Made it to a One year MBA in India and wondering on how to manage the fee? Or are you sitting on the sidelines, dissuaded from applying by the substantial fees for One year MBA programmes in India? Worry not. You would be glad to know that most banks in India offer loans at special discounted interest rates for candidates accepted to One year full time MBA courses at premier business schools in India. Best of all, the loans are collateral free, so you can kiss goodbye to the hassles of offering security and finding a guarantor. This series will cover loan options for select business schools in each article. In the first article we are covering loan options for applicants to Indian Institute of Management, Bangalore.
Shared below are select loan options from banks that IIM Bangalore has ongoing agreements with for financing the education of students selected to its One year full time MBA (EPGP). A host of other banks also have standard loan policies for One year MBA students – we will cover these in the subsequent articles.
Avanse Financial Services Pvt. Ltd.
| No | Parameter | Details |
|
| – Higher Loan Amount. – Unsecured Loan without any Collateral Security. – 100% Loan Amount without Margin Money. – Competitive & Transparent Rate of Interest Calculation. – Simple and Hassle free process and minimal documents. | |
| 1. | Eligibility | Indian Nationals /Indian Passport Holders/NRI Working in India with OCI card. |
| 2. | Loan Available for expenses(Cost Cover) | Admission Fees/Tuition Fees/Hostel Fees/Travelling Expense/Insurance Premium/Books & Laptop/Library, Laboratory Fees/Project Cost/Initial Fees Paid for acceptance of admission &International Immersion. |
| 3. | Amount | Complete Cost of Education up to ₹ 25,00,000 (Twenty five Lakhs). |
| Security Eligibility | Unsecured Loan for IIMB | |
| 4. | Rate of Interest /EMI | Floating in Nature. |
| 5. | EMI/ROI Per Lakh for | 10 Years ₹1,450 8 Years ₹1,640 5 Years ₹2,238 Rate of Interest is floating in Nature12.25% |
| 6. | Margin | No Margin Money or, Zero Margin money . |
| 7. | Repayment Period | Flexible from 12 Months to 120 Months. |
| 8. | Repayment Type | – Simple Interest Payment – Monthly EMI Payment – Step Up EMI Payment |
| 9. | Income -Father/Mother/Brother/Sister/Spouse/Paternal & Maternal Uncle. | |
| 10. | Moratorium | Course Period Plus 6-9 Months [Interest to be serviced during Moratorium] |
| 11. | Disbursement | Directly to IIMB fees, livening Expenses to Student/Applicant |
| 12. | Processing Charges | ₹5,000 + Taxes one time |
| 13. | Penal Interest | As per the Company Policy, charges prevailing during that time. http://www.avanse.com/resources/service-charges-fees/Pre -Payment for two instances waived off for IIMB. |
| 14. | Other Terms & Conditions | All the Locations which are Serviced by AVANSE and DHFLInsurance Policy AVANSE Protect is a mandatory for all unsecured Loans.Loan Processing within 7 working Days if all parties to loan in same City. |
| 15. | Documents | Applicant CV & Educational documents.Applicant & Co Applicant KYC documents.Applicant & Co Applicant Financial Documents |
| 16. | Processing and Contact Details | – Bangalore: Mr. Krupa Kumar Email: krupa.kumar@avanse.com Mobile: +91 9611564023, Phone: +91 80 25705881 – Mumbai: Mr. Manikandan Chettiar Email: Manikandan.Chettiar@avanse.com Mobile: +91 9167604062, Phone: 022 – 71112241 – New Delhi: Mr. Bhupender Kumar: Email: Bhupender.Kumar@avanse.com Mobile: +91 9711996292Corporate and Registered Office Address Avanse Financial Services Pvt. Ltd Gr. Floor, Madhava Building, Bandra Kurla Complex, Near Family Court, Bandra – East, Mumbai – 400 051 |Tel: +91 22 7111 2233 | Fax: +91 22 7111 2234 E-mail: response@avanse.com Call Toll Free – 1800-222-301 | SMS AVANSE to 56677 |
IDBI BANK LTD
| Facility Purpose | To the students of Indian Institute of Management, Bangalore, by extending special interest rates and relaxation in security, granted to students who are Indian National |
| Facility Type | The Special Scheme is applicable for the students studying in IIMB (Full time one year and two-year programs only) |
| Loan Amount Range | Need based finance subject to repaying capacity of the parents/students with margin and the following ceilings: In case of full time courses (including non Executive programs) offered by Indian Institute Of Management (IIMB) loan amount may be extended up to Rs.20 lakhs based on the repayment capability of the students. |
| Loan Margin | Up to Rs 4Lakh – NilAbove Rs 4Lakh Studies in India – 5% of the total cost of the course -Scholarship/assistantship to be included in margin. -Margin may be brought-in on year to year basis as and when disbursements are made on a pro-rata basis. |
| Security | Up to Rs 4 Lakh: NilAbove Rs 4Lakhs up to Rs 10.00 Lakhs: Third Party GuarantyAbove Rs 10 Lakhs: Collateral SecurityAs a special case waiver of both third party guarantee as well as tangible collateral security irrespective of loan amount in case of IIMB may be considered on case to case basis subject to condition of full filling the Bank’s extent guidelines |
| ROI | Interest to be offered to the students of IIMB is Base Rate i.e currently 10.25% w.e.f February 01, 2013. |
| Processing Fees | Nil |
| Repayment Terms | Repayment holiday / moratorium: The installments and interest cannot be recovered during the course period + 1 year or 6 months after getting a job, whichever is earlierFor loans up to Rs 7.5 Lakhs : up to 10 years For loans above Rs 7.5 Lakhs : Up to 15years |
| Contact Person | Mr Hemanth Kumar |
| Mobile | + 91 80 40607000/25635830 |
| Address | IDBI Bank Ltd #412, 1st Floor, Jindal Centre, 180ft Road, Koramangala, 4th Block, Bangalore- 560034 |
STATE BANK OF INDIA
To assist you in realizing your dream career, we have promoted a special education loan product – ‘SBI SCHOLAR’ exclusively for the students of IIM Bangalore. As per the scheme, we have the pleasure to extend our in-principle sanction for an education loan up to a maximum of Rs.20,00,000/-. You can utilize this limit by adhering to the following terms and conditions.
| Expenses covered | The following expenses are covered:
|
| Loan Amount | Maximum of Rs.20.00 lacs depending on the fees structure advised by IIM, Bangalore. |
| Contribution (Margin) | Just 5% margin |
| Rate of Interest |
|
| Repayment |
|
| Processing Fees | NIL |
| Savings Bank a/c | Savings Bank a/c will be opened zero balance with ATM Card and Cheque book will be issued. |
Other requirements
a) Please fill up the following enclosed forms:
– Loan application form – by Applicant & Parent / Guardian
– Assets & Liabilities form – by Applicant & Parent / Guardian, individually.
– Savings Bank A/c opening form – by Applicant.
b) Anywhere and at any time you can avail our branch network / ATM with attractive Youth Card (ATM-cum-Debit Card for young), Mobile Banking facility, Internet Banking facility / SBI Life Insurance.
c) At the end of academic terms, you can opt for transferring your Savings Bank Account and Education Loan to any of our Branches in India, which is convenient to you or alternatively the accounts can be retained at this Branch.
d) Your parent/guardian is requested to sign the loan documents or required to provide security for the loan amount. For this purpose, if it is not feasible for them to visit Bangalore, alternate arrangements will be made for execution of documents at the convenient branch of your choice.
e) Loan will be released subject to CIBIL clearance in respect of borrower / parent / guardian.
f) Loan will be sanctioned subject to the SBI Life Insurance – “Rinn Raksha” with a nominal premium
2. The KYC documents required at the time of execution of documents for disbursement of loan are as under:
| Particulars of Documents required Passport Size Photographs | From Applicant Yes, required 3 nos | From Parent/Guardian Yes, required 1 no | |
| Photo ID proof | Passport/ Pan Card/ Driving License | Yes, required | Yes, required |
| Address proof | Driving License/ Passport/ Electricity Bill/ Phone Bill | Yes, required | Yes, required |
| Bank Account & Copy of IT Returns | Yes, if available | Yes, required |
(All the above documents’ attested copies required)
If you need any other clarifications, you can contact:
– Mr. Ganesh D Naik, Customer Relationship Officer 9845957933.
– Mr. Dhanjay – Manager (PB) 9448993362.
– Mr. Harish, Chief Manager 9449866603.
PLEASE NOTE: Information concerning any of the above rates of interest and other loan conditions subject to change.
CREDILA’S EDUCATION LOAN for IIMB EPGP
| Max Loan Amount Allowed | Total cost of education as per the IIMB offer letter |
| Interest Rate | 11.75% (floating) |
| Repayment Period | Upto 10 years (including moratorium) |
| Moratorium | 18 months from the commencement of the programme or placement or whichever is earlier |
| EMI option | Standard |
| Co-borrower | Parents, Siblings or Spouse can stand as Co-borrowers |
| Collateral | NA |
| Pre payment Charges | Nil |
| Insurance Cover | HDFC Ergo insurance on loan amount availed, Lower premiums |
| Processing Fees | Rs. 5000 + Taxes |
| Margin Money | None |
| Other Features | 1. Online access to Customer’s loan account. 2. Loan formalities completed at Customer’s home/office 3. Loan disbursed in tranches as per individual’s requirement over any period of time. 4. Income Tax Benefits under Section 80E of Income Tax Act of India. |
| Credila Bangalore Branch | |
| Contact Person | Mr. Shekhar Rao |
| Mobile | 919916520011/080 26498998Toll Free: 1800-209-3636 |
| Address | Credila Education Loans– An HDFC Ltd Company #447A, 2nd Floor, 9th Cross, 2nd Phase, J P Nagar, Bangalore-560078. |
| shekhar@credila.com or loan@credila.com | |
| Credila- Delhi Branch | |
| Contact Person | Mr. Abhay Singh |
| Mobile | 9999891796/08588000000 |
| abhays@credila.com Mr. Ashish Shankar 9958493322/8860638062 ashishs@credila.com Toll Free No. 1-800-209-3636 | |
| Bank Address | Credila Financial Services Pvt Ltd (An HDFC Ltd Company) India’s 1st dedicated Educational Loan Company Office Address: 701 A, Devika Tours, Nehru Place, New Delhi-19 Phone: D: 91 11-32311441 M: 91 9999891796 www.credila.com |
PLEASE NOTE: Information concerning any of the above rates of interest and other loan conditions subject to change so kindly confirm rates and details with individual banks before proceeding
View Comments
Very much useful information which should help students seeking admission.
Its very great information. Thanks to share such a nice details..
thanks, nice comments are always welcome too!
Thanks Srushti!