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 loans and scholarships available for select business schools in each article. In the third article in the series we cover loan options for applicants to Indian School of Business, Hyderabad and Mohali (ISB).
Shared below are select loan options from banks that ISB has ongoing agreements with for financing the education of students selected to its One year full time MBA (PGP). A host of other banks also have standard loan policies for One year MBA students – we will cover these in the subsequent articles.
ALSO READ: Financing your MBA in India – Part 1 (IIM B EPGP)
ALSO READ: Financing your MBA in India – Part 2 (IIM A PGPX)
BANK LOANS
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| Maximum loan amount | 23 Lakhs or 95% of the cost whichever is lower (inclusive of insurance cover on the loan amount) | |||
| Interest rate | The interest rate to be changed to 10.25% (Floating) | |||
| Repayment period | 10 years (Option to remit only interest during the first 2 years. Principal payment for these two years will be included and EMI calculated and to be remitted in the balance 8 years period. | |||
| Moratorium | 18 Months or soon after placement, whichever is earlier | |||
| EMI Option | Option-1: Standard Option-2: Remittance of only interest during the first two years and balance interest and principal to be adjusted and collected within the remaining period. | |||
| Security | 1) Co-applicant OR 2) Personal Guarantor (preferably parent or spouse) Acceptable by the bank | |||
| Payment of Interest | Will be collected as a part of the EMI after the moratorium, whenever the repayment commences. | |||
| Pre-payment Charges | NIL | |||
| Insurance Cover | On the loan amount availed (Required) | |||
| Contact point |
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| Loan Application | Document Required |
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| Maximum loan amount | 95% of the total course fees |
| Interest rate | 11.50% (floating rate i.e, linked to base rate) |
| Repayment period | 15 years |
| Moratorium | Course period plus one year or 6 months after securing a job, whichever is earlier |
| EMI Option | Standard |
| Security | Loans upto Rs. 7.5 lakhs – No security Loans above Rs. 7.5 lakhs – Acceptable security covering at least 100% of the loan amount. |
| Payment of Interest | To be paid during the moratorium period |
| Pre-payment Charges | Nil |
| Insurance Cover | On the loan amount availed. Insurance amount can be included in the loan amount. |
| Contact point | Sales Manager (Hyderabad location) – Mr. Sumanth Kumar M : 9866135000 e-mail id : pasumarthi.kumar@axisbank.com |
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| Maximum loan amount | 25 lacs without security upto full cost of attendance with security |
| Margin Money Required (Yes/No) | No |
| Repayment Period | 120 months |
| Moratorium period | 12 months course + 6 months grace period ( Simple Interest to be paid during moratorium) |
| Rate of Interest | 11.95% for Unsecured loans (floating) 11.75% for Secured loans (floating) |
| EMI Option | 1. Standard 2. Step-Up EMI |
| Processing Fee Amount | 3990 + tax |
| Insurance Cover | Required |
| Security | 1. Co-applicant 2. Collateral to be property or FD, if applicable |
| Pre-payment Charges | waived after 1yr of disbursement |
| Contact Point | Venkata Rao, Manager Sales Contact No: 08142400094 Email id: venkatarao.pallanti@avanse.com Office Address: 3rd Floor, G S Plaza, Road No 1, Banjara Hills, Opp to Karachi Bakers, Hyderabad. |
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| Maximum loan amount | 20 Lakhs (inclusive of insurance cover on the loan amount) |
| Interest rate | 10.75% (Floating) and 0.50% special concession for female students |
| Repayment period | 10 years upto Rs. 7.5 Lakhs 15 Years above Rs. 7.5 Lakhs |
| Moratorium | Course period +1 Year or 6 months or soon after placement, whichever is earlier |
| EMI Option | Standard |
| Security | 1) Co-applicant OR 2) Personal Guarantor (preferably parent or spouse) Acceptable by the bank |
| Payment of Interest | Included in the EMI |
| Pre-payment Charges | NIL |
| Insurance Cover | On the loan amount availed (Required) |
| Contact point | Hyderabad: Ms. Khushboo Vaishnav Marketing Manager vaishnav.jagdishchandra@bankofindia.co.in Hyderabad.marketing@bankofindia.co.in |
| Loan Application | Checklist |
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| Application type | Online / offline application |
| Eligibility | Resident students of ISB Hyderabad / Mohali |
| Quantum of loan | Upto rs. 30 lacs |
| Rate of interest | 10.20% (base rate) |
| Processing fee | NIL |
| Margin | For loans above rs. 4 lacs :- 5% |
| Security | 1. assignment of future income of the student 2. Parent / guardian has to join as co- borrower |
| Repayment tenure | 10 years – for loans upto rs. 7.50 lacs15 years – for loans above rs. 7.50 lacs to rs. 30 lacs |
| Maximum processing time | 48 hours |
| Contact point | Canara Bank, MadhapurPlot no: 20 & 21, Behind Bata Showroom Megha hills, Madhapur, Hyderabad 500081. Phone: 040-23110210 Mobile: 7382932209, 9885547310. |
| Documents | Canara Loan Application | Checklist |
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| Maximum loan amount | 25 Lakhs (Above 25 lakhs with suitable collateral) |
| Interest rate | 11.95% (floating) with full moratorium during course 11.75% (floating) with interest repayment during course |
| Repayment period | 10 years |
| EMI Option | Standard |
| Moratorium | 18 Months from the commencement of the programme or placement whichever is earlier |
| Security | Co-borrower is required as Father, Mother, Brother, Sister, Spouse, Brother-in-LawPaternal Uncle as acceptable by Credila |
| Collateral | None up to 25 Lakhs |
| Pre-payment Charges | None after 2 years from the first date of disbursement |
| Insurance Cover | On the loan amount availed (Required) from HDFC Ergo General Insurance. |
| Processing Fees | Rs.5000/- Flat Inclusive of Taxes |
| Contact point | Vicky Francis Mob: 9823736643 vickyf@credila.com Landline: 0253 3249276 Toll Free: 1-800-209-3636, or loan@credila.com http://messenger.providesupport.com/messenger/credila.html |
| Loan Application Form |
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| Maximum loan amount | 25 Lakhs or 95% of the cost whichever is lower (inclusive of insurance cover on the loan amount) | |
| Interest rate | 10.25 % (Floating) | |
| Repayment period | 10 years for loans up to INR 7.50 lakhs / 15 years for loans above INR 7.5 lakhs | |
| Moratorium | 18 Months or soon after placement, whichever is earlier | |
| EMI | Standard | |
| Security | 1) Co-applicant (Parents / Spouse / Parents-in-law) OR 2) Personal Guarantor (preferably parent or spouse) Acceptable by the bank | |
| Payment of Interest | Will be collected as a part of the EMI. | |
| Pre-payment Charges | NIL | |
| Insurance Cover | On the loan amount availed (Required) | |
| Contact point | HyderabadMrs. Rekha Rao (Mob: 9000512346); Mr. Bhaskara Ram (9959975029) Address: Madhapur Branch, 1/98/2/11/13, Ground Floor, Shrishti Towers, Arunodaya Colony, Madhapur, Hyderabad 500 081 Ph: 040 2310 0400 / 2311 0989 FAX: 040 23110988 E-mail: bm1105@obc.co.in | Mohali:Mr. Sohan Sharma, Branch Incumbent ,B/O Phase 1,Mohali Ph: 08725030249Ms. Surabhi Arora, Manager-Marketing ,Regional Office Chandigarh Ph: 08054826860 Mr. S.B. Negi, Mob. 9417750668 |
| Insurance Cover | On the loan amount availed (Required) | |
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| Maximum loan amount | 25 Lakhs or 95% of the cost whichever is lower (inclusive of insurance cover on the loan amount) |
| Interest rate | 10.25% floating |
| Repayment period | 10 years for loans up to INR 7.50 lakhs / 15 years for loans above INR 7.5 lakhsEMI calculation @ Standard as well as Ballooning/Step-up method. |
| Moratorium | Course period +1 Year or 6 months or soon after placement, whichever is earlier |
| Security | 1) Co-applicant OR 2) Personal Guarantor (preferably parent or spouse) Acceptable by the bank |
| Payment of Interest | Will be collected as a part of the EMI after the moratorium |
| Pre-payment Charges | NIL |
| Insurance Cover | On the loan amount availed (Required) |
| Contact point | Gaurav Kumar – +91-8008705187 Sandip Deo – +91-9618944411 Asst, Managers, Marketing Union Loan Point, Saifabad Branch, Hyderabad 500 004 Ph: 040 23420624;T Jagan Rao Chief Manager, Union Loan Point Branch, at Saifabad, Hyderabad Ph: 040-23420623; 9959988133 E-mail: ulphyderabad@unionbankofindia.com |
| Loan Application Form | Check-list Highlights of the scheme | Credit Info sheet |
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| Maximum loan amount | Maximum up to 20.00 lakhs (inclusive of insurance cover on the loan amount) |
| Interest rate | 11.75% (fixed rate) |
| Repayment period | 7 years |
| Moratorium | 18 Months or soon after placement, whichever is earlier |
| EMI | Standard |
| Security | 1) Co-applicant OR 2) Personal Guarantor (preferably parent or spouse) Acceptable by the bank |
| Payment of Interest | Will be collected as a part of the EMI after the moratorium, whenever the repayment commences. |
| Pre-payment Charges | NIL |
| Insurance Cover | On the loan amount availed (Required) |
| Contact Details | 1) RACPC –Hyderabad: Contact No. 040-23220940,8885164916 (Mr. Shaswata Das, Asst. Manager) Email : hydracpc@vijayabank.co.in 2) Basheerbagh Branch: Contact No. 040-23211427Email : hyd.basheerbagh4068@vijayabank.co.in 3) Kukatpally Branch: Contact No. 040- 23893086 Email : hyd.kukatpally4083@vijayabank.co.in |
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| Maximum loan amount | 20 Lakhs without Collateral Up to 30 Lakhs with Collateral | |
| Interest rate | 10.25% floating | |
| Repayment period | 12 Years | |
| Moratorium | 18 Months or soon after placement, whichever is earlier | |
| Security | Up to INR 20 lakhs – no guarantee or collateral needed Above INR 20 lakhs – Tangible collateral (as acceptable by the bank) required. | |
| Payment of Interest | Will be collected as a part of the EMI after the moratorium | |
| Pre-payment Charges | NIL | |
| Insurance Cover | On the loan amount availed (Required) | |
| Contact point | Key Branches for Loan ProcessingHyderabadChief Manager State Bank of India, HUC Branch, Gachibowli, Hyderabad Ph: 040 23011301; Mob: 99490 31301 Relationship Manager – 9177866933 Manager(PBD) – 8790733229 Email: sbi.05916@sbi.co.inV.vidyasagar-8790511771 Reetagupta- 9177866933 Ramana – 9666681076 Biswaranjan sahu- 9701295552, T surendranath-9704234502Email :sbi.11081@sbi.co.in,sbi.11076@sbi.co.in,sbi.10102@sbi.co.in | MohaliSuresh Shrama Chief Manager Mohali Mob: 9888866626 e-mail sbi.01828@sbi.co.in |
| Loan Application FormCheck List & FAQsAffidavit (Borrower);Affidavit (Guarantor)Assets/Liabilities reportPre-sanction report Application Process | ||
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| Maximum loan amount | 22.5 Lakhs |
| Interest rate | 10.20%(Floating) |
| Repayment period | Up to 10 years (including moratorium) |
| EMI Option | Option-1: Standard Option-2: Ballooning EMI of Fixed INR 20,833 for first three years and balance interest/principal to be adjusted and collected within the remaining period. |
| Moratorium | 18 Months from the commencement of the programme or placement whichever is earlier. |
| Security | Co-borrower is required as Father, Mother, Brother, Sister, Spouse |
| Collateral | None up to 22.5 Lakhs |
| Pre-payment Charges | NIL |
| Insurance Cover | On the loan amount availed (Required) |
| Processing Fees | NIL |
| Contact point | K.V.S. Subrahmanyam Chief Manager, Indian Bank Plot # 12 – 15, Cyber Apartments Indira Nagar, Gachibowli, Hyderabad 500 032 Ph: 040-2300 2820, 0889 Mob: 98481 72875 Email: gachibowli@indianbank.co.in |
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| Maximum loan amount | 20 Lakhs or 95% of the cost whichever is lower (inclusive of insurance cover on the loan amount) |
| Interest rate | FLOATING RATE OF INTEREST 10.25% (concession of 50 BPS for female students) |
| Repayment period | 10 years |
| Moratorium | 18 Months or soon after placement, whichever is earlier |
| Security |
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| Payment of Interest | Will be collected as a part of the EMI after the moratorium |
| Pre-payment Charges | NIL |
| Insurance Cover | On the loan amount availed (Required) |
| Contact point | P.Naveen Kumar, Relationship Manager IDBI Bank Ltd, Gachibowli Branch Branch Address – Plot num – 81, Diamond park, Vinayakanagar colony, Gachibowli stadium road Gachibowli, Hyderabad – 500032 Mob: 09247710547 |
| Loan Application Form | Check-list |
SCHOLARSHIPS
Scholarships are both need and merit based. Recipients are selected on the basis of exceptional academic and professional performance, as well as personal qualities such as leadership and community service.
As an admitted student to ISB, you will be automatically considered for these awards and will be notified of any decision at the time of admission. This year, the ISB will award scholarships of either INR 5,00,000 or INR 10,00,000 to 110 deserving candidates.
Additionally, the ISB also partners with several corporates to provide scholarships during the course of the academic year. Citibank and Novartis Group offer scholarships up to INR 6,00,000. Application criteria and selection procedures vary for each of these.
India Global Scholarship
Ten scholarships will be offered to applicants from ten different international geographic areas.
Details of the scholarship:
School, Company and external scholarships
Below is a summary of the School, Company and external scholarships that are available to students.
| NAME OF SCHOLARSHIP | AMOUNT | NO. | CRITERIA | SELECTION PROCESS | APPLICATION DATES |
|---|---|---|---|---|---|
| ISB Tuition Waiver (Merit)ISB Tuition Waiver (Need) | INR 5 – 10 LakhsINR 5 Lakhs | 50 to 6040 to 50 | Merit based. All those who meet the merit criteria as decided by the Admissions Committee will receive it.Need based. Applicants with a total family (including applicant’s) income of less than INR 10 lakhs of CTC per annum will be considered. | No need for submitting any application. Based on merit in selection and will be announced along with the offer.Application available online as a part of the admission application. Will be announced along with the offer. | NA15 Sep / 30 Nov |
| AIESEC-ISB Scholarship | INR 5 Lakhs | 3 | Merit based. Only AISEC alumni are eligible | Application, shortlist and personal interview | May-June |
| PGPMAX Class of 2012 Scholarship | INR 4,00,000 | 1 | Applicable for PGP 2014 -15.Need based. Only those with a family income of < INR 10 lakhs per annum will be eligible. | Application, Shortlist and Personal Interview | May, 2014 |
| Societe Genarale | Full Tuition | 2 | Need based. Only those with a family income of < INR 5 lakhs per annum will be eligible. | Application, Shortlist and Personal Interview | May |
| Alumni Endowment fund Diversity scholarship | 4 lakhs | 1 | Need based. Only those with a CTC < INR 10 lakhs per annum will be eligible. Open to students from the following sectors and academic background: Humanities Literature Medical/Health Care Architecture Advertising /Media /Entertainment Economics | Application, Shortlist and Personal Interview | Admission deadlines |
| Class of 2011 Scholarship | 4 lakhs | 1 | Need and Merit based. Only those with a family income of < INR 10 lakhs per annum will be eligible. | Application, Shortlist and Personal Interview | May |
| Novartis | INR 4,00,000 | 3 | Merit and need based.** | Eligible profiles to be forwarded by the Admissions Office to Novartis and they will in turn choose the candidates. No interview involved. | Not applicable |
| The Phoenix Fund – Nurture India Scholarship | INR 500,000 | 1 | Need Based – Awarded along with the Admission Offer | Granted to an admitted applicant who is the sole bread earner of his/her family and has dependant parent /siblings without any or little income. | Not applicable |
GMAT Test Centre Scholarships
| NAME OF SCHOLARSHIP | AMOUNT | NO. | CRITERIA | SELECTION PROCESS | APPLICATION DATES |
|---|---|---|---|---|---|
| Manhattan Review Scholarship | INR 1,00,000 | 5 | GMAT Student of Manhattan Review | Applications need to be made to Manhattan in Hyderabad /Bangalore along with a copy of the formal ISB offer, Manhattan Review Receipt and the ISB ID card. | Not Applicable |
| MANYA – ISB Scholarships | INR 1,00,000 INR 50,000 | 1 1 | GMAT Student of MEPL | Applications need to be made to MEPL along with a copy of the formal ISB offer, Fee Receipt and the ISB ID card. | Not Applicable |
| Jamboree India-Talent Promotion Award | INR 1,00,000 | 1 to 5 | Need and merit based – awarded to students of Jamboree Education Pvt Ltd | A formal application with proof of income (ITR receipts of applicant and applicant’s and Jamboree India receipt, followed by a shortlisting / selection process | Along with admission application |
International Scholarships
| NAME OF SCHOLARSHIP | AMOUNT | NO. | CRITERIA | SELECTION PROCESS | APPLICATION DATES |
|---|---|---|---|---|---|
| ISB – AIESEC Scholarship | INR 1 million | 2 | Non-Indian passport holders. Should be an Alumni of AIESEC. (Applicants of Indian origin are not eligible) | Overall merit and an essay followed by short-listing/selection process.Essay topic for this scholarship is available in the application, to apply, please login here | To be submitted along with admission application |
| India Global Scholarship | INR 0.5 million to 1 million | 10 | Non-Indian passport holders. (Applicants of Indian origin are not eligible) | Overall merit and Essay | To be submitted along with admission application |
| Bridge to India Scholarship | INR 0.5 to 1 million | 3 | Non-Indian passport holders of Indian origin (by birth, parentage or origin). Other criteria as decided by admissions committee. | Overall merit and essay | To be submitted along with admission application |
| ISB Geographic Scholarship | INR 0.3 to 1.5 million | 10 | Specific to North America, Latin America, Western Europe, Eastern Europe, China, South East Asia, Far East Asia, Australia, SAARC countries and Africa. Non-Indian passport holders. (Applicants of Indian origin are not eligible) | Merit and Essay | To be submitted along with admission application |
| La Caixa and Casa Asia Scholarship | Total expenditure | three to five | Applicant must be a Spanish Citizen and should have studied in any of the faculties or higher education institution of a Spanish University.The Bachelor’s degree must not be less than 4 years and should be in Management / Business Administration, Engineering or Architecture. | Click here | To be submitted by August 31, 2012 |
| Talentia Scholarship | Total expenditure | Varies every year | Non-Indian passport holders. Alumni of AIESEC. Merit based. (Applicants of Indian origin are not eligible) | Applicants should be of Andalusian origin in Spain and as decided by Becas Talentia. The awarded student should agree to continue further career for four years with Andalusia within 24 months from completing the ISB PGP. | As prescribed by Sociedad Para El Impulso Del Talento, Talentia S.L.U Click here |
| IBF Scholarship | 70% of the cost | Varies every year | Applicants for this scholarship must be supported and nominated by their respective companies, and the grant will then be disbursed to the company in support of its efforts to develop the company’s staff. Do note that successful applicants are bonded to work with for their respective companies for two years upon graduation and must undertake work related to the market where they have studied.The candidates are required to:• Be Singapore citizens • Have outstanding academic records • Have good Graduate Management Test (GMAT) score. • Have at least 3 years of working experience • Demonstrate strong leadership qualities through active participation in social or community service. | As prescribed by International Enterprise (IE), Singapore | To be submitted by October 30. |
| Top Asia Business School(TABS) Scholarship | 15000 USD from ISB | 1 | Attendees of any of the TABS pre-fair panels in the fall WMBA Tour are eligible to apply. | Those who are admitted into the MBA program offered by one of the schools, will be automatically considered for this scholarship. | Each school will select one top admitted candidate from this group to be awarded with a merit-based scholarship worth USD 15,000 |
The ISB has introduced a tuition scholarship for international passport holders for the Post Graduate Programme in Management, Class of April 2010-2011. Scholarships ranging from USD 6,000 – USD 20,000 (the total cost of the programme is USD 42,255) will be awarded. A total of ten scholarships have been instituted. Candidates demonstrating merit, professionalism, and a valid reason for choosing India as a destination for education will be awarded with these scholarships. This scholarship is exclusively for applicants of non-Indian origin.
In addition to this, ISB has also instituted an ISB-AIESEC Scholarship, which includes two scholarships of 10,00,000 INR for AIESEC alumni. These scholarships will be based on merit and need for international AIESEC alumni of non Indian origin.
The scholarship and application deadline is January, 2012. Applications for scholarships will be reviewed and awarded by February, 2012. These scholarships are exclusively for applicants of non-Indian origin.
(* To be decided by the selection committee)
** Application process and interview(s) by the donor.
Cover image credit & copyright – Jeffrey Ahlquist