Union Bank of India: Education Loans
Eligibility of Loan
The student applying for Union Bank Education Loan ought to Be an Indian National. Has secured admission to professional or technical courses through an appropriate Entrance Test or selection process. Has secured admission to a foreign University and Has passed an appropriate qualifying examination.
Studies in India
Purpose of Loan
The poor and needy students to under take basic education
To meritorious students to pursue higher or professional or technical education
Conditions for Taking Education Loan from Union Bank of India
The parent/ guardians of the student who is availing loan from our bank shall be made co-obligation/ joint borrower irrespective of the age of such students. The loan accounts of students applying through college/ institution will be sanctioned/ disbursed at the branch nearest to permanent residence/ place of domicile of the borrower student.
Loan will be disbursed directly to the college/ institute.
Student to produce mark list of previous term/ semester before availing next installment.
Student/ parent to provide latest mailing address before availing next installment.
In case of parents with transferable job, new address to be provided before availing installments.
Quantum of Loan
Need-based finance subject to repayment capacity of the parent or student with margin and up to the following ceilings
For studies in India- up to Rs.10 lacs and Study Abroad- up to20 lacs
Margin of Loan
No margin for loans up to Rs.4.00 lacs. However, for loan of higher amounts, the margin requirement is 5% for inland studies and 15% for studies abroad
Scholarship/ assistance to be included in margin.
Margin may be brought in one pro-rata basis as and when disbursement is made.
Repayment of Loan
Repayment holiday or Moratorium on loan: Course period + 1 year OR 6 months after job placement, whichever is earlier
Starting from this point, the loan is to be repaid in 5-7 years after completion of course period/ moratorium.
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