STAR

EDUCATION
LOAN
1
1
 Star PM
Vidyalaxmi
Loan
Star Education
PMKVY
Loan Take Over
Progressive For Domestic &
Foreign Study
of Ed
Loan Loan
 BOI Star Progressive Education Loan.
Target Group & Eligibility
Parents of students pursuing school education from pre-
school, Primary School to Senior Secondary School (Indian
Studies only).
Admission Criteria - Student should have secured admission to a
Recognized school /High school / Jr. College (including CBSE /
ICSE / IGCSE / State Board) for any of the following courses.
(i) 3-8YRS - Pre-school - Play school to 2nd class.(5YRS)(Stg-I)
(ii) 8-11YRS- Primary School - 3rd to 5th class.(3YRS)(S-II)
(iii) 11-14YRS - Upper Primary school - 6th to 8th class.(3YRS)(S-
III)
(iv) 14-16 - Secondary school - 9th and 10th class.(S-IV)
(v) 16-18 - Senior Secondary school - 11th and 12th
class.(4YRS)(S-V) Loan to be granted in the name of father / mother
.(Minimum 20 Marks out of 53)
 BOI Star Progressive Education Loan.

Quantum of finance.
(a) Maximum cap Rs. 4.00 Lakh (For each stage).
(b) Need based finance subject to repayment capacity of parents. Net take
home pay of the parent/s should be minimum 40%.
(C)Loan is to be considered for the full duration of stage as mentioned
herein above with yearly sub limits.
(d) Loan for next stage can be considered only after satisfactory completion of
earlier stage and complete repayment of loan availed
for earlier stage
Repayment Period
Loan under yearly sublimit, is to be repaid in 12 equated monthly
instalments immediately after disbursement.
Processing charges – NIL.
Security – Clean. In case the loan given includes purchase of computer /
laptop, the same is to be Hypothecated to the Bank and necessary bills /
receipts to be submitted by the borrower to the Bank.
Staff Training College - Kolkata
Repayment capacity of parents

• Total deductions from the income including the proposed instalment

and interest should not exceed.
• 75% (where monthly income is more than Rs. 5.00 Lakhs)
• 70% (Where monthly income is between Rs. 1.00 to 5.00 Lakhs)
• 60% (Where the monthly income is less than Rs. 1.00 lakh) of total
• income.
• The income of spouse, wherever spouse is working also to be
considered. Suitable proof of income is to be obtained.
 Other conditions
• The applicant/s should be
• The existing customers of our Bank having satisfactory banking
relation of minimum 12 months or Employees drawing salary
through our Bank.
• The request of new customers may also be considered, if they are
salaried (Permanent and confirmed employees) or the annual
income as per latest ITR is more than Rs.2.50 Lakhs.
• Branch to link operative account or obtain ECS for recovery of EMI
• A stamped declaration / an affidavit confirming that no Educational
loan is availed from other banks / institutions for the child for whom
loan is sanctioned by us and shall not avail educational loan from any
other bank without obtaining NOC from our bank during the
pendency of our educational loan, be obtained
 BOI Star Education Loan - Studies in India.
Eligibility Criteria

Nationality.
(i) The student should be an Indian National.
(ii)Non-Resident Indian / Persons of Indian Origin (PIO) /
Overseas Citizens of India (OCI) shall also be eligible.

Admission Criteria - Student Should have secured admission to

a higher education course i.e. Graduation, Post-Graduation,
Technical, professional and other courses in recognized
institutions in India through Entrance Test / Merit based selection
process after completion of HSC (10 plus 2 or equivalent).

Staff Training College - Kolkata

 BOI Star Education Loan - Studies in India.
Merit Channel & Management Quota.

Loan to be granted to students who have secured admission

under merit quota.
- Meritorious student who qualifies for a seat under merit quota
but chooses to pursue a course under Management quota seat in
an institution for reasons of convenience (proximity) or Choice of
course will be eligible for loan subject to.
- Margin - As per scheme norms Up to Rs.4 lacs – Nil and above
Rs.4 lacs - 5%.(10% margin for studies abroad)
- Decision on Quantum of loan - As per fee structure approved
by State Government /Government approved regulatory body for
payment seats subject to viability of repayment.
Staff Training College - Kolkata
 BOI Star Education Loan - Studies in India.
Marks Criteria - For General Category - 60% & For
SC/ST/OBC - 50%(Marks obtained in qualifying exams)
Sanctioning authority to satisfy about the risk perception, reputation of
the institution, employability of student and consequent ability to repay
the loan.
Age Limit : Usually No Age Limit for normal education loan other than
professional’s education loan

Income Limit : No Income Limit

Credit History of student-

(i) Normally, the Applicant i.e. student borrower may not have a credit history
and as such he/she is assumed to be creditworthy.
(ii) In case of adverse credit history of Applicant i.e. CIBIL personal score
less than 675 shall not be considered.
Staff Training College - Kolkata
 BOI Star Education Loan - Studies in India.

Eligible courses
(a) The course should be approved / recognised by the
designation academic authority / regulatory body for the
stream of study concerned in India.
(b) Those professional institutions / programmes, which
do not come under the ambit of NAAC or NBA, would
require approval of the respective regulatory body viz
approval of
(i) Medical Council of India for Medical courses
(ii) Nursing Council of India for Nursing courses
(iii) Bar council of India for Law etc.
Staff Training College - Kolkata
 BOI Star Education Loan - Studies in India.

Important website references for courses.

(i) www.ugc.ac.in
(ii) www.aicte.org.in
(iii) www.education.nic.in
(iv) http://mhrd.gov.in/itechnical-education-1
(v) http://mhrd.gov.in/institutions-national-importance
(vi) http://www.naac.gov.in/universities_colleges.asp
(vii) http://www.nbaind.org/accreditation-status.aspx

Staff Training College - Kolkata

 BOI Star Education Loan - Studies in India.

NRl / PIO / OCI students.

(a) NRI Student should hold Indian Passport and they
should meet other eligibility requirements.
(b) For NRI/ PIO/ OCI, co-applicant should be a
permanent resident of India. However, if the parents are
also NRI / PIO / OCI, additional co- applicant (who is a
permanent resident of India) acceptable to the bank to
be stipulated.
(c) Collateral security - 100% tangible security,
enforceable in India. Any deviation in collateral
security to be approved by NBG-LCC.
Staff Training College - Kolkata
Eligible Courses

• Courses conducted by National Institutes, like IIMs, IITs, IISc, XLRI, NIFT, NID, and other
Institutes set up by Central/State Govt.
• Courses like ICWA, CA, CFA etc (Only exam fee of the institute If no regular course).
• Course offered in India by reputed foreign universities with prior approval.
• Ineligible Courses:
• Skill Development, Study courses, Off Campus(Distance education), Onsite programme.
• Diploma course prior to graduation.
• M. Phil course in India.
• Note : As per IMC( Indian Medical Council) Ordinance 2013 with effect from 15th May
2013 "Any Indian citizen who intends to obtain medical qualification from any foreign
country on or after 15th May 2013 are not required to obtain permission/Eligibility
criteria from the Medical Council of India"
Expenses considered
• Fee payable to college/school/hostel, Examination/Library/Laboratory fee,
Caution deposit/building fund/refundable deposit supported by Institution
bills/receipts,
• Purchase of books/equipment/instruments/uniforms, Purchase of
computers/Laptops — essential forcompletion of the course. Any other expense
required to complete the course— like study tours, project work, thesis, etc.
• Life Insurance Premium for life cover of student/co borrower for total tenure of
loan(Max. Expenses under Purchase of books , other expenses and Life insurance
is 20% of Total tuition fees of the course).
• Note : Fee payable to the College/Institute shall be as per the brochure/demand
letter from the Institutions. Upward revision of the College fees/Tuition fees,
etc.needs to be considered, from time to time, with review of the account, subject
to compliance of other terms i.e. quantum of loan, top up loan and margin.
• For courses under Management quota seats considered under the scheme, fees as
approved by the State Government/Government approved regulatory body for
payment seats will be taken, subject to viability of repayment
Reimbursement of fees

• Reimbursement of fees paid in advance or at the time of

selection/admission for first year of admission before applying for
loan is permitted.
• No reimbursement is to be made in case of non compliance of
sanction terms
• However, reimbursement for more than first year expenses may be
considered by NBGLCC for genuine need based cases only.
 BOI Star Education Loan - Studies in India.

Parties to the Loan.

(a) The joint borrower should normally be parent(s) / guardian of
the student borrower.
(b) In case of a married person, joint borrower can be spouse or
the parent(s) / parent-in-law.
(c) However, if the Parent(s) / guardian / spouse is having
adverse credit history, then a joint borrower acceptable to
the Bank to be obtained. Other person taken as joint borrower
should be a relative or a person genuinely concerned about the
well- being / education of the student.
(d) For NRI / PIO / OCI, co-applicant should be a permanent resident of
India. However, if the parents are also NRI / PIO / OCI, additional co-
applicant (who is a permanent resident of India) acceptable to the bank
may be stipulated.
Staff Training College - Kolkata
 BOI Star Education Loan - Studies in India.

Quantum & Reimbursement of expenses

(a) Need based finance to meet expenses, subject to earning
potential of students upon completion of the course and not the
parental income / family worth, worked out taking into account
the margin stipulated, subject the following ceilings
(i) Maximum Rs. 150 lakhs or > 150.00lakhs for pursuing of
Medical course (excluding nursing) for Graduation / post-
graduation studies in India. In case of loans for Medical students,
Bank guarantee facility as sublimit of Term Loan, can also be
considered.
(ii) Maximum Rs150 lakhs for Graduation / post-graduation
studies other than Medical courses in India.

Staff Training College - Kolkata

 BOI Star Education Loan - Studies in India.

Top up Loan

In cases where the students pursuing further studies within the

overall eligibility limit, top up loans may be considered, even if
moratorium of the first loan is over and repayment of the first loan
has been already commenced. The repayment of both the loans
will commence after the completion of the second course and
further moratorium period, as provided under the scheme.

Margin
NIL up to loan amount of Rs. 4.00 Lakhs. Above Rs. 4.00 Lakhs
– 5%. Loan up to Rs.7.50 lakhs to be covered under Credit
Guarantee scheme.(Scholarship to be included in Margin)
Staff Training College - Kolkata
Margin Norms For Higher Limits

• Higher limit for both medical and Nonmedical courses up to Rs.

150.00 lakhs can be considered at thelevel of ZLCC &Limit above Rs.
150.00 lakhs can be considered at the level of NBGLCC and above in
respect of recognized courses of approved universities / institutions
subject to evaluation of course/employability, subject to:
• Loan limit to be fully secured by tangible collateral security and
margin to be stipulated at 25%.
• Servicing of interest during moratorium period as and when
applied. However, Servicing of interest during moratorium period
shall be optional by student.
Security

• Up to Rs. 4 lakh:
• Parent(s) or co-borrower to be joint borrowers,
• Clean (No Security) cover under CGFSEL is mandatory,
• Authority to waive Co-borrower rest with ZLCC in case to case basis.
• Loans to be considered on individual basis. Collateral free loan of Rs.
4.00 lakh is student specific & not family specific.
• From Rs. 4 lakh to Rs. 7.50 lakh:
• Parent(s) or co-borrower to be joint borrowers,
• No collateral,
• Only obtention of cover under CGGSEL is mandatory.
Security

• Above Rs. 7.50 lakh:

• Parent(s) or co-borrower to be joint borrowers,
• Tangible Collateral security of suitable value acceptable to the
Bank,
• Assignment of future income.
 BOI Star Education Loan - Studies in India.

Repayment.
(a) Repayment holiday / moratorium – Course period + 1 year.
(b) Repayment period – 15 years after completion of moratorium
period. Repayment of the loan will be in equated monthly
installments for a maximum period of 15 years for all categories
(excluding course and moratorium period). No prepayment
penalty will be levied for prepayment of loan at any time during
the repayment period.
(c) 15 years of repayment of the loan has to be reckoned from
the date of commencement of repayment and not the date of first
disbursement.
(d) Additional moratorium period / re-schedulement of accounts is
permitted / warranted.
Staff Training College - Kolkata
 Interest Rate Concession

• Student’s pursuing Professional courses like Medical / Engineering

/ management etc. are eligible for 0.50% concession.
• Interest concession of 0.50% for loans / advances to women
beneficiaries.
• 1% interest concession for servicing of interest during study
period and subsequent moratorium period prior to
commencement of repayment.
 BOI Star Education Loan - Studies in India.

Further concession of 0.50% in addition to existing

concessions, applicable in the following cases.
(i) Where the loan limit is more than Rs. 20 lakhs and
where more than 100% collateral security is available to
cover the loan amount likely interest to be accrued
during moratorium period
Or
(ii) Education loan to students belonging to 184 Credit
Deficient Districts, as notified by RBI, irrespective of
loan limit and collateral security.
Max. Concession 2.50%
Staff Training College - Kolkata
 BOI Star Education Loan - Studies in India.

Insurance – Student Life Insurance –

(a) Bank offers specially designed insurance from SUD Life. The
Insurance policy to be obtained at the option of the student.

(b) Insurance of property / Asset charged to Bank – Premium of

Insurance of property / asset, taken as collateral security
covering the loan amount, to be obtained from borrower.

Staff Training College - Kolkata

 BOI Star Education Loan - Studies in India.

Bank Charges.

(a) No Processing charges – for study in India.

(b) One time charge for any deviation from the scheme norms
including approval of courses outside the scheme.
(i) upto Rs. 4 lakhs – Rs. 500/-
(ii) over Rs. 4 lakhs and upto Rs. 7.50 lakhs – Rs, 1500/-
(iii) over Rs. 7.50 lakhs – Rs. 3000/-

Staff Training College - Kolkata

 BOI Star Education Loan - Studies in India.
Coverage under Credit Guarantee Funds Scheme for
Education Loans (CGFSEL) –

All educational loans upto Rs. 7.50 lakhs conforming to the

guidelines of IBA Model Education Loan Scheme for pursuing
studies in India and Abroad are eligible for coverage under
CGFSEL by National Credit Guarantee Trustee Company
(NCGTC).
(a) Loans sanctioned on and after 16 Sep 2015.
(b) Loan limit – Maximum Rs. 7.50 lakhs.
(c) No Third party Guarantee or collateral security.
(d) Maximum Interest Rate to be 2% over Base Rate / MCLR of
the Bank.
Staff Training College - Kolkata
 ELIGIBLE COURSES STUDY ABROAD
Student should have secured admission to a higher education
course i.e. Graduation, Post-Graduation, Technical, professional and
other courses in recognised institutions abroad through Entrance
Test / Merit based selection process after completion of HSC (10
plus 2 or equivalent).
Institutes or Universities upto world ranking of 3000 provided in
website www.webometrics.com)/ the Institutes or Universities upto
world Ranking 1000 provided in the website
www.topuniversities.com / www.qs.com will be covered.
Regular full time Degree/Post Graduation courses approved by the
designated academic authority/regulatory body for the stream of
study concerned in the respective country.
M. Phil courses to be considered for studies abroad.
Additional expenses covered

• Travel expenses/passage money for studies abroad (one way airfare only).
• Maximum Quantum: Max: Rs.150.00 lakhs for pursuing of both Medical and
Non-Medical courses for Graduation/post-graduation studies.
• Margin : Upto Rs4.00lacs : Nil
• Above Rs4.00lacs : 10%
• Loan up to Rs.7.50 lakhs to be covered under Credit Guarantee scheme.
• Loan avobe Rs7.50lacs : Suitable Collateral security Acceptable to the Bank.
• Banks can also issue the Financial Capability Certificate for students going
abroad for higher studies. For this purpose, financial and other supporting
documents may be obtained from applicant, if required.
Security (Changes only)

• For Studies abroad in Top 400 premier institutes as per

Webometrics:
• In case of Top 200 Institutes
• Co-obligation of parents/guardian as co-borrowers.
• Assignment of future income of student
• Up to Rs.20.00 Lakhs - No collateral security. (If CIBIL Score of Co-
Applicant is 750 and above)
• Above Rs.20.00 Lakhs — Minimum 75% liquid Security or 100%
Security in form of NSC/KVP/LIC or Immovable properties
• Subsidy : Dr.Ambedkar Central Sector Subsidy Scheme on Educational
Loans for Overseas Studies for OBC's and EBC's (ACSISOBCEBC).
Security (Changes only)

• For Studies abroad in Top 400 premier institutes as per

Webometrics:
• In case of Top 201-400 Institutes
• Co-obligation of parents/guardian as co-borrowers.
• Assignment of future income of student
• Up to Rs.10.00 Lakhs - No collateral security. (If CIBIL Score of Co-
Applicant is 750 and above)
• Above Rs10.00 Lakhs — Minimum 75% liquid Security or 100%
Security in form of NSC/KVP/LIC or Immovable properties
• Subsidy : Dr.Ambedkar Central Sector Subsidy Scheme on Educational
Loans for Overseas Studies for OBC's and EBC's (ACSISOBCEBC).
 MARGIN
For Study in India:
(a) As per scheme norms Up to Rs.4 lakh – Nil
(b) Above Rs.4 lakh - 5%.
For Study Abroad:
(a) Upto Rs. 4 lakh –for all courses – NIL.
(b) Above Rs. 4 lakh–for all courses – 10%.
Scholarship / assistantship to be included in margin.
Margin need brought-in on year-to-year basis as and
when disbursements are made on a pro-rata basis.
Loan upto Rs. 7.50 lakh to be covered under
CGFSEL.
 SECURITY NORMS
Up to Rs. 4 lakh:
a. Parent(s) or co-borrower to be joint borrowers,
b. Clean (No Security) cover under CGFSEL is mandatory,
c. Authority to waive Co-borrower rest with ZLCC in case to case basis.
d. Loans to be considered on individual basis. Collateral free loan of Rs. 4.00
lakh is student specific & not family specific.
From Rs. 4 lakh to Rs. 7.50 lakh:
a. Parent(s) or co-borrower to be joint borrowers,
b. No collateral,
c. Only obtention of cover under CGGSEL is mandatory.
Above Rs. 7.50 lakh:
a. Parent(s) or co-borrower to be joint borrowers,
b. Tangible Collateral security of suitable value acceptable to the Bank,
c. Assignment of future income.
Insurance: Bank offers specially designed insurance from Star Union Dai-Ichi Life
Insurance Com. The insurance policy to be obtained at the option of the student.
 SECURITY
The sanctioning authority can consider collateral security in the form of
Agricultural Land in the name of student/ parent / guardian/Guarantor
subject to compliance of:
1. Agricultural properties will be accepted as Collateral Security for
Education loans, only in States where it is permitted to mortgage
Agricultural Land for purpose other than Agricultural Activities.
2. Agricultural Land accepted as collateral security should be properly
demarcated with boundaries and easily accessible/marketable.
3. The maximum quantum of loan under the Scheme will be Rs. 15.00
lakh for inland studies & Rs. 30.00 lakh for abroad studies.
4. Life insurance of the student is mandatory to the tune of the loan
amount preferably from our tie-up partners.
 REPAYMENT
Repayment to start one year after completion of
course.
For loans of all categories: 15 years
In case the student goes for further studies with
or without Bank loan, account should be
appropriately reviewed after due verification.
No prepayment penalty for prepayment any time
during repayment period,
Sanctioning authority has discretion to consider
appropriate extension where student is not able to
complete the course due to reasons beyond his
control.
 RATE OF INTEREST
Floating Rate of Interest linked to RBLR, per annum, at monthly rests, as
advised from time to time.
Student’s pursuing Professional courses like Medical / Engineering /
management etc. are eligible for 0.50% concession.
Interest concession of 0.50% for loans / advances to women beneficiaries.
1% interest concession for servicing of interest during study period and
subsequent moratorium period prior to commencement of repayment.
Further concession of 0.50% in addition to existing concessions, applicable in
the following cases.
(i) where the loan limit is more than Rs. 20 lakh and where more than 100%
collateral security is available to cover the loan amount likely interest to be
accrued during moratorium period. Or
(ii) Education loan to students belonging to 184 Credit Deficient Districts, as
notified by RBI, irrespective of loan limit and collateral security.
Simple interest to be charged during the repayment moratorium period.
1% interest concession provided if the interest is serviced during the
Study/moratorium period prior to commencement of repayment. The concession
is available only during moratorium period.
This interest refund to be effected on quarterly basis.
 PROPOSAL PROCESSING CHARGES
PPC: NIL (If Study in India),
Sanction letter for obtaining VISA (for study abroad):
Rs.5,000/- plus GST which can be refunded excluding GST
if the loan is availed.
 One time charges for any deviation from the scheme
norms including approval of course outside scheme:
Up to Rs. 4.00 lacs: Rs. 500/-
>Rs.4.00 lakh up to Rs. 7.50 lacs: Rs. 1500/-
> Rs.7.50 lakh up to Rs. 20 lacs: Rs. 3000/-
VLP Portal Charges – VLP charges of Rs. 100/- plus 18%
GST to be collected from the student at the time of
sanction.
EXECUTION OF SECURITY DOCUMENTS

Documents executed jointly by student (if

major) & co-borrower (Parent or
Guardian).
In case of minor student (below 18 years
of age), only co-borrower shall execute
documents & fresh set of documents shall
be signed by both student & co-borrower
on minor attaining majority.
 JOINT BORROWER
Normally Parent or Guardian of student,
In case of married student –
Spouse/Parents/Parents in law.
In case relatives with adverse credit
history – Joint borrower acceptable to the
Bank can be obtained but he should be
relative or a person genuinely concerned
about education & well being of the
student.
PM Vidyalaxmi Loan (118/216 dated
27.01.2025)

• Eligibility : The student should be an Indian National

(including Non-Resident Indian [NRI).
• Student Should have secured admission in one of 860
QHEls India through open competitive
examinations/Merit based selection process for
degree/ Diploma course. Student admitted through
management or NRI quota are not eligible under the
scheme.
• Courses: For all regular Degree/Diploma courses
conducted by 860 QHEls.
PM Vidyalaxmi Loan (118/216 dated
27.01.2025)
• Expenses covered:
• a)Fee payable to college/school/hostel.
• b) Examination/Library fee.
• c) Caution deposit/building fund/refundable deposit supported by
Institution bills/receipts.
• d) Purchase of books/equipment/instruments/uniforms.
• e) Purchase of computers/Laptops
• f) Any other expenses required to complete the course - like study tours,
project work, thesis, visit to foreign Universities under student's exchange
programme etc. These items may not be available in the schedule of fees.
Therefore, a realistic assessment may be made of the requirement under
these heads.
• g) Life Insurance Premium for life cover of student/co- borrower for total
tenure of loan.
PM Vidyalaxmi Loan (118/216 dated
27.01.2025)
• Quantum of loan : Collateral Free and Guarantor free education loan
without any ceiling.
• Margin : Loan upto Rs.4.00 Lakh- Nil
• Loan Above Rs4.00lakhs Lakh — 5%
• Repayment period :
• Repayment holiday/Moratorium: Course period + 1 year
• Repayment Period: Repayment of the loan will be in equated monthly
installments for a maximum period of 15 years for all categories. No
prepayment penalty will be levied for prepayment of loan at any time during
the repayment period.
• Interest rates: Category A, B & C @ RBLR
• Category D RBLR+0.50%
• No concession applicable for servicing of interest during study / moratorium
period.
• Security : Co-obligation of parents/guardian as co-borrowers
PM Vidyalaxmi Loan (118/216 dated
27.01.2025)
• Disbursement:Directly to Institution / hostel -- term wise / year wise.
• Directly to book seller / shop for purchase of books, instruments,
equipment.
• Next year disbursement to be made only after student has passed
the current year annual examination & progress report / mark sheet to
that effect is produced by parents.
All educational loans up to Rs.7.50 Lakh are eligible for coverage under
CGFSEL by National Credit Guarantee Trustee Company(NCGTC) :
i) Loan Limit : Maximum 7.50 Lakh
• No Third Party Guarantee or collateral security
PM Vidyalaxmi Loan (118/216 dated
27.01.2025)
• Life insurance :
• Credit Life cover in the name of the student borrower Loan Amount
Upto Rs10.00 Lakh — To be obtained at the option of the borrower
• Loan Amount above Rs10.00 Lakh- Mandatory Credit life insurance
upto the loan amount sanctioned to be obtained.
• Interest Subvention:
• A student whose annual family (Student, parents & Spouse) income
is above Rs.4.50 Lakhs to Rs8 Lakhs and who is pursuing any course
from these quality HEls shall be eligible to get 3% interest
subvention for education loans up to Rs10 lakhs. If education loan
amount is more than Rs.10 lakhs, interest subvention shall be
provided for disbursed total principal amount of loan up to Rs10
lakhs only.
PM Vidyalaxmi Loan (118/216 dated
27.01.2025)
• Once the application for interest subvention gets approved, the
student will get SMS, email and whatsapp message to install the e-
voucher/Programmable CBDC wallets on their mobiles. On receipt
of claims from Banks, interest subvention amount will be credited
to e-voucher/ Programmable CBDC wallet of each student.
• Once the student opts for redemption of the e-voucher /
Programmable CBDC towards repayment of his/her education loan
amount, this interest subvention amount shall get credited to
his/her education loan account through Direct Benefit Transfer
(DBT) towards interest payment through Public Financial
Management System (PFMS) Portal.
• If the student does not exercise this option within 3 months of
credit, the amount shall be transferred back to the account of the
DHE. In such a case, the student will not get the interest subvention
for that academic year
STAR EDUCATION LOAN TO WORKING
PROFESSIONALS
• Employment Criteria : Should be permanent employee of the Central
Govt. /State Govt. / reputed Private Sector/ MNC/ Public Sector
companies or Institutions.
• • Should be gainfully employed during the tenure of course period.
• Age : The Applicant should be below 55 years of age and should have a
work experience of at least 2 years.
• Admission Criteria :
• The Applicant must secure admission in a Part-Time or Distance
Education course of recognized universities.
• Online/Offline Executive Diploma/Certificate Programs (EDP) provided
by top notch B schools listed in "List —A“ under Star Vidya Loan scheme
STAR EDUCATION LOAN TO WORKING
PROFESSIONALS
• Credit History of student :The credit history of Applicant to be ascertained through
CIBIL report and the Applicant should have CIBIL score of minimum 675 or No credit
history (-1 / 0).
• Parties to Loan : No co-applicant required. Only student borrower as Applicant will
suffice.
• Max Quantum of Loan : Maximum loan amount should not exceed Rs.20.00 Lakh.
• Margin : Upto Rs4.00lacs : 5%, Above Rs4.00lacs and upto Rs7.50lacs : 10%
• Above Rs7.50lacs : 15%
• Margin to be brought-in on year-to-year basis as and when disbursements are made
on a pro-rata basis.
• Repayment : No moratorium period after completion of course. Loan to be repaid by
the age of 60 years or 10 years after completion of course period, whichever is earlier.
• Security : Upto Rs4.00lacs : NIL , Above Rs4.00lacs : Fully secured by Tangible
Collateral security.
Take over of Education loans
• Takeover of Education loan along with other credit facilities
simultaneously having collateral security.
• Takeover of Education loans of those students pursuing studies in
Premier Educational Institutes (As per the list of Institutions
enclosed under Star Vidya Loan scheme) with or without any
collateral security.
• Accounts with or without completion of moratorium period
• Accounts wherein there is no subsidy pending from the Govt.
• Account meant for take-over should be of standard category (other
than SMA 1 & 2) with other Bank/FII/NBFCs.
• CIBIL personal score of both student borrower and co borrower
shall be 675 and above.