SBI Education Loan - Eligibility, Interest Rate and Other Information

SBI education loan schemes are supporting students across the country with the impending cost of education. SBI has been offering various SBI education loan schemes for students as per their specific requirement. Whether you want to opt for a student loan, skill loan, scholar loan or a loan to study abroad, SBI education loans have got you covered on all fronts. With faster online application process, lighter and attractive interest rates, higher loan amounts, easier EMI options, early approvals, tax benefits and better repayment options, SBI education loans are the preferred choice for innumerable students in India.

The first step for you as a student is to identify the type of SBI education loan you require in order to pursue your academic journey. The bank offers a range of student loan schemes depending upon the requirement of the students such as SBI Student Loan Scheme, SBI Scholar Loan Scheme, SBI Skill Loan Scheme, SBI Global Ed-Vantage Scheme. To compare SBI education loan details as per their specific requirements and offerings, check the comparison table ‘SBI Education Loan – Eligibility, Courses, Rate of Interest, Repayment, Comparison’ given at the end of the article.

SBI Education Loan – Eligibility

SBI education loan eligibility criteria differ for each type of education loan offered by the bank. While being an Indian national and having secured admission at the university are the basic eligibility criteria, there are more conditions specific to the type of education loan you are opting for. Given below are the eligibility criteria for each type of SBI education loan:

1. SBI Student Loan Scheme eligibility

SBI Student Loan Scheme is a term loan given to students of Indian nationality, looking to pursue higher education in India or abroad. The key eligibility criteria to apply for the loan is that the student must have secured admission before applying for the loan.

2. SBI Scholar Loan Scheme eligibility

SBI Scholar Loan Scheme is open to students looking to pursue higher education in select premier institutions in India. You can check the list of approved institutions in the table ‘SBI Scholar Loan Scheme – List of Approved Institutions’ given at the end of the article.

3. SBI Skill Loan Scheme eligibility

As the name suggests SBI Skill Loan Scheme is a term loan given to students with Indian nationality for pursuing skill development courses in India. Schools recognized by the Central or State education boards or colleges affiliated to recognized university leading to a certificate/diploma/degree issued by such organization as per the National Skill Qualification Framework (NSQF) are eligible for this loan.

4. SBI Global Ed-Vantage Scheme eligibility

An overseas education loan, SBI Global Ed-Vantage is open for Indian students looking to pursue full-time regular courses at foreign colleges and universities.

SBI Education Loan – Courses Covered

SBI education loan schemes vary in nature when it comes to the kind of courses covered. But all-in-all, from graduation courses to post-graduation courses, from teacher training to pilot training, and from polytechnic courses to global courses, SBI education loans cover most of the courses. Given below are the courses covered for each type of SBI education loan:

1. SBI Student Loan Scheme courses

For studies in India:

Graduation, post-graduation courses together with regular technical and professional degree/diploma courses conducted by colleges and universities approved by UGC/ AICTE/IMC/Government, etc.
Regular degree/diploma courses conducted by self-directed institutions like IIT, IIM, etc.
Teacher training/nursing courses approved by the Central or the State Government
Regular degree/diploma courses such as pilot training, aeronautical, etc. approved by the concerned regulatory authority

For studies abroad:

Professional/technical graduation degree courses/PG degree and diploma courses aligned towards a job offered by reputed universities
Courses conducted by CIMA (Chartered Institute of Management Accountants) – London, CPA (Certified Public Accountant) in the US, etc.

2. SBI Scholar Loan Scheme courses

Eligible courses for SBI Scholar Loan Scheme:

Full-time degree/diploma courses (regular) through selection process/entrance test
Full-time executive management courses like PGPX

Note: Students looking to pursue a certificate or part-time courses are eligible to apply.

3. SBI Skill Loan Scheme courses

Eligible courses for SBI Skill Loan Scheme:

Courses run by ITIs, polytechnics, training partners affiliated to National Skill Development Corporation (NSDC)/Sector Skill Councils, State Skill Mission, State Skill Corporation

Note: There is no minimum course duration.

4. SBI Global Ed-Vantage Scheme courses

Eligible courses for SBI Global Ed-Vantage Scheme:

Regular graduate/post graduate/doctorate courses in any discipline offered by foreign institutes/universities in the US, UK, Canada, Australia, Europe, Singapore, Japan, Hong Kong and New Zealand

SBI Education Loan – Expenses Covered

SBI education loans cover the expenses of your course and other related expenditure depending upon the type of loan you have opted for. Given below are the expenses covered for each type of SBI education loan:

1. SBI Student Loan Scheme expenses covered

Find below the list of the type of expenses covered under SBI Student Loan Scheme:

Fees for college/school/hostel
Fees for examination/library/laboratory
Books/equipment/instruments/uniforms
Computer necessary for completion of the course (maximum 20% of the total tuition fees payable for completion of the course)
Building fund or caution/refundable deposit (at most 10% of tuition fees for the entire course)
Travel expenses/passage money for studies abroad
Cost of a two-wheeler up to INR 50,000
Any other expenses compulsory to conclude the course

2. SBI Scholar Loan Scheme expenses covered

Find below the list of the type of expenses covered under SBI Scholar Loan Scheme:

Fees for college/school/hostel
Fees for examination/library/laboratory
Books/equipment/instruments
Caution deposit/building fund/refundable deposit supported by institution’s bills/receipts (maximum 10% of tuition fees for the entire course)
Travel expenses/expenses on exchange programme (No voucher/receipt necessary; purpose (end use) need to be self-certified)
Purchase of computer/laptop (maximum 20% of the total tuition fees payable for completion of the course – up to a lump sum amount of maximum INR 1 lacs)
Any other expenses related to education (Expenditure beyond 25% cap allowed provided the student presents the voucher/receipt.)

3. SBI Skill Loan Scheme expenses considered

Find below the list of the type of expenses covered under SBI Skill Loan Scheme:

Fees for tuition/course
Fees for examination/library/laboratory
Caution deposit
Books, equipment and instruments
Any other expenses compulsory to conclude the course

4. SBI Global Ed-Vantage Scheme expenses covered

Find below the list of the type of expenses covered under SBI Global Ed-Vantage Scheme:

Fees for college/school/hostel
Fees for examination/library/laboratory
Travel expenses/passage money for studies abroad
Books/equipment/instruments/uniforms/computer at a reasonable cost (if required for course completion) and any other expense necessary to complete the course (maximum 20% of the total tuition fees payable for completion of the course)
Caution deposit/building fund/refundable deposit supported by institution’s bills/receipts (maximum 10% of tuition fees for the entire course)
The premium of ‘RiNn Rakhsha’

SBI Education Loan – Loan Amount and Security

SBI education loans offer a handsome amount of loan even at the minimum level depending upon the eligibility and requirement. The kind of security, whether collateral security, third-party guarantee or co-borrower, also varies in different kinds of loans. Given below are the loan amounts and security required for each type of SBI education loan:

1. SBI Student Loan Scheme amount and security

SBI Student Loan Scheme offers a maximum of INR 10 lacs for studies in India and a maximum of INR 20 lacs for students opting to study abroad.

Note: Higher loan limit for students opting to study in India are considered on case-to-case basis, while higher loan limit for students opting to study abroad is considered under the SBI Global Ed-Vantage Scheme.

For loan amount up to INR 7.5 lacs does not require any collateral security or third-party guarantee. Only parent/guardian as co-borrower are considered. Tangible collateral security and parent/guardian as co-borrower are required for loan amount above INR 7.5 lacs.

Note: In case of a married person, co-obligator can be either spouse or the parent(s)/parents-in-law.

2. SBI Scholar Loan Scheme amount and security

A minimum loan amount of INR 7.5 lacs and a maximum of INR 40 lacs is offered under SBI Scholar Loan scheme depending upon the type of institution the student is opting for. For minimum loan amounts for all covered institutions, no security is required; only parent/guardian can act as the co-borrower. For a maximum loan amount for List A and List B institutions, tangible collateral of full value and parent/guardian as co-borrower are necessary.

3. SBI Skill Loan Scheme amount and security

SBI Skill Loan Scheme offers a minimum loan amount of INR 5,000 and a maximum loan amount of INR 1,50,000. No collateral or third-party guarantee is required. Only parent/guardian as co-borrower are considered. Spouse will be included as co-applicant wherever applicable, in addition to parent/guardian.

4. SBI Global Ed-Vantage Scheme amount and security

SBI Global Ed-Vantage Scheme offers a minimum loan amount of INR 20 lacs and a maximum loan amount of INR 1.5 Cr. Tangible collateral security is required. Collateral security offered by third-party (other than parents) is also acceptable.

SBI Education Loan – Interest Rate

SBI education loan interest rates are known to be one of the most viable in the market with interest rates as low as 8.65% and special concession for girl students. Given below are the loan amounts and security required for each type of SBI education loan:

1. SBI Student Loan Scheme interest rates

10.45% interest rate is offered for up to INR 7.5 lacs with 0.50% concession for girl students. 10.70% is offered for above INR 7.5 lacs with 0.50% concession for girl students and 0.50% concession for students availing SBI Rinn Raksha or any other existing policy assigned in favour of SBI.

2. SBI Scholar Loan Scheme interest rates

8.65% interest rate is offered for list AA institutions, up to 8.95% for list A institutions, up to 9.45% for list B institutions and up to 9.95% for list C institutions.

3. SBI Skill Loan Scheme interest rate

9.95% interest rate is offered for loan amount up to INR 1.5 lacs.

4. SBI Global Ed-Vantage Scheme interest rates

10.70% interest rate is offered for loan amount above INR 20 lacs and up to INR 1.5 Cr with 0.50% concession for girl students and 0.50% concession for students availing SBI ‘Rinn Raksha’/existing life insurance policy allocated in favour of SBI.

SBI Education Loan – Repayment Rules

SBI education loan repayment rules include repayment commencement a year after course completion and a repayment period as long as 15 years. Given below are the loan repayment terms for each type of SBI education loan:

1. SBI Student Loan Scheme repayment terms

The repayment period begins 1 year after completion of the course and the loan is to be repaid in 15 years after the beginning of the repayment period.

Note: In case a second loan is availed for higher studies in the future, the combined loan amount is to be repaid in 15 years after completion of the second course.

2. SBI Scholar Loan Scheme repayment terms

The repayment period begins after the course completion + 12 months and the loan is to be repaid in 15 years.

Note: In case a second loan is availed for higher studies in the future, the combined loan amount is to be repaid in 15 years after completion of the second course.

3. SBI Skill Loan Scheme repayment terms

Loans up to INR 50,000 can be repaid in up to 3 years, loans between INR 50,000 to INR 1 lacs can be repaid in up to 5 years, and loans above INR 1 lacs can be repaid in up to 7 years.

4. SBI Global Ed-Vantage Scheme repayment terms

The repayment period begins 6 months after the course completion and the loan is to be repaid in 15 years.

SBI Education Loan – Documents Required

The documents required for SBI education loan schemes also vary depending upon the type of loan you opt for. While most of the documents are the same, you must still make a checklist of the documents required for your education loan. To make your work easier, given below is the documents checklist for each type of SBI education loan:

Documents checklist for SBI Student Loan Scheme, SBI Scholar Loan Scheme and SBI Global Ed-vantage Scheme

For student-applicant:

Duly-filled loan form
Any one proof of identity: PAN/Passport/Driver’s License/Voter ID card
Any one proof of residence: Recent copy of Telephone Bill/Electricity Bill/Water Bill/Piped Gas Bill or copy of Passport/Driving License/Aadhaar Card
Passport (mandatorily in case of studies abroad)
Academic Records: 10th result, 12th result, graduation result, entrance exam result through which admission is being taken
Proof of admission: Offer letter/admission letter from the institution
Statement of cost of study or schedule of expenses
2 passport-size photographs
Loan A/C statement for last 1 year in case of any previous loan from other banks/lenders

For co-applicant:

Any one proof of identity: PAN/Passport/Driver’s License/Voter ID card
Any one proof of residence: Recent copy of Telephone Bill/Electricity Bill/Water Bill/Piped Gas Bill or copy of Passport/Driving License/Aadhaar Card
2 passport-size photographs
Loan A/C statement for last 1 year in case of any previous loan from other banks/lenders

Note:

Income proof for salaried co-applicant/guarantor include salary slips of last 3 months, copy of Form 16 for last 2 years/copy of IT Returns for last 2 financial years acknowledged by IT department, and bank account statement for last 6 months
Income proof for self-employed co-applicant/guarantor include business address proof (if applicable), IT returns for last 2 years (if IT payee), TDS Certificate (Form 16A, if applicable), certificate of qualification (Chartered Accountants/Doctors and other professions), and bank account statement for last 6 months
All documents should be self-attested

SBI Skill Loan Scheme documents

Duly-filled loan form
Mark sheets of last qualifying examination
Proof of admission scholarship, studentship, etc.
Schedule of expenses for the specified course
2 passport size photographs
Student’s and the parent/guardian/spouse’s PAN Card
Student’s and the parent/guardian/spouse’s AADHAAR card
Borrower’s bank account statement for last six months
Co-borrower’s ITR/IT assessment order for last 2 years (if applicable)
Co-borrower’s brief statement of assets and liabilities
Proof of Income (salary slips/Form 16), if applicable

SBI Education Loan – Eligibility, Courses, Rate of Interest, Repayment, Comparison

SBI education loans come in four different categories and the table below will help you compare your choices and choose the best one.

SBI Scholar Loan Scheme – List of Approved Institutions

SBI Scholar Loan Scheme can only be opted by students who are looking to pursue higher education in select premier institutions in India. Given below are the list of premier institutions covered under this scheme.

1. List AA Institutions

Indian Institute of Management (IIM), Ahmedabad
Indian Institute of Management (IIM), Bangalore
Indian Institute of Management (IIM), Calcutta
Indian Institute of Management (IIM), Indore
Indian Institute of Management (IIM), Indore- Mumbai Campus
Indian Institute of Management (IIM), Kozhikode
Indian Institute of Management (IIM), Lucknow
Indian Institute of Management (IIM), Lucknow- Noida Campus
Indian School of Business (ISB), Hyderabad
Indian School of Business (ISB), Mohali
Xavier Labour Relations Institute (XLRI), Jamshedpur

2. List A Institutions

Birla Institute of Technology & Sciences (BITS), Pilani
BITS (Pilani) – Goa Campus
BITS (Pilani) – Hyderabad Campus
Indian Institute of Foreign Trade (IIFT), Delhi
Indian Institute of Foreign Trade (IIFT), Kolkata
Indian Institute of Management (IIM), Amritsar
Indian Institute of Management (IIM), Bodhgaya
Indian Institute of Management (IIM), Jammu
Indian Institute of Management (IIM), Kashipur
Indian Institute of Management (IIM), Nagpur
Indian Institute of Management (IIM), Raipur
Indian Institute of Management (IIM), Ranchi
Indian Institute of Management (IIM), Rohtak
Indian Institute of Management (IIM), Sambalpur
Indian Institute of Management (IIM), Shillong
Indian Institute of Management (IIM), Sirmaur
Indian Institute of Management (IIM), Trichy
Indian Institute of Management (IIM), Udaipur
Indian Institute of Management (IIM), Visakhapatnam
Indian Institute of Technology (IIT), Bhilai
Indian Institute of Technology (IIT), Bhubaneshwar
Indian Institute of Technology (IIT), Chennai
Indian Institute of Technology (IIT), Delhi
Dept of Management Studies, IIT Delhi
Indian Institute of Technology (IIT), Dharwad
Indian Institute of Technology (IIT), Gandhinagar
Indian Institute of Technology (IIT), Goa
Indian Institute of Technology (IIT), Guwahati
Indian Institute of Technology (IIT), Hyderabad
Indian Institute of Technology (IIT), Indore
Indian Institute of Technology (IIT), Jammu
Indian Institute of Technology (IIT), Jodhpur
Indian Institute of Technology (IIT), Kanpur
Department of Industrial & Management Engineering, IIT Kanpur
Indian Institute of Technology (IIT), Kharagpur
Indian Institute of Technology (IIT), Mandi
Indian Institute of Technology (IIT), Mumbai
Indian Institute of Technology (IIT), Palakkad
Indian Institute of Technology (IIT), Patna
Indian Institute of Technology (IIT), Roorkee
Indian Institute of Technology (IIT), Rupnagar (Ropar)
Indian Institute of Technology (IIT), Tirupati
Indian Institute of Technology (IIT), Varanasi
Indian School of Mining (ISM), Dhanbad
Institute of Management Technology (IMT), Ghaziabad
Kasturba Medical College (KMC), Mangalore
Management Development Institute (MDI), Gurgaon
Management Development Institute (MDI), Murshidabad
National Institute of Industrial Engineering (NITIE), Mumbai
Nirma Institute of Management, Ahmedabad
S P Jain Institute of Management and Research (SPJIMR), Mumbai
Shailesh J. Mehta School of Management (SJSOM), IIT Mumbai
Symbiosis Centre for Management & HRD (SCMHRD), Pune
Symbiosis Institute of Business Management (SIBM), Pune
T. A. Pai Management Institute (TAPMI), Manipal
Xavier Institute of Management (XIM), XUB-Bhubaneswar
Xavier School of Human Resource Management (XSHRM), XUB-Bhubaneswar
Xavier School of Rural Management (XSRM), XUB-Bhubaneswar

3. List B Institutions

Army College of Dental Sciences (ACDS), Secunderabad
Army College of Medical Sciences (ACMS), Delhi
Army Institute of Law (AIL), Mohali
Army Institute of Management (AIM), Kolkata
Army Institute of Technology (AIT), Pune
Bharathidasan Institute of Management (BIM), Tiruchirapalli
Birla Institute of Technology (BIT), Mesra, Ranchi
College of Engineering, Pune
Delhi College of Engineering (DCE), Delhi
Dhirubhai Ambani Institute of Information & Communication Technology (DAIICT), Gandhinagar
Faculty of Engineering & Technology, Jadavpur University, Kolkata
Faculty of Management Studies (FMS), Delhi
Goa Institute of Management (GIM), Goa
Indian Institute of Science (IISc), Bangalore
Indraprastha Institute of Information Technology (IIIT), Delhi
International Management Institute (IMI), Kolkata
International Management Institute (IMI), New Delhi
Jamnalal Bajaj Institute of Management Studies (JBIMS), Mumbai
Kasturba Medical College (KMC), Manipal
Kirloskar Institute of Advanced Management Studies (KIAMS), Bangalore
Manipal Institute of Technology (MIT), Manipal
Marine Engineering & Research Institute, Kolkata
Mudra Institute of Communication (MICA), Ahmedabad
Narsee Monjee Institute of Management Studies (NMIMS), Mumbai
National Institute of Technology (NIT), Surathkal
National Institute of Technology (NIT), Tiruchirapalli
National Law School of India University (NLSIU), Bangalore
National Law University (NLU), Jodhpur
Prin. L. N. Welingkar Institute of Management, Development & Research (WeSchool), Mumbai
Visvesvaraya National Institute of Technology (VNIT), Nagpur

4. List C Institutions

Centre for Environmental Planning & Technology (CEPT), Ahmedabad
Chandragupt Institute of Management, Patna
Dr. B R Ambedkar National Institute of Technology (NIT), Jalandhar
Indian Institute of Forest Management (IIFM), Bhopal
Indian Institute of Petroleum and Energy (IIPE), Vishakhapatnam
International Institute of Information Technology (IIIT), Hyderabad
Kalinga Institute of Industrial Technology (KIIT) University School of Management (SOM)
Kalinga Institute of Industrial Technology (KIIT) University School of Technology (SOT)
L N Mittal Institute of Information & Technology (LNMIIT), Jaipur
Loyola Institute of Business Administration (LIBA), Chennai
Maharishi Markandeshwar University (MMU) Medical College, Haryana
Malaviya National Institute of Technology (NIT), Jaipur
Maulana Azad National Institute of Technology (NIT), Bhopal
Motilal Nehru National Institute of Technology (NIT), Allahabad
National Institute of Construction Management & Research (NICMAR), Pune
National Institute of Food Technology Entrepreneurship and Management (NIFTEM), Sonepat
National Institute of Technology (NIT), Agartala
National Institute of Technology (NIT), Arunachal Pradesh
National Institute of Technology (NIT), Calicut
National Institute of Technology (NIT), Delhi
National Institute of Technology (NIT), Durgapur
National Institute of Technology (NIT), Goa
National Institute of Technology (NIT), Hamirpur
National Institute of Technology (NIT), Jamshedpur
National Institute of Technology (NIT), Kurukshetra
National Institute of Technology (NIT), Manipur
National Institute of Technology (NIT), Meghalaya
National Institute of Technology (NIT), Mizoram
National Institute of Technology (NIT), Nagaland
National Institute of Technology (NIT), Patna
National Institute of Technology (NIT), Puducherry
National Institute of Technology (NIT), Raipur
National Institute of Technology (NIT), Rourkela
National Institute of Technology (NIT), Sikkim
National Institute of Technology (NIT), Silchar
National Institute of Technology (NIT), Srinagar
National Institute of Technology (NIT), Tadepalligudem
National Institute of Technology (NIT), Uttarakhand
National Institute of Technology (NIT), Warangal
National University of Juridical Sciences (NUJS), Kolkata
Netaji Subash Institute of Technology (NSIT), Delhi
Sardar Vallabh Bhai National Institute of Technology (NIT), Surat
School of Planning & Architecture, New Delhi
Thapar University, Patiala
University College of Engineering (UCE), Odisha
Xavier Center For Urban Management and Governance (XUMG) [Post Graduate Programme in Urban Management and Governance (MBAUMG)]
Xavier School of Commerce (XSC) [Master of Business Finance (MBF)]
Xavier School of Sustainability (XSOS) [Post Graduate Programme in Sustainability Management (MBA-SM)]

SBI Education Loan – FAQs

Who is eligible for an SBI Education Loan?

Indian nationals who have secured admission to recognized colleges/institutions in India or abroad for various courses are eligible.

What courses are eligible for an SBI Education Loan?

Undergraduate, postgraduate, professional, and vocational courses in India and abroad are generally eligible for SBI Education Loan Scheme.

What expenses are covered under the SBI Education Loan?

Tuition fees, examination fees, hostel charges, cost of books, equipment, and other necessary expenses for the course are covered.

Is collateral required for the SBI Education Loan?

For loans up to a certain amount, no collateral may be required. However, for higher loan amounts, collateral or a third-party guarantee might be necessary.

What is the repayment period for the loan?

The repayment period for SBI Education Loan typically starts after the course is completed, and it can extend up to 15 years, depending on the loan amount. Refer to the above article for detailed information.

Can onr apply for an SBI Education Loan online?

Yes, SBI offers online application facilities for education loans through their official website.