PNB SARASWATI - Education Loan Scheme 2017

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PNB SARASWATI is an education loan scheme offered by Punjab National Bank for students pursuing Higher Education in India. The scheme objective is to provide financial support to meritorious students for pursuing higher education in India. The scheme is applicable for students who secure admission in Institutes as under:

  • Approved courses leading to Graduate/ Post Graduate degree and PG Diplomas conducted by recognized colleges/ universities recognized by UGC/ Govt. / AICTE/ AIBMS/ ICMR etc.
  • Courses like ICWA, CA, CFA etc.
  • Courses conducted by IIMs, IITs, IISc, XLRI. NIFT, NID etc.
  • Regular Degree/Diploma courses like Aeronautical, pilot training, shipping Nursing or any other discipline approved by Director General of Civil Aviation/Shipping/ Indian Nursing Council or any other regulatory body as the case may be.
  • Advance Diploma in Banking Technology offered by PNB IIT Lucknow.
  • Approved courses offered in India by reputed foreign universities.
  • Research Programmes recognized by designated academic authority/ regulatory body.


  • Should be an Indian national.
  • Should have secured admission to a higher education course in recognized institutions in India through Entrance Test/ Merit Based Selection process after completion of HSC(10 plus 2 or equivalent).
  • Cases of Management Quota may  be considered on merit basis

Expenses considered for Loan

  • Fee payable to college/ school/ hostel
  • Examination/ Library/ Laboratory fee.
  • Insurance premium for student borrower, if applicable.
  • Caution deposit, Building fund/refundable deposit supported by Institution bills/receipts.
  • Purchase of books/ equipments/ instruments/ uniforms.
  • Purchase of computer at reasonable cost, if required for completion of the course.
  • Any other expense required to complete the course - like study tours, project work, thesis, etc.


  • Up to Rs. 4 lac - NIL
  • Above Rs. 4 lac - 5%
  • Scholarship/ assistantship may be considered in margin.
  • Margin may be brought-in on year-to-year basis as and when disbursements are made on a pro-rate basis.

Rate of Interest

  • For loans upto Rs.4 lacs: 3.90% above Base Rate, currently 13.20% p.a. 
  • Above Rs.4 lacs and upto Rs.7.50 lacs: 4.15% above Base Rate, currently 13.45% p.a. 
  • Above Rs.7.50 lacs: 2.15% above Base Rate, currently 11.45% p.a. 


  • Up to Rs. 4 lac: Parent(s)/guardian as a joint borrower(s).
  • Above Rs. 4 lac and upto Rs. 7.50 lac: Besides the parent(s)/ guardian executing the documents as joint borrower(s), collateral security in the form of suitable third party guarantee.
  • Above Rs.7.50 lac: Parent(s)/ guardian as a joint borrower(s). Tangible collateral security of suitable value acceptable to bank alongwith the assignment of future income of the student for payment of installments.

Other Information

  • Processing Charges/ Upfront fee: NIL
  • Documentation Charges: Rs.270/- for loans upto Rs. 4 lac and Rs.450/- for loans above Rs.4.00 lac (exclusive of service tax and education cess) Subject to change from time to time.
  • Repayment (Maximum): Maximum upto 15 years
  • Repayment Holiday/ Moratorium: Course period + 1 year
  • Prepayment Charges: NIL

Above are only salient features of the scheme. For details please contact nearest branch