Planning Higher Studies? Check SBI Education Loan and Interest Rates First

Education loans from the State Bank of India (SBI), India’s largest public bank, have been a lifeline for many students’ higher education. SBI has sanctioned thousands of education loans to help students achieve their academic dreams. 

SBI education loan are known for their higher loan amounts, low interest rates, and flexible repayment terms. SBI offers education loans for both studies in India and abroad. These loans help students cover their entire educational expenses. 

An education loan from SBI involves several stages that can take months to be processed. However, when you apply for an SBI student loan through WeMakeScholars, the process can be done much faster within 3 weeks. WeMakeScholars is an organization funded and supported by the Ministry of IT, Government of India, that is dedicated to supporting students in their education loan process.

SBI Education Loans for Higher Studies

The State Bank of India offers various student loan schemes to cater to the diverse needs of students. With student loan amounts ranging up to ₹3 Crores and interest rates starting from 7.15%, SBI is one of the best education loan providers for higher education. These loans provide financial assistance to help students cover their entire education costs, including the tuition fees, living expenses, hostel fees, purchase of study materials, and course-related equipment.

SBI education loans cover various undergraduate, postgraduate, Ph.D, and Vocational courses based on the student's eligibility. SBI offers both secured and unsecured education loans through its student loan schemes. The following are the various SBI education loan schemes for both studies in India and abroad:

SBI Education Loan for Higher Studies Abroad

SBI primarily offers education loans for higher studies abroad through its Global Ed-Vantage scheme. An SBI education loan for abroad studies enables eligible students to pursue higher education in recognized foreign universities. The SBI abroad education loan schemes make abroad education affordable to students by offering both collateral and non-collateral loans. 

The following are the education loan schemes of SBI through which the bank offers education loans for higher studies abroad.

• SBI Global Ed-Vantage Scheme
• SBI Student Loan Scheme
• Shaurya Education Loan Scheme

SBI Education Loan for Higher Studies in India

SBI offers education loans to students admitted to reputed colleges and universities in top study hubs in India. The bank offers both secured and unsecured education loans to help students pursue higher education in India. The following are the SBI education loan schemes for higher studies in India.

• SBI Student Loan Scheme
• SBI Scholar Loans
• SBI Shaurya Education Loan 
• SBI Skill Loan Scheme

SBI Education Loan Interest Rates and Other Terms

Students should consider the interest rates and other loan terms, such as loan amounts and repayment terms, of SBI before taking an education loan from the bank. SBI offers lower interest rates for education loans to make higher education more accessible for students. 

However, the SBI abroad education loan interest rate varies, depending on the scheme and other factors such as the loan amount, collateral availability, the student profile, and the repayment tenure. The following table contains the loan amounts, interest rates, and repayment terms of SBI education loan schemes.

SBI Education Loans Eligibility Criteria

To get an SBI education loan for higher education, students should meet certain eligibility criteria laid down by the bank. However, the SBI education loan eligibility criteria vary depending on the scheme and the loan type. The following are the common eligibility criteria to get an education loan from SBI.

1. Co-applicant: A co-applicant is mandatory to get an education loan from SBI. The Co-applicant's Income and CIBIL score should meet the requirements of the bank, especially for unsecured education loans.
2. Citizenship: Both the applicant and the co-applicants should be Indian citizens.
3. Admission Status: Students should secure admission to a recognized university to get an education loan from SBI.
4. The University: To get an SBI student loan for higher studies, the university that you're going to should be recognized and come under the designated list of universities of the bank.
5. Course Eligibility: SBI offers education loans for various courses, including undergraduate, postgraduate, Ph.D, and Vocational courses offered by reputed universities around the world.
6. Academic Performance: Students are expected to have a strong academic history with a minimum of 50% of marks in their previous academic records.
7. Collateral Requirements: To get a secured education loan from SBI, applicants should pledge an acceptable property as collateral, according to the bank. SBI accepts both immovable properties and liquid securities as collateral for education loans.
8. Age: Students typically aged between 18 to 35 can get an education loan from SBI.

Documents Required for an Education Loan in SBI 

The documents required to get an education loan from SBI significantly vary depending on several factors, such as the loan scheme, collateral involvement, loan amount, student academics, and the co-applicant’s financial status. However, the following are the basic documents required by SBI for education loans.

1. The completely filled-out education loan application form provided by the bank.
2. Admission Letter: An Admission letter proving the admission of the student to the preferred university.
3. KYC Documents: Copies of the student’s and the co-applicant’s documents providing their identity and residence proof. These documents can include the Passport, Aadhar card, PAN Card, Voter ID, or Driving Licence.
4. Passport-size Photos: Two recent passport-size photographs of the applicant, co-applicant, and guarantor(if applicable).
5. Previous Academic Records: The previous mark sheets of the latest qualified examination and the result of the entrance exam through which admission is being taken (e.g., CAT, GRE, GMAT, TOEFL, IELTS, etc.)
6. Collateral documents:

The collateral document that banks require when you are taking a secured education loan from SBI includes:

• Property documents, 
• FD documents, or
• Any other documents specified by SBI.

7. Financial Documents:

Documents proving the income and creditworthiness of the co-applicant should be provided. These documents can vary depending on whether the co-applicant is salaried or self-employed.

i. For Salaried Co-applicants:

• Last 2-3 years of ITR or Form 16,
• Recent payslips, and
• Bank statements 

ii. For Self-employed Co-applicants:

• Last 2-3 years of ITR,
• Business proof, 
• Bank statement, and
• Profit & Loss statement.

Conclusion

Pursuing higher education can be quite expensive, especially when you’re planning to study abroad. This is why many students rely on education loans to fund their higher studies. The State Bank of India, the largest public bank in India, offers various education loan schemes to cater to the diverse needs and requirements of students. The bank offers both secured and unsecured education loans with loan amounts ranging up to ₹3 crores. SBI education loans make higher education more affordable by helping students cover various expenses associated with pursuing higher studies in India as well as abroad.