South Indian Bank Education Loan to Study Abroad | GyanDhan
Updated on: 20 Apr 2021
With 871 branches spread across 20 regional offices, South Indian Bank is one of the leading private sector banks and is based in Thrissur, Kerala. Committed to helping students make their higher education dream a reality, this bank offers education loans to deserving and meritorious Indian students who are desirous of higher education, both in India or abroad. The bank has created tailor-made education loan solutions that aim to meet the diverse needs of the students. Their SIB Global education Scheme is quite popular among students who wish to go abroad for higher studies. Let us look in detail at all the features of this education loan scheme from South Indian Bank in this blog.
What are the eligibility criteria for getting a South Indian Bank education loan?
South Indian Bank Global Education loan scheme is given to Indian nationals. Even NRIs with an Indian passport are eligible for this loan scheme.
The minimum age of the student should be 18 years and the maximum age can be up to 50 years.
The student should have got admission to a job-oriented program of a reputed International University.
What is the rate of interest of the South Indian Bank of India education loan?
Students can get the Global Education Scheme loan at a rate of interest between Repo rate + 6.05% and Repo Rate + 6.80%. Since the current Repo rate is 4%, the RoI comes between 10.05% to 10.80%. Girl students get a 0.5% concession on the rate of interest.
What is the margin money on the South Indian Bank education loan?
Margin Money is the money that the borrower needs to fund for his education. To know more about margin money, you can read here. In the case of South Indian Bank, the margin money is 25%. Any money that the student receives as a scholarship or financial aid is included in the margin money.
How much loan can be taken from the South Indian Bank education loan?
South Indian Bank’s Global Education Loan Scheme gives students loans between INR 20 lakhs and INR 1.5 Crores. The maximum loan amount of this bank is higher than that offered by most banks in India. The loan covers all study-related expenses such as tuition fees, travel expenses, exam fees, library fees, lab fees, cost of books, uniform, and equipment, hostel fee, and insurance premium. Students taking the Global Education Loan Scheme from South Indian Bank also have to take compulsory Life insurance under the SIB EDUGUARD scheme.
What is the processing fee or other charges for getting a South Indian Bank education loan?
South Indian Bank does not charge any processing fee. However, it charges an upfront fee of 1% when sanctioning the Global Education Loan Scheme.
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What is the repayment period of the South Indian Bank education loan?
The Global Education loan scheme from the South Indian Bank has a repayment period between 7 to 15 years. Students who take this loan also get a moratorium which includes the duration of the program and six months post the program ends. Before commencing the repayment, if the student decides to pay interest during the moratorium period, the student gets a 1% interest concession.
What is the security required to be pledged for the South Indian Bank education loan?
South Indian Bank requires 100% collateral that covers the loan amount and the subsequent interest. If a student is a minor, then the parent will be the principal borrower and if the student is a major, then the parent will be the co-borrower.
What are the documents required for a South Indian Bank education loan?
The documents required by South Indian Bank for sanctioning a Global Education Loan Scheme vary from case to case. However, some common documents that are required are as follows:
Identity and address proof
PAN card of the student and the parents
Admission letter from the host university
Affiliations and approvals received by the host University and the program
Relevant mark sheets of previous years
The score of the qualifying exam
Fee structure
Documents related to the collateral being pledged
At what locations in India can a student avail of a South Indian Bank education loan?
Students can approach their nearest South Indian Bank branch and apply for an education loan.
Does the South Indian Bank education loan is available for all types of degrees and disciplines?
All full-time undergraduate, postgraduate, and Ph.D., diplomas, or skill development programs that are of more than a year will be eligible for an education loan from this bank.
Need help with your South Indian Bank education loan? Get in touch with GyanDhan and get help for free. We are India’s first education focussed financing firm and are committed to helping our student at every step of their loan procedure - be it selecting the correct lender or helping with document submission, following up with the lender to expedite the loan sanction in case of a delay, helping with loan disbursements and many more. We have partnered with leading lenders of the country and help our students get the best deals on education loans. Get in touch with us now for all the help you need for your education loan for studying abroad.
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