Union Bank of India is one of the leading government banks in India providing education loans to study abroad and in India. The bank offers education loans under the Union Education Premier Abroad scheme and you can get up to INR 40 lakh without collateral.
The bank takes less than 7 days to process an education loan. However, this depends on various factors such as submitting the loan application, providing relevant documents, collateral etc. Let’s check all the details about the Union Bank education loan processing time.
Table of contents
What is the Union Bank Education Loan Processing Time?
The processing time for a Union Bank education loan usually ranges from 15 to 20 days. However, this duration may vary based on several factors such as the completeness of the application, verification procedures, and external factors like visa approval and university admission confirmation. After the education loan sanction, the disbursement process is initiated by the bank and takes around 48-72 hours for the amount to be transferred to the university’s account directly.
Also Read: Applying for an education loan from Union Bank? Check here all the details on Union Bank education loan interest rate
Steps Involved in Loan Processing
There are certain stages involved in processing an education loan. The students are supposed to fill out and submit the education loan application first. The bank will then start the verification process and run a credit enquiry. Check details of all the stages involved in Union Bank education loan processing:
Loan Application
This is the first step of taking an education loan. You need to fill out the loan application form through the Union Bank Vidya Lakshmi Portal. After submitting the application form and the relevant documents, the bank will start the verification process. You will get a call from the bank’s personnel after submitting the loan application form. Keep tracking the status of your loan on the portal. Please note that any errors or discrepancies in the application form could lead to delays or rejection of the application. Ensure all details are correct before submission.
Document Submission
Along with the application form, submit all required documents. These may include academic records, admission letters from the university, KYC documents, income proof of co-applicant, and collateral documents if applicable. However, after the sanction of the loan, the bank will ask for some more documents like the visa approval letter, admission letter, copy of travel and health insurance etc. Submit all these documents required for Union Bank education loan so that the loan can be processed quickly.
Also Read: Check here all the details on Union Bank SUD Life Shiksha Suraksha
Verification Process
Once the application and documents are submitted, Union Bank initiates the verification process. This involves validating the information provided, assessing eligibility criteria, and conducting credit inquiries. During the verification process, the bank may contact you for any specific information. Always try to respond to the bank promptly so that there won’t be an unusual delay in loan processing.
Loan Sanction
Upon successful verification, Union Bank will sanction the loan amount based on predetermined terms and conditions. A sanction letter will be issued, outlining the loan amount, interest rate, repayment period, and other relevant details. You can also submit this education loan sanction letter to your university to show the evidence of financial source.
Education Loan Disbursement
After accepting the terms of the loan as per the sanction letter, you’ll need to sign the document and provide additional documents if required (such as visa approval, insurance details, and university acceptance letter). Once all formalities are complete, the Union Bank education loan disbursement process will be initiated and the transfer of the loan amount will be done directly to the university.
FAQs on Union Bank Education Loan Processing Time
The processing time for Union Bank education loans can vary based on several factors such as the completeness of your application, documentation provided, and the complexity of your case. Generally, it takes anywhere from 15 to 30 days for Union Bank to process an education loan application.
Several factors can affect the processing time, including the accuracy and completeness of your application, submission of all required documents, verification procedures, credit evaluation, etc.
To expedite the processing of your education loan, ensure that you provide all necessary documents accurately and promptly. Double-check your application for any errors or missing information before submission.
While specific document requirements may vary depending on the course, institution, and loan amount, common documents include proof of admission, academic records, course fee details, identity proof, address proof, income documents of the co-applicant (if any), and collateral documents (if applicable).
Union Bank may offer expedited processing options for urgent cases on a case-by-case basis. If you have a genuine need for faster processing, you can discuss your situation with Union Bank representatives, and they may provide assistance or offer expedited processing options if available.
Remember to contact Union Bank directly for the most accurate and up-to-date information regarding education loan processing times and requirements.
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.
Follow Us on Social Media
