Education is one of the best ways to fund your higher education. It provides a lifeline for students pursuing their dreams, but high interest rates can make repayment of the loan difficult. Punjab National Bank (PNB) offers an Education Loan Balance Transfer facility which is a great option to ease this financial burden. Check here for everything you need to know about PNB Education Loan Balance Transfer, its features, eligibility, and the application process.
Table of contents
PNB Education Loan Balance Transfer: Key Features
PNB Education Loan Balance Transfer offers students a chance to reduce their financial burden with competitive interest rates, flexible repayment tenures and a moratorium period. The loan is provided for overseas studies under the PNB Udaan Education Loan scheme. Check some of the major highlights of the PNB Education Loan refinance below:
| Feature | Details |
| Interest Rate | 9.55% (Non-listed colleges)8.80% (Listed colleges) |
| Loan Amount | Up to INR 1.5 crore for overseas studies. |
| Repayment Tenure | Up to 15 years, including the moratorium period. |
| Moratorium Period | Course duration + 12 months post-study. |
| Processing Fee | 1% of the loan amount |
| Collateral | Mandatory for loans above INR 7.5 lakh; including property or other assets. |
| Prepayment Charges | Nil for individual borrowers. |
| Forex Support | Assistance for tuition fees and other education-related expenses. |
| Insurance | Comprehensive insurance coverage for borrowers. |
Also Read: Check here all about how to get an education loan at low rate of interest
Benefits of Choosing PNB for Loan Balance Transfer
Transferring your education loan to PNB can bring numerous advantages. Punjab National Bank is one of the best public sector banks in India and is popular for providing financial assistance to students. It provides loans to study both in India and abroad. Check some of the major benefits of PNB education loan balance transfer below:
- Lower Interest Rates: Due to competitive interest rates, switching to PNB means reduced EMIs and total loan costs.
- Flexible Repayment Options: Students can benefit from longer tenures and customised repayment plans.
- Easy Process: PNB ensures minimal paperwork and a seamless transfer process, allowing students to focus on their studies.
- Comprehensive Support: PNB offers forex assistance, insurance coverage, and pre-admission loan approvals to make studying abroad stress-free. You can apply for a PNB Multicurrency Forex Card to manage expenses abroad.
- No Hidden Charges: There are no early repayment charges on education loans offered by PNB. The borrowers can repay their loans early without incurring extra costs.
Eligibility Criteria for PNB Education Loan Balance Transfer
One of the major eligibility criteria for education loan refinancing is that the refinance request must be the first time. This means that the loan shall not have been transferred to any other bank before. This condition applies to most banks for refinancing education loans. To qualify for a PNB Education Loan Balance Transfer, you must meet the following requirements:
- The borrower must be an Indian student with confirmed admission to a recognised institution in India or abroad.
- A good credit score and a steady repayment record are mandatory. The credit score must be above 750.
- The existing loan must not have any overdue payments or be classified as a Non-Performing Asset (NPA). All the EMI payments must be regular in the books of the existing bank.
- If the loan amount exceeds INR 7.5 lakh, you have to pledge collateral to the bank in order the get the loan refinance service.
Also Read: Check here all about SBI loan top up for education loans to study abroad
How to Apply for PNB Education Loan Balance Transfer?
Applying for a balance transfer with PNB is straightforward. You can apply for a loan refinance by visiting the official website of the bank or by visiting any nearest branch. Follow these steps to apply for PNB education loan balance transfer:
- Visit the nearest branch of PNB
- Submit the loan refinance application form along with the necessary documents
- You need to submit an education loan sanction letter from the current lender and a loan account statement showing repayment history.
- Wait for the verification process and approval by the bank
- The bank will verify and approve the loan request subject to terms and conditions
- The existing lender will get the amount to foreclose the loan and you will now be paying EMI to PNB.
What is an Education Loan Balance Transfer?
An education loan balance transfer allows borrowers to move their existing education loans to another lender, often for better terms such as reduced interest rates, flexible repayment tenures, or additional benefits. PNB’s balance transfer facility is designed to provide financial relief to students and their co-borrowers by offering competitive rates and convenient repayment options.
PNB Education Loan Balance Transfer offers a cost-effective way to manage your education loan by reducing interest rates and providing flexible repayment options. Check some common FAQs based on PNB education loan transfer below:
FAQs
It is a facility that allows students to transfer their existing education loans from another lender to PNB for better interest rates, flexible repayment options, and additional benefits.
Indian students with a confirmed admission to recognised institutions in India or abroad, a good credit score, and a steady repayment history are eligible to apply.
Interest rates start from 9.55% per annum, making it one of the most competitive rates available in the market.
Yes, you can transfer education loans up to INR 1.5 crore for overseas studies, depending on your course and lender’s terms.
The repayment tenure can go up to 15 years, including a moratorium period that covers the course duration and an additional 6-12 months.
No, PNB does not charge any prepayment penalties for individual borrowers, allowing you to repay early without extra costs.
You need the current loan statement, admission letter, KYC documents, co-borrower income proof, and collateral documents (if applicable).
Collateral is required for loans exceeding INR 7.5 lakh, and it can include property, fixed deposits, or other assets.
The process is typically swift, taking a few days to complete, provided all required documents are submitted promptly.
Yes, PNB offers forex support, insurance coverage, and pre-admission loan approval, making it a great option for students planning to study abroad.
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.
Related Blogs
Follow Us on Social Media
