SBI Education Loan for Studying Abroad without Collateral

sbi abroad education loan without collateral

The State Bank of India (SBI) provides education loans without collateral to Indian nationals who have secured admission to approved foreign universities. This loan is available under the SBI Student Loan Scheme. To secure the SBI abroad education loan without collateral, eligible candidates can apply on the official website of the bank or Vidya Lakshmi Portal. This nationalised bank provides a loan of up to INR 7.5 lakh without collateral. This loan amount is inclusive of tuition fees, living expenses, and other academic-related allowances. 

SBI Education Loan for Abroad Studies without Collateral

The State Bank of India offers unsecured loans of up to INR 7.5 lakh for students going abroad studies. This nationalised bank of India provides this type of loan under its SBI Student Loan Scheme. Given below are the details of the SBI abroad education loan without collateral:

Also Read: Maximum Education Loan Available for Study Abroad

SBI Student Loan Scheme

Under this SBI abroad education loan without collateral, Indian students can avail of an unsecured loan. The below-mentioned table includes details of the SBI Student Loan Scheme:

ParticularsDetails
Interest Rate10.65% on loan amount up to INR 7.5 lakh
Concession0.5% on the interest rate for female students going abroad studies
Processing FeesNil
Moratorium PeriodCourse tenure + 12 months
Repayment TenureUp to 15 years after the Moratorium Period
Margin MoneyLoan amount up to INR 4 lakh: Nil; Loan amount above INR 4 lakh: 15% on the amount above INR 4 lakh
Eligible DegreesTechnical/Professional Graduate and Postgraduate-level Programmes; Courses by CPA and CIMA; Diploma Programmes
Expenses CoveredTuition fees; Library fees; Examination fees; Laboratory Fees; Book and academic equipment allowances; Living and sustainability allowances; and ‘RiNn Raksha’ premium 
Loan DisbursalSBI disburses tuition fees directly to the university. The beneficiaries can avail of the living expenses through prepaid cards or their foreign bank account.

Eligible Countries

The central government of India provides loans to approved universities of selected foreign countries. Adhering to the norms of the government, an SBI abroad education loan without collateral is available for students who have opted to:

Also Read: List of Top International Student Loans

Eligibility Criteria

To avail of the SBI Student Loan for studying in foreign universities, the candidate must meet the following eligibility requirements:

  • They should be Indian national.
  • They must be of 18 years of age or elder.
  • They must have an offer letter from an approved foreign university.
  • They must have a co-signer or a co-applicant. 

Application Process

To apply for an SBI abroad education loan without collateral, a candidate must follow these steps:

  • Go to the official website of the State Bank of India or apply on the Vidya Lakshmi Portal.
  • Verify whether you meet the eligibility requirements.
  • Download the student loan application form.
  • Fill out the application form and upload the necessary documents.
  • Take a printout of the completed application form.
  • Visit the nearest SBI branch to initiate the loan application process. 
  • The loan department of the SBI will verify the documents submitted by the applicant and disburse the loan amount after verification.

Must Read: 5 Things to Keep in Mind to Apply for an Education Loan

FAQs

Q1. Does SBI offer non-collateral education loan?

Answer. SBI offers non-collateral education loans for loan amounts up to INR 7.5 lakh. This loan is available for education in India and abroad. The bank grants a 0.5% subsidy on interest rates to female applicants and a 0.5% rebate on interest rates to candidates who are Rinn Raksha Credit Life Insurance policyholders. 

Q2. Can I get an overseas education loan without collateral?

Answer. Yes. Both private and public banks offer overseas education loans without collateral to Indian nationals who adhere to the eligibility criteria. 

Q3. What is the interest rate on SBI Student Loan Scheme?

Answer. The State Bank of India levies 10.65% on loan amounts up to INR 7.5 lakh under its Student Loan Scheme. Female students and Rinn Raksha Credit Life Insurance policyholders can avail of a rebate on this interest rate.

To learn about different types of overseas education loans stay tuned to Leverage Edu and Fly Finance. Plan your study abroad journey with a 30-minute free counselling session at 1800 572 000. 

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