ICICI Bank Education Loan

Updated: 16-09-2020 08:02:25 AM

ICICI Bank is one of the leading banks that provides education loan in India. ICICI Bank believes that it is their responsibility to provide financial aid to students, as the students’ work should end at finalizing at the institute and course they want to take. Students who are taking ICICI Bank loans can rest easy that the bank will guide them through the process of taking the loan whether it is for a course pursued domestically or internationally.

ICICI Bank is one of the leading banks that provides education loan in India. ICICI Bank believes that it is their responsibility to provide financial aid to students, as the students’ work should end at finalizing at the institute and course they want to take. Students who are taking ICICI Bank loans can rest easy that the bank will guide them through the process of taking the loan whether it is for a course pursued domestically or internationally.

Salient Features about ICICI Bank Student Loans

• All college expenses including and not limited to tuition, examination, study tours, etc.
• Insurance premium for the students who avail the student loan
• Student loan also covers travel expenses or passage money for studies overseas

ICICI Bank Education Loan Interest Rates

ICICI Bank charges a fixed interest rate on its student loans.

Interest Rate	Course/Location
11.5%	PG/UG Domestic/ International

Please note that the interest rate starts at 11.5%, it also depends on the course taken and the institute rolled into by the student.

Features and Benefits of ICICI Bank Education Loan

ICICI Bank being one of the premier banks of India has come up with attractive schemes and benefits that ensures the student is not burdened with troublesome details or fine prints. The salient features of ICICI Bank Education Loan are:

1. Collateral Free Loan*.
2. Flexible repayment options.
3. Tax benefit under section 80 E of Income Tax Act of India, 1961.
4. Zero processing fees*.
5. Quick and hassle free process.
6. Preferential forex rates for international disbursements.

*Terms and Conditions Apply

ICICI Bank Education Loan

ICICI Bank charges the students the same base interest rate of 11.5 % whether they plan to study in India or go overseas. The details for Domestic and International students are shared below:

Domestic Students

The students who plan on pursuing higher education in India are:

Details	Post Graduate	Under Graduate
Interest Rate	Starts at 11.5 %
Loan Tenure Without Collateral	Up to 8 years post course period with additional 6 months	Up to 5 years post course period with additional 6 months
Loan Tenure with Collateral	Up to 10 years post course period with additional 6 months	Up to 7 years post course period with additional 6 months
Maximum Loan Amount	₹ 50 Lakh
Collateral Requirement	As per the institute. Collateral-free loans for select institutes: Up to ₹ 20 lakh for UG and up to ₹ 40 lakh for PG courses.
Moratorium Period	As per the course and institute.
Margin	15% margin (Margin/ FD/ Scholarship) only for loans above ₹ 20 Lakh.

International Students

The various details for students who plan on studying abroad are:

Details	Post Graduate	Under Graduate
Interest Rate	Starts at 11.5 %
Loan Tenure Without Collateral	Up to 8 years post course period with additional 6 months	Up to 5 years post course period with additional 6 months
Loan Tenure with Collateral	Up to 10 years post course period with additional 6 months	Up to 7 years post course period with additional 6 months
Maximum Loan Amount	₹ 1 Crore
Collateral Requirement	As per the institute. Collateral-free loans for select institutes: Up to ₹ 20 lakh for UG and up to ₹ 40 lakh for PG courses.
Moratorium Period	As per the course and institute.
Margin	15% margin (Margin/ FD/ Scholarship) only for loans above ₹ 20 Lakh

ICICI Bank understands that tuition fees are just part of the expenses incurred by the students. The bank also gives funds for the following non tuition related expenses:

• Examination, library, and laboratory fees.
• Hostel fees, travel expenses, and passage money for overseas studies.
• Insurance premium for student borrower.
• Caution deposit, building fund or refundable deposit supported by institution bills and receipts.
• Books, equipment, uniforms, instruments, etc.
• Reasonably priced computer if deemed necessary to complete the course.
• Any expenses that are required to complete the course like study tour, project work, or thesis.

Eligibility Criteria for ICICI Bank Education Loan

ICICI Bank reserves the final right to decide whether someone is eligible for an education loan. However, there are some basic eligibility criteria that a customer should meet, should he apply for an education loan. The criteria are:

• The prospective student should be an Indian National.
• The prospective student should have secured admission or invite from university, in an approved university or college.
• The prospective student should have cleared 12^th standard, (10+2).

Eligible Courses

ICICI Bank Education Loan is only provided for these specific courses.

Domestic

Domestic courses that are approved for student loan by ICICI Bank are:

Courses that lead to Graduate, Post Graduate degree/diploma conducted by recognized colleges or universities recognized by the University Grants Commission, All India Council for Technical Education, Government, All India Board of Management Studies, Indian Council of Medical Research, etc.

International

ICICI Bank does provide education loans for students headed abroad, the only criterion they have set is that the course that the student enrolls in should be job oriented.

Documents Required for ICICI Bank Education Loan

The following documents are required by the bank in order to be considered for a loan.

• Know your Customer (KYC) documents of both the student and co-borrower.
• Mark sheets of 10^th, 12^th standard, graduation and entrance exams.
• Admission Letter
• Fee structure
• Income Proof of co-borrower*
• Residential, commercial property plots (Non-agricultural). **
• Fixed deposits. **

*Income proof required only for specific courses.
** Only asked for when ICICI Bank seeks security/collateral from the borrowers.

For Know Your Customer (KYC) checks. The following documents are sought against the varied categories:

Identity Proof	Passport, PAN Card, Aadhaar Card, Voter’s ID Card, Driving Licence, Photo Credit Card, Central and State Govt. issued Photo ID Proof, Defence ID Card, etc.
Residence Proof	Aadhaar Card, Ration Card, Passport, Bank Account Statement, Voter’s ID Card, Letter from any recognized public authority, Telephone Bill, Electricity Bill, Water Bill etc (not more than 3 months old), etc.
Income Proof	Salary Slips (not more than 3 months old), Bank Statements (not more than 3 months old), ITR, Form-16, etc.

How to Apply for ICICI Bank Education Loan

Students who seek to apply for education loan to study domestically or internationally can apply for the loan through any of the two ways provided below.

• Online

To apply for ICICI Bank Education Loan online head over to the ICICI Bank Education Loan application portal. Fill out the form and submit it. A representative from ICICI Bank Education Loans will get in touch with you as soon as possible. The Representative will only call you between 10:00 am and 7:00 pm, Monday to Saturday.

• Offline

Students seeking ICICI Bank Education Loan can also visit the nearest ICICI Bank branch to apply for the education loan. To locate the nearest ICICI Bank branch you can visit this link, mention your location, and then click on search icon. The search results will show you all the nearest ICICI Bank branches.

Calculate EMI of Education Loan through Paisabazaar.com

Borrowers who have applied for a student loan can also check on the amount of Equated Monthly Installments (EMI) they are required to pay easily through Paisabazaar’s simple and easy to use tool. Follow the steps laid out below to use Paisabazaar’s student loan EMI calculator.

1. Go to paisa bazaar’s student loan EMI calculator.
2. In Loan Amount enter the amount you borrowed from the bank.
3. In Rate of Interest enter the interest that the bank is charging you.
4. In Loan Tenure enter the time period under which you have to pay off the loan.

On the right side of the screen, you will see the EMI that you are liable to pay with the given combination of loan principal, tenure, and rate of interest. The EMI can vary if you change the contributing factors of the education loan EMI calculator.

The EMI calculator makes it really easy to compare various education loans as you can check in real time the varied EMIs that are associated with various banks.

ICICI Bank Education Loan Frequently Asked Questions

Applying for a student loan can be hectic and confusing especially for first time applicants. Here are some frequently asked questions that will help answer some of the questions you might have with education loans.

 1 – Can I apply for subsidy on ICICI Bank education loan?

Yes, you can apply for subsidy on your education loan if the student’s parents have a total income of less than ₹ 4.5 lakh from all sources. For more detail you can visit government of India’s page on Central Sector Interest Subsidy Scheme, 2009.

2 – Does ICICI Bank charge processing fee for the education loan?

ICICI Bank does not usually charge a processing fee, but depending on the college and course applied for the bank may charge a processing fee.

3 – Can I get a loan exemption on the student loan?

Yes you can get exemption under section 80 E of Income Tax Act of India, 1961. You can claim the interest paid on the education loan as a deduction.

4 – How much can I borrow from the bank?

ICICI Bank offers loans up to ₹ 50 lakh of for domestic courses and up to ₹ 1 crore for international courses.

5 – Do I have to start paying the EMIs right after college?

No ICICI Bank gives you 6 additional months to secure a job and land on your feet before you have to start paying the EMIs

6 – How much of the education cost will be funded by ICICI Bank Education Loan?

ICICI Bank will cover 100% of your education loan up to ₹ 20 lakh. After that there will be a margin of 15%.

7 – Does ICICI Bank student loan only cover tuition fee?

No, ICICI Bank student loans covers not just the tuition fees but also hostel fee, lab fee, or even a study tour or laptop if it is required to finish a course.

8 – Does ICICI Bank student loan cover travel expense?

Yes ICICI Bank student loans cover travel expenses.

9 – Does ICICI Bank allow pre-payment or part payment?

Yes ICICI Bank has not placed any restrictions on pre-payment or part payment of your education loan.

10- How soon will the loan be disbursed if I am going overseas to pursue my education?

You can expect a pre-visa disbursal of your loan amount.