SBI is the largest public sector bank in India. It is one of the most preferred banks when it comes to education loans for study abroad. SBI provides both secured and unsecured education loans subject to the amount. Students who wish to pursue higher education in universities in USA, Australia or the UK can easily get an education loan from SBI.
State Bank of India provides education loans under various schemes which can be differentiated by terms and conditions and the eligibility criteria. Let’s understand the basic difference between the SBI Student Loan Scheme and the SBI Global Ed-vantage Scheme.
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SBI Student Loan Scheme
SBI Student Loan Scheme is a term loan scheme provided to students who wish to pursue higher education in India or abroad. The loan is available for a maximum period of 15 years with one year of moratorium which you will get just after completing your degree. Under this scheme, no collateral is required up to the amount of INR 7.5 lakh and tangible collateral is required for the amount above it. In case a second loan is availed for further studies then you will have to repay the combined loan amount in 15 years after completion of the second course.
Also Read: Types of Education Loans in India
SBI Global Ad-Vantage Scheme
SBI Global Ed-vantage is an education loan for students who want to pursue a full-time regular course in a foreign university. The maximum amount under the SBI Global Ed-vantage loan is INR 1.5 crores and the repayment period is up to 15 years. The bank provides early approval of education loan which is sanctioned prior to i20/visa. The entire loan is insured under the ‘RiNn Raksha’ policy. Students will get loans easily for pursuing regular graduate degrees, postgraduate degrees, certificates, diplomas/doctorates, etc. courses in any discipline offered by foreign Institutes/Universities.
Difference between SBI Student Loan Scheme and SBI Global Ed-vantage Scheme
The above-mentioned details must have helped you understand the SBI Student Loan scheme and the SBI Global Ed-vantage loan scheme. However, there are some differences between these two plans based on the college, country, margin money, processing charge etc. Let’s understand some of the basic differences between the two plans.
| SBI Student Loan Scheme | SBI Global Ed-vantage Scheme |
| The loan may be given at a fixed interest rate depending upon the program selected | Students will have to pay a processing fee of INR 10,000.00 + taxes only |
| No margin is required up to INR 4 lakhs. Any amount exceeding INR 4 lakhs will require a 5% margin money for studying in India and 15% for studying abroad. | 20% margin money shall be paid by the student. The margin money will be charged year-on-year basis as and when disbursements are made on a pro-rata basis. |
| For study abroad, a student can get only INR 7.5 lakhs. An amount more than that will be shifted under the SBI Global Ed-vantage Scheme. | The maximum amount under the SBI Global Ed-vantage loan is INR 1.5 crores which will cover fees payable to college/school/hostel, examination/library/laboratory fees, caution deposit for accommodation etc. |
| The loan amount for a medical course in India will be a maximum of INR 30 lakhs and for other courses, it will be INR 10 lakhs | No such plans are available as the SBI Global Ed-vantage loan is exclusively for abroad studies. |
| The loan may be given at a fixed or floating interest rate depending upon the program selected Current Interest Rate- 11.15% floating | SBI offers global ed-vantage education loans on a floating rate of interest. Current Interest Rate- 11.15% floating |
Also Read: Inflation and its Effect on Education Loan
FAQs
SBI Global Ed-vantage loan is an education loan provided exclusively to those who wish to pursue full-time regular courses at foreign universities. The maximum amount under this scheme is INR 1.5 crores.
SBI Student loan and global Ed-vantage loan is available with a floating interest rate ranging between 9-11% p.a.
Yes. Under the SBI Global Ed-vantage loan, the cost of accommodation is covered. Even if the student is getting accommodation outside the university campus the loan will cover the security/refundable deposit.
SBI Student Loan Scheme and SBI Global Ed-vantage loan come with attractive features like course + 1-year moratorium, affordable interest rates, maximum repayment period of 15 years etc. Both schemes have their own benefits and limitations. SBI is the largest public sector bank and one of the most popular lenders for education loans. Apply online for all your loan requirements and get admission into your dream college.
To know more about the different types of 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. Follow our social media handles on Twitter, LinkedIn and Instagram.
