PNB Education loan
Punjab National Bank (PNB) offers education loans to students pursuing both domestic and international studies. The loan amount can reach up to Rs. 10 lakhs for studies within India and up to Rs. 20 lakhs for studies abroad. For loans up to Rs. 4 lakhs, no margin is required, while loans exceeding Rs. 4 lakhs necessitate a 15% margin. The loan processing fee is waived. Loans for studies in India do not require collateral, whereas loans for studies abroad must be secured. Repayment of the loan is done through Equated Monthly Installments (EMIs), starting six months after loan disbursement. Additionally, the loan includes a compulsory life insurance cover for the student borrower. The maximum age limit for the PNB Education loan is 60 years, and the loan processing time ranges from 15 to 30 days. Furthermore, this loan is eligible for tax benefits under Section 80E of the Income Tax Act, 1961. For further information, individuals can visit the PNB website or contact their nearest PNB branch.
Education loan Eligibility:
- Citizenship: The applicant must be a citizen of India.
- Age: The applicant must be between 18 and 60 years of age at the time of applying for the loan.
- Educational qualification: The applicant must have passed Class 12 or equivalent examination with a minimum of 50% marks for general category and 45% marks for SC/ST category.
- Admission: The applicant must have secured admission to a full-time regular course in a recognized institution in India or abroad.
- Collateral: For loans above Rs. 7.5 lakhs, the applicant must provide collateral security in the form of a mortgage of immovable property or a third-party guarantee.
- Income: The applicant's or the co-applicant's (if any) monthly income must be sufficient to repay the loan EMIs.
- Credit history: The applicant must have a good credit history.
Here are some additional documents that you will need to apply for a PNB Education loan:
- Loan application form
- Proof of identity (such as passport, PAN card, Aadhaar card)
- Proof of address (such as electricity bill, water bill, rent agreement)
- Proof of income (such as salary slips, bank statements)
- Letter of admission from the educational institution
- Collateral documents (if applicable)
Documents Required:
Personal Information:
- Full Name
- Date of Birth
- Gender
- Nationality
- Contact Number
- Email Address
Proof of Identity (any one):
- Passport (Attach a copy)
- PAN Card (Attach a copy)
- Aadhaar Card (Attach a copy)
Proof of Address (any one):
- Electricity Bill (Attach a copy)
- Water Bill (Attach a copy)
- Rent Agreement (Attach a copy)
Proof of Income:
- Salary Slips (last three months) (Attach copies)
- Bank Statements (last six months) (Attach copies)
Letter of Admission:
- Educational Institution Name
- Course Name
- Duration of the Course
- Admission Date
- Total Course Fees
- Attach the Letter of Admission from the Educational Institution
- Collateral Documents (if applicable):
- Provide details of collateral, if applicable
For the Student:
- Passport Size Photograph (Attach)
- Proof of Age (Attach a copy)
- Copy of PAN Card of the Student Borrower (Attach a copy)
- Proof of having cleared the last qualifying examination (Attach a copy)
- Letter of Admission (Already attached)
Prospectus of the Course:
- Attach the prospectus of the course, specifying charges such as Admission Fee, Examination Fee, Hostel Charges, etc.
- Details of Assets & Liabilities of Parents/Co-Obligants/Guarantors:
- Provide details of assets and liabilities of parents/co-obligants/guarantors
For the Co-Applicant/Guarantor:
- Passport Size Photograph (Attach)
- Proof of Identity (Attach a copy)
- Proof of Address (Attach a copy)
- Proof of Income (Attach copies)
- Proof of Relationship with the Student (in case of co-applicant, attach supporting documents)
For Collateral (if applicable):
If loan is collaterally secured by mortgage of Intellectual Property (IP), obtain a copy of Title Deed, Valuation Certificate, and Non-encumbrance Certificate from an approved lawyer of the bank at the cost of the borrower.
If loan is collaterally secured by third-party guarantee, obtain a copy of the guarantee deed duly executed by the guarantor(s) at the cost of the borrower.
Note: All attached documents must be clear and legible. Any incomplete or false information may lead to rejection of the loan application.
Declaration: I hereby declare that the information provided above is true and accurate to the best of my knowledge.
Signature: __________________
Date: __________________
Process to apply for education loan:
- Check eligibility: Before applying for the loan, ensure that you meet the eligibility criteria by checking the PNB website or contacting a nearby PNB branch.
- Document collection: Gather all the required documents specified on the PNB website or by consulting a nearby PNB branch.
- Complete application form: Download the loan application form from the PNB website or collect it from a nearby PNB branch. Fill it out accurately and thoroughly.
- Submission: Submit the duly filled application form along with the necessary documents to the nearest PNB branch.
- Documentation review: The bank will review your application and documents. Additional documents or a meeting with a bank representative may be required.
- Loan approval: If your application is approved, you will proceed to the next step. Otherwise, you may need to provide further documentation or seek alternative options.
- Loan disbursement: Once the documentation process is completed and the loan is approved, the loan amount will be disbursed in installments as per the agreed terms.
Tips for Applying for a PNB Education Loan:
- Apply early: Begin the application process well in advance as it can take some time for the loan to be processed.
- Pre-approval: Consider getting pre-approved for a PNB Education loan to understand the loan amount and interest rate you may be offered.
- Compare offers: Research and compare education loan offers from different banks to find the best possible terms and conditions.
- Review terms and conditions: Carefully read and understand all the terms and conditions of the loan agreement before signing it.
- Seek guidance: If needed, consult with bank representatives or loan advisors to clarify any doubts or concerns during the application process.
Expenses Covered in education loan scheme:
- Tuition fees: The loan can cover the expenses associated with your course's tuition fees.
- Examination fees: The loan can be used to pay for the fees required for course examinations.
- Hostel fees: If you reside in a hostel, the loan can be utilized to cover the accommodation expenses.
- Boarding fees: For students staying in a boarding house, the loan can be used to pay for the boarding fees.
- Books and stationery: The loan can be used to purchase essential books and stationery required for your studies.
- Laptop/computer: If a laptop or computer is necessary for your course, the loan can be utilized to acquire the required device.
- Travel expenses: The loan can cover travel expenses such as airfare, train fare, or bus fare if it is necessary for your education.
- Study tours: If your course involves study tours or educational trips, the loan can be used to finance the associated costs.
- Project work: If your course involves project work, the loan can be utilized to cover expenses related to the project.
- Other education-related expenses: The loan can be used for additional expenses like insurance premiums, medical expenses, or other costs directly related to your education.
Courses covered in education loan scheme:
- Graduate and postgraduate courses: The loan can be utilized to pursue both graduate and postgraduate courses, whether in India or abroad.
- Professional courses: The loan can be used to finance professional courses like law, medicine, engineering, etc., offered in India or abroad.
- Vocational courses: The loan can support vocational courses such as hotel management, air hostess training, etc., whether conducted in India or abroad.
- Distance learning courses: The loan can be utilized for recognized distance learning courses offered by institutions in India or abroad.
- Courses offered by foreign universities: The loan can be used to pursue courses offered by recognized foreign universities, as long as they are approved by the Indian government.
Schemes:
PNB Saraswati Education Loan: This loan scheme, provided by PNB, is designed for financing education expenses in both India and abroad. The loan amount can go up to Rs. 10 lakhs for studies within India and Rs. 20 lakhs for overseas studies. Loans up to Rs. 4 lakhs have no margin requirement, while a 15% margin is required for loans exceeding Rs. 4 lakhs. The loan processing fee is waived.
PNB Pratibha Education Loan: PNB offers this collateral-free education loan scheme specifically for studies within India. The loan amount can be up to Rs. 5 lakhs, and no margin requirement is imposed. The loan processing fee is not applicable.
PNB Kaushal Education Loan: PNB provides this education loan scheme for individuals pursuing skill development courses. The loan amount can be up to Rs. 50,000, and no margin requirement is imposed. The loan processing fee is waived.
PNB PM Cares Education Loan Scheme: PNB has introduced this special education loan scheme to support children who have tragically lost their parents to COVID-19. The loan amount can be up to Rs. 10 lakhs, and no margin requirement is imposed. The loan processing fee is not applicable.
Note: The information provided about education loans is sourced from official guidelines. However, for complete satisfaction and up-to-date details, we recommend visiting the official website of the respective financial institution. The official website will provide comprehensive and accurate information regarding eligibility, application process, documentation requirements, terms, and conditions.
