Explore Scholar Loan Scheme SBI for Study in India

Financial burden should never be the reason that constraints your higher education. To address the issue of lack of funds, the SBI Scholar Loan Scheme offers solutions to students with strong academic backgrounds and has secured admission to a premier institute in India. This scheme helps students with financial support, providing loans at lower interest rates. Under this scheme, you can secure up to 100% financing with no processing fee, however, it applies to some specific courses to study in India only. In this blog, we’ll cover everything you need to know about the SBI Scholar Education Loan, including eligibility, expenses covered, loan amount, and repayment options. 

Key Features of SBI Scholar Loan

SBI loan scheme offers competitive interest rates and higher loan amounts without collateral for students enrolled in premier institutions. The table given below will guide you about the SBI scholar loan interest rate and many more details about the loan scheme. 

*The moratorium period is the period during which you are not required to make loan repayments toward your education loan.

*Margin money refers to the amount of money that a borrower is required to contribute towards the loan amount, while the remaining amount is covered by the lender.

What is the Maximum Loan Amount Offered Under the SBI Scholar Loan? 

Under the SBI scholar education loan, students can secure a collateral-free loan amount of up to INR 50 lakhs. However, the maximum loan amount offered under this scheme depends on the category and ranking of the institution. You can also secure a higher loan amount if you need additional funds to cover the expenses of your higher education by pledging the collateral. SBI has classified institutions into four SBI scholar loan institutes lists (AA, A, B, and C) based on their ranking. The table given below will break down for you the maximum loan amount that you can avail of under this scheme. 

What are the Expenses Covered by SBI Scholar Education Loan?

Educational expenses prevent students from pursuing their higher education. Scholar scheme aims to help students cover their costs related to education, providing financial solutions to students. Below are the expenses that are being covered under this loan scheme:

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  Tuition Fee - This is the primary cost of education that is made towards the university or college. This scheme provides full coverage of tuition fees.

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  Hostel Fee - Accommodation and food expenses for students living on campus are covered under this scheme.

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  Books, Laptops, and Study Materials - Costs of necessary academic resources are also included.

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  Travel Expenses - For students attending study tours or exchange programs, their travel expenses are covered.

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  Academic Fees - This covers examination, laboratory fees, and library.

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  Miscellaneous Expenses: Any other costs approved by the institution which is essential for education are also included. 

Eligibility Criteria for SBI Scholar Education Loan

Students are required to fulfill the specific eligibility criteria to avail of the benefits of the SBI Scholar Education Loan. This scheme is designed for such students who have secured admissions in the highly reputed institutes of India. It ensures that students with excellent academic profile get benefit from this scheme. The key requirements include:

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  You must be an Indian citizen.
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  You must have secured admission to an approved institution through a merit-based selection process. 
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  You can avail the benefits of this loan scheme if you have secured admission to a professional or technical course.

Eligible Courses for SBI Scholar Loan

SBI scholar loan scheme provides full coverage for a wide range of courses across various fields of study. Below are the courses covered:

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  Regular full-time Degree/ Diploma Courses through entrance test or selection process.
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  Full-time Executive Management Courses like PGPX.
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  No Certification / Part-time courses come under this scheme. 

Documents Required for SBI Scholar Loan

You must prepare the important documents beforehand to apply for a loan under this scheme as it will help you avoid unnecessary delays in your loan approval. Below are the SBI scholar loan documents required to apply for an education loan. 

Applicant’s Documents:

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   Proof of Identity: PAN/ passport/ driver’s license/ voter ID card.
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   Proof of Residence: Recent copy of telephone bill/ electricity bill/water bill/ piped gas bill or copy of passport/ driving license/ aadhaar Card.
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  Academic Records: 10th and 12th marksheet, graduation marksheet, entrance exam result through which admission is being taken (e.g. CAT, CMAT, JEE, NEET, CET, GMAT, GRE, TOEFL, etc.) 
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  Proof of Admission: Offer letter or admission letter from the institution
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  Schedule of Expenses: Statement of cost of study. 
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  2 passport-size photographs 

Co-applicants Documents:

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  Identity proof: PAN/ Passport/ Driver’s license/ Voter ID card or government-issued identification document.
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  Address: recent copy of telephone bill/ electricity bill/water bill/ piped gas bill or copy of passport/ driving license/ aadhaar card.
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  2 passport-size photographs.
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  If any previous loan is from other banks/ lenders, then the loan A/C statement of 1 year.
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  Legal documents of the collateral/ property documents.
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  Bank account statement of the co-borrower, for the last 6 months (in case of takeover of education loan).

Income Proof for Salaried Co-Applicant:

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  Salary slips for the last 3 months.
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  Copy of form 16 of the last 2 years or copy.
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  Bank account statement for the last 6 months (Salary account).
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  Brief statement of assets & liabilities of parent/ guardian/ other co-borrower.

 Income Proof for Self-Employed Co-Applicant:

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  Business address proof.
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  Last 2 years IT returns ( If IT Payee).
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  TDS certificate (Form 16A, if applicable).
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  Certificate of qualification (for C.A./ doctor and other professionals).
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  Brief statement of assets & liabilities of parent/ guardian/ other co-borrower.
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  Bank account statement for the last 6 months.

Interest Rates Under SBI Scholar Loan Scheme

When you plan for an education loan, one of the most important factors that you should consider is interest rates. SBI offers lower interest rates for premier institutions that make higher education affordable for students with strong academic backgrounds. SBI scholar loan interest rates are subject to periodic revisions, so it’s advisable to check with SBI for the latest updates.

The table given below provides you with scholar loan interest rates for four different categories.

How to Apply for an SBI Education Loan?

You can apply online to secure an education loan from SBI. After completing the online application form, you’ll need to visit the nearest SBI branch with the required documents. To simplify your education loan journey and avoid the complexity, you can apply for your education loan through GyanDhan. You must follow the below-mentioned steps to apply for an education loan.

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  Start your journey by checking your eligibility criteria.
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  We evaluate your profile and select the best lender for you that meets your specific needs. 
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  Our education loan counselor will contact you and provide you with a customized checklist of documents.
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  We will arrange a doorstep pickup service for your documents or a customized checklist to upload online. 
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  After receiving all your documents, we will start with the remaining formalities. 
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  We will notify you regularly about every update.
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  We will negotiate the best terms for you once your profile gets the green signal from the assigned lender. 
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  The funds will be disbursed as per the terms after we receive your approval. 

Approved Institute List SBI Scholar Loan 

SBI has a scholar loan institute list, which includes India's top educational institutions. The list is divided into different categories based on academic excellence and placement opportunities. 

AA Category Colleges for SBI Scholar Loan:

A Category Colleges for SBI Scholar Loan:

B Category Colleges for SBI Scholar Loan:

C Category Colleges for SBI Scholar Loan:

The SBI scholar loan scheme is here to help you fund your higher education in India, covering a range of expenses. The goal is to provide you with seamless access to your higher education. However, if you have further plans to study abroad, you can plan better with us. Let GyanDhan help you take the next step toward securing your future. Check your eligibility today!

Frequently Asked Questions