Many banks do not offer absolute fixed interest rate, i.e. when the interest remains fixed during the tenure of the loan. They generally offer a fixed rate loan with a reset clause. This indicates that bank will have the right to revise the interest rate after 2 or 3 years or whenever they feel the necessity to increase interest rate. These details vary from bank to bank. So, remember to check the details and make sure that you take right decision between fixed and floating interest rate loans. Also, the decision between a fixed and floating interest rate depends upon the risk appetite of a loan taker. If you are totally risk hostile and do not want to face the prospect of your repayment tenure shooting up in the event of an upward movement of interest rates, then opt for genuine fixed rate education loans. They may charge a slightly higher interest rate than the education loan that offers a mix of both, but you will have better control of the outgo and your overall expenses. Dhanlaxmi Bank education loans are among the best in the market and provide the most customer-friendly interest rates.
Fees and Charges
The following fees and charges are applicable under the Education Loan scheme offered by Dhanlaxmi Bank:
No Due Certificate / No Objection Certificate (NOC)
Duplicate No due Certificate or NOC
Rs.250 for studies abroad
Charges for late payment of EMIs
24% p.a. on the outstanding amount from the date of default
Cheque Swapping Charges
Rs.500 per instance
Loan Re-booking Charges or Loan Re-scheduling charges
Loan Cancellation Charges
Cheque bounce Charges
Rs.500 per cheque
Legal / Incidental Charges
The following loan documents are required to be submitted at the time of applying for the loan:
- Photocopies of all certificates from the previous examinations from SSC onwards.
- To ensure that the loan amount is not being used for unnecessary purposes, a certificate from the recognised college or university must be issued after every year stating that the student is continuing his/her education with the college.