SBI Education Loan: Eligibility, Interest Rates, Documents & Application Process
As important as education is, the expenses associated with it are challenging to bear for many Indian families and students. This is why SBI, a national financial powerhouse, offers students many education loan schemes to cover these expenses. SBI education loan is one of the most accessible options for students to fund and fuel their dreams of higher education.
Features of SBI Education Loan
Here is a quick overview of the important details related to the SBI Education Loan:
|
Features
|
Details
|
|
Loan Amount
|
- Studies in India: Up to ₹50 lakh.
- Medical Courses: Up to ₹30 lakh.
- Other Courses: Up to ₹10 lakh.
- Maximum limit under the Global Advantage initiative: ₹1.50 crore
|
|
Processing Charges
|
- Loans up to ₹20 lakh are free of charge
- Loans exceeding ₹20 lakh cost ₹10,000 plus taxes
|
|
Repayment period
|
Up to 15 years following the Course Period, including a 12-month repayment vacation
|
|
SBI Education loan collateral
|
- Up to ₹7.5 lakh: The co-borrower must be a parent or guardian
- Above ₹7.5 lakh: Guardian or parent as co-borrower, and tangible collateral security
|
|
Courses covered
|
- India: UGC/AICTE/IMC/Govt. Approved graduation, postgraduate, and diploma courses, as well as regular or degree courses offered by independent institutions such as IITs and IIMs.
- The Central or State Governments approved teacher training or nursing courses, and the Director General of Civil Aviation or Shipping sanctioned standard degree or diploma courses such as shipping, pilot training, aeronautical, and so on.
- Abroad: Professional or technical graduation degree degrees, as well as postgraduate degree and diploma programmes such as MCA, MBA, and MS. Chartered Institute of Management Accountants (CIMA) courses in London; Certified Public Accountant (CPA) courses in the United States
|
|
Expenses covered
|
- Tuition and hostel fee
- Laptop and computers
- Caution Deposit/Building Fund/Refundable Deposit
- Travel expenses
- Study tours and project work
|
Unlock Fast, Collateral-Free Education Loans with Propelld Today!
SBI Education Loan Eligibility
|
Loan Type
|
Eligibility Criteria
|
Course/Institution Requirements
|
|
SBI Student Loan
|
• Must be Indian National
• Must have secured admission
|
• For higher education in India or abroad
• Admission must be confirmed
|
|
Scholar Loan
|
• Must be Indian National
|
• Professional/Technical courses only
• Must be in Select Premier Institutions
• Admission through Entrance Test/Selection process
|
|
Studies Abroad Loan
|
• Must be Indian National
|
• Regular Graduate/postgraduate Degree
• Diploma/Certificate/Doctorate courses
• Any discipline
Eligible Countries:
• USA, UK, Canada, Australia
• Singapore, Japan, Hong Kong
• New Zealand
• European countries (Austria, Belgium, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Ireland, Italy, Netherlands, Norway, Poland, Portugal, Russia, Spain, Sweden, Switzerland, UK)
|
|
SBI Skill Loan
|
Must be Indian National
|
Eligible Institutions:
• Industrial Training Institutes (ITIs)
• Polytechnics
• NSDC-affiliated training partners
• Sector Skill Councils
• State Skill Mission/Corporation
• Schools recognised by Central/State Education Boards
• Colleges affiliated with recognised universities
• Must lead to certificate/diploma/degree under NSQF
• No minimum course duration requirement
|
Types of SBI Education Loans in India
SBI offers many education loan schemes to support Indian students and aspirants pursuing higher education in India and abroad.
Based on the location of your course, you can avail an SBI education loan that fits your preferences.
SBI Education Loans in India
In India, Students can opt for many education loans based on many factors such as the interest rate, course, and much more. Here are the types of SBI education loans in India:
|
Loan Parameter
|
SBI Skill Loan Scheme
|
SBI Student Loan Scheme
|
Takeover of Education Loan
|
SBI Scholar Loans
|
SBI Shaurya Education Loan
|
|
Loan Limit
|
Minimum Up to ₹5000
Maximum Up to ₹1,50,000
|
Up to ₹30 lakhs for medical courses
Up to ₹10 lakhs for other courses (maximum up to ₹50 lakhs, cases to case basis)
|
Minimum - more than ₹10 lacs
Up to ₹1.5 crore
|
No Security, only Parent/Guardian as co-borrower:
₹50 lakhs (List AA)
₹40 lakhs(List A)
₹30 lakhs (List B)
₹7.5 lakhs to ₹30 lakhs (List C)
|
Up to ₹40 lacs
|
|
Student loan Interest Rates SBI
|
10.65%
|
10.15% (including interest rate concession)
|
10.15% (including interest rate concession)
|
AA List:
IITs - 8.15%
Other Institutions - 8.20%
A List:
IITs - 8.15%
Other institutions - 8.65%
B List:
NITs - 8.65%
Other institutions - 9.15%
C List:
NITs - 8.65%
Other institutions - 9.65%
|
10.15% (including interest rate concession)
|
|
Education Loan SBI Interest rate
Concession
|
No additional concession
|
For girls students: 0.50%
SBI Rinn Raksha or Any other bank policies: 0.50%
|
For girls students: 0.50%
SBI Rinn Raksha or Any other bank policies: 0.50%
|
For girls students: 0.50%
SBI Rinn Raksha or Any other bank policies: 0.50%
|
For girls students: 0.50%
SBI Rinn Raksha or Any other bank policies: 0.50%
|
|
Loan Margin
|
Nil
|
Up to ₹4 lakhs - 0%
Above ₹4 lakhs - 5%
|
Up to ₹4 lakhs - 0%
Above ₹4 lakhs - 5%
|
Zero (Bank charge margins depend on the ranking of colleges.)
|
Up to ₹4 lakhs - 0%
Above ₹4 lakhs - 5%
|
|
Processing Fees
|
Zero
|
Loans up to ₹20 lakhs - ₹0
Loans above ₹20 lakhs - ₹10,000+ TAX
|
Zero
|
Zero
|
Loans up to ₹20 lakhs - ₹0
Loans above ₹20 lakhs - ₹10,000 + TAX
|
|
Moratorium Period
|
Course Duration and 6 months after course completion
Courses above 1 year - 12 months from the completion of the course
|
Course Duration + 6 months
|
Course Duration + 6 months
|
Course Duration + 12 months after the course completion or 6 months after getting the employment (whichever is earlier)
|
Course Duration + 6 months
|
|
Repayment Duration
|
Up to 3 years for loans up to ₹50,000
Up to 5 years for loans between ₹50,000 to ₹1 lakhs
Up to 7 years for loans above ₹1 lakh
|
Up to 15 years after the moratorium period completion
|
Up to 15 years after the moratorium period completion
|
Up to 15 years after the moratorium period completion
|
Up to 15 years after the moratorium period completion
|
SBI Education Loan for Abroad
If you want to study abroad, you can apply for the following SBI education loan scheme for study abroad:
|
Loan Parameter
|
SBI Shaurya Education Loan
|
SBI Student Loan Scheme
|
Takeover of Education Loan
|
SBI Global ED-VANTAGE Scheme
|
|
Loan Limit
|
Up to ₹1.5 crore
|
Up to ₹1.5 crore
|
Up to ₹1.5 crore
|
Minimum - more than ₹7.5 lakhs
|
|
Interest Rate
|
10.15% (including interest rate concession)
|
10.15% (including interest rate concession)
|
10.15% (including interest rate concession)
|
10.15% (including interest rate concession)
|
|
Concession
|
For girls students: 0.50%
SBI Rinn Raksha or Any other bank policies: 0.50%
|
For girls students: 0.50%
SBI Rinn Raksha or Any other bank policies: 0.50%
|
For girls students: 0.50%
SBI Rinn Raksha or Any other bank policies: 0.50%
|
For girls students: 0.50%
SBI Rinn Raksha or Any other bank policies: 0.50%
|
|
Loan Margin
|
Zero
|
Up to ₹4 lakhs - 0%
Above ₹4 lakhs - 15%
Above ₹7.5 lakhs- 10% (Margin is based on year-to-year when disbursements are made proportionally.)
|
Up to ₹4 lakhs - 0%
Above ₹4 lakhs - 5%
Above ₹7.5 lakhs - 10%
|
Up to ₹4 lakhs - 0%
Above ₹4 lakhs - 5%
Above ₹7.5 lakhs - 10%
|
|
Processing Fees
|
Zero
|
Loans up to ₹20 lakhs - ₹0
Loans above ₹20 lakhs - ₹10,000 + TAX
Loan above ₹7.5 - ₹10,000+ TAX
|
Loans up to ₹20 lakhs - ₹0
Loans above ₹20 lakhs - ₹10,000 + TAX
|
Loans up to ₹20 lakhs - ₹0
Loans above ₹20 lakhs - ₹10,000 + TAX
Zero
|
|
Moratorium Period
|
Course Duration + 6 months
|
Course Duration + 12 months
|
Course Duration + 6 months
|
Course Duration + 6 months
|
|
Repayment Duration
|
Up to 15 years after the completion of the moratorium period
|
Up to 15 years after the completion of the moratorium period
|
Up to 15 years after the completion of the moratorium period
|
Up to 15 years after the completion of the moratorium period
|
Want to avail education loans from a bank without any collateral?
Most banks require some security above a certain loan amount, especially for studies abroad. However, there are some banks and NBFCs that can help you get an education loan without collateral. Explore banks that give education loans without collateral for abroad.
Get Education Loan for Any College in India. 100% Fees Financed- Propelld Education Loan
SBI Education Loan Interest Rate
Most students filter their preferred loan scheme based on the interest rate. Here is the interest rate for each of the SBI education loans:
|
Loan Type
|
Loan Amount
|
Interest Rates
|
|
Student Education Loan
|
Up to ₹7.5 Lakhs
|
11.15%
|
|
Scholar Loan Scheme India
|
AA list: ₹50 lakh
A list: ₹40 lakh
B list: ₹30 lakh
C list: ₹7.5 lakh to ₹30 lakh
|
AA list: IITs: 8.15% (Other institutions: 8.20%)
A list: IITs: 8.15% (Other institutions: 8.65%)
B list: NITs: 8.65% (Other institutions: 9.15%)
C list: NITs: 8.65% (Other institutions: 9.65%)
|
|
Loan for Skill Courses
|
Up to ₹1.5 Lakh
|
10.65%
|
|
Education Loan for Studies Abroad
|
₹7.5 lakh to ₹1.5 crore
|
11.15%
|
|
SBI Takeover of Education Loan Scheme
|
Above ₹10 lakhs & Up to ₹1.5 Cr
|
11.15%
|
Advantages of SBI Education Loan
The State Bank of India (SBI) offers a range of education loans that cater to the diverse needs of students pursuing higher education in India and abroad. The advantages of SBI Education Loans include:
1. Low Interest Rates
The education loan interest rate SBI bank offers is competitive with other lenders, with the lowest rate being 10.25% as of May 1, 2024.
2. Higher Loan Amounts
SBI Education Loans offer higher loan amounts, with the maximum loan amount for studying in India being ₹1.5 crore and for studying abroad being ₹1.5 crore.
3. Easier EMI Options
SBI Education Loans provide more accessible EMI options, allowing students to manage their repayment obligations more effectively.
4. Early Approvals
SBI Education Loans are known for their early approvals, which can benefit students who need timely financial assistance for their education.
5. Tax Benefits
SBI Education Loans offer tax benefits, which can help students reduce their tax liability and make their education more affordable.
6. Better Repayment Options
SBI Education Loans provide better repayment options, including a repayment period of up to 15 years.
Get upto 100% Education Fees Financed with Propelld. Simplified Processing Dedicated Support.
SBI Education Loan for Different Courses
If you are trying to find the right SBI Education Loan for a specific course, your search stops here. Here are some specific courses for which you can avail specific SBI education loans:
SBI Education Loan for MBBS Students
The SBI Education loan for PG medical students makes it easier to finance MBBS and other medical courses. Key features include the following.
|
SBI Education Loan for MBBS Students in India
|
|
Feature
|
Details
|
|
Loan Amount
|
- Medical Courses in India: Up to INR 30 Lakhs
- Other Courses: Up to INR 10 Lakhs
|
|
Margin
|
- Up to INR 4 Lakhs: No Margin
- Above INR 4 Lakhs: 5% for Studies in India and 15% for Studies Abroad
|
|
Security
|
- Up to INR 7.50 Lakhs: The parents' co-obligation is required. No Security/third-party guarantee is required.
- Above INR 7.50 Lakhs: Parental and guardian co-obligation, tangible collateral security of appropriate value, and the student's future income assignment for instalment payments
|
|
SBI Education Loan for MBBS Interest Rate
|
11.15%
|
|
Processing Charges
|
- Up to INR 7.50 lakhs: NIL
- Loans above INR 20 lakhs: INR 10,000 (plus taxes)
|
|
Moratorium Period
|
Course Duration + 1 Year
|
|
Loan Repayment
|
Up to 15 years following the end of the course and the moratorium.
|
|
Expenses Covered
|
- Tuition and hostel fee
- Laptop and computers
- Travel expenses
- Caution Deposit/Building Fund/Refundable Deposit
- Study tours and project work
|
If you are looking forward to pursuing an MBBS from abroad, you can benefit from the SBI education loan for MBBS students interest rate and achieve your dreams. Here are the features of an SBI Education Loan for MBBS abroad:
|
SBI Education Loan for MBBS Interest Rate for Abroad
|
|
Feature
|
Details
|
|
Minimum Loan Amount
|
From INR 7.50 Lakhs
|
|
Maximum Loan Amount
|
Up to INR 1.50 crores
|
|
Purpose
|
Covers tuition fees, living expenses, travel, books, and other costs
|
|
SBI Education loan interest rate for Medical students
|
11.15%
|
|
Repayment Terms
|
Up to 15 years
|
|
Tax Benefit
|
Yes, as per under section 80(E)
|
|
Collateral
|
- Tangible collateral security is required for loans above INR 7.5 lakhs
- It is also possible to accept collateral security from a third party (other than parents).
|
|
Eligibility
|
Indian students with admission to recognised foreign institutions
|
|
Processing Fee
|
INR 10,000
|
|
Margin
|
Assistantships and scholarships will be added to the margin
|
Are you interested in taking an education loan for abroad courses? Check out the various SBI Education Loans for abroad studies, their interest rates and eligibility criteria!
SBI Education Loan for Premium Institutions (IITs, IIMs, & NITs)
If you are targeting one of the premier institutes in India, like an IIT or an IIM, to pursue B.Tech or PGDM or any other related course, you can go ahead with the SBI Education Loan for premier institutes. Here are the Key Details of the SBI education loan for premier institutes:
|
Loan Parameter
|
SBI Scholar Loans (For colleges under SBI Premier Institute List)
|
|
Loan Limit
|
Up to ₹1.5 Crore for abroad education
For unsecured loans:
₹50 lakhs (List AA)
₹40 lakhs(List A)
₹30 lakhs (List B)
₹7.5 lakhs to ₹30 lakhs (List C)
There is no upper limit for secured loans
|
|
Secured/Unsecured Loan
|
Secured/Unsecured both options available. Students can choose based on the maximum loan amount required
|
|
Interest Rate
|
- AA List: IITs - 8.10%, Other Institutions - 8.05%
- A List: IITs - 8.15%, Other institutions - 8.65%
- B List: NITs - 8.65%, Other institutions - 9.15%
- C List: NITs - 8.65%, Other institutions - 9.65%
|
|
Interest Rate Concession
|
For girls students: 0.50%
SBI Rinn Raksha or Any other bank policies: 0.50%
|
|
Loan Margin
|
Zero (Bank charge margins depend on the ranking of colleges.)
|
|
Processing Fees
|
Zero
|
|
Moratorium Period
|
Course Duration + 12 months after the course completion or 6 months after employment (whichever is earlier)
|
|
Repayment Duration
|
Maximum till 15 years after the moratorium period completion
|
Note: Please refer to the official SBI bank website or consult your nearest branch to learn the current interest rates.
If you are looking to get an SBI Education loan for a premier institute, you need to find out if your college is included in the list of premier institutes. Check out the SBI Education Loan College List here.
Approval Based on Student Potential. Easy Education Loans from Propelld. Do Check your Eligibility.
SBI Education Loan Documents Required
The first step to applying for an SBI Education loan for MBBS or any course is to look for an SBI education loan for MBBS documents required. Here are the documents required:
|
Category
|
Documents Required
|
|
For Students
|
1. Admission letter from the institution
|
|
2. Academic records (mark sheets, degrees, etc.)
|
|
3. Proof of age (birth certificate, passport, etc.)
|
|
4. Income proof of parents/guardians (salary slips, income tax returns, etc.)
|
|
For Co-Applicants or Guarantors
|
1. Identity proof (Aadhaar card, PAN card, etc.)
|
|
2. Proof of residence (utility bills, rental agreement, etc.)
|
|
3. Income proof (salary slips, income tax returns, bank statements, etc.)
|
|
4. Asset and liability details
|
|
Additional Documents (if applicable)
|
1. Fee structure from the institution
|
|
2. Certificate of language proficiency (for overseas studies)
|
|
3. Passport and visa copies (for overseas studies)
|
|
4. Quotations for cost estimates (for courses abroad)
|
SBI Education Loan Calculator
Knowing the precise amount of your Equated Monthly Instalment (EMI) on your SBI student loan will help you better manage your student finances and plan your expenses. Use the SBI Education Loan Calculator to get an amortisation table that breaks down your EMIs in full.
This easy-to-use online EMI calculator displays your EMI details immediately on the screen. To apply, fill in the appropriate boxes with the loan amount, tenure, and interest rate that you have been approved for or requested from SBI. Decide any prepared payments you wish to make. You can view your EMI information by selecting 'Calculate'.
Example:
Suppose a student wants to pursue a Master's degree program abroad that costs ₹30 lakhs per year. The student has already secured ₹5 lakhs in scholarships and grants, and they plan to contribute ₹3 lakhs from their own savings.
So,
- Total Annual Cost to Attend: ₹30 lakhs
- Gift Aid (Scholarships & Grants): ₹5 lakhs
- Your Financial Contributions: ₹3 lakhs
Based on this information, the SBI Education Loan Calculator will determine the loan amount required:
- Total Annual Cost: ₹30 lakhs
- Less: Gift Aid (Scholarships & Grants): ₹5 lakhs
- Less: Your Financial Contributions: ₹3 lakhs
- Loan Amount Required: ₹22 lakhs
The calculator will then provide the estimated monthly EMI based on the loan amount, interest rate, and repayment period.
For example, if the interest rate is 10.55% and the repayment period is 10 years, the estimated monthly EMI would be around ₹26,000.
How to Apply for SBI Education Loans?
Here's how you can apply for an SBI education loan easily:
Offline
- Step 1: Arrive at your nearest SBI branch with the required paperwork.
- Step 2: Complete and submit the application form for the SBI Education loan, which you may get from there.
Online
- Step 1: Visit the SBI's official website.
- Step 2: Go to the section on Education Loans.
- Step 3: Select your favourite lending option.
- Step 4: Click 'Apply Now'.
- Step 5: You will be routed to Vidya Lakshmi's website.
- Step 6: Register by inputting all of your information.
- Step 7: Finally, apply for the loan.
- Step 8: A bank representative will contact you.
Minimal Documentation. Higher Chances of Approval. Easy Online Processes. Check Your Eligibility.
How Do You Transfer Your Education Loan to SBI?
You can lower your monthly EMIs by switching from your current, expensive education loan to an SBI takeover of Education Loans.
- Contact SBI: Reach out to the State Bank of India to inquire about their Takeover of Education Loans scheme.
- Understand the Process: Familiarise yourself with the terms and conditions of the SBI Takeover of Education Loans scheme.
- Check Eligibility: Ensure you fulfil the various eligibility criteria for transferring your existing education loan to SBI.
- Prepare Documents: Gather all the necessary documents required for the loan transfer process.
- Application: Fill out the SBI Education Loan application form for the takeover process, and submit it.
- Review and Approval: Wait for SBI to review your application and approve the transfer of your education loan.
SBI Education Loan Repayment Process
The SBI education loan provides students with an easy repayment process. This allows students to focus on their studies and repay the loan easily.
- Repayment for SBI student loans will begin one year after the course ends or six months after landing a job, whichever comes first.
- The Loans are approved as term loans and, for Student, Scholar, and Global Ed-vantage Education Loans, must be paid back in EMIs over a maximum 15-year (180-EMI) payback term. For Student and Scholar Loan Schemes, the EMI payments begin 12 months following the completion of the degree or, if early, 6 months following employment. Repayment of the EMI for Global Ed-Vantage Loans begins six months after the course is over.
- Repayment is fixed in Equated Monthly Instalments (EMI) and includes interest that has accrued during the course and moratorium periods.
- EMI is set based simply on the principal amount if all interest is paid before the start of repayment.
- Prepayment has NO penalties. You always have the option to prepay your college loan.
Propel your education dreams to reality with fast, flexible loans from Propelld.
SBI Education Loan Subsidies
SBI provides interest-only loan programmes that enable worthy students to minimise costs while maintaining their academic progress. Below are a few of these schemes:
|
Scheme Name
|
Eligibility
|
Purpose
|
Key Features
|
|
Central Programme for Interest Subsidies
|
• Annual household income ≤ ₹4.5 lakh
|
Technical/professional courses in Indian institutions
|
• Interest subsidy during EMI moratorium period
|
|
Padho Pardesh
|
• Must belong to minority communities
|
Higher education abroad (Master's, M.Phil, PhD)
|
• Interest-bearing scholarships specifically for minority students
|
|
Dr Ambedkar Central Sector Scheme
|
• Must belong to EBC or OBC categories
|
Higher education
|
• Interest-bearing scholarships specifically for minority students.
|
Certain education loans from the government are also worth checking out.
If you are looking for government interest rates, you must meet specific eligibility criteria.
However, if you want an easy and flexible education loan made explicitly for busy students, check out Propelld!
Get a no collateral Education Loan
Why Propelld?
Propelld provides education loans for students. With easy paperwork, flexible eligibility criteria, and convenient repayment schedules, Propelld helps students worldwide achieve their dreams quickly!
There are many more benefits to getting an education loan with Propelld. Take a look at them!
|
Particulars
|
Details
|
|
Max Loan Amount
|
50 Lakhs
|
|
Collateral
|
Not Required
|
|
Moratorium
|
Available
|
|
Processing Time
|
10 Times Faster than Banks
|
|
Disbursal Time
|
7 Days
|
|
Approval Rate
|
Higher than Other Banks
|
|
Special USP
|
Marks Based Approval
|
|
% Financed
|
100% of Fees
|
Get an education loan from Propelld today!
