SBI Student Loan Scheme 2017

SBI Student Loan Scheme is an education term loan granted to Indian Nationals by State Bank of India for pursuing higher education in India or abroad where admission has been secured. The objective of this loan scheme is that every meritorious student even poor is provided with an opportunity to pursue education with the financial support and on liberal / simple terms and conditions.


A term loan granted to Indian Nationals for pursuing higher education in India or abroad where admission has been secured.

Studies in India:
  • Graduation, Post-graduation including regular technical and professional Degree/Diploma courses conducted by colleges/universities approved by UGC/ AICTE/IMC/Govt. etc
  • Regular Degree/ Diploma Courses conducted by autonomous institutions like IIT, IIM etc
  • Teacher training/ Nursing courses approved by Central government or the State Government
  • Regular Degree/Diploma Courses like Aeronautical, pilot training, shipping etc. approved by Director General of Civil Aviation/Shipping/ concerned regulatory authority

Studies abroad:
  • Job oriented professional/ technical Graduation Degree courses/ Post Graduation Degree and Diploma courses like MCA, MBA, MS, etc offered by reputed universities
  • Courses conducted by CIMA (Chartered Institute of Management Accountants) - London, CPA (Certified Public Accountant) in USA etc.

Expenses considered for Loan

  • Fees payable to college/school/hostel
  • Examination/Library/Laboratory fees
  • Purchase of Books/Equipment/Instruments/Uniforms, Purchase of computers- essential for completion of the course (maximum 20% of the total tuition fees payable for completion of the course)
  • Caution Deposit/Building Fund/Refundable Deposit (maximum 10% of tuition fees for the entire course)
  • Travel Expenses/Passage money for studies abroad
  • Cost of a Two-wheeler upto Rs. 50,000/-
  • Any other expenses required to complete the course like study tours, project work etc

Loan Amount

  • For studies in India - maximum Rs. 10 lacs
  • Studies abroad - maximum Rs. 20 lacs


  • Upto Rs.7.5 Lacs: Nil
  • Above Rs. 7.5 Lacs: 5% for studies in India, 15% for studies abroad

Rate of Interest

  • For loans upto Rs.7.5 lacs: 2% above MCLR, currently 11.20% p.a.
  • Above Rs.7.50 lacs: 1.70% above MCLR, currently 10.90% p.a.
  • 0.50% concession in interest for girl students
  • 1% concession for full tenure of the loan, if interest is serviced promptly as and when applied during the moratorium period, including course duration


  • Upto Rs. 7.5 Lacs: Only Parent/ Guardian as co-borrower. No Collateral Security or third party guarantee
  • Above Rs. 7.5 Lacs: Parent/ Guardian as co-borrower and tangible collateral security
  • In case of married person, co-obligator can be either spouse or the parent(s)/ parents-in-law

Documents Required

  1. Letter of admission
  2. Completely filled in Loan Application Form
  3. 2 passport size photographs
  4. Statement of cost of study
  5. PAN Card of the student and Parent/ Guardian
  6. AADHAR Card of the student and Parent/ Guardian
  7. Proof of identity (Driving Licence/Passport/Aadhar/ any photo identity)
  8. Proof of residence (Driving Licence/Passport/Electricity bill/Telephone bill)
  9. Student/Co-borrower/ guarantor's bank account statement for last 6 months
  10. IT return/ IT assessment order, of previous 2 years of Parent/ Guardian/ other co-borrower (if IT Payee)
  11. Brief statement of assets & liabilities of Parent/ Guardian/ other co-borrower
  12. Proof of income (i.e. salary slips/ Form 16) Parent/ Guardian/ other co-borrower

Other Information

  • Processing Charges/ Upfront fee: NIL
  • Repayment (Maximum):  15 years after Course Period + 12 months of repayment holiday
  • Repayment Holiday/ Moratorium: Course period + 1 year
  • Prepayment Charges: NIL

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