Andhra Bank Education Loan: Application, Eligibility, Interest Rate, Documents & Much More.

Andhra Bank Education Loan
Andhra Bank Education Loan

The Andhra Bank is a medium-sized public sector bank. Bank was founded by Bhogaraju Pattabhi Sitaramayyain 1923 in Andhra Pradesh. Andhra Bank has always been admired for its customer-first approach and a progressive outlook towards improving the standards of personal and commercial banking in India. Andhra Bank Education loan facility is to help students who are looking to pursue further education in India or Abroad. If you want Educational Loan to pursue higher studies from India or Abroad, You are at the right place to collect every aspect of information related to Educational Loan in India.

Andhra Bank Logo

Read this full post on Andhra Bank Education Loan for information Like Eligibility, How to apply, Interest Rates, Documents Needed, Different aspects of Education Loan, Interest Rates, Return Policy, General Instructions etc. Throughout the article, we will share information regarding Andhra Bank Educational Loan it’s Process to Apply and full detailed Information.


Andhra Bank Education Loan


The major aim of the bank is to ensure anywhere and any time banking for the customer with the latest state-of-the-art technology. The Bank is very serious about its Education Loan Facility and by developing an effective customer-centric relationship it promises to emerge as a world-class education Loan provider. Before we share further, let us first have a brief review of the Bank

Brief Review

Profile Description
Name of Bank  Andhra Bank
Founded on 20 November 1923
Headquarter Hyderabad
Type of Bank  Public sector
Number of Employees 20981 (2016-17)
CEO Name J. Packirisamy
Maximum Loan Amount 
  • Higher Studies in India/ Abroad:- No Upper Limit
  • Skill Loan:- Rs. 20,000 to Rs. 2 Lacs
Timeline for Loan Disposal Maximum 15 Working days
Annual Revenue Δ ₹18,027.42 crore (US$2.5 billion)(2016-17)
Processing Fees No Processing Fee will be charged
Other Subsidiaries
  • Andhra Bank Financial Services Ltd.
  • Andhra Bank, Asset Management Arm
  • Andhra Bank Housing Finance Ltd.
  • Rushikulya Gramya Bank
Category  Education Loan in India

Types of Andhra Bank Education Loan

S.no. Scheme Description
1. Dr Pattabhi Vidya Jyothi This scheme is to Support economically weaker sections of the Society, Scheme was launched by the Government of India to provide full interest subsidy during the  moratorium period
2. Educational Loans for pursuing Vocational Courses Andhra bank Skill Loan Scheme aims at providing a loan facility to individuals who intend to take up vocational courses. This scheme is also covered under the same scheme of Dr Pattabhi Vidya Jyothi. One can avail loan from Rs. 20,000 to Rs. 1.5 lacs

How to Apply

Online

  • Visit official Web Site of Andhra Bank (Click Here)
  • Find the Educational Loan Section Apply now Button
  • Fill online Application Form

Offline

  • Visit the nearest Andhra Bank to get offline Education Loan form.
  • Submit the Application Form to Nearest Branch along with document needed.

Eligibility

  • The applicant should be an Indian national.
  • NRI-if student is holding Indian Passport.
  • Applicant must have secured admission in a government recognized educational institution.
  • Educational loans are also allowed to students, who qualify in entrance examination but choose to pursue under Management quota for reasons like proximity, the choice for a course of discipline or any other reasons pertaining to his academic/career interests.

Documents Needed

  • Application Form
  • Mark sheet of last qualifying examination for school and graduate studies in India
  • Academic Records: 10th Result, 12th Result, Graduation result-semester Wise (if Possible) Entrance Exam Result through which admission is being taken
  • Bonafide Certificate
  • Proof of admission: Offer Letter or Admission Letter from the Institution.
  • Schedule of expenses for the course
  • Fee Particulars from College/University.
  • Verification of accreditation of the college/University to our Bank.
  • Copies of the letter confirming scholarship.
  • The Estimate for travel, Health Insurance
  • Special power of attorney.
  • Credit Information Report from CIBIL
  • Declaration for giving Information to CIBIL
  • 2 passport size photographs
  • Legal Audit wherever applicable
  • Income tax assessment order not more than 2 years old
  • A brief statement of assets and liabilities of the borrower.
  • If you are not an existing bank customer you would also need to establish your identity and give proof of residence.
  • Credit Investigation/Due diligence/Pre-sanction Verification report.
  • Certified Copy of Valid Passport & Visa
  • the loan Documents should be executed by both the Student and parents/guardian as joint- borrower

Expenses Considered

  • Tuition and course fee
  • Examination, library and laboratory fees
  • Caution deposit
  • Cost of books, Uniforms, Equipment and other instruments.
  • Travel Expenses
  • Other expenses required in completion of Course
  • Reasonable lodging and boarding charges will be considered in proportion to the course cost in case the student chooses/is required to opt for outside accommodation.

Return Policy and Repayment Period

  • In case of Andhra Bank Education loan, repayment will start after the completion of course period +1 year or 6 months after securing Job.
  • No penalty will be levied for prepayment of the loan.

Andhra Bank Education Loan EMI Calculator

EMI Calculator is used for calculating the periodic payment amount due on a loan. For calculating EMI one must input data like Amount, Interest Rate, tenure, Processing Fee etc.

  • If you want to calculate EMI for Andhra Bank Educational Loan: Click Here

Andhra Bank Education Loan Security

  • Up to Rs. 4 Lacs
    • Co-obligation of parents
    • No security Required, Parents must be joint Borrower
  • Above Rs. 4 lacs and up to Rs.7.50 Lacs.
    •Third party guarantee needed as security. Also, parent(s) must execute the document as joint borrower(s).
  • Above Rs. 7.5 lacs.
    • collateral security of suitable value is required. Also, Future income of Student must be earmarked for payment of loan instalments. Parents must be sign-in as joint borrowers.

Contact Details

Head office  5-9-11, Dr Pattabhi Bhavan, Secretariat Road, Saifabad Hyderabad 500 004.
Official website www.andhrabank.in 
Apply for Loan  Click Here
Contact Number 18004251515 (Toll-Free), 040- 23252000 (Telangana)

 

Educational Loans FAQs

Q1. Who can be my co-borrowers?

Ans. Your parents/guardian can be a co-borrower as well as the spouse in case of a married applicant. The co-borrower should have a steady source of income and a good credit history in order to improve the applicant’s chances of a successful loan application.

Q2. How long does it take to process Educational Loan?

Ans. Generally, the time taken for the education loan to process is somewhat between 7-10 working days. Often, the whole process can be easily completed within 3 to 5  Working days, once the student fulfils all documentation.

Q3. What all expenses will be covered by education loans?

Ans. Apart from the tuition fees, other aspects of expenses such as hostel charges, equipment purchases and other course-related expenses may also be covered by the education loan.

Q4. What are the courses for which an education loan can be availed?

Ans. An education loan can be availed for all courses recognized by the UGC in case of India and all regular courses abroad. Each lender has its own list of educational institutions and courses that they would provide a loan for whether overseas or within India.

Q5. Can a student avail another loan for further studies?

Ans. Yes, this is possible. You can borrow a loan for a bachelor’s degree followed by one for master’s without repaying the first loan. This loan can be taken as a top-up loan against the already existing loan; however, it is subject to the lending bank’s discretion and the internal rules and regulations of the lender.

Q6. Do education loans have any Income Tax benefits?

Ans. Loan borrowers can avail tax benefits on interest paid on education loan under Sec 80E of the Income Tax Act. This benefit is available over and above the Rs. 150,000 deduction allowed under Section 80C. Tax benefits can be availed once the borrower starts paying the interest on the education loan. Further, the deduction is available until the borrower pays off the full interest amount on the loan or for a maximum period of 8 years, whichever is earlier.

Q7. Why do banks require an insurance policy?

Ans. Banks usually prefer that students avail a life insurance policy equivalent to, or more than, the loan amount. The policy acts as a security feature and forms a part of the collateral. In case of the untimely demise of the borrower, the bank recovers the outstanding loan amount from the student’s life insurance policy and the remaining amount, if any, is paid out to the beneficiary of the policy.

Q8. Is any incentive available for a girl student applying for education loan?

Ans. Banks generally provide a 0.5% concession on the applicable education loan interest rate to girl students pursuing higher education in India and abroad.

Q9. Are there any special privileges for students of SC/ST category who avail education loans?

Ans. Yes, eligibility criteria and loan margins on education loan are relaxed for Scheduled Caste/Scheduled Tribe students availing education loans in India. The eligibility criteria are lowered from first/second class to pass class for SC/ST category students seeking education loan for graduate and postgraduate studies, while, margin money is sometimes lowered than the regular percentage or nil.

Q10. Where can I avail on Andhra Bank education loan?
Ans. The loan is available from all branches in metro/urban areas as well as those having personal banking divisions.

 

Disclaimer: If you have found any inappropriate or wrong information/data on the site, inform us by emailing us at mail[@]edufever.com for rectification/deletion/updating of the same.

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