Envisaged by Allahabad Bank to support needy and deserving students in their higher education studies, the Allahabad Bank Education Loan is more than just financial encouragement. Designed to benefit candidates in leading institutions & courses in India as well as abroad, the Allahabad Bank Education Loan aims to provide wholesome monetary support ranging from college/ tuition fees to travel expenses. Here, we aim to elaborate more on the specifics related to Allahabad Bank Education Loan.
|Maximum Loan Limit||Rs. 20 Lacs|
|Processing Fee||No Processing Fee|
|Concession||0.50 % for females|
|Loan repayment||10 – 15 years|
|Loan collateral||Up to Rs. 4 lacs no collateral|
Rs. 4 Lacs to 7.5 Lacs – Third-party guarantee
Above Rs.7.5 Lacs – 100% loan amount tangible collateral
|Interest rate||7 – 11 %|
Also Read: Avanse Education Loan
Table of contents
Allahabad Bank Education Loan
Allahabad Bank was established in 1865 & was the oldest joint stock bank of India. In the year 2020, Allahabad bank merged with Indian Bank. After the merger, all account holders have to use the Indian Bank IFSC code, Cheque books, internet banking, etc. Allahabad Bank Education Loan will now follow norms & procedures followed by the Indian Bank
Allahabad Bank Education Loan Interest Rate
Allahabad Bank Education Loan Interest Rate depends on courses abroad, in India & on the amount of your loan. Here is the list of Allahabad Bank Education Loan Interest Rate.
Allahabad Bank Education Loan Interest Rate for Indian Institute & Courses
|IIMs & IITs||MCLR|
Allahabad Bank Education Loan Interest Rate for Foreign Institute & Courses
|Education loan up to Rs.4 lakhs||MCLR+2.00%|
|4 lakhs to Rs.7.5 lakhs||MCLR+2.00%|
|Above Rs.7.50 lakhs||MCLR+ 1.50|
Check Out: Education Loan without Collateral
Eligibility Criteria for Allahabad Bank Education Loan
The eligibility conditions of the Allahabad Bank Education Loan differ with respect to courses in India and abroad. The requirements have been mentioned below.
- Prospective students after successfully clearing their 10+2 exams, must have been admitted to a post-secondary course such as bachelor’s, master’s or graduate diploma. In case of admission conducted through qualifying marks, the minimum cut-off marks is set at 50%.
- In India: Courses from leading institutions including but not limited to IIMs/IITs/NIFT/IISC etc recognised by Govt.UGC/AICTE/ICMR/AIBMS or other certified institutes.
- Abroad: candidates need to have secured admission in technical or professional courses at leading institutions around the world.
For applying for an education loan there are some important documents required. Here is the list of documents required:
- Address proof
- Identification card
- Application form
- Passport-size photographs
- Admission Letter
- Income proof of the guarantor
- Collateral Security documents
- GRE/IELTS/TOEFL/GMAT Score
- 10th and 12th exam mark sheets
Allahabad Bank Education Loan List of Colleges
Here are some of the top colleges that accept Allahabad Bank Education loan:
- Graduate/ Post-Graduate degree and P.G. Diplomas conducted by recognized Colleges/ Universities
- Courses like ICWA, CA, CFA , CIMA, CPA
- Courses conducted by IIMs, IITs/ IISc, XLRI, NIFT, NID
- Degree/ Diploma Courses like Aeronautical, Pilot Training, Shipping
- Reputed Foreign Universities.
Expenses Covered under Loan
The maximum loan amount is set at 75 lakhs for institutions in India as well as abroad. The awarded loan assistance to the candidate cover the following expenses (indicative):
- College/tuition fee
- Hostel/lodging fee
- Book/stationery/equipment expenses including electronic devices such as computers.
- Travel expenses
- Other expenses
Allahabad Bank Education Loan besides providing financial support for education in India also gives out loans to study abroad. Terms and conditions differ with respect to amount of loan along with the institutions (India and abroad) in which admission has been gained by the candidate. These have been mentioned below.
|Domestic: Institutes stated in this list||Upto 7.5 lakhs: Covered under Credit Guarantee Fund Scheme for Education Loans(CGFSEL)|
7.5 Lakhs-20 lakhs: Full tangible security not requiredAbove 20 lakhs: 100% tangible security required
|1MYCLR or 1MYCLR +1.50% (may vary)*|
|Domestic: Institutes not listed in the above list but recognised by Govt./UGC/AICTE/AIBMS/MCI,etc||Max 7.5 lakhs: Covered under Credit Guarantee Fund Scheme for Education Loans(CGFSEL)||MCLR+ 2.00% (may vary)*|
|International||Upto 7.5 lakhs: Covered under Credit Guarantee Fund Scheme for Education Loans(CGFSEL)|
Above 7.5 lakhs: 100% tangible security required
Note: In case of top 25 institutions in the world, no collateral is required upto 20 lakhs for PG studies and upto 15 lakhs for UG Studies
|MCLR+ 2.00% (may vary)*|
* Appropriate rebate and concessions with regards to girl students and moratorium period will be applicable wherever necessary.
Allahabad Bank Education Loan lists some conditions related to security that must be fulfilled for successful approval of the loan amount. In some cases you can also be granted education loan without collateral. These have been delineated below.
- The candidate and his parent/guardian all must be designated joint borrowers. In case of married loanees, the spouse must be joint-borrower.
- Future income assignment of the candidate.
- Tangible security(wherever required)
Allahabad Bank Education Loan Repayment
The loan repayment & amount of EMIs depends upon the amount of the loan. If the amount of the loan is above 7.5 lacs then the loan repayment should be done within 15 years from the date of the loan. If the amount of the loan is below Rs.7.5 lacs then the repayment of the loan is between 10 years. In case of prepayment, there are no additional charges. Make sure to pay the EMIs on time to avoid any penalty.
After the merger, you have to contact Indian bank. In case of any query or doubts, customers can contact at the 24 x 7 Toll-Free numbers mentioned below
- 1800 425 00 000
- 1800 425 00 000
Don’t Miss: Education Loans for Abroad Studies
- ICICI Education Loan
- IDBI Education Loan
- Bank of Baroda Education Loan
- Syndicate Bank Education Loan
- The PNB Education Loan Program
- Canara Bank Education Loan
- HDFC Education Loan
- Vijaya Bank Education Loan
- Avanse Education Loan
- IOB Education Loan
- Axis Bank Education Loan
- Allahabad Bank Education Loan
- SBI Education Loan
Other Funding Options
You can also look for several scholarship options such as HDFC Scholarship, Canara Bank Scholarship and Inspire Scholarship amongst others. that provide funding for studies in India and abroad. These have been given a run-down below.
- Inspire Scholarship
- DCE Scholarship
- Canara Bank Scholarship
- Moma Scholarship
- MHRD Scholarship
- JK Scholarship
- Santoor Scholarship
- Punjab Scholarship
- Indira Gandhi Single Girl Child Scholarship
- Ishan Uday Scholarship
- Oasis Scholarship
- Dr Ambedkar Scholarship
- NEC Scholarship
- Aditya Birla Scholarship
- Vidyasiri Scholarship
- GP Birla Scholarship
- Abdul Kalam Scholarship
- Siksha Abhiyan Scholarship
- HDFC Scholarship
Yes, you can get an education loan to study abroad.
Loans up to Rs. 4 lacs don’t require any collateral.
Some of the best banks for education loans abroad are Axis Bank, HDFC Bank, PNB & Bank of Baroda
No, there is not any processing fee.
There are no Allahabad bank branches, existing & new customers can go to the nearest Indian bank branches.
The need and competitiveness for funding, be that loan or scholarships, have sharply risen in the past two-three decades as have the source of such funding opportunities. A well-thought out, meticulous and methodical approach is needed to land any of the above-mentioned funding options which, undoubtedly, is a demanding task. Whether, you are looking to study in India or abroad, the rich repository of value-added services including funding-related assistance at Leverage Edu will help you take the right and informed step towards a career of your dreams