Organization :Canara Bank
Service Name : Online Education Loan Application & Track Status
Applicable State/UT: All India
Website : http://www.canarabank.com/english/
Apply Online/Track Status: https://canarabankcsis.in/
Education Loan
IBA Model Education Loan scheme for pursuing higher studies in India and abroad
Related : Canara Bank Net Banking : www.statusin.in/8797.html
Purpose:
Payment of course fees, purchase of books, equipments, instruments, uniform, payment of hostel fees, examination fees, study tools, passage expenses, (for study abroad)
Eligible courses:
Graduation, post graduation, including technical/professional courses with employment potentials conducted by colleges/universities approved by UGC/Government, AICTE/Department of Electronics/IMC, autonomous institutions like IIM, IIT, etc.
Studies abroad:
Job oriented technical/professional courses-(graduation/post graduation.)
Quantum of finance:
Need-based finance
For studies in India: maximum Rs 10.00 lakhs
For studies abroad maximum Rs 20.00 lakhs
Margin:
Upto Rs.4.00 Lakhs – Nil
Above Rs.4.00 Lakhs – for studies in India – 5%
Studies abroad – 15%
Loan is given jointly to the student and parent/guardian
Assignment of future income of the student
Upto Rs.4.00 Lakhs – No Security
Above Rs.4.00 Lakhs upto Rs.7.50 Lakhs – Satisfactory third party guarantee
Security:
(Note: If the proposed borrower prefers to offer collateral security of tangible assets (moveable or immoveable) instead of bringing collateral securities in the form of third party guarantee, the same may be accepted, at his request, provided the securities with stipulated margin covers 100% of the loan amount).
Above Rs.7.50 Lakhs: Collateral security equal to 100% of the loan amount.
Commences one year after completion of the course or six months after getting employment, whichever is earlier.
Loan with interest is repayable in equated monthly installments as follows.
Repayment:
Upto Rs.7.5 Lakhs – 10 years
Above Rs.7.5 Lakhs – 15 years
Loan can be availed from the branch nearest to the place of permanent residence of the parent/guardian.
Term Loans :
** Term Loan is normally extended for acquisition of Land, Building and machinery, purchase of vehicles etc. and also along with working capital finance as composite loans.
** Term Loan is given both for industrial and non-industrial borrowers i.e. both for projects / activities involved in manufacture/processing/repairing and business / trading activities etc. The project needs to establish technical feasibility and economic viability.
** Term loan is extended in different forms such as all rupee loans, foreign currency loans and Deferred Payment Guarantees (DPG) / acceptance facilities (other than foreign currency loans obtained from the foreign banks or branches of Indian Banks abroad without the back-up of DPGs issued by Banks in India).
** Repayment schedule for term loans would be stipulated based upon Debt Service Coverage Ratio, cash generation and repayment capacity. Repayment would be by way of periodic instalments with appropriate repayment holiday during implementation of the project.
** Rate of interest on term loans depend upon various factors like nature of the project, quantum of loan, risk rating, repayment period and structure of the debt.
** Securities for term loans per se would be as per general lending norms of the banks and also depends on the risk perception of the individual account.