Bank of India Education Loan

• An earning co-borrower must co-sign the loan. 

Bank of India Education Loan Interest Rates

The interest rates for Bank of India education loans are as given below:

1. Star Education Loan 

2. Star Vidyalaxmi Scheme 

Bank of India Education Loan Schemes

Bank of India Star Education Loan

• Goal: To give Indian students term loans so they can pursue higher education both domestically and abroad 

• The maximum loan amount is 10 lakhs for studies in India and 20 lakhs for studies overseas 

• Margin: There is no margin needed for loans up to lakhs, but there is a 5% margin for studies in India and a 15% margin for studies overseas 

• Repayment Period: Following completion of the course, there is a one-year moratorium and a maximum duration of fifteen years 

• Security: If a parent or guardian is a co-borrower, there is no security required for loans up to 7.5 lakhs; after that, appropriate collateral is needed 

• Processing Fees: Rs.5000 for studies overseas and no processing fees for studies in India 

Courses Offered 

Studies in India: 

• UGC/Government/AICTE/AIBMS/ICMR-approved graduate, postgraduate, and P.G. degree programs offered by accredited schools and universities 

• Classes such as ICWA, CA, CFA, etc. 

• Courses offered by institutions established by the federal and state governments, including IIM, IIT, IISc, XLRI, NIFT, and NID 

• Aeronautical, pilot training, shipping, nursing, or any other discipline authorized by the Director General of Civil Aviation/Shipping/Indian Nursing Council are examples of regular degree/diploma programs. 

Studying Abroad: 

• Goal: To give Indian students term loans so they can pursue higher education both domestically and abroad 

• The maximum loan amount is 10 lakhs for studies in India and 20 lakhs for studies overseas 

• Margin: There is no margin needed for loans up to lakhs, but there is a 5% margin for studies in India and a 15% margin for studies overseas 

• Repayment Period: Following completion of the course, there is a one-year moratorium and a maximum duration of fifteen years 

• Security: If a parent or guardian is a co-borrower, there is no security required for loans up to 7.5 lakhs; after that, appropriate collateral is needed 

• Processing Fees: Rs.5000 for studies overseas and no processing fees for studies in India 

Expenses Covered 

• Payment to the college, school, or hostel 

• Exam, library, and lab fees 

• Purchase clothing, equipment, instruments, and books 

• Caution deposit, building fund, or refundable deposit backed by receipts or bills from the institution 

• Passage funds and travel costs for studying overseas 

• Purchasing computers or laptops is necessary to finish the course 

• The student's or co-borrower's life insurance premium 

• Any additional costs necessary to finish the course, such as study tours, projects, theses, etc.  

Bank of India Star Vidya Education Loan

• Goal: To offer term loans to Indian students enrolled in top Indian universities 

• Loan Amount: Up to Rs.30 lakhs 

• Margin: none 

• Repayment Period: Following completion of the course, there is a one-year moratorium and a maximum duration of fifteen years 

• Security: If the parent or guardian is a co-borrower, no security is needed 

• There are no processing fees. 

Courses Offered 

• Regular full-time studies for a degree or diploma (part-time and certificate programs are not listed) 

• Additionally, provided are full-time Executive Management courses like PGPX (For IIMs). 

Covered Expenses 

• Fees due to the college, school, residence hall, examination, and library 

• Purchasing Books, Tools, and Equipment 

• Purchasing a laptop or computer for any additional costs associated with education, etc. 

Bank of India Education Loan EMI Calculator

Follow the below steps if You have to calculate Education Loan EMI. You will have to pay by using the Calculator facility available on the official website of the Bank of India.

• Once you visit the Bank of India official website and type 'Calculator' in the search button.
• Click on 'Calculator' after that. Enter the loan amount, rate of interest, and repayment tenure.
• You will then be able to view the EMIs you will have to pay.

How to Apply for Education Loan from Bank of India?

To apply for Bank of India education loan, you must follow the steps given below:

• Visit the education loan page of the Bank of India 

• Choose the education loan program that best meets your needs, such as the BOI Star Vidya loan or the BOI Star education loan 

• Fill out the common education loan application form with accurate personal, academic, and loan amount information 

• Upload the co-applicant's ID, address, academic transcripts, and proof of income 

• Check the accuracy of your application, then submit it. obtain a response that includes an application reference number 

• To monitor the progress of your application on the portal, use the reference number. 

Bank of India Education Loan Documents Required

The following documents might be asked for during the application process:

• Admission letter 

• Completed the loan application 

• Two passport-sized photos 

• Statement of study expenses 

• The student's PAN card and the parent or guardian's 

• The student's and parent/guardian's Aadhaar card 

• Identity verification (passport, driver's licence, Aadhar, or any photo identity) 

• Evidence of residency (passport, driver's licence, electricity bill, phone bill) 

• Bank account statement for the previous six months for the student, co-borrower, and guarantor 

• Parent, guardian, or other co-borrower's IT return or IT assessment order from the preceding two years (if IT Payee) 

• A succinct list of the parent, guardian, or other co-borrower's assets and obligations 

• Evidence of income (such as Form 16 or wage slips) Parent, guardian, or additional co-borrower. 

Advantages of Bank of India Education Loan

A few advantages of applying for an educational loan with Bank of India are listed below: 

1. Interest Rates that are Competitive: One of the less expensive public-sector possibilities is Bank of India’s Star Education Loan 

2. Large Loan Amounts: You may guarantee that you have enough money for all your educational demands by securing up to INR 150 lakh for courses in India and beyond 

3. Adaptable Repayment Choices: Take advantage of a 15-year payback schedule with a 1-year moratorium that covers the course duration, giving you plenty of time to begin making payments 

4. Tax Advantages: Take advantage of the Income Tax Act's Section 80E tax deductions on all interest paid to lessen your overall financial load 

5. Easy Application Procedure: Using the PM-Vidyalaxmi/Vidya Lakshmi portal or BOI's own portal, the application process is simple and has explicit documentation requirements 

6. Subventions and Subsidies for Interest Rates: Benefit from a 3% interest subvention under PM Vidyalaxmi and interest subsidies under CSIS during the moratorium for qualified families making up to Rs. 8 LPA. 

Subsidy Schemes on Bank of India Education Loan

You can get Credit Guarantee Funds Initiative Coverage for Education Loans through the Bank of India Star Vidya initiative (CGFSEL).

The student would be covered under this subsidy scheme if the loan amount is up to Rs.7.5 lakh and fits the standards of the Indian Banks' Association (IBA) Model Education Loan Scheme for Pursuing Studies in India and Abroad.

Vidya Lakshmi Portal, which was built by Protean eGov Technologies Limited (formerly NSDL e-Governance Infrastructure Ltd), allows you to apply for this plan online.

Central Government Interest Subsidy Scheme for Education Loans

In order to support students from the Economically Weaker Sections (EWS) of society, the Ministry of Human Resource Development, Government of India, has come up with a unique interest subsidy scheme.

Here are some of the important points about the Central Government Interest Subsidy scheme for education loans.

• Education loans availed from any scheduled bank for pursuing any of the approved professional course from recognized institutes in India are eligible to avail this subsidy.
• This subsidy can only be availed by students whose parent's income from all sources does not exceed Rs.4.50 lakh per annum.
• Full interest subsidy is offered for the moratorium period which is course period plus One year or Six months after securing a job, whichever is earlier.

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EMI Payment Methods

There are three ways to repay a Bank of India education loan: 

• Standing Instruction (SI): This is the ideal method of repayment if you currently have an account with Bank of India. At the conclusion of each month, your specified Bank of India account will automatically be debited for your EMI 

• Electronic Clearing Service (ECS): If you want your EMIs to be automatically deducted from your non-Bank of India account at the end of each month, you can use this approach 

• Post-Dated Checks (PDCs): At your local Bank of India Loan Center, you can provide post-dated EMI checks from a non-Bank of India account. It will be necessary to promptly submit a new set of PDCs. Note that only non-ECS establishments will be able to pick up postdated checks. 

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