Bank of Maharashtra Education Loan to Study Abroad

Studying abroad unlocks a world of possibilities, but the costs can be challenging. For that, the Bank of Maharashtra education loan to study abroad offers a reliable financial solution to help you achieve your academic dreams without financial strain.

This blog explores all about Bank of Maharashtra Education Loan to Study Abroad, how this loan can support your international education, covering eligibility, interest rates, application processes, and more.

Why Choose Bank of Maharashtra for Your Education Loan?

The Bank of Maharashtra education loans to study abroad schemes are designed to provide comprehensive financial support for students aspiring to study abroad. By choosing the Bank of Maharashtra education loan to study abroad, you gain access to competitive interest rates, flexible repayment terms, and tailored schemes that cater to diverse academic needs.

Here are the key benefits of choosing a Bank of Maharashtra education loan to study abroad:

• Loan amounts up to INR 20 lakhs, with higher amounts possible for meritorious cases.
• Competitive interest rates ranging from 10.55% to 11.30%.
• Flexible repayment tenure of up to 15 years.
• Special concessions for female students and meritorious applicants.
• No processing fees for certain schemes, making it cost-effective.

Also Read:

• PM Vidya Lakshmi Education Loan Yojana to Study Abroad
• Eligibility to Get an Education Loan Without Collateral in India 

What Are Bank of Maharashtra Education Loan Schemes?

The Bank of Maharashtra offers multiple education loan schemes to cater to different educational pursuits. For students planning to study abroad, the Model Education Loan Scheme and the Maha Scholar Overseas Education Loan Scheme are particularly relevant.

The schemes of the Bank of Maharashtra education loan to study abroad are tailored to support job-oriented professional, technical, and postgraduate courses at recognized international institutions. Here are some Schemes:

Model Education Loan Scheme

This scheme is ideal for students pursuing higher education abroad in fields like engineering, medicine, management, or technology. It provides comprehensive financial coverage to ensure you can focus on your studies without worrying about expenses.

Here are the key features of the Bank of Maharashtra Model education loan scheme:

• Covers tuition fees, hostel expenses, travel costs, books, and equipment.
• Loan amount: Up to INR 20 lakhs, with potential for higher amounts based on merit.
• Margin: 15% for loans above INR 4 lakhs.
• Processing fee: 0.50% of the loan amount (refundable if the course is pursued).

Maha Scholar Overseas Education Loan Scheme

Designed for students admitted to premier global institutions like MIT, Oxford, or Stanford, this scheme offers enhanced benefits for meritorious applicants. It aims to support high-achieving students with favorable terms.

Here are the key features of the Bank of Maharashtra Maha Scholar Overseas Education Loan Scheme:

• No margin required for select premier institutions.
• Interest rate concessions for top-tier universities.
• Flexible repayment options tailored to the course duration and career prospects.
• Loan amount: Up to INR 20 lakhs (the maximum education loans for abroad studies is determined on a case-by-case basis).

Eligibility Criteria for Bank of Maharashtra Education Loan to Study Abroad

Before applying for the Bank of Maharashtra education loan to study abroad, it’s essential to understand the eligibility requirements. The bank ensures that loans are accessible to deserving candidates who meet specific academic and financial criteria.

Here are the eligibility requirements of the Bank of Maharashtra education loan to study abroad:

• Applicant must be an Indian national (including Non-Resident Indians, Persons of Indian Origin, or students born abroad but studying in India after parental repatriation).
• Secured admission to a recognized university or institution abroad for job-oriented professional, technical, or postgraduate courses (e.g., MCA, MBA, MS).
• Age: Typically between 18 and 35 years (no strict upper limit for some schemes).
• Co-applicant (parent or guardian) required, with their financial background assessed for loans above INR 7.5 lakhs.
• Collateral required for loans above INR 7.5 lakhs, such as residential property, fixed deposits, or LIC policies (open plots not accepted).

Interest Rates on Bank of Maharashtra education loan to study abroad

The cost of borrowing is a critical factor when choosing an education loan. The Bank of Maharashtra education loan to study abroad offers competitive interest rates, making it an affordable option compared to private lenders. 

The interest rate is floating, linked to the Repo Linked Lending Rate (RLLR), which currently stands at 9.30% plus a spread of 1.65% to 2%. Here are the interest rate details of the Bank of Maharashtra education loan for studying abroad:

• Range: 10.55% to 11.30% for loans with collateral; 11% to 13% for unsecured loans to study abroad.
• Moratorium Period: Simple interest is charged during the course duration, plus one year or six months after securing a job, whichever is earlier.
• Repayment: Compounded monthly after the moratorium period, with a maximum tenure of 15 years.

Concessions Available on Bank of Maharashtra Education Loan

The bank offers several concessions to reduce the financial burden:

• Female Students: 0.50% interest rate concession.
• Meritorious Students: Up to 0.25% concession based on academic performance.
• Interest Servicing: Up to 1% concession if simple interest is paid regularly during the moratorium period.
• Existing Customers: Additional concessions for those with Maha Saraswati RD accounts maintained for three years (capped at 0.50% total concession).

Expenses Covered by BoM Education Loan Abroad

The Bank of Maharashtra education loan to study abroad is designed to cover a wide range of expenses, ensuring you can focus on your studies without financial worries. The loan disburses funds directly to the institution or vendors in stages, based on the course requirements.

Here are the expenses covered under the Bank of Maharashtra Education Loan for studying abroad:

• Tuition, examination, library, and laboratory fees.
• Hostel and accommodation charges.
• Travel expenses for studying abroad.
• Cost of books, equipment, uniforms, and computers/laptops.
• Other academic expenses like study tours, project work, or thesis preparation.

Documents Required for BoM Education Loan Application

Applying for the Bank of Maharashtra education loan to study abroad requires submitting a set of documents to verify your eligibility and financial standing. Preparing these documents in advance can streamline the education loan process.

Here are the documents required for the education loan:

• Completed application form (available on the Vidyalakshmi Portal or bank website).
• KYC documents (Aadhaar, PAN, passport) for the student and co-applicant.
• An admission letter or I-20 form from the foreign institution with the fee structure.
• Academic records (mark sheets, entrance test scores like GRE, TOEFL, or equivalent).
• Income proof of co-applicant (ITR, salary slips, or income certificate from the Tahsildar for agriculturists).
• Collateral documents (property papers, fixed deposit certificates, or LIC policies) for loans above INR 7.5 lakhs.
• Proof of business or income for co-applicants, if applicable.

How to Apply for Bank of Maharashtra Education Loan Abroad

The application process for the Bank of Maharashtra education loan to study abroad is straightforward and can be completed online or offline. The bank’s streamlined process ensures quick approval and disbursement, allowing you to focus on your academic preparations.

Here are the BoM education loan application steps:

1. Check Eligibility: Confirm you meet the eligibility criteria and have secured admission to a recognized institution abroad.
2. Club Documents: Prepare all required documents, including academic records, KYC, and collateral details (if applicable).
3. Apply Online: Use the Vidya Lakshmi Portal (https://www.vidyalakshmi.co.in) or the Bank of Maharashtra website to submit your application.
4. Visit a Branch: Alternatively, visit a nearby Bank of Maharashtra branch for submission of your application and documents.
5. Loan Sanction: The bank typically processes applications within 15 days, subject to document verification.
6. Disbursement: The funds of the education loan are disbursed to the institution or vendors in stages directly, as per the course requirements.

• Tip: Use the education loan EMI calculator by fly.finance to estimate your monthly repayments based on loan amount, interest rate, and tenure.

Repayment Terms and Flexibility with BoM Loan

Repaying an education loan is a significant commitment, and the Bank of Maharashtra offers flexible terms to ease the process. The repayment structure is designed to align with your career progression, giving you ample time to settle into a job before starting repayments.

Here are the repayment details for the Bank of Maharashtra education loan to study abroad:

• Moratorium Period: Course duration plus one year or six months after securing a job, whichever is earlier.
• Repayment Tenure: Up to 15 years (180 EMIs) for loans above INR 7.5 lakhs; up to 10 years for loans up to INR 7.5 lakhs.
• Prepayment: No prepayment charges, allowing you to pay off the loan early without penalties.
• EMI Options: Use the bank’s EMI calculator to customize your repayment plan based on your financial goals.

Also Read: 

• How to Reduce Education Loan Interest Rates? Tips to Lower EMIs
• Interest Rates on Education Loans Without Collateral for Abroad Studies

Government Subsidies Available for Bank of Maharashtra Education Loan Abroad

The Bank of Maharashtra education loan to study abroad is eligible for government interest subsidy schemes, which can significantly reduce your financial burden. These schemes are designed to support students from economically weaker sections or minority communities.

Key Subsidy Schemes:

• Central Sector Interest Subsidy (CSIS): Full interest subsidy for economically weaker students (annual parental income up to INR 4.5 lakhs) during the moratorium period for loans up to INR 7.5 lakhs.
• CGFSEL: Credit guarantee coverage for loans up to INR 7.5 lakhs, reducing the need for collateral.

To avail of these subsidies, apply through the Vidya Lakshmi Portal or contact your nearest Bank of Maharashtra branch for guidance.

Financing your education abroad doesn’t have to be a barrier to achieving your dreams. The Bank of Maharashtra education loan to study abroad provides the financial support you need to pursue a world-class education at top universities. With competitive rates, flexible terms, and government-backed subsidies, this loan is a gateway to your global academic journey. 

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