Union Education Scheme-Education Loan for ISB

 

	Feature	Education Loan for ISB
1	Eligibility	Students who secure admission in Indian School of Business (ISB) at Hyderabad / Mohali campus and cohorts at Mumbai, Bengaluru, New Delhi & Hyderabad for the academic year 2024-25 for the following courses are: Post Graduate Programme in Management (PGPM) course. Post Graduate Programme in Management for working professionals (PGP-PRO) Post Graduate Programme in Management for Senior Executives (PGP-MAX) The scheme does not cover any other executive courses and short duration courses/ programmes at ISB.
2	Purpose	To meet tuition fees, cost of books, caution deposit (refundable)*, hostel charges, mess charges, desktop/laptop/tablet**, living expenses, insurance premium, student exchange programme, admission acceptance fee, etc. Note: *Student to deposit security deposit to the loan account immediately on refund from the institute. An undertaking to be obtained from the student in this respect. **Desktop/laptop/tablet cost can be reimbursed to the student if it was purchased for the purpose of study at ISB.
3	Quantum of Loan	Rs.50.00 lakh (The maximum loan amount to individual students will be arrived based on the fee structure provided by the institute. As per the scheme norms no margin is stipulated i.e., maximum 100% finance of the cost of course can be offered to students of ISBs. However, any expenses over and above maximum quantum of loan i.e. Rs.50.00 lakh to be borne by the borrower. Note: Maximum quantum mentioned above is inclusive of Rs.4.00 lakh for Student Exchange Programme for PGPM course. This can be considered initially or as and when student requires.
4	Margin	Nil
5	Rate of Interest	EBLR-1.10% i.e. 8.20% floating at present
		Rate of Interest mentioned above is applicable for both male and female students. No further concession/rebate for servicing interest during course/moratorium period is to be allowed. Servicing of interest during course/moratorium period is optional. If the loan is taken over by any other bank/FI, then normal education loan rate of interest, as applicable on the date of sanction, to be charged Ab-initio. However, no take over charges to be levied. The same to be communicated to the student in writing at the time of sanction of loan.
6	Course Duration	As per the respective courses: PGPM - 12 months PGP-PRO - 18 months PGP-MAX - 15 months
7	Reimbursement of fee	Admission acceptance fee (AAF): As per the admission procedures, the student has to remit an amount of Rs.2.50- 3.00 lakh to the institute within a short period of 10-20 days to confirm the selection. After this payment, the student approaches us for loan. In such cases, the branches are permitted for reimbursement of AAF within the overall limit. 1 st or 2 nd term fee If there is a delay in sanctioning loan by the field functionaries, and/or the borrower temporarily arranges for the funds to pay 1 st or 2 nd term fee, then the same can be reimbursed to the student, upon request.
8	Student exchange programme	‘Student Exchange’ programme for PGPM course: The Institute provides an opportunity to few selected students to go abroad on a ‘Student Exchange’ programme for a period ranging from one to two terms. The list of students going on this programme is released by the Institute during the course, and hence, the student may not know whether or not he is selected for the said programme at the time of admission and sanction of loan. The sanctioning authority can consider loan for the student exchange programme at the time of initial sanction or later when the student gets to know of the same. The expenses to be considered are fees (for 1/2 terms) payable at the foreign university / college (if any), travel expenses for passage abroad and lodging & boarding charges. The quantum of loan for student exchange will be maximum Rs.4.00 lakh. Loan to be disbursed only after obtaining proof of selection.
9	Processing charges	Nil
10	Repayment period	Maximum repayment tenure will be 15 years after course & moratorium period. Step-up repayment facility: The student can be given an option of step-up repayment schedule, as per details contained in IC 03744-2022 dated 09/12/2022.
11	Moratorium period	For PGPM: - Course period + 1 year For PGP-PRO & PGP-MAX: - Course Period (Repayment to start from the next month of completion of the course).
12	Co-Applicant/ Guarantor	Nil
13	CIC(CIBIL) Score	The minimum CIBIL Score of the applicant should be 650 & above to eligible under the scheme.
14	Security	No collateral security or third-party guarantee is required, irrespective of the loan amount.
15	Insurance	Term life insurance policy to be obtained & assigned in favour of the bank. The policy should be in the name of student, for an amount not less than the loan amount and for the tenure covering course, moratorium and repayment period. The premium of the insurance can be included in the loan amount if requested by the student. Insurance to be mandatory as there is no other security proposed available. However, student may have the option to approach any insurance company for lesser premium or branch to arrange for the same.
18	2nd educational loan	Students, who have earlier availed educational loan from our or any other bank for graduation studies, may approach us for sanction of (second) educational loan under this special scheme. As most of the students would have completed a few years of employment, they may continue to repay or may request for a repayment holiday from the bank with whom the loan is outstanding. In such cases, the guidelines are as under:  If the repayment of the first loan is yet to commence, anyone of the following to be ensured: Repayment holiday to be extended for first loan by the bank concerned. Student / Parents/Spouse to undertake repayment of loan. If the repayment of the first loan has commenced, both the following conditions are to be ensured: Account status is 'Regular' as on date of sanction of loan for ISB study. Repayment holiday to be obtained for first loan or student / parents to undertake repayment of the same. In both the above scenarios, it should be ensured that the total of outstanding balance of first loan and the limit proposed to be sanctioned under the special educational loan scheme for ISB (for academic year 2024-25) should not exceed maximum quantum of loan Rs.50.00 lakhs.
19	Take-over of education loan of ISB students	To permit the following: To permit takeover of educational loans of only those students who have availed housing loan from our bank and are in standard category (outstanding) with us. If the student is having housing loan (in standard category) with any other bank / FI, then takeover of his/her loan taken for studies at ISB be permitted if and only if he/she is willing to shift his/her housing loan also to us (even if the loans are from two different banks/FIs).
20	Other Terms & Conditions	Branches should note and feed in the system the actual date of commencement of recovery so that compounding rate of interest is charged after course / moratorium period. NRI students are not covered under the scheme. Passport details, if any and PAN details to be obtained mandatorily and to be updated in system. IT return / salary certificate / employment certificate to be obtained to assess the present earnings in case of PGP-PRO & PGP-MAX courses. All other terms & conditions as per Union Education Scheme for studies in India to be complied with.
21	Loan for 2nd term of academic year 2024-25	The loan can also be granted if the student applies for 2 nd term fee along with reimbursement of 1 st term fee (academic year 2024-25). The admission acceptance fee and laptop/tablet expenses in such cases will not be reimbursed.

EDUCATION LOAN EMI CALCULATOR

Please Click here for EMI Calculator

 

**Conditions Apply**

**Contact our nearest Branch for more details**