Education Loan in HDFC BankHDFC Bank Details

The Housing Development Finance Corporation Limited (HDFC) was amongst the first to get an ‘in principle’ approval from the RBI to set up a bank in the private sector. The bank was established in August 1994 in the name of HDFC Bank Limited, in Mumbai, India. It has always been in the front row in giving customers the best experience that uses tech seamlessly. The bank quickly adapts to the latest technology and change in the environment. HDFC Bank Offers many loans which include Personal Loan, Car Loan, Gold loan, Home Loan, Education Loan and so on.

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Education Loan in HDFC Bank

As the tuition cost and other expense are increasing day by day it is hard to meet the expenditure on education by many of the families. Thus HDFC Bank helps the eligible students by providing education loan for studies both in India and overseas.

Education Loan for Indian Education

The students who intend to or wish to apply for the education loan under Indian education can avail a loan that amounts up to Rs 10 lakhs. The loans are provided with competitive pricing and equipped with the option of an insurance cover. The benefits under this is that first of all, you can avail their doorstep service that is avail the benefits with no worries of the constant commuting and travel pricing. You can avail the tax benefits under section 80 (E)

The loan processing charges include a Maximum up to 1% of the loan amount as applicable.

Min IRR Max IRR Avg IRR
9.20% 13.34% 12.10%

Central Government Interest Subsidy Scheme

The Government of India has introduced the Central Government Interest Subsidy Scheme in order to ensure that every child has the right to higher education which is supported by the HDFC Bank. It has the benefits of Quick Disbursal, Competitive Pricing, and Transparent Processing. It is available only to the individuals whose annual gross income from all the sources including parental income is a maximum of Rs. 4.5 Lakhs.

This scheme is to ensure that every child has the right to avail higher education under the RTE as well.

The benefits include that of quick disbursal and the fact that the transactions are completely transparent as such. There is no ambiguity and uncertainty involved and it is a 100% legitimate on the whole. 

  • Approved courses: This scheme applies only for the extensive academic and educational loans availed from Scheduled Banks intended for any of the approved courses after 12th grade in technical and professional areas from reputed institutes
  • The upper limit of income: You are eligible to apply only if your annual gross income from all sources (including that of your kith and kin) is not more than that of Rs 4.5 lakh. 
  • Interest benefit: Full interest subsidy is available.

HDFC Bank Education Loan for Abroad

HDFC Bank provides you with education loan for studies abroad.

This loan allows students the ultimate freedom and autonomy in order to pursue their goals and dreams in the elite institutes and universities abroad, including the prestigious Ivy Leagues on the global level as such. Aiding the students concerned, assisting them in reaching their complete potential, beyond their threshold of financial funding.

HDFC Education Loan for study abroad is applicable for all aspiring applicants to any academic course in any country on the global pedestal The HDFC bank's collaborating and are tied up with institutions across 36 countries, this loan does not limit its abilities to serve Indian students in any other country.

Eligibility

  • Applicant should hold an Indian Nationality
  • Should apply for the education loan with a co-applicant (Financial guarantor or EMI remitting authority for the applicant.)
  • Courses applied for should give degree from institutes that are not Indian.

It has customized solutions and flexible repayment terms. It offers up to 100% finance cover on the education expense. The bank strives to give customer-friendly service with quick processing and disbursal. The fund from the education loan for foreign education can be used for over 950 courses across 36 countries.

The loan limits is that of 1 Lakh minimum, and the maximum average loan is that of 25 lakhs as such.

HDFC Bank Education Loan Interest Rate

The rate of interest offered to customers during the period of July 2018 to Sep 2018 is given below. The IRR is subjected to change every year. You can check the official website for an update.

The rate of Interest for Education Loan

HDFC Bank

Minimum IRR

9.00%

Maximum IRR

13.75%

Average IRR

11.88%

Other charges imposed for education loan

Description of Charges

Education Loan

Loan Processing Charges

Maximum up to 1% of the loan amount as applicable.

or Minimum Rs. 1000/- whichever is higher

Pre-payment charges

Up to 4% of the Outstanding Balance prepaid if the loan is foreclosed while Moratorium (along with and in addition to due/accrued interest, if any, and other amounts due and/or payable by the Borrower to the Bank).

Cheque / ACH swapping charges

@ 24 % p.a. on overdue/unpaid EMI amount outstanding from EMI due date

Cheque / ACH swapping charges

Rs. 500/- per instance

Duplicate Repayment Schedule Charges

Rs. 200/-

Loan Re-Booking / Re-Scheduling Charges

Up to Rs. 1000/-

EMI Return Charges

Rs.550/- per instance

Stamp Duty & other statutory charges

As per applicable laws of the state

HDFC Bank Education Loan Eligibility Criteria

The details for HDFC Education Loan Eligibility is given below, kindly go through below points to know more about it.

  • Applicant must be an Indian Citizen.

  • The age should be between 16 and 35.

  • Third party guarantee and parent(s) as joint borrower(s) for loan amount up to 4 lakh.

  • Tangible collateral security along with Parents to be joint borrower(s) for loan above 7.5 lakh.

  • Applicant must possess good academic records

HDFC Bank Education Loan Documents Required

  • Admission letter along with fee structure from the institute.
  • Age proof

  • Signature proof

  • Identity proof

  • Residence proof

  • If salaried - Latest 2 salary slips with the date of joining details and Previous 6 months bank statement of the salary account

  • If Self employed - an audited balance sheet of the previous 2 years and Bank statement of the previous 6 months.

  • Completed application form

  • Latest photographs signed across

  • Previous marks card or completion certificate

Collateral Options

It has a wide range of collateral option.

  • No security/collateral is required for loans up to Rs. 4 lakh.

  • Tangible collateral security of suitable value acceptable to the bank is required for loans above Rs. 7.5 lakh.

Loan Repayment Tenure

  • Up to 10 years for loans up to Rs. 7.50 lakhs

  • Up to 15 years for loans above Rs. 7.50 lakhs

HDFC Bank Education Loan Without Collateral

Collateral is an immovable property or any other asset such as FD, shares, bond and so on which is offered to the bank to secure the loan. The bank has all the right to seize the collateral in case the borrower fails to repay the loan amount.

You no need to worry if you do not have any collateral to pledge. Most of the banks including HDFC bank offers loan without collateral. HDFC Bank provides loan loans up to Rs. 4 lakh without the requirement of any collateral/security with parents as the joint borrowers.

It is provided on the basis of academic excellence of a student in order to make the availability of necessary funds to all the eligible and deserving students.

HDFC Bank Loan Customer Care

  • For any queries regarding education loan, you can dial 61606161 with the std code of your city. It works for most of the districts of India.

HDFC provides you with guaranteed opportunities and assistance in order for you to attain your higher potential and the best at hand.



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