Make college memories that last a lot longer than your student loan payments.
Bankbazaar

SBI Education Loan

 4.0 / 5.0   by 203 users
Used this product? Write a review >>

Fees & Charges

Promised Interest Rate

Customer Service

Responsiveness

State Bank of India is an Indian multinational financial services company that was founded in 1921. State Bank of India has an operational presence of over 14,000 branches in India serving millions of happy customers. The bank has a much diversified portfolio that includes services in personal banking, business banking and international banking services.

SBI Education Loan is of three categories – for studies in India and abroad, for studies in premier Indian institutions and loan for pursuing vocational education and training.

Features of SBI Education Loan:

Purpose:

SBI Student Loan scheme is offered to Indian nations for pursuing higher studies in India or at a foreign institution. SBI Scholar Loan scheme is offered to students who have secured admissions in premier Indian institutions. A separate loan scheme is offered for pursuing vocational education and training in India.

Expenses Considered for SBI Education Loan:

The following expenses are covered for both the student loan scheme and loan for vocational education.

  • Tuition and course fee
  • Examination, library and laboratory fees
  • Caution deposit
  • Cost of books, equipment and other instruments.

The following expenses are considered only for the student loan scheme and not for the vocational training loan.

  • Cost of a two wheeler up to Rs.50,000
  • Travel expenses and passage money for abroad studies
  • Caution deposit, building fund and other refundable deposit which amounts up to 10% of the tuition fees for the entire semester
  • Any other expenses required to complete the coursework like study tours, thesis, project etc.

Amount of Education Loan:

  • SBI Student Loan Scheme
  • A maximum of Rs.10 lakhs is offered for studies in India. For studies abroad, a maximum of Rs.30 lakhs is offered as loan.
  • SBI Scholar Loan Scheme
Category of the educational institution Maximum Loan Limit Maximum Loan Limit
Without Security With Security
List A Ra.20 lakhs Rs.30 lakhs
List C Rs.7.5 lakhs Rs.30 lakhs
  • Loan Scheme for Vocational Education and Training: For courses of period up to 6 months, loans up to Rs. 50,000 are provided. A maximum of Rs.1 lakh is provided as loan for courses of duration above 6 months.

Interest Rates:

  • SBI Student Loan Scheme
Loan Amount Rate of Interest
Up to Rs.4 lakhs 3.50% above base rate
Above Rs.4 lakhs and up to Rs.7.5 lakhs 3.75% above base rate
Above Rs.7.50 lakhs 1.75% above base rate

The base rate is fixed at 9.85%. Do make an enquiry with the bank about the prevailing base rates. A concession of 0.50% is provided for girl students and a 1% concession is offered for full tenure of loan, if the interest is serviced promptly during moratorium and course period.

  • SBI Scholar Loan scheme
Type of Institution Interest Rate per annum
List AA 25 bps above base rate (10.10% at present)
List A 25 bps above base rate (10.10% at present)
List B For unsecured loan up to Rs.20 lakhs, 50 bps above base rate (10.35% at present)
List C 175 bps above base rate (11.60% at present)

For list B institutions, the interest rate is 25 bps if the collateral security provided is equal to or greater than the loan amount or if the applicant’s work experience is greater than two years. Do contact the bank for a comprehensive classification of the educational institutions as per the type AA, A, B or C.

  • SBI Loan for Vocational Education and Training: The rate of interest is fixed at 3.50% above the base rate of 9.85%

Processing Fee:

No processing fee is charged for SBI education loans.

Repayment Tenure:

  • SBI Student Loans
Maximum Loan Amount Repayment Period
Up to Rs.4 lakhs Up to 10 years
Above Rs.4 lakhs to up to Rs.7.5 lakhs Up to 10 years
Above Rs.7.5 lakhs Up to 12 years
  • SBI Scholar Education Loan
  • The maximum repayment tenure is 12 years. The repayment period starts after 6 months of course completion.
  • SBI Loan for Vocational Education and Training: For courses of duration up to 1 year, the repayment period can be up to 3 years. For courses of duration above 1 year, the repayment period can extend up to 5 years.

Security:

  • SBI Student Education Loan
Loan Amount Security
Up to Rs.4 lakh Parent or guardian as co-borrower
Above Rs.4 lakhs and to Rs.7.50 lakhs Parent or guardian as co-borrower and collateral security in the form of a third party guarantee
Above Rs.7.50 lakhs Parent or guardian as co-borrower and tangible collateral security
  • SBI Scholar Loan Scheme
  • Tangible collateral security of full value is to be provided and parent or guardian should sign up as co-borrower only to avail extra loan amount for list A and list C institutions. Loans can be availed without security also under the scholar scheme.
  • SBI Loan for Vocational Education and Training

No collateral or third party guarantee is taken. But, parents or guardian will have to execute the loan documents as co-borrower.

Margin:

For SBI Student Loan Scheme, there is no margin for loans up to Rs.4 lakhs. For loans above Rs.4 lakhs, the margin is 5% for studies in India and 15% for studies abroad.

Eligible Courses:

  • SBI Student Education Loan
  • For studies in India, graduation and post-graduation technical courses (degree and diploma) conducted by colleges approved by UGC, AICTE, IMC and the government of India are covered. Also, teacher training, nursing courses and other diploma courses like pilot training, shipping etc. as approved by the concerned regulatory authority are covered under the loan. For studies abroad, job-oriented professional graduate and post-graduate courses like MCA, MBA, MS, courses conducted by CIMA – London, CPA – USA are approved for loan.
  • SBI Scholar Loan Scheme
  • Regular full-time degree and diploma courses for which the student is granted an admission through merit based admission process or entrance test is covered under the loan. Also, full time executive management courses like PGPX are approved for loan.
  • SBI Vocational Education and Training Loan

Vocational courses and skill development courses of duration 2 months to 3 years run by a government department or an organization supported by National Skill Development Corporation leading to a recognized Government organization are approved for the loan.

List of Approved Educational Institutions:

  • For the SBI Student Scheme, educational institutions in India recognized by UGC/AICTE/IMC and government of India are approved. Reputed foreign institutions abroad, CIMA and CPA courses are also approved for loan.
  • SBI Scholar Loan scheme is provided for education in 93 premier Indian institutions. Contact the bank for the list of institutions that fall under the elite category.
  • Vocational, skill development courses offered by the government or an organization certified by the government is approved for loan under the SBI Vocational Education and training loan category.

Documentation required:

The following documents are to be submitted to complete the application process.

  • Letter of admission
  • Duly filled and signed loan application form
  • 2 recent passport size photographs
  • Statement of cost of study
  • PAN Card, AADHAR card of student and parent/guardian
  • Proof of identity and proof of residence
  • IT returns or IT assessment order of previous two years of the co-borrower
  • Statement of assets and liabilities of parent/guardian
  • Proof of income of parent/guardian

Eligibility:

The applicant should be an Indian national and should have secured an admission in a recognized educational institution. For SBI Scholar scheme, the student should have secured an admission in one of the 93 premier Indian institutions. Similarly, for Vocational Education loan, the student should have obtained an admission in a government certified training institute.

Central Government Interest Subsidy Scheme for Educational Loans:

The interest subsidy scheme has been announced by the MOHRD for providing interest on educational loans during moratorium for professional courses in India for students from economically weaker sections with gross annual parental income up to Rs.4.50 lakhs.

Some of the important features of this scheme are listed below.

  • This scheme is applicable only for recognized technical and professional course study in India.
  • The subsidy is provided for a period of 12 months after completion of course or six months after getting the job, whichever is earlier.
  • The interest subsidy is not available to students who discontinue the course mid-stream or who are expelled from the university.
  • The disbursement of interest subsidy claims to banks will be on half-yearly or yearly basis.

SBI Education Loan FAQs:

  1. What documents do I have to submit to avail the interest subsidy?
  2. In addition to the necessary loan documents, an income certificate issued by Income Certifying Authority designated by the State Government is required.
  3. Can my spouse sign up as a co-applicant for my education loan?
  4. Yes. Married applicants can designate their spouse as co-applicant.
  5. How will the SBI education loan be disbursed?
  6. The loan amount will be disbursed directly to the educational institution or the vendor as and when there is requirement.
  7. What educational documents do I have to submit during application?
  8. You might be asked to submit the HSC and SSLC certificates in addition to the degree mark sheet.
  9. Is insurance cover necessary for SBI education loan?
  10. Yes. Insurance covering the life of the borrower with the policy assigned in favour of SBI is mandatory while applying for education loan.

News About SBI Education Loan

  • SBI Revises Education Loan Interest Rates

    SBI updated its education loan interest rates, along with home loan, car loan and personal loan interest rates with effect from 1st May, 2016. SBI Student Loan up to a limit of Rs.7.5 lakh are being offered at a 9.15% 1 year MCLR rate with a 2.00% spread and an effective interest rate of 11.15% for a reset period of 1 year. While for a student loan above Rs.7.5 lakh, the MCLR is 9.15% with a 1.70% spread and an effective interest rate of 10.85% for a year. Girl students can avail concession in interest up to 0.50%.

    SBI also revised its scholar loan offering 9.15% MCLR for Categories List AA, A, B at a spread of 0.40%, 0.50% and 0.80% respectively and effective interest rates at 9.55%, 9.65% and 9.95% respectively.

    19 August 2016

  • A new education loan “SBI Global Ed-Vantage” introduced by State Bank of India.

    State Bank of India has launched the “SBI Global Ed-Vantage” scheme to offer loans to students for overseas education. This education loan scheme provides financial assistance to students planning to complete their studies at any top global institution. The loan amount sanctioned by SBI starts from Rs. 20 lakhs to up to Rs. 1.5 crores, with a margin ranging from 20% to up to 80%. The interest rate offered on this education loan is 1.70% over the base rate of SBI, which totals to 11% per annum. The repayment tenure offered is up to 15 years after the course has been completed. Collateral security has to be provided by the borrower, equal to the loan amount availed. State Bank of India offers a moratorium period of up to 6 months to begin the repayment of the education loan. Women borrowers and SBI Life Rinn Raksha scheme holders can also get a concession of 0.50% on the interest rate for the SBI Global Ed-Vantage education loan.

    2 May 2016

  • SBI Extends Offer for One-Time Settlement of Education Loan

    SBI has come up with an offer to education loan borrowers for a one-time settlement of their dues. Those who have availed up to Rs. 4,00,000 education loan can avail this offer. Borrowers can be eligible for up to 100% concession in rate of interest and 90% concession on the loan amount borrowed from the Bank. If the student who has availed the loan has passed away, then the Bank will waive the loan amount borrowed and the interest accumulated on the same. This offer expires on April 30th, 2016.

    6 April 2016

Display of any trademarks, tradenames, logos and other subject matters of intellectual property belong to their respective intellectual property owners. Display of such IP along with the related product information does not imply BankBazaar's partnership with the owner of the Intellectual Property or issuer/manufacturer of such products.

Education Loan Tools
Education Loans By Bank
Education Loans by City
Education Loan Articles

Display of any trademarks, tradenames, logos and other subject matters of intellectual property belong to their respective intellectual property owners. Display of such IP along with the related product information does not imply BankBazaar's partnership with the owner of the Intellectual Property or issuer/manufacturer of such products.

SBI Education Loan Reviews

Page 1 of 11 1 2 3 4 5
  • SBI Education Loan
    "Not happy with the branch people"
    STATE BANK OF INDIA
    0.5 4.0/5 "Great!"
    I took the educational loan from SBI and in my home town, only SBI available so there was no chance to contact with other banks. When i took the loan, i do not have any knowledge about the interest rates. Without proper information, they have deducted the money for insurance and all. When i come to know about this, i was not happy about the loan. I closed the loan in a proper way. I took the loan amount of Rs. 90000 but when i paid the amount was Rs. 2.5 lakhs. The bank manager behavior was not good and they treated me like a slaves. The way of approach with the customer is not good.
    Was this review helpful? 0
    , hyderabad
    Reviewed on Oct 09, 2019
  • SBI
    SBI Education Loan
    "Need to improve the customer service"
    STATE BANK OF INDIA
    0.5 1.0/5 "Really Bad"
    I have applied for an educational loan with State Bank of India but they have rejected the loan and even I made a complaint then they have provided me the loan. The interest rate is economical but the services are not good as per my personal experience.
    Was this review helpful? 2
    , hyderabad
    Reviewed on Sep 24, 2019
  • SBI Education Loan
    "Need scope of improvement"
    STATE BANK OF INDIA
    0.5 3.5/5 "Pretty good"
    During my engineering studies my father took education loan from SBI, the process was very difficult because they are not supportive and transparent. At that time the government started subsidiary who earn less income but bank was not disclosed it. I availed Rs.4.2 lakhs for the duration of five years.
    Was this review helpful? 2
    , madurai
    Reviewed on Sep 20, 2019
  • SBI Education Loan
    "Good experience with SBI"
    STATE BANK OF INDIA
    0.5 4.0/5 "Great!"
    When i was doing my post graduation i got my education loan from State bank of India. They came to my college and filled my application and within a week, they have provided the loan to me. The given interest rate is 8.75% which is a variable rates. I have taken the loan amount of Rs. 5 lakhs. I have closed the loan and got my NOC letter.
    Was this review helpful? 7
    , bangalore
    Reviewed on Aug 16, 2019
  • SBI Education Loan
    "Need to improve customer service"
    STATE BANK OF INDIA
    0.5 2.0/5 "Expected more"
    I was taken a Educational loan with State Bank of India on 7 years before. The amount was sufficient which was provided from bank. The interest rate is fine when compared to other banks.But the customer service is no proper response from their end. For any queries need to visit branch only and no proper update for the loan details. now closed the loan and provided NOC letter.
    Was this review helpful? 5
    , bangalore
    Reviewed on Aug 16, 2019
  • SBI Education Loan
    "Okay Experience"
    STATE BANK OF INDIA
    0.5 2.0/5 "Expected more"
    The process is very stringent and i purchased the loan 6 years ago. That was a little bit difficult to get the loan because it took almost 20 days. The given interest rate is 13.5%. Overall, it was an average educational loan experience with State bank of India. The branch is nearby my college hence i have chosen them.
    Was this review helpful? 0
    , bangalore
    Reviewed on Aug 14, 2019
  • SBI Education Loan
    "Good Experience"
    STATE BANK OF INDIA
    0.5 5.0/5 "Blown Away!"
    When I was doing college I took education loan in SBI with the rate of interest around 9.5% for the duration of seven years. The money was released every six months once based on the semester. The bank staffs are very helpful at the time, there is a branch located near to college campus hence its easier. I recommend this student loan there is no issue.
    Was this review helpful? 2
    , mumbai
    Reviewed on Aug 10, 2019
  • SBI Education Loan
    "Average"
    STATE BANK OF INDIA
    0.5 3.0/5 "Satisfactory"
    I am running a Educational loan with State Bank of India and my experience was not good. The interest rate is higher when compared to other banks. It was taken in the year of 2011 and they were charging separately for non-paid EMI due as well as late payments.
    Was this review helpful? 1
    , salem
    Reviewed on Aug 09, 2019
  • SBI Education Loan
    "Excellent Service"
    STATE BANK OF INDIA
    0.5 5.0/5 "Blown Away!"
    I was taken an educational loan with State Bank of India on 12 years before. I did not find any hassle in it. The process was good and they have sanctioned a loan on time. The rate of interest was nominal for this loan from institute I have taken a loan. On time I closed the loan.
    Was this review helpful? 2
    , bangalore
    Reviewed on Aug 06, 2019
  • SBI Education Loan
    "Good"
    STATE BANK OF INDIA
    0.5 5.0/5 "Blown Away!"
    I have taken an educational loan with State Bank of India. I did not find any hassle in it. The process was good and within 3 days they have sanctioned a loan. The rate of interest was nominal for this loan from institute I have taken a loan. On time I closed the loan.
    Was this review helpful? 6
    , chennai
    Reviewed on Jul 20, 2019
  • SBI Education Loan
    "Can be better"
    STATE BANK OF INDIA
    0.5 2.0/5 "Expected more"
    I closed SBI education loan because they handled over to the third party for collecting the money they are not clear in their updates. They are taking double charges from the customer hence I done the settlement, I took the loan amount Rs. 2 lakhs for the duration of four years.
    Was this review helpful? 5
    , chennai
    Reviewed on Jul 04, 2019
  • SBI Education Loan
    "Good service"
    STATE BANK OF INDIA
    0.5 5.0/5 "Blown Away!"
    I have a Educational loan with State Bank of India. They are very prompt in disbursing the amount and the repayment will be start soon till the grace period is going on. I did not find any hassle in it. The rate of interest was 8.6% where other bankers are doing the same. There was no processing fee.
    Was this review helpful? 7
    , bangalore
    Reviewed on Jun 26, 2019
  • SBI Education Loan
    "BEST"
    STATE BANK OF INDIA
    0.5 5.0/5 "Blown Away!"
    The process of getting the loan is good i have submitted the documents and i got the loan amount within 20 days. There was no processing fee. I got the loan amount for each of the semester. The rate of interest was 9-13% approximately, the loan amount 3L 80K. The duration for loan is after the education started paying. The customer support is good.
    Was this review helpful? 13
    , pune
    Reviewed on Jun 23, 2019
  • SBI Education Loan
    "Good service"
    STATE BANK OF INDIA
    0.5 4.0/5 "Great!"
    MY educational loan was taken with STATE BANK OF INDIA . , Application was easy. I got the loan with in 2-3 days. Overall it has been a good experience with SBI . The interest rate is normal when comparing to other banks in the market. The loan amount is satisfactory .
    Was this review helpful? 6
    , bangalore
    Reviewed on Jun 21, 2019
  • SBI Education Loan
    "Process is very easy if we provide proper documents"
    STATE BANK OF INDIA
    0.5 2.0/5 "Expected more"
    The interest rate of SBI bank is very high even for the educational loan. They have provided the loan for students with some concession. The loan got sanctioned the loan within a week. Since i have studied in NIT, they have approached the student for the loan and its a scholarship school. They gave this loan only for the merit students. In 2017, i have closed the loan.
    Was this review helpful? 9
    , chennai
    Reviewed on Jun 08, 2019
  • SBI Education Loan
    "Good for education purpose"
    STATE BANK OF INDIA
    0.5 5.0/5 "Blown Away!"
    I took education loan for my son, when he started carrier in IIT campus I submitted the application and filled the form within the time of 10 days the loan got sanctioned. SBI gave me 9% of interest for the loan principal of Rs. 1.75 lakhs, I am very fine with them.
    Was this review helpful? 2
    , amravati
    Reviewed on Jun 08, 2019
  • SBI Education Loan
    "Good"
    STATE BANK OF INDIA
    0.5 5.0/5 "Blown Away!"
    I was taken an Education loan in SBI bank before eight years ago, the loan amount was sufficient when taken a loan. The process was all smooth and the disbursement was on time. Charges was nominal at that time. The rate of interest and fee was nominal. The service was good and supportive.
    Was this review helpful? 6
    , coimbatore
    Reviewed on May 20, 2019
  • SBI Education Loan
    "BETTER"
    STATE BANK OF INDIA
    0.5 3.5/5 "Pretty good"
    I have previously taken the educational loan with the STATE BANK OF INDIA where the customer support is not good also the online banking is not good with this bank There are charges applicable with this bank it is which is not good and it is not nominal.
    Was this review helpful? 10
    , new delhi
    Reviewed on May 18, 2019
  • SBI Education Loan
    "Best service"
    STATE BANK OF INDIA
    0.5 4.5/5 "Excellent!"
    I had taken the educational loan with the State bank of India since from past 5 years bank, The loan amount they have given to me was sufficient, the rate of interest they have charged me i felt was high they have charged me up to 11.45% which was high comparing to other bank, after course completion they have charged me up to 10.45% as i was existing account holder of their bank, now i have successfully closed this account.
    Was this review helpful? 9
    , mumbai
    Reviewed on May 04, 2019
  • SBI Education Loan
    "Average Service"
    STATE BANK OF INDIA
    0.5 3.0/5 "Satisfactory"
    The experience i had in getting my Educational loan from STATE BANK OF INDIA has not been a great experience. The process was all smooth and the disbursement was on time, but after that there has been a lot of hassles. I had not visit them often and i could not check the status of the loan. Their customer support response has also not been good.
    Was this review helpful? 3
    , bangalore
    Reviewed on May 03, 2019
Common Loader Icon
Page 1 of 11 1 2 3 4 5
reTH65gcmBgCJ7k
This Page is BLOCKED as it is using Iframes.