Bank of Maharashtra Education Loan

Special Features of BOM Education Loan

These are the special features of the education loan:

1. No Margin Money: This loan doesn't require any upfront margin money, making it accessible for students without an immediate financial burden. 
2. No Collateral Security (for Premier Institutions): Students enrolling in premier institutions may benefit from not needing collateral security, simplifying the application process.
3. Loan Coverage: The loan coverage encompasses a comprehensive support system for students, addressing various aspects of their educational expenses. This includes ensuring financial support for academic courses through coverage of tuition fees. Additionally, the loan provides assistance for accommodation expenses by covering hostel fees, acknowledging the importance of a conducive living environment for students.
4. ROI Concession to Girl Students: Female students receive a concession in the Rate of Interest (ROI), promoting financial inclusivity and encouraging educational opportunities for girls.
5. Instant In-Principle Sanction: The loan process includes an instant in-principle sanction, allowing students to secure approval before official registration in their chosen educational institutions.
6. Longer Repayment Period: The loan offers a repayment period of up to 15 years (excluding the moratorium period), aiming to ease the burden of Equated Monthly Installments (EMI) and providing flexibility in managing repayments.

Model Education Loan Scheme

The Model Education Loan Scheme provides financial assistance to students for pursuing studies in India and abroad. Here are the key parameters of the scheme:

1. Purpose: The loan is intended for studies in India and abroad.
2. Eligibility: The scheme covers graduation courses and colleges under universities approved by UGC. It also includes other courses leading to a diploma/degree conducted by colleges/universities approved by UGC/Government/AICTE/AIBMS/ICMR. For studies abroad, the loan is available for job-oriented professional/technical/PG courses such as MCA, MBA, MS, etc. The student should be an Indian national and have secured admission through an entrance test or merit-based selection.
3. Age: There is no specific age limit mentioned in the parameters.
4. Maximum amount: For studies in India, the maximum loan amount is Rs.10 lakh. For studies abroad, the maximum loan amount is Rs.20 lakh. However, loans for higher amounts can be considered on a merit and case-by-case basis.
5. Security: For loans up to Rs.7.5 lakh, no security is required (clean loan). Parents or guardians are joint borrowers. All eligible education loans should be covered under the Guarantee Fund Scheme for Education Loan (CGFSEL). For loans above Rs.7.5 lakh, collateral equivalent to the quantum of finance after providing the requisite margin is required. Parents or guardians are joint borrowers.
6. Margin: For loan amounts up to Rs.4 lakh, no margin is required. For loan amounts above Rs.4 lakh, a margin of 5% is required for studies in India, and a margin of 15% is required for studies abroad.
7. Rate of Interest: The rate of interest is mentioned below. Simple interest is applicable during the moratorium period, and thereafter it is compounded monthly. A 1% interest concession may be provided if the interest is serviced regularly during the study period when a repayment holiday is specified. The interest concession is available only for the moratorium period.
8. Repayment: The repayment period includes the course period plus one year. There is a uniform one-year moratorium for repayment after the completion of studies in all cases. The repayment of the loan will be a maximum of 180 equated monthly instalments (EMIs), which amounts to a maximum of 15 years (excluding the moratorium period).
9. Special Offers: The scheme provides various interest rate concessions. These include a 0.50% concession for girl students, a 0.50% concession for existing Housing Loan borrowers, and up to 0.25% concession for meritorious students. The overall maximum concession allowed is 0.5%.
10. Others: The loan will be granted to the student with the parent as a co-borrower. The loan amount will be disbursed in stages as per the requirement directly to the institute/college. Pre-approved education loans (in principle sanction) are available for students applying to multiple universities/colleges for study abroad.

Maha Scholar Education Loan Scheme

The Maha Scholar Education Loan Scheme offers financial assistance to meritorious students pursuing higher education in courses conducted by premier educational institutions in India. Here are the key guidelines of the scheme:

1. Purpose: The scheme aims to provide financial support to students pursuing higher education in premier institutions and establish partnerships with these institutions to ensure a continuous flow of business in the retail loan portfolio.
2. Student Eligibility: The student should be an Indian national and have secured admission in regular full-time degree/diploma courses offered by premium institutions classified under categories A, B, and C.
3. Quantum of Loan: The maximum loan amount varies based on the category of institutions and the presence or absence of tangible collateral security. The loan amounts range from Rs.7.5 lakhs to Rs.80 lakhs.
4. Courses Eligible: The scheme covers regular full-time degree/diploma courses offered by premier institutions. It also includes executive management courses like PGPX, EPGP of IIMs and other reputed institutions, and part-time graduate/post-graduate degree and PG diploma/certificate courses for working professionals offered by category A institutions in management courses.
5. Expenses Covered: The loan covers various expenses, including tuition fees, examination/library/laboratory fees, books/instruments/equipment/uniforms, personal computers/laptops, caution deposits, building funds/refundable deposits, and insurance premiums for student borrowers.
6. Margin: For education loans to students of premier institutions categorized as A, no margin is required. For institutions in categories B and C, a margin of 5% is applicable.
7. Insurance: All borrowers will be covered under a group/life insurance cover scheme up to the outstanding loan amount to mitigate the risk in case of accidental/natural or permissible death.
8. Repayment Period: There is a moratorium period of course duration plus one year. The repayment period is 180 months (excluding the moratorium period), which is a maximum of 15 years.
9. Processing Fee: No processing fee is charged for the loan.
   Additionally, part-time graduate/post-graduate degree and PG diploma/certificate courses for working professionals offered by category A institutions in management courses also receive the concession.

The scheme also includes separate parameters for part-time graduate/post-graduate degree and PG diploma/certificate courses for working professionals and post-graduate degree and PG diploma courses for MBBS doctors.

Part-time Graduate/PG Degree/Diploma Courses for Working Professionals – Category A

For part-time graduate/post-graduate degree and PG diploma/certificate courses for working professionals offered by premier institutions classified under Category A in Management Courses, the Maha Scholar Education Loan Scheme provides the following parameters:

1. Eligibility Criteria: The applicant should have completed a minimum of 12 months of service. 
2. Occupation: Salaried and self-employed professionals (doctors, architects, advocates, chartered accountants).
3. Maximum Age: 50 years. The applicant should be gainfully employed and continue to be in gainful employment during the study period.
4. Courses to be covered: All part-time graduate/post-graduate degree and PG diploma/certificate courses offered by premier institutions classified under Category A in Management Courses.
5. Maximum Loan Amount: Rs.30.00 Lakh.
6. Course Duration: The course duration should be a minimum of 1 year.
7. Deduction Norms: 65% of the Gross Monthly Income. For salaried persons, the salary slip of the last drawn salary should be considered. For self-employed individuals, the latest Income Tax Return (ITR) should be considered.
8. Moratorium: The moratorium period is the course period plus 3 months.
9. Repayment Period: For salaried individuals: 15 years or until superannuation, whichever is earlier, including the moratorium period. For self-employed professionals, it is 15 years, including the moratorium period.
10. Servicing of Interest: Servicing of interest during the moratorium period is compulsory and mandatory.
11. Security: No security is required. As per existing guidelines for full-time courses under the Maha Scholar Loan Scheme for Category A, the assignment of the existing/future income of the applicant is considered.

Part-time Post-Graduate Degree/PG Diploma Courses for MBBS Doctors

For post-graduate degree and PG diploma courses for MBBS doctors offered by medical colleges in India, the parameters are as follows:

1. Eligibility Criteria: The applicant should have completed an MBBS course from any Medical Council of India (MCI) approved medical college in India.
2. Maximum Age: 45 years.
3. Courses to be covered: Post-graduate degree and PG diploma courses offered by medical institutions approved by the Medical Council of India.
4. Maximum Loan Amount: With tangible 100% collateral security of the full value of the loan amount: Rs.80.00 Lakh and without any tangible collateral it is Rs.40.00 Lakh.
5. Course Duration: The course duration should be a minimum of 1 year.
6. Moratorium: The moratorium period is the course period plus 6 months.
7. Repayment Period: 15 years (excluding the moratorium period).

All other terms and conditions that are applicable to full-time courses under the Maha Scholar Loan Scheme also apply to these part-time courses and post-graduate degree/PG diploma courses for MBBS doctors.

Maha Bank Skill Loan Scheme

The Maha Bank Skill Loan Scheme is designed to provide loan assistance to individuals who wish to pursue skill development courses. Here are the key parameters of the scheme:

1. Purpose: The scheme aims to provide financial support to individuals who intend to take up skill development courses as per the Skilling Loan Eligibility Criteria.
2. Courses and Institution Eligibility: Training Institutes/Courses: Courses conducted by Industrial Training Institutes (ITIs), Polytechnics, training partners affiliated with the National Skill Development Corporation (NSDC)/ Sector Skill Councils, State Skill Mission, State Skill Corporation, leading to a certificate/diploma/degree issued by such organizations as per the National Skill Qualification Framework (NSQF). Schools recognized by Central or State Education Boards or Colleges affiliated with recognized universities leading to a certificate/diploma/degree issued by such organizations as per the NSQF.
3. Minimum Qualification: As required by the enrolling institution/organization as per the NSQF.
4. Quantum of Finance: The minimum loan amount is Rs.5,000 and the maximum loan amount is Rs.1,50,000.
5. Margin: NIL (No margin is required)
6. Processing Charges: NIL (No processing charges are applicable)
7. Security/Guarantee: No collateral or third-party guarantee is required. However, the loan has to be covered under the CGFSSL (Credit Guarantee Fund for Skill Loan) scheme. The parent/guardian will execute loan documents along with the student as a joint borrower (co-borrower). The spouse may be included as a co-applicant where applicable, in addition to the parent/natural guardian.
8. Repayment period: For loans up to Rs.50,000 the repayment period is up to 3 years, for loans above Rs.50,000 and up to Rs.1 lakh you can take up to 5 years to clear the loan. If the loan is more than Rs.1 lakh the repayment period is up to 7 years.

Eligibility Criteria for Bank of Maharashtra Education Loan

All eligible students who wish to pursue education at reputed institutions in India and abroad can apply for an education loan with Bank of Maharashtra. The loan can be availed by Indian nationals who have secured admission to an educational institution.

Documents Required for Bank of Maharashtra Education Loan

To apply for an education loan with Bank of Maharashtra, you will have to submit a duly filled application form along with the following documents:

1. KYC documents of student, applicant, co-applicant, and guarantor
2. Income documents of co-applicants/parents
3. Salaried individuals:

Salary slips for the last 3 months

ITR for the last 2 years (if applicable)

Salary account statements for the last 6 months

1. Self-employed individuals:

ITR for the last 2 years

Business bank account statements for the last 12 months

Audited balance sheets, profit and loss statements, and income calculations for the previous two years

Proof of business: Proprietor – shop act/Gramapanchayath certificate

Tax paid challan/26AS

1. For agriculturalists who do not file income tax returns, income certificate issued by Tahasildar, 8A and all 7/12 extract with supporting evidence of income

1. 10th std marksheet

1. 12th std marksheet

1. Diploma/Degree marksheet for all semesters

1. Required exam scorecard or proof of being selected on the basis of merit (DTE/JEE scorecard for study in India, GRE/TOEFL scorecard for study overseas, or an equivalent required exam scorecard)

1. Letter of confirmation from institution with fee structure or I-20 (for overseas studies)
2. Fee payment receipt
3. Quotation of the laptop
4. Declaration of source of margin money (if applicable)
5. Disclosure of employment opportunities and expected pay after employment
6. Affidavit for gap in academic record if the student has taken one
7. Declaration for option of interest repayment during moratorium period
8. If the bank or organisation is taken over, a sanction letter and statement of accounts
9. House, plot, or flat offered as security should have the most recent search and evaluation report and all property-related paperwork in accordance with the housing loan checklist

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