Punjab National Bank Education Loan

Different Education Loan Schemes

Given below are a variety of education loan schemes offered by PNB to meet the diverse academic and financial needs of students who wants to pursue higher education in India and abroad: 

1. PNB Saraswati

Objective:

• Provide financial aid for deserving students in India pursuing higher education.
• Admission to institutes with approved courses recognised by the UGC/Government/AICTE/AIBMS/ICMR, etc.
• Includes programs at prestigious institutions like IIMs, IITs, IISc, XLRI, NIFT, NID, and others.
• Covers regular Degree or Diploma courses and approved courses by foreign universities in India.

Purpose:

Cover education-related expenses such as tuition fees, hostel fees, books, equipment, computer costs, deposits, insurance, and other course-related expenses. 

Eligibility:

• Must be a resident Indian.
• Admission to a higher education course in recognised institutions in India through an Entrance Test or Merit-based Selection process.
• Cases of Management Quota may be considered based on merit basis.

Quantum of Finance:

• Finance based on individual needs, subject to margin requirements.
• Reimbursement of fees paid within six months may be allowed.

Margin:

• Up to Rs. 4 lakhs: Nil.
• Above Rs. 4 lakhs: 5%.
  

Security:

• Up to Rs. 7.50 lakh: Parent(s) or guardian to be joint borrower(s), with no tangible security or third-party guarantee.
• Above Rs. 7.50 lakh: Parent(s) or guardian to be joint borrower(s), with tangible collateral security.

Repayment (Maximum):

• Maximum up to 15 years.

Repayment Holiday or Moratorium:

• Course period + one year.

2. PNB Pratibha

Objective:

• Attract students admitted to the country's best institutes to apply for bank loans. Eligible institutions include business schools, engineering colleges, medical schools, and other respectable institutions.

Purpose:

Covers college, school, and hostel fees, examination, library, and laboratory charges, insurance premium, and refundable deposits. It also includes costs for books, equipment, uniforms, computer, study materials, personal expenses, and other course-related needs like projects and study tours.

Eligibility:

Resident Indian students admitted to regular full-time degree/diploma or PG courses in listed premier institutes are eligible. Part-time executive and certificate programs at IIMs, ISB, XLRI, and NIBM Pune are also covered.

Quantum of Finance:

• Need-based finance, subject to the repaying capacity of parents or students.
• Consideration for studies in India with the applicable ceiling for collateral-free loan amount.
• Fees paid within six months are reimbursed based on individual merits.

Margin:

• Scholarship or Assistantship included in margin.
• Margin brought in on a year-to-year basis as and when disbursements are made on a pro-rata basis.

Security:

• Co-obligation of parents or guardians as joint co-borrowers.

Repayment (Maximum):

• Maximum up to 15 years.

Repayment Holiday or Moratorium:

• Course period + one year.

3. PNB Udaan

Objective:

Provides financial support to meritorious students for pursuing higher education abroad. It covers job-oriented undergraduate and postgraduate courses, professional programs like MBA, MCA, MS, and recognized courses such as CIMA, CPA, aeronautical, pilot training, and shipping. 

Purpose:

Covers tuition, hostel, exam, library, lab fees, insurance, deposits, books, equipment, computer, and other study-related and personal expenses. Diploma and certificate courses abroad are also eligible if the course is recognized and properly secured. 

Eligibility:

• Resident Indian.
• Secured admission to a higher education course in recognised institutions abroad through an Entrance Test or Merit-Based Selection process after completing HSC (10 plus 2 or Equivalent).

Quantum of Finance:

• Need-based finance, subject to margin as per guidelines.
• Reimbursement of fees paid within six months may be considered on individual merits.

Margin:

• Up to Rs. 4 lakhs: NIL
• Above Rs. 4 lakhs: 15%
• Scholarship or assistantship to be included in the margin.
• Margin may be brought in on a year-to-year basis as and when disbursements are made on a pro-rata basis.

Security:

• Up to Rs. 7.50 lakh: Parent(s) or guardian to be joint borrower(s), with no tangible security or third-party guarantee.
• Above Rs. 7.50 lakh: Parent(s) or guardian to be joint borrowers, with tangible collateral security of suitable value acceptable to the bank.

Repayment (Maximum):

• Maximum up to 15 years.

Repayment Holiday or Moratorium:

• Course period + one year.

4.PNB Kaushal

Objective:

• The PNB Kaushal Scheme aims to offer financial assistance for pursuing skill development courses.

Purpose:

Covers tuition/course fees, examination, library and laboratory charges, caution deposit, books, equipment, instruments, and other necessary expenses for completing the course. 

Eligibility:

Indian nationals who have secured admission in eligible skill training courses under NSQF or non-NSQF programs through MSDE’s Skill India Digital Hub (SIDH) platform are eligible for a skilling loan after completing required loan documentation. 

Quantum of Finance:

• Need-based finance to meet expenses on the course, subject to the following ceilings:
• Minimum: Rs. 5,000
• Maximum: Rs.7.50 lakh

Margin:

NIL up to Rs.4 lakh and 5% above Rs.4 lakh, includin scholarships/assistantships. It may be paid year-wise on a pro-rata basis. 

Security:

• Parent(s) or guardian as a joint borrower. No collateral or third-party guarantee is required.

Repayment (Maximum):

• For loans up to Rs. 50,000: Up to 3 years.
• For loans between Rs. 50,000 to Rs. 1 lakh: Up to 5 years.
• For loans above Rs. 1 lakh: Up to 7 years.

Repayment Holiday or Moratorium:

• For courses of up to one year: six months from the course's completion.
• For courses of duration above one year: 12 months from the completion of the course.

5. PNB Honhaar

Objective:

• The scheme's goal is to offer financial assistance for pursuing higher education in Delhi.

Purpose:

Covers tuition, hostel, examination, library and laboratory fees, insurance, deposits, books, equipment, uniforms, computer, and other course-related expenses like projects and study tours. Scholarships and fee waivers, if any, are adjusted while calculating the loan amount and credited to the loan account when received.

Eligibility:

Indian nationals who have completed Class X and XII from Delhi and are admitted to diploma, degree, or skill development courses in recognized Delhi institutions through entrance or merit are eligible under this scheme.

Quantum of Finance:

• Need-based finance to meet course expenses, subject to a maximum of Rs. 10.00 lakh.

Margin:

• Nil

Security:

• Parent(s) or guardian as a joint borrower. No tangible security and/or 3rd party guarantee is required.

Repayment (Maximum):

• Maximum 15 years.

Repayment Holiday or Moratorium:

• Course period + one year.

6. PNB PM Cares Education Loan Scheme

Objective:

• Provide complete care and protection for orphaned children due to COVID-19, including health insurance, education, and financial support for self-sufficiency by age 23.

Period:

• Eligible children can enrol from 29 May 2021 to 31 December 2021 for benefits under the PM CARES for Children scheme. The scheme is expected to continue until all beneficiaries turn 23 years old.

Purpose:

To assist students in obtaining education loans for professional or higher education in India. Covers tuition, hostel, examination, library and laboratory fees, insurance, deposits, books, equipment, uniforms, computer, and other course-related expenses like projects and study tours.

Eligibility:

Children who lost both parents or surviving parent/guardian due to COVID-19 (11 March 2020 to 31 December 2021) and were below 18 years at the time of death, are eligible. They must be Indian residents admitted to higher education in recognized institutions in India after 10+2 through merit or entrance, with some PG courses exempt from entrance criteria. 

Quantum of Finance:

• Need-based finance to meet expenses.

Margin:

• Up to Rs. 4 lakh: NIL
• Above Rs. 4 lakh: 5%
• Scholarship or assistantship may be considered in the margin.
• Margin may be brought in on a pro-rata basis.

Security:

• Maximum up to 15 years.

Repayment (Maximum):

• Course period + one year.

Repayment Holiday or Moratorium:

• NIL.

7. PNB Concessional Education Loan Scheme

Student Eligibility:

• The loan is accessible to any student with a disability of 40% or more, validated by a disability certificate issued by authorities authorised under relevant Statutes, notifications, or government orders from central or state or union territory governments.

Expenses considered for Loan:

• The loan covers the cost of a 2-wheeler up to Rs. 50,000, within the overall loan amount ceiling. This is in addition to the expenses covered under existing education loan schemes.

Quantum of Finance:

• Need-based finance to meet expenses (considering the prescribed Margin) with the following ceilings:
• Studies in India: Maximum Rs. 50 lakh.
• Studies abroad: Maximum Rs. 50 lakh.

Repayment Period:

• The maximum repayment period conforms to NHFDC scheme guidelines, i.e., ten years after the commencement of repayment. Repayment begins one year after course completion.
• Loans exceeding the specified ceiling are not eligible for refinancing under the mentioned scheme.

How to Apply for Punjab National Bank Education Loan

The step-by-step procedure to apply for an education loan is mentioned below:

Step 1: Visit the official website of Punjab National Bank.

Step 2: Click on 'Retail' from the 'Product' menu. 

Step 3: Download the application form for your desired education loan. 

Step 4: Fill out the application form after taking the print out. 

Step 5: Visit your nearest PNB branch and submit it for further procedures. 

Punjab National Bank Education Loan Calculator

You can use the Education Loan Equated Monthly Instalment (EMI) calculator offered by BankBazaar to calculate the monthly payments. The calculator is easy to use and helps save time.

When you enter information such as the loan amount, tenure, interest rate, and processing charge, it will be displayed immediately. You can get details such as the principal paid, interest paid, and the outstanding balance.

Punjab National Bank Education Loan Documents Required

The documentation required for submission differ depending on the loan. The major documents that must be supplied while applying for an education loan are listed below.

• Proof of admission 

• Completed loan application form 

• Course fee and detailed cost of study 

• Academic records (10th, 12th, and other qualifications) 

• Entrance exam scorecards (GRE, GMAT, IELTS, TOEFL, etc., if applicable) 

• KYC documents (identity and address proof) 

• Co-applicant/guarantor financial documents (income proof, bank statements, etc.) 

• Collateral/security documents (if applicable)

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