filter your search allcollegesexamnews

Karur Vysya Bank Education Rate of Interest

The bank offers many benefits.

  • Faster processing is one of them.
  • There is no margin for a loan up to INR 4 Lacs.
  • No processing fee is charged in any form.

The interest rates are in accordance with the RBI guidelines.

  • The minimum interest rate is 11.85%.
  • The maximum interest rate is 12.35%.
  • Girls get a concession of 0.5%.

CALCULATE YOUR EDUCATION LOAN EMI

Fill the Loan Amount
Fill the Interest Rate
Fill the Loan Tenure
EMI Payable

188 per month

Total Interest

1,280

Payable Amount

11,280

Total Interest
Principal Loan Amount

Looking for admission for India and Abroad?

Know Fees

Karur Vysya Bank Education Loan Eligibility

loan eligibility image
  • Indian National. The applicant should be a citizen of India or should have a valid passport of India.
  • Admission Basis. The admission to the university/institute should have been on the basis of an entrance exam or on a merit basis.
  • Guarantor. The candidate will need to bring his/her father/guardian as guarantor, in case of Individual loans only.

Compare Your Bank

Popular banks:SBIPNBHDFCAxisICICI

Select a bank to compare

SBI
PNB
HDFC
Axis
ICICI
Canara
Bank of Baroda
Allahabad Bank
Indian Bank
IDBI
Karnataka Bank
Kotak Mahindra Bank
Oriental Bank of Commerce
Syndicate bank
Saraswat Bank
UCO Bank
Union Bank of India
Vijaya Bank
Bank of Maharashtra
Central Bank of India
Dena Bank
Dhanlaxmi Bank
Bank of India
RBL Bank
Dombivli Nagari Sahakari Bank Ltd.
Federal Bank
Corporation Bank
Indian Overseas Bank
Abhyudaya Bank
South Indian Bank
GP Parsik Sahakari Bank
Pragathi Krishna Gramin Bank
Karur Vysya Bank
New India Co-Operative Bank
Andhra Bank
Punjab and Sind Bank
Tamilnad Mercantile Bank
Jammu and Kashmir Bank
United Bank of India
InCred
Auxilo
Avanse
Bajaj Finance Limited
Tata Capital Finance Limited
Fullerton India Credit Company Limited
Bank / FinancerKarur Vysya bank
Change Bank
SBI
Change Bank
PNB
Change Bank
Axis Bank
Change Bank

Applicable Rate of Interest Minimum: 11.85%
Maximum: 12.35%
Up to INR 7.50 Lacs: 10.55%
Above INR 7.50 Lacs: 10.80%
up to INR 7.5 Lacs: MCLR + 2.00%
above INR 7.5 Lacs: 2.60%
Upto 4 Lacs- 16.50%
Upto 7.5 Lacs- 17.50%
Above 7.5 Lacs- 15.50%
Max Loan with Collateral For India: INR 10 Lacs
For Abroad: INR 20 Lacs
For India: 10 Lacs
For Abroad: 20 Lacs
For India: 10 Lacs
For Abroad: 20 Lacs
For India: 10 Lacs
For Abroad: 20 Lacs and beyond based requirement
Max loan without collateral For India: INR 10 Lacs
For Abroad: INR 20 Lacs
For India: 10 Lacs
For Abroad: 20 Lacs
For India: 10 Lacs
For Abroad: 20 Lacs
For India: 10 Lacs
For Abroad: 20 Lacs and beyond based requirement
Processing Fee Nil(but INR 110 are for Vidyalakshmi Portal Handling Charges)
Up to INR 4 Lacs: Nil
Above INR 4 Lacs: INR 5000
Nil
Nil
Repayment Period 5 to 7 years
15 years
15 years
7 years
Loan for top institutions No
Yes, SBI Scholar Loan Scheme
Yes, PNB Pratibha
No
Margin Up to 4 Lacs: No margin
Above 4 Lacs:
For India-5%
For Abroad-15%
For loan above INR 4 Lacs
In India: 5%
In abroad: 15%
Up to INR 4 Lacs - NIL
Above INR 4 Lacs - 5%
Upto loan 4 Lacs: No margin
Above 4 Lacs: for India: 5%
for Abroad: 15%
Age Limit No age criteria
no age limit
No age limit
No
Loan Security Up to INR 4 lacs: Parents as co-applicants.
INR 4 lacs to INR 7.5 lacs: Parents as co-applicants, and a suitable third party guarantee.
Above INR 7.5 lacs: Parents as co-applicants and suitable tangible security along with the assignment of student's future income.
Upto 7.50 Lacs: Only Parent/ Guardian as co-borrower. No Collateral Security or third party guarantee
Above INR 7.50 Lacs: Tangible security along with parents as co borrower
Upto INR 7.50 Lacs: Parent(s)/guardian be made joint borrower (s). No tangible Security and /or 3rd party guarantee is required.
Above INR 7.50 Lacs: Parent(s)/guardian be joint borrower(s). Tangible collateral security of suitable value acceptable to bank.
Third party guarantee
Collateral security
Additionally, assignment of LIC policy in favor of bank amounting 100% of education loan amount
Assignment of Future salaries in favor of Axis Bank
Eligibility concession for SC/ST No
No
50% for SC/ST, and;60% for General category.
No
Processing Time 15 days
20 days
15 days
14 Days
Prepayment charges Nil
Nil
Nil
Nil
Penal charges No
Penal interest @ 2% to be charged for loans above Rs.4 lacs for the overdue amount and overdue period
Nil
@ 2% per month on the overdue installment/s
Mandatory insurance cover Yes
Yes
yes
yes
Travel expeneses Yes
yes
yes
yes
Bank transfter allowance No such clause mention
available
available
No such clause mentioned
Top up loan availability Unavailable
yes
available
unavailable
Interest Subsidy Schemes Skill Loan Scheme
CSIS
Padho Pardesh
CSIS
Skill Loan Scheme
Padho Pardesh
CSIS
Skill Loan Scheme
CSIS
Tax benifit Yes
yes
yes
yes
Concession/benefits Faster processing of loan
0.5% concession on interest rates to girl/female students
No processing fee
Availability on Vidyalakshmi Portal
Concession to girl students
1% concession if interest is serviced during moratorium period including course period
0.5% concession to girl students
0.5% concession if interest is serviced during moratorium period including course period
Online application
There is no processing fee charged
No pre- payment charges are applied
No pre- closure charges are applied
Loan Disbursal period is 15 working days from the date of final submission of documents
SHOW MORE

How to apply for Karur Vysya Bank Education Loan ?

Karur Vysya Bank Education loan application form can be available online or offline at Bank branches.

Visit the official website for Karur Vysya Bank Education Loan.

Click on Apply Now.

Fill out the form with essential details.

Upload the mandatory documents required.

Submit the form and take out a print out of the application.

Visit the bank branch for further formalities.

Applicants can directly visit the nearest branch and ask for an application form. The bank representative will then guide them with all the necessary information regarding eligibility, documents required and also which loan is best suitable.

Karur Vysya Bank Education Loan Details

Loan Limit
For India: INR 10 Lacs
For Abroad: INR 20 Lacs
Margin
Up to 4 Lacs: No margin
Above 4 Lacs:
For India-5%
For Abroad-15%
Processing Fee
Nil, although INR 110 are needed to be paid as Vidyalakshmi Portal Handling Charges
Loan Security
Up to INR 4 lacs: Parents as co-applicants.
INR 4 lacs to INR 7.5 lacs: Parents as co-applicants, and a suitable third party guarantee
Above INR 7.5 lacs: Parents as co-applicants
Loan Repayment
Maximum repayment period ranges from 5 to 7 years.

Don’t miss any update from us

Please enter a valid email.

Expenses covered under Karur Vysya Bank Student Loan Scheme

  • Basic Tuition Fees
  • Cost of Books/Uniform
  • Library/Laboratory Fee
  • Residence/Hostel Fee
  • Travel Expenses (for studying abroad)
  • Cost of Laptop/Computer

Education Loan Documents Required ?

Admission/Offer letter with all essential details

Attested copies of identity proof and residence proof like Aadhaar Card, Voter ID, PAN Card

Self-attested passport size photograph

Marksheet of previously qualified exams.

Income proof along with Latest Salary Slip, Form 16 and ITRs of parents(if required)

Proof of admission

Bank account statement of past 3 or 6 months.

Properly filled Guarantor form.

Interest Subsidy Schemes

Skill Loan Scheme

The bank offers a 'Skill Loan Scheme' for students who aspire to gain knowledge and specialized training in one specific field.

Central Scheme of Interest Subsidy (CSIS)

Formulated by the Govt. of India, a scheme to assist the students belonging to the economically weaker section.

Padho Pradesh

Formulated under the Prime Minister's 15 point programme, this subsidy scheme benefits the students of the minority community who want to study abroad. Such students are provided 100% interest subsidy.

Skill Loan Scheme

Some additional benefits of 'Skill Loan Scheme' include concession of 1% for the full tenure of the loan, if the interest charged is serviced promptly as and when applied during the period of the moratorium and including during the period of the course.

Central Scheme of Interest Subsidy (CSIS)
  • The gross annual parents’ income should be less than INR 4.50 Lacs
  • Repayment of the loan has to be done after 12 months of course completion or 6 months after getting the job (whichever is earlier).

This scheme is applicable for technical and professional courses from govt. recognized institutes for courses after class XII.

Under IBA education loan scheme, the maximum loan limit is INR 10 Lacs.

Eligibility:

The subsidy is provided for a moratorium period of 1 year after course completion or 6 months after getting a job (whichever is earlier). After this, the loan amount should be paid in accordance with the education loan scheme.

Scheme Applicable Year:

  • This scheme is implemented in the academic year 2009 – 2010 from April 1, 2009.
  • Loan disbursed after April 1,2009, irrespective of the date of sanction shall only be covered under the scheme.
  • In case of loans sanctioned prior to April 1, 2009, for the courses beginning prior to the academic year 2009-10, the interest subsidy is available to the extent of disbursements made after April 1, 2009.

Canara Bank has been appointed as the nodal bank by the government to facilitate this scheme.

Padho Pradesh

Procedure for availing Padho Pradesh

  • Students are supposed to inform their lending banks about the recently launched scheme of Padho Pardesh by Ministry of Minority Affairs.
  • Then the students have to submit the proof of their eligibility for the particular scheme
  • If a student is eligible, the lending bank will feed the students information into a portal of Padho Pardesh.
  • The portal will remain open for the period of two months in every quarter.

Courses covered under Padho Pardesh Scheme

Courses that are covered by Government of India under this scheme are as follows:

Arts/ Humanities/ Social SciencesCommerce
Pure ScienceEngineering
Bio- technology/ Genetic EngineeringIndustrial Environmental Engineering
Nano- technologyMarine Engineering
Petro-chemical EngineeringPlastic Technology
Cryogenic EngineeringMechatronics
Automation Robotics including artificial intelligenceLaser Technology
Low Temperature Thermal DynamicsArt Restoration Technology
OptometryDock and Harbour Engineering
Imaging System TechnologyComposite Materials Engineering including Decentralized power
Packaging Engineering/ TechnologyNuclear Engineering
Information Technology including Computer Engineering, Software, Software Quality assurance, etc.Industrial Safety Engineering
MedicalAgriculture & Agro Technology
AgronomyFloriculture & Landscaping
Forestry & Natural ResourcesFood Sciences & Technology
Plant PathologyHorticulture
Energy StudiesFarm Power & Machinery
Veterinary SciencesSoils & Water Management
Plant Breeding & GeneticsSmall- scale Rural Technology
Ocean & Atmospheric SciencesMB/MCA
SHOW MORE

Frequently Asked Questions

01

What are the schemes that Karur Vysya Bank considers for Education Loan?

+ -

There is no mention of any further schemes on bank's website. Candidates may enquire at their nearest branch for such details.

02

On whose name is the loan granted?

+ -

The loan is granted on the name of student/applicant only.

03

What is the age limit for the loan?

+ -

There is no age limit as such. If a candidate has got the admission and he/she fulfills other points too, then he/she can avail the loan irrespective of the age.

04

What is the meaning of margin on loan?

+ -

Margin is that portion of the loan which is not given by the bank, and thus candidate has to arrange such money by his/her own resources only. For example, if loan amount is INR 1 lac and margin is 4%, then bank will give the candidate INR 96000 only.

05

Where can I avail Karur Vysya Bank Education Loan?

+ -

Candidates can either apply through the Vidyalakshmi Portal or can contact their nearest branch to avail the loan.

06

Is there any method to apply online for the loan?

+ -

Yes. As mentioned earlier, students can use the Vidyalakshmi Portal for this.

07

Is there any minimum aggregate marks criteria to get the Karur Vysya Bank Education Loan?

+ -

Nothing such is mentioned on the website. Candidates are advised to enquire about the same at bank's branch.

08

Is there any discount/rebate offered on Karur Vysya Bank Education Loan?

+ -

Yes. Female students do get a rebate of 0.50% on interest rate, as compared to male students.

09

What all can I provide as tangible security?

+ -

Karur Vysya Bank does require the candidate to submit a tangible security equivalent to the amount of loan, in certain cases. Candidates can submit land records/ shares / debentures / public sector bonds / units of UTI, NSC / Life Insurance Policy / bank deposits as a tangible security.

10

What is Moratorium Period?

+ -

Moratorium Period is the time in which the student does not need to start paying the installments of loan. This includes the course period, plus a further period of either 1 year or of 6 months after getting the job, whichever is earlier.

11

What is tenure of education loan?

+ -

Candidates can take the loan for a maximum period of 7 years.

12

What is the meaning of MCLR?

+ -

MCLR (Marginal Cost of Funds based Lending Rate) is a new method devised by RBI of determining the interest rate on loans. It is the minimum rate which a bank needs to charge on any loan.

13

What all expenses are covered under Karur Vysya Bank Education Loan?

+ -

  • Basic Tuition Fees
  • Cost of Books/Uniform
  • Library/Laboratory Fee
  • Residence/Hostel Fee
  • Travel Expenses (for studying abroad)
  • Cost of Laptop/Computer (At reasonable rates and as per the demand of the course)

14

Are candidates taking admission through the management quota eligible for the loan?

+ -

Yes, such candidates are eligible.

15

What is meant by reputed or recognized institutes?

+ -

Recognized institutes are those which fall under the ambit of national level bodies like UGC and AICTE. Reputed institutes include some of the well known institutes of the country, e.g. the IITs and the IIMs.

16

Is there any special benefit for students getting admission into top colleges of the country?

+ -

Nothing such is mentioned on bank's website. Candidates may contact the nearest branch to know this.

17

What is the processing fee for the loan?

+ -

There is no processing fee charged for Karur Vysya Bank Education Loan

18

What are the charged for delayed payment of EMI?

+ -

This will be informed during the application/sanction of loan, as no such details are mentioned on the website.

19

Will the cost of computer be covered under the loan?

+ -

Yes, but only upto a reasonable limit.

20

Why do I need a PAN Card for loan?

+ -

PAN Card makes it easier for banks to get reliable information about the borrowers. It does not harm the applicant and thus the candidate must not hesitate is providing it.

21

Are Diploma or Certificate courses also included under Karur Vysya Bank Education Loan?

+ -

Candidates are advised to contact the bank branch for such queries.

22

Is it necessary to have a co-borrower?

+ -

Since the bank's rules state it, it is necessary to have one.

23

Who can be my co-borrower?

+ -

A parent or guardian is the first preference for this. Spouse is also a valid co-borrower. The co-borrower should have a good credit history and a steady source of income.

24

What all documents are required from the part of co-borrower?

+ -

These include Attested Copies of Age Proof, Residence Proof and Date of Birth. A self-attested passport size photograph. Income Proof and Documents related to Collateral Security.

25

What are the KYC requirements for the loan?

+ -

KYC guidelines require a proper proof of identification and residence, for both the applicant and the co-borrower.

26

What is the maximum term for repayment of the loan?

+ -

It is 7 years.

27

How can I pay the loan?

+ -

Generally the EMI is auto debited from the account of the borrower. Post-Dated cheques can also be used for this purpose.

28

How is EMI calculated?

+ -
  • The general formula is EMI = [P x R x (1+R) ^n] / [(1+R)^ n-1]
  • In this equation, P is Amount of Education Loan, R is Rate of Interest, n is Tenure of the Loan.
  • Applicants can use general EMI calculators available on the web to calculate the EMI.
29

Will the loan amount be handed over to me or the institute directly?

+ -

The amount is directly submitted to the institute.

30

What if I am not able to complete the course in designated period? Will the loan repayment be extended?

+ -

This query can only be handled by the bank's officers themselves, as there are no set rules for this.

31

Is the interest charged on loan Simple or Compound?

+ -

Simple Interest is charged till the beginning of the repayment period. After this, Compound Interest is charged on reducing balance.

32

What is the interest rate charged on loan?

+ -
Loan AmountInterest Rates for Boys/Male StudentsInterest Rates for Girls/Female Students
For education loan up to INR 7.5 lacsOne-year MCLR + 3.10%One-year MCLR + 2.60%
For education loans ranging from INR 7.5 to INR 10 lacsOne-year MCLR + 2.85%One-year MCLR + 2.35%
For education loans with value of above INR 10 lacsOne-year MCLR + 2.60%One-year MCLR + 2.10%
33

What is interest subsidy on education loan?

+ -

It is a scheme of Government of India which offers benefits on interest to Economically Weaker Sections. Since the bank has not mentioned any of the details related to this on the website, candidates may contact the branch of the bank to know about this.

34

What is employment verification in relation to the loan?

+ -

Banks verify the employment details of the applicant while granting the loan. This forms an important aspect of processing of the application.

35

Is there any tax benefit on loan?

+ -

Under section 80, candidates can avail benefits up to the extent of interest paid by them on the loan, up to a maximum of INR 1.5 lacs every year.

36

To get Karur Vysya Bank Education Loan, do I need to have bank account with Karur Vysya Bank too?

+ -

No, it is not necessary.

37

Can I repay the loan in foreign currency?

+ -

Yes, but some additional charged may be charged on such transaction.

38

Why banks ask for Insurance Policy as a security?

+ -

This is to safeguard the bank in case of sudden demise of the borrower. The banks use the life insurance policy to recover the money.

39

What is credit score and is it needed while taking the loan?

+ -

Credit Score is a measure used by banks to check the credibility of the borrower. If it is not available, the banks evaluate details like reputation of the institute, academic record of candidate etc to determine the credibility.

40

Are NRIs eligible for loan?

+ -

Yes, but only if they have Indian Citizenship and Indian Passport with them.

41

Is Visa necessary for availing loan for studying abroad?

+ -

Yes, Visa is required as a necessary document, along with several others.

42

What all procedures are required for applying for an education loan for studying abroad?

+ -

The first step is to get a valid admission letter from the foreign institute. All further details will be provided by the bank. The bank officials are generally very helpful in such matters and probably the candidate will not face any major issue while taking the loan.

43

Apart from the bank branch, where can I inquire further about the education loan?

+ -
  • Candidates can use the ‘Live Chat’ feature available on the bank’s website (www.kvb.co.in) to enquire further about any product.

    Further, Candidates can use the helpline numbers of the bank. These are 1860-216-1916 (within India) and +91 044 30719161 (outside India). Normal call charges are applicable on these numbers.

    For more details, candidates can use the information and links available on the bank’s ‘contact us’ page. It can be reached by clicking on https://www.kvb.co.in/global/contact_us.html .

SHOW MORE
faq image