A well-structured education loan can ease the financial burden of studying abroad. Bank of Baroda offers competitive education loans, and understanding the rate of interest for education loans in Bank of Baroda is key to making informed decisions.
This guide explores the rate of interest for education loans in Bank of Baroda, loan schemes, eligibility, and more, helping you plan your academic journey with confidence.
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What Is the Rate of Interest for Education Loan in Bank of Baroda?
The rate of interest for education loan in Bank of Baroda varies based on factors like loan amount, institute type, study destination, and scheme. The Bank of Baroda education loan interest rates are linked to the Baroda Repo Linked Lending Rate (BRLLR) for floating rates or Base Rate for fixed rates, ensuring transparency.
The Baroda Scholar scheme supports professional and technical courses at international universities, while the Baroda Yodha education loan scheme offers special rates for children of defense personnel. The rate of interest for education loan in Bank of Baroda under these schemes depends on the type of education loan, institution type, loan amount, and study destination.
| Loan Scheme | Conditions | Floating Rate (p.a.) | Fixed Rate (p.a.) |
| Baroda Scholar | Premier Institutes Abroad | BRLLR + 0.55% (9.20%) | 11.40% (≤INR 7.5L), 11.20% (>INR 7.5L) |
| Baroda Scholar | Premier Institutes (Canada) | BRLLR + 0.55% (9.20%) | 11.40% (≤INR 7.5L), 11.20% (>INR 7.5L) |
| Baroda Scholar | Non-Premier Institutes Abroad (≤INR 7.5L) | BRLLR + 2.00% (10.65%) | 11.40% (0.20% concession for female applicants) |
| Baroda Scholar | Non-Premier Institutes Abroad (>INR 7.5L) | BRLLR + 1.05% (9.70%) | 11.70% (0.20% concession for female applicants) |
| Baroda Scholar | Non-Premier Institutes (Canada, ≤INR 7.5L) | BRLLR + 2.00% (10.65%) | 11.40%(0.20% concession for female applicants) |
| Baroda Scholar | Non-Premier Institutes (Canada, >INR 7.5L) | BRLLR + 2.55% (11.20%) | 13.20%(0.20% concession for female applicants) |
| Baroda Yodha | Children of Defense Personnel Abroad | BRLLR + 1.05% (9.70%) | 11.40% (≤INR 7.5L), 11.70% (>INR 7.5L) |
| Baroda Yodha | Children of Defense Personnel (Canada, ≤INR 7.5L) | BRLLR + 2.00% (10.65%) | 11.40% |
| Baroda Yodha | Children of Defense Personnel (Canada, >INR 7.5L) | BRLLR + 2.55% (11.20%) | 13.20% |
Please note: The maximum education loan for abroad studies and the lower interest rates depend on the course, university, and the student’s academic performance.
Also Read:
- Bank of Baroda EDP Education Loan for Abroad Studies
- Bank of Baroda Personal Loans: Interest Rates, Eligibility, How to Apply
Additional Factors With BOB Education Loan Interest Rates for Abroad
Several factors influence the rate of interest for education loans in the Bank of Baroda, ensuring tailored financial solutions. Here are some of the important factors to consider:
- Moratorium Period: Simple interest applies during the course duration plus 12 months, added to the principal for EMI calculation.
- Penal Interest: 2% per annum on overdue amounts for loans above INR 4 lakh.
- Service Charges: INR 100 Vidya Lakshmi Portal (VLP) charge; no processing fees for loans up to INR 7.5 lakh; 1% of loan amount (max INR 10,000) for loans above INR 7.5 lakh, refunded for premier institutes upon first disbursement.
- Property Charges: INR 8,500 per property (non-refundable) for advocate and valuer fees when the property is mortgaged.
- Prepayment Charges: Nil if paid from the borrower’s funds; 0.50% of the outstanding amount if taken over by other lenders.
- Institution Ranking: Premier institutes (e.g., Ivy League, top global universities) attract lower rates.
- Loan Amount: Rates vary for loans above or below INR 7.5 lakh, with fixed or floating options.
- Study Destination: Canada-specific rates apply for non-premier institutes.
- Applicant Profile: Strong academic records and co-applicant creditworthiness can secure better terms.
- Scheme Type: Baroda Yodha offers special rates for children of defence personnel.
Repayment and EMI Options
Repaying an education loan is a long-term commitment, and the rate of interest for education loan in Bank of Baroda impacts your EMI. The bank offers flexible repayment options to suit your financial situation.
Repayment Structure
The repayment process is designed to ease the burden during and after your studies.
- Moratorium Period: Course duration plus 12 months, with simple interest added to the principal.
- Repayment Tenure: Up to 10 years for loans up to INR 7.5 lakh; 15 years for higher amounts.
- EMI Calculation: Use Bank of Baroda’s online EMI calculator for precise estimates.
- Prepayment: No charges if paid from own funds; 0.50% if taken over by other lenders.
EMI Payment Methods
Choose from multiple EMI payment options for convenience.
- Standing Instruction: Auto-debit from a Bank of Baroda account.
- ECS: Electronic Clearing Service for non-Bank of Baroda accounts.
- Post-Dated Cheques: Accepted at non-ECS locations, with timely submission of new sets.
Also Read:
Funding your dream to study abroad is achievable with the right financial support. The rate of interest for education loan in Bank of Baroda, starting at 9.20% for premier institutes, combined with flexible repayment terms and comprehensive coverage, makes it an ideal choice. Whether targeting a premier institute, a non-premier university, or leveraging the Baroda Yodha scheme for defence personnel’s children, Bank of Baroda offers tailored solutions.
FAQ
The rate of interest for an education loan in Bank of Baroda starts at 9.20% (floating) for premier institutes abroad under the Baroda Scholar scheme. For non-premier institutes, rates range from 9.70% to 11.20%, with fixed rates up to 13.20% for Canada. Baroda Yodha offers special rates for defence personnel, starting at 9.70%.
Yes, female applicants receive a 0.20% concession on the rate of interest for education loan in Bank of Baroda for non-premier institutes under the Baroda Scholar scheme. No concessions apply for premier institutes.
The rate of interest for education loan in Bank of Baroda varies by loan amount. For non-premier institutes abroad, loans up to INR 7.5 lakh have a floating rate of 10.65%, while loans above INR 7.5 lakh range from 9.70% to 11.20%. Fixed rates are higher, up to 13.20% for Canada.
There’s an INR 100 Vidya Lakshmi Portal charge for all loans. Loans up to INR 7.5 lakh have no processing fees, while loans above INR 7.5 lakh incur a 1% fee (max INR 10,000), refundable for premier institutes. An INR 8,500 non-refundable fee applies per property if mortgaged.
Yes, prepaying from your own funds incurs no charges. However, if another lender takes over the loan, a 0.50% charge applies on the outstanding amount, impacting the rate of interest for education loan in Bank of Baroda.
Bank of Baroda offers up to INR 150 lakh for premier institutes and INR 60 lakh for non-premier institutes under the Baroda Scholar scheme. The rate of interest for an education loan in the Bank of Baroda depends on the amount and the type of institute.
The repayment tenure extends up to 10 years for loans up to INR 7.5 lakh and 15 years for higher amounts, following a moratorium period (course duration + 12 months). The rate of interest for education loan in Bank of Baroda affects the EMI calculation.
Loans up to INR 40 lakh for premier institutes under the Baroda Scholar scheme require no collateral. For non-premier institutes or higher amounts, security may be needed, influencing the rate of interest for education loan in Bank of Baroda.
Yes, the Baroda Scholar scheme includes Canada-specific rates. For non-premier institutes, floating rates are 10.65% (≤INR 7.5 lakh) and 11.20% (>INR 7.5 lakh), with fixed rates up to 13.20%. The rate of interest for education loan in Bank of Baroda varies by scheme and amount.
To learn more about bank accounts for students, the best education loans, forex, banking experience for global students, or international money transfers, reach out to our experts at 1800572126 to help ease your experience with studying abroad.
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