loan amount or quantum of loan will be based and varied for every scheme as detailed below
- For studies in India: The maximum loan is 10 lacs
- For studies in Abroad: up to 20 lacs
- For vocational training: 20,000 for the course duration of 3 months, up to 6 months, the loan amount would be 50,000. Also, there will be the quantum of 75,000 for the course duration of 6 to 1 year. The maximum loan amount which is given for the course duration above 1 year i.e. 1.5 lakhs.
- The maximum loan amount is 1 lakh for Vidya sahay scheme.
- Under vidya turant scheme the students from the IIT, ISB will get a maximum loan amount of 25 lacs and 36 lacs respectively. Also, there will be a loan for all the other institutions with limit up to 20 lacs.
- Fee payable to college /university
- Hostel fee
- Fee payable to uniform/Building Fund/caution deposit supported by bills from the respective university/institute
- Examination fee/ library fee
- Travel expenses
- Some other essential expenses like the purchase of a computer, laptop, books, instruments, equipment, industrial tours, project work, thesis etc.
- Boarding charges if student needs outside accommodation
- Insurance premium for applicable candidates
Canara Bank Education Loan Margin
The margin is varied based on the quantum of loan as follows
- For loans up to 4 lakhs: NIL
- For loans above 4 lakhs Studies in India: 5%
- Studies in Abroad: 15%
Canara Bank Education Loan Security
For the loans below 4 lakhs, there is no security and parents would become co-borrowers and for the loans above 4 lakhs and below 7.5 lakhs there is need of satisfactory 3rd party guarantee. Also, the loan is given to the student and parent/guardian with the assignment of future income of the applicant. There will be no security and no collateral/third party required for the courses under vocational training. As per the Vidya sahay scheme, it has no security as it was a below 4 lakh category.
Canara Bank Education Loan Rate of Interest
- As applicable to education loans i.e. 11.5 %( Base Rate + 1.50%)
- Ongoing 1-year MCLR plus 0.2%
- There will be a concession of 0.50% for female students which is not applicable in Vidya turant scheme
Canara Bank Education Loan Repayment
- For the loans, up to 7.5 lakhs the repayment period will be maximum of 10 years and above 7.5 lakh loans has 15 years of repayment period.
- The loan can be availed from the nearest branches to the resident address.
- Bridge loan will be cleared after sanction of actual education loan under the scheme of Vidya sahay
- The loan amount will be repaid in installment base month wise or EMI mode by the applicant or co-borrower after the commencement of repayment period
- The repayment period will be started after the completion of 1-year employment of the student.
- Repayment holiday or moratorium period: course period plus one year after the course completion.
- No penal repayment is charged on before the due date of repayments.
Canara Bank Education Loan Processing Fee
Canara Bank Education Loan Interest Subsidy Schemes
- Central Sector interest subsidy scheme for education loans: The government of India decided to give subsidy on interest during the moratorium period of education loans for the students from economically weak families under the educational loan of the India Bank’s association.
- Padho Pardesh interest subsidy scheme for minority students: The students who are belonging to minority category can avail this central sector subsidy scheme during the moratorium period of the education loan for pursuing higher studies in Abroad.
- It will not be applicable to the applicants who are failed/unable to complete the education course completely.
Canara Bank Education Loan Required Documents / Application Process
The intenders who are going to apply for Canara Bank Education Loan should carry all the mandatory documents for completion of loan formalities
- Brochure of the admitted college which comprises of the detailed amount of fee to be payable.
- Identity proof: Driving license, Voter Id, Passport, Pan Card, Aadhar card etc.
- Call letter or admission letter from the respective College/University
- Income Proof: Latest salary slips along with a bank transactions statement for salaried individuals, Income certificate for the economically weak section students who have an annual income below 4 lacs.
- Resident Proof: Bank account statement, Latest mobile bills, recent electricity bill, Gas booking receipt, existing house proof from the respective Mee Seva office etc
- Loan will be disbursed as per the requirement directly to the university/college
- The commencement of repayment period will be after the moratorium period
- The subsidy scheme will be applicable only during the moratorium period.
- There is an availability of online application form for the applicants
- Value added services: Free debit card
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