If you are planning to study abroad at a well-reputed university then Bank of Baroda might have the right deals for you. Bank of Baroda Education Loans to Study Abroad are provided to students who are admitted into premiere institutes for courses like MBA, MCA and MS which are job-oriented. You will also get Bank of Baroda international transfer services at a genuine transaction fee. In this blog we will be covering the eligibility criteria, interest rates and charges, most important terms and conditions (MITC) and documents required.
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Also Read: Bank of Baroda also provides forex cards for students who are planning to study abroad. To know about the benefits and uses read Bank of Baroda Forex Card: Benefits, Uses, Charges.
Overview of Bank of Baroda Education Loan to Study Abroad?
Bank of Baroda Education Loan to Study Abroad is provided specifically to students going abroad for vocational/technical studies. This education loan requires no processing charges up to INR 7.50 and has no margin on loans up to INR 4 lacs. The loan requires no documentation charges and can be availed by any student of Indian nationality who has secured admission is a university abroad.
The loan covers college fees along with hostel and mess charges. Examination, laboratory, library, books, uniform, personal computers, caution deposits and other expenses like study tours and project works are also included in the loan. Traveling to and from is also managed which makes it easy for students to cover all their needs.
Benefits of Bank of Baroda Education Loan to Study Abroad
Bank of Baroda provides several benefits to students who are planning to study abroad. The bank provides a repayment period of up to 10 years. Mentioned below are a few other benefits of Bank of Baroda Education Loan to Study Abroad:
- Processing fees of a maximum of INR 10,000 can be recovered upfront for loans above Rs.7.50 Lakh for premium institutions.
- There are no processing charges for loans up to INR 7.50 Lakhs.
- There are no documentation charges.
- No security will be taken from applicants for loans up to Rs. 7.50 Lakhs.
- A free debit card will be provided to the applicant of the loan.
Eligibility Criteria
Students who have been accepted into premier universities for professional courses at graduation and post-graduation level can apply for Bank of Baroda Education Loans. For management courses over 171 universities are acknowledged including Harvard University, Massachusetts Institute of Technology: Sloan, New York University: Stern, Yale University, University of Oxford: Saïd and Technical University of Munich.
STEM courses, medical courses and other education courses like law, economics, econometrics, art, performing arts and design are also eligible for loans. For STEM courses over 263 universities are acknowledged whereas 100 universities for medical courses and 40 for other education courses are also accepted.
Also Read: Are you applying for education loans? If yes, know about the Banks Offering Lowest Interest Rate on Education Loans.
Interest Rates and Charges
Bank of Baroda provides affordable interest rates for student loans starting from 8-9%. The loan is provided at a floating rate of interest subject to revision every quarter. The interest rate is determined based on the RLLR (Repo Linked Lending Rate) and the spread. Check the details below
Floating Rate
| Education Loan to Premier Institutions Abroad | ||
| Conditions | Repo Rate + Spread | Effective Rate of Interest |
| Abroad | RLLR + 0.55% | 9.70% |
| Abroad (for CANADA) | RLLR + 0.55% | 9.70% |
*No concessions for girl child.
| Education loans to Non-Premier Institutions Abroad | ||
| Conditions | Repo Rate + Spread | Effective Rate of Interest |
| Abroad | ||
| Up to Rs.7.50 Lakh | RLLR + 2.00% | 11.15% |
| Above Rs 7.50 lakh | RLLR + 1.05% | 10.20% |
| Special rate of Interest for Children of defence personal Under the Baroda Yodha Education Loan Scheme | RLLR + 1.05% | 10.20% |
| Abroad (for CANADA) | ||
| Up to Rs.7.50 Lakh | RLLR + 2.00% | 11.15% |
| Above Rs 7.50 lakh | Special rate of Interest for Children of defence personnel Under the Baroda Yodha Education Loan Scheme | 11.70% |
*0.20% concession in ROI for girl child for Non-Premier Institutes.
Fixed Rates
| Education Loan to Premier Institutions Abroad | ||
| Conditions | Repo Rate + Spread | Effective Rate of Interest |
| Abroad | ||
| Up to Rs.7.50 Lakh | Base Rate + 2.00% | 11.40% |
| Above Rs 7.50 lakh | RLLR + 2.55% | 11.70% |
| Special rate of Interest for Children of defence personnel Under Baroda Yodha Education Loan Scheme | ||
| Up to Rs.7.50 Lakh | Base Rate + 2.00% | 11.40% |
| Above Rs 7.50 lakh | RLLR + 2.55% | 11.70% |
| Abroad (for CANADA) | ||
| Up to Rs.7.50 Lakh | Base Rate + 2.00% | 11.40% |
| Above Rs 7.50 lakh | RLLR + 2.55% | 11.70% |
*No concessions for girl child.
| Education Loans to Non-Premier Institution Abroad | ||
| Conditions | Repo Rate + Spread | Effective Rate of Interest |
| Abroad | ||
| Up to Rs.7.50 Lakh | Base Rate + 2.00% | 11.40% |
| Above Rs 7.50 lakh | RLLR + 3.05% | 12.20% |
| Special rate of Interest for Children of defence personnel Under Baroda Yodha Education Loan Scheme | ||
| Up to Rs.7.50 Lakh | Base Rate + 2.00% | 11.40% |
| Above Rs 7.50 lakh | RLLR + 3.05% | 12.20% |
| Abroad (for CANADA) | ||
| Up to Rs.7.50 Lakh | Base Rate + 2.00% | 11.40% |
| Above Rs 7.50 lakh | RLLR+4.55% | 13.70% |
*0.20% concession in ROI for girl child for Non-Premier Institutes.
Most Important Terms and Conditions (MITC)
Bank of Baroda Education Loan to Study Abroad targets students going abroad for professional and technical studies. It funds up to INR 1.5 crore for premier Institutions and INR 60 lakh for Non-Premier Institutions. The moratorium period is the course period + one year whereas the repayment period is up to 15 years after completion of the moratorium period.
Bank of Baroda education loan disbursement is directly done to the university and the hostel facility in stages as per demand or requirement. As for the books and other equipment, the transfer is made directly to the seller by the bank. A student’s lodging/ boarding charges are also directly made to the establishment after verifying the authenticity of the same.
Documents Required
The process of application is simplified for the convenience of students. It is required for the applicant to submit proof of admission along with other necessary documents. Mentioned below are the necessary papers that must be presented during the time of applying :
- KYC of applicant and co-applicant for identification purposes.
- Academic records of students.
- Entrance exam results (if applicable)
- Statement of cost of study/ Schedule of expenses
- Income Proof for Salaried Co-applicant/ Guarantor (if applicable)
- Bank account statement for the last 6 months
- Property Documents (if applicable)
FAQs on Bank of Baroda Education Loan to Study Abroad
Yes, the Bank of Baroda provides 100% education loans to Indian students who have been accepted for higher education courses in foreign universities. The loan is extended to students who are pursuing courses that aid job creation like MBA, MCA and MS. This education loan requires no processing charges up to INR 7.5 lakh and has no margin on loans up to INR 4 lakh.
To study abroad an Indian resident can get a maximum education loan of 150 lakhs which is payable in 10-15 years after completion of the moratorium period. The moratorium period is the course period plus one more extra year.
Bank of Baroda takes over 2 to 3 days to approve an application for an education loan request made online. The bank checks and verifies each document sent and based on that can request the applicant to report to the sanctioning branch for further processing.
Any citizen of India who has secured admission to a university abroad and is going to pursue a professional course can apply for a student loan at the Bank of Baroda. Both graduating and post-graduation level students can apply to avail this facility.
The loan will cover college fees along with hostel charges and mess services. It will also include book fees, equipment charges, a personal computer (if necessary for the course), travel fees and other charges as well.
This was all about the Bank of Baroda Education Loan to Study Abroad and how it can help fund your educational aspirations.
To know more about education loans, the best bank accounts for students, forex and banking experience for global students or international money transfers, reach out to our experts at 1800572126 to help ease your study abroad experience.
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