SyndVidya
A Syndicate Bank’s Education Loan Scheme

Purpose:
Providing financial support to deserving / meritorious students for pursuing higher education in India and abroad.

Courses Eligible:
(a) Studies in India :

• Approved courses leading to graduate/ post graduate degree and PG diploma conducted by recognized colleges/ universities recognized by UGC/ Govt./ AICTE/ AIBMS/ ICMR etc.
• Courses like ICWA, CA, CFA etc.
• Courses conducted by IIMs, IITs, IISc, XLRI. NIFT, NID etc.
• Regular Degree/Diploma courses like Aeronautical, pilot training, shipping etc., approved by Director General of Civil Aviation/Shipping, if the course is pursued in India.
• Approved courses offered in India by reputed foreign universities.
• Other courses leading to diploma/ degree etc. conducted by colleges/ universities approved by UGC/ Govt./ AICTE/ AIBMS/ ICMR etc
• Courses offered by National Institutes and other reputed private institutions. Banks may have the system of appraising other institution courses depending on future prospects/recognition by user institutions.
• Courses, which are not covered under the criteria, mentioned above, CMD/ED may take a view to consider extending Education loan under the scheme taking into account the future prospects/recognition by user institution.
• Teacher training course/Nursing course/B.Ed are eligible for education loan, provided the training institutions are approved either by the Central Government or by the State Government and such courses should lead to Degree or Diploma course and not to certification course.

(b) Studies abroad:

• Graduation: For job oriented professional / technical courses offered by reputed universities.
• Post Graduation: MCA, MBA, MS etc.
• Courses conducted by CIMA-London, CPA in USA etc.
• Degree/diploma courses like aeronautical, pilot training, shipping etc provided, these are recognized by competent regulatory bodies in India/abroad for the purpose of employment in India/abroad.

Student eligibility:

• The student should be an Indian National/NRI
• Should have secured admission to a higher education course in recognized institutions in India or Abroad through Entrance Test/ Merit Based Selection process after completion of HSC(10 plus 2 or equivalent).
• However, entrance test or selection purely based on marks obtained in qualifying examination may not be the criterion for admission to some of the post graduate courses or research programmes. In such cases, banks will have to adopt appropriate criteria based on employability and reputation of the institution concerned.

Quantum of Finance:
Need based finance subject to repaying capacity of the parents/ students with margin and the following ceilings.

• Studies in India - Maximum Rs.10.00 lakh
• Studies abroad - Maximum Rs.20.00 lakh

Margin amount (to be brought in by the student/parent):

• Upto Rs.4 lakh : Nil
• Above Rs 4 lakh : Studies in India - 5%
• Studies abroad : 15%

Security:

• Upto Rs.4 lakh: parents to be joint borrowers. No security.
• Above Rs.4 lakh upto Rs.7.50 lakh: Besides the parent(s) executing the documents as joint borrowers, collateral security in the form of suitable third party guarantee acceptable to the Bank will be taken.
• Above Rs.7.50 lakh: Parent(s) to be joint borrower(s) tangible collateral security of suitable value along with assignment of future income of student. The security can be in the form of land/building/Govt. Securities/Public Sector Bonds/Units of UTI, NSC, and KV, Life Policy, Gold, Shares/Mutual Fund Units/Debentures, Bank deposit etc.

Rate of Interest:
Interest linked to Loans-Base Rate of the Bank at monthly compounding.

• Loan Amount - Interest rate
• Upto Rs.4.00 lakhs - Base Rate + 2.25%
• Above Rs.4.00 lakhs - Base Rate + 2.75%

Concessional rate of interest:

• Girl students and students belonging to SC/ST category are eligible for concession of 0.50% per annum on the above rates.
• The girl students under SC/ST category are eligible for a further concession of 0.25% on the above rates (Total concession 0.75%)
• Simple interest would be charged during the repayment holiday /moratorium period.

Repayment:

• Repayment holiday / moratorium: Course period + 1 year or 6 months after getting job, whichever is earlier.
• For loans up to `7.50 lakhs upto 10 years
• For loans above `7.50lakhs upto 15 years

Processing & Documentation Charges:

• No processing charges and Documentation charges.

Disclaimer:
     Since the rules, regulations, eligibility conditions, repayments and interests rates etc are revised by the banks from time to time in keeping pace with the changing capital market conditions, students and parents are advised to thoroughly check the terms and conditions of educational loan scheme on offer at the time of application.