Educational loans (1)

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Educational Loans
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Educational Loan
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• Government of India in consultation with Reserve
  Bank of India (RBI) and Indian Banker's
  Association (IBA) has framed a Comprehensive
  Educational Loan Scheme to ensure that no
  deserving student in the Country is deprived of
  higher education for want of finances. The new
  scheme covers all type of courses including
  professional courses in schools and colleges in
  India and abroad.

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  The Salient
features of the scheme are as under

• The scheme envisages loans up to Rs.7.5 lakh for
  studies in India and up to Rs. 15 lakh for
  studies abroad.
• For loans up to Rs. 4 lakh no collateral or
  margin is required and the interest rate is not
  to exceed the Prime Lending Rates (PLR). For
  loans above Rs. 4 lakh the interest rate will not
  exceed PLR plus 1 percent.
• The loans are to be repaid over a period of 5 to
  7 years with provision of grace period of one
  year after completion of studies

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Tax Benefit

• Repayment of an education loan is deductible
  under section 80E of the Income Tax Act. The
  yearly limit for deduction is Rs. 40,000 (for
  both the principal and the interest). Only loans
  taken for higher education - full time studies in
  any graduate or post-graduate, professional, and
  pure and applied science courses - may claim
  deduction. The deduction will be available for a
  maximum of eight years starting from the day you
  start repaying.

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• Equitable Access to quality higher educational
  loans has been a concern of the University Grants
  Commission. To this purpose the Commission,
  besides encouraging colleges and universities to
  provide for liberal financial support to the
  meritorious but needy students, has also been
  instrumental in educational loan scheme.
  The Reserve Bank of India (RBI) has issued
  guidelines in this regard to all commercial
  banks. A large number of banks have already
  launched educational loan schemes. Provided below
  are links to the respective website of individual
  banks offering such facilities.
•  

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Disclaimer

• Since the rules, regulations, eligibility
  conditions, repayments and interests rates etc
  are revised by the banks from time to time in
  keeping pace with the changing capital market
  conditions, students and parents are advised to
  thoroughly check the terms and conditions of
  educational loan scheme on offer at the time of
  application.
• Source http//www.ugc.ac.in/page/Educational-Loa
  n.aspx

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https//www.facebook.com/AvanseEducationLoan
https//www.linkedin.com/company/avanse-financial-
services
https//twitter.com/avanseeduloan
https//plus.google.com/AvanseFinancialServicesLt
dMumbai
https//www.youtube.com/channel/UCcsuUx1EH1C08XmX2
embpug
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• Read more on Educational Loans
  http//www.avanse.com/avanse-education-loans/

Thank You..!!!