Education Loan Interest Rates 2020627 views
- RBL Bank Customized Education Loans up for grabs
- Interest rate ranges from 14.15%-16.15%
To pursue higher education, you can apply for an education loan. The loan amount is useful to pay the college fees and other expenses. You can finance your abroad studies as well using the loan amount by giving a few of the documents. RBL Bank offers you a good amount to secure your admission to the desired university or college. For higher education, you don’t have to worry about funds anymore when you can borrow it from RBL Bank.
|Loan Quantum (INR)||10-20 lakh|
|Interest Rate||14.15% - 16.15%|
Table of Contents
Loan Amount for RBL Bank Education Loan
The loan is based on your need and required fees from the college or institution. You can borrow up to INR 20 lakh from the bank to finance your abroad studies. But first, you need to be qualified to secure admission in a reputed university overseas on merit-based exams. The loan is dependent on the approval from the university first, only the bank can provide any funds. Your loan amount eligibility in any of the universities across India is a maximum of INR 10 lakh.
With the help of the loan, you can pay the semester examination fee and other essential fees for your course. And, after the completion of course, you will get a 1-year of repayment holiday. So, the repayment will kick start a year after you complete the course. If you’re finalized for a job after the course completion, the moratorium would be 6-months whichever period is earlier. The main idea behind the moratorium is to provide relief to the borrower from the regular payment schedule of the loan. But, the interest rates are still accumulated to your outstanding loan balance.
RBL Bank Education Loan Interest Rates
RBL Bank offers customers an attractive rate of interest on their borrowed amount. And the loan based interest rate is applied to your RBL Bank education loan as per the flexible tenure. The interest rate is based on the bank repo rate over which the bank will put a certain spread to arrive at the interest rate. Look at the below table to find out how the rates applied to your education loan.
|Loan Quantum (INR)||Interest Rate per annum|
|Up to 4 lakh||15.15%|
|> 4 - 7.5 lakh||16.15%|
|Above 7.5 lakh||14.15%|
After knowing about the rate of interest of your RBL education loan, you can decide how much to borrow as per the educational needs of yours. The tenure given to service this loan is a maximum of 7 years. You can choose whatever tenure that fits in your budget without bothering the course period.
Eligibility for RBL Bank Education Loan
RBL Bank seeks the following to approve an education loan.
- The income of the applicant should be minimum of INR 1.5 lakh
- Father, mother, brother or sister any of them can be the student co-applicant
- Salaried & self-employed individuals can apply for the education loan
- Age of the applicant must be eligible as per the admission criteria in the university
- Copy of the student passport and visa is mandatory to submit for foreign education
RBL Bank Education Loan Calculator
You can pay the borrowed loan in Equated Monthly Installment (EMI). To calculate the EMI, you need to use the online tool i,e, Education Loan EMI Calculator. Mention your details of the loan such as principal amount, interest rate and repayment tenure. As soon as you do, the calculator will flash the EMI payable over the chosen tenure. Suppose, you have borrowed INR 8 lakh and the interest rate to your loan is 15.20% per annum for 5 years. Then, the EMI of your RBL Bank education loan would be INR 19,032. To pay the EMI of your borrowed amount, you can use the following methods.
Electronic Clearing Service (ECS): The automatic loan payment service allows you to pay the EMI on time. As there are no penalty fees on your education loan it would be easy for you to pay the EMI as scheduled. You can use any of your bank accounts to pay the EMI.
Post Dated Cheque (PDC): Submit the cheque to the bank branch after the loan approval so that the EMI is debited from your account without any delay. And pay INR 500+GST for swapping cheques.
Documents for RBL Bank Education Loan
You need to submit a few documents to the bank to verify your nationality, ID and income details. Because only Indian nationals can apply for the RBL bank education loan. Following are the documents you need to submit while applying.
- Aadhar card
- PAN card
- Driving license
- Voter-ID card
- 10+2 mark sheet or certificate
- Degree or Diploma (if applying for post-graduation) semester wise
- 2 Passport size Photographs
- And relationship proof with the co-applicant
- Payslip for past 3-months
- Salary certificate
- Bank statement for 3-months
- ITR report
- Repayment track record in credit report
- Documents for collateral
- Stability of income proof
Overseas education proof:-
- Passport copy of students pursuing educational course in abroad
- For US institutes I-20 Form needs to be submitted.
- Also scholarship certificates are required for special cases
- English proficiency certificate and other qualifying exams like GRE, GMAT, SAT, TOEFL, etc.
How to Apply for RBL Bank Education Loan?
To apply for the loan, you have two options one is online and another is offline. You can visit the bank website and follow the mentioned steps to apply.
- Visit the official RBL Bank website and select education loan from ‘Product Category’
- Click on the ‘Apply Now’ button to start the process
- Enter your name and other details as asked in the form
- If you are an eligible applicant, you can get the notification from the bank on your registered number
- There is no processing fee on your RBL Bank education loan, so you are just required to submit the documents
- When the loan is approved, it goes towards the sanction procedure and subsequently the disbursal happens
Offline loan application
You can go to the RBL Bank nearest branch and ask the representative about the education loan application form. And apply for it by filling an application form. Submit the form along with 2 passport size photographs of the student and co-borrower. The rest of the documents will be submitted to the bank later once the bank approves the loan application.
Now, make your way towards higher education in India or abroad with RBL Bank education Loan.