HOW MUCH EDUCATION LOAN CAN I GET

How Much Education Loan Can I Get

How Much Education Loan Can I Get

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Amounts of Education Loans Provided Under the IBA Model Program

Introduction

The Indian Banks' Association (IBA) has launched a Model Education Loan Scheme to guarantee consistency, affordability, and accessibility in the financing of education. How Much Education Loan Can I Get? The majority of Indian public and commercial banks have embraced this approach, which establishes uniform standards for loan eligibility, limits, interest rates, and terms of repayment. How much of an education loan is available under the IBA Model Scheme is a frequently asked question by parents and students.

This article discusses the IBA Model Education Loan Scheme's main characteristics, loan amount caps, and how it helps prospective students pursue higher education both domestically and overseas.

The IBA Model Education Loan Scheme: What Is It?

The Indian Banks' Association gives banks a standard framework called the IBA Model Scheme for How Much Education Loan Can I Get: 


  • Preserve consistent lending standards.

  • Support courses in India and abroad


This scheme is widely adopted by banks such as SBI, PNB, Canara Bank, Indian Bank, and others.















Purpose Maximum Loan Limit
For studies in India Up to ₹10 lakh
For studies abroad Up to ₹20 lakh

Note: On an individual basis, banks might take into account larger loan amounts, particularly if collateral is provided and the student is accepted into a reputable university.

Important Aspects of the IBA Model Scheme 

  • Courses Offered: Professional, postgraduate, and undergraduate courses both domestically and internationally.

  • Institutions: Approved by the government, AICTE, UGC, or recognized international organizations.

  • Interest rates: Usually based on the repo rate, with a bank-determined buffer.


The requirement for collateral:

Extra Advantages According to the Scheme's 

Moratorium: Duration of the course plus 12 months

Margin Funds:

  • With no margin up to ₹4 lakh

  • Over ₹4 lakh: 15% overseas, 5% in India

  • For lesser loans, security is optional; for larger loans, it is required.


Who Qualifies?

  • Indian nationals who have been admitted to approved courses.

  • A strong academic record is favored.


Conclusion

With loans up to ₹10 lakh for studies in India and ₹20 lakh for studies overseas, the IBA Model How Much Education Loan Can I Get Scheme provides the framework for the majority of Indian banks. Although these are typical limits, several banks permit larger sums for students enrolled in prestigious universities or with collateral.

You can improve your chances of loan approval by ensuring that your application complies with the model scheme's requirements, which include course selection, institution recognition, and appropriate documents. The IBA program continues to be a dependable and easily accessible route for students looking for organized, bank-backed financial assistance to fulfill their academic goals.

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