https://www.wemakescholars.com/education-loan/south-indian-bank
South Indian Bank Education Loan
✓ Up to 1.5 Cr Education Loan
✓ At a lower rate of interest
Table of content
- South Indian Bank Education Loan Schemes for Abroad Studies
- South Indian Bank Education Loan Schemes for India
- South Indian Bank Processing Fee
- Documents Required For The South Indian Bank Higher Education Loan
- South Indian Bank Education Loan Insurance
- South Indian Bank Education Loan Margin
- Education Loan Interest Subsidy Schemes
- How To Apply For An Education Loan From South Indian Bank
- Why And How To Transfer Your Education Loan To South Indian Bank
- South Indian Bank Loan Repayment Process
- FAQ's
- Need Help? Ask Here!
South Indian Bank offers various education loan schemes to cater to different career aspirations. They offer loans for professional programs to skill enhancement courses. They offer loan amounts of up to 1.5 crores at a range of interest of around 9.70% to 15.85%.
The schemes offered by SIB are mentioned below:
- SIB Vitjnan Pradhan Scheme (VPS)
- SIB Excellence
- SIB Edsum
- SIB Global Education
South Indian Bank Education Loan Schemes for Abroad Studies
The SIB Vitjnan Pradhan Scheme (VPS) as well as the SIB Global Education Scheme are special scholarships intended for students who need financial support to study at universities. Such schemes include provisions for educational expenses from tuition fees, hostel, and other necessary charges to enable the students to concentrate on their studies. The schemes come with an adjustable loan limit, reasonable interest rate, and different ways of paying back the money. It also defines detailed criteria of eligibility, acceptable type of collateral, and the requirements for co-applicants in both plans since the students have different needs.
SIB Vitjnan Pradhan Scheme (VPS)
Parameter |
Details |
Loan Limit |
Up to 20 Lacs |
Expenses covered |
|
Accepted co-applicant |
Parents, parents-in-law, spouse, siblings |
SIB Bank Education Loan Interest Rate |
1 year MCLR + 1.50% to 1 year MCLR 3.05% |
Moratorium Period |
Course period plus 1 year |
Repayment Period/Duration |
Up to 15 years |
Repayment policies |
|
Eligibility Criteria |
|
Accepted collateral |
|
Collateral requirement |
|
Pro tip: If you have already paid the tuition fee for your university and want it to be reimbursed, you can discuss it with your financial office who can then process the reimbursement by talking to bank personnel.
SIB Global Education Scheme
Parameter |
Details |
Loan Limit |
Up to 150 lacs |
Expenses covered |
|
Accepted co-applicant |
Parents, parents-in-law, spouse, siblings |
SIB Bank Education loan interest rate |
Repo rate + 6.40% to Repo rate + 7.15% (Women borrowers can have a concession of 0.5%) |
Moratorium Period |
Course period plus 6 months |
Repayment Period/Duration |
7 years to 15 years |
Eligibility Criteria |
|
Accepted collateral |
|
Collateral requirement |
|
South Indian Bank Education Loan Schemes for India
SIB Vitjnan Pradhan Scheme (VPS) is a complete education loan scheme that helps students in funding their education expenses. In the scheme, many costs are taken into consideration and they include tuition fees, examination fees, insurance premiums, etc., so that the student does not have to worry about his pocket money while studying. Besides the VPS SIB has other education loan products like SIB Excellence, SIB Edsum, and SIB Global Education with different loan limits for different institutions of education, different interest rates, and collateral. These schemes combined offer sound financial assistance for students who wish to further their education in India.
SIB Vitjnan Pradhan Scheme (VPS)
Parameter |
Details |
Loan Limit |
Up to 10 Lacs |
Expenses covered |
|
Accepted co-applicant |
Parents, parents-in-law, spouse, siblings |
SIB Bank Education loan interest rate |
1 year MCLR + 1.50% to 1 year MCLR 3.05% |
Moratorium Period |
Course period plus 1 year |
Repayment Period/Duration |
Up to 15 years |
Repayment policies |
During the moratorium period, simple interest is charged |
Eligibility Criteria |
|
Accepted collateral |
|
Collateral requirement |
|
SIB Excellence
SIB Excellence education loan in south Indian bank offers many benefits like an attractive interest rate and a loan of up to Rs 25 lacs.
Parameter |
Details |
Loan Limit |
Up to Rs.25 lacs |
Expenses covered |
|
Accepted co-applicant |
Parents, parents-in-law, spouse, siblings |
SIB Bank Education loan interest rate |
Repo rate +4.05% to Repo rate 4.65% |
Moratorium Period |
course period plus 1 year or 6 months after getting the job whichever is earlier |
Repayment Period/Duration |
5 years |
Eligibility Criteria |
|
Accepted collateral |
Immovable collateral: House, Flat, Non- agricultural land Liquid security: Fixed deposit, LIC policy, Government bonds |
Collateral requirement |
|
SIB Edsum
Parameter |
Details |
Loan Limit |
Up to 10 Lacs |
Expenses covered |
|
Accepted co-applicant |
Parents, parents-in-law, spouse, siblings |
SIB Bank Education loan interest rate |
Repo rate +10.20% to Repo rate +10.95% |
Moratorium Period |
|
Repayment Period/Duration |
|
Eligibility Criteria |
|
Accepted collateral |
Immovable assets: House, Non- agricultural land, Flat Liquid assets: Government bonds, LIC policy, Fixed deposit |
Collateral requirement |
|
Eligible courses:
Job-oriented professional and technical courses PG, PG Diploma, and Graduate courses affiliated with universities in India.
SIB Global Education
Parameter |
Details |
Loan Limit |
Up to 150 lacs |
Expenses covered |
Tuition fees, Exams, Library, Lab fees, Travel expenses, Books, Equipment, Hostel, Uniform, and Insurance premium. |
Accepted co-applicant |
Parents, parents-in-law, spouse, siblings |
SIB Bank Education loan interest rate |
Repo rate + 6.40% to Repo rate + 7.15% (Women borrowers can have a concession of 0.5%) |
Moratorium Period |
Course period plus 6 months |
Repayment Period/Duration |
7 years to 15 years |
Eligibility Criteria |
|
Accepted collateral |
|
Collateral requirement |
|
South Indian Bank Processing Fee
South Indian Bank charges a processing fee of 1% of the loan amount for only the SIB GLOBAL EDUCATION scheme.
This fee is not charged by WeMakeScholars as our organization comes under the Digital India scheme which is funded and supported by the Ministry of IT, Govt of India our services are provided at zero cost.
To start your loan process, reach out to us by filling in the common application form or requesting a callback.
Documents Required For The South Indian Bank Higher Education Loan
Parameter |
Details |
Basic documents for Applicant (student) and co-applicant and/or Guarantor |
All the documents should be self-attested. |
Applicant academic documents |
|
Financial Co-applicant Income documents |
If Salaried
If Self-employed
|
Other Documents |
|
Additional docs |
|
Since the necessary paperwork may vary for each student based on their profile, it's not feasible to provide a specific list of documents as mentioned earlier. To obtain a customized document checklist for your specific educational loan requirements, you may reach out to WeMakeScholars.
South Indian Bank Education Loan Insurance
South Indian bank charges loan insurance of 1 - 2% of the sanctioned loan amount.
By getting loan insurance the student can make sure that the financial burden of the loan doesn't fall on the shoulders of the co-applicant in case of, disability of the applicant or death.
South Indian Bank Education Loan Margin
Scheme |
Loan Margin |
SIB Vitjnan Pradhan Scheme (VPS) |
5% margin for domestic and 15% margin for foreign studies |
SIB Excellence Scheme |
|
SIB Edsum |
|
SIB Global Education Scheme |
25% |
We understand that loan margins can have a significant impact on the cost of borrowing, and we are committed to helping our users secure the best possible loan terms and interest rates.
Education Loan Interest Subsidy Schemes
The interest accrued in the moratorium period (6 months after getting the job/ 6 months or one year after finishing the course) will be paid by the Indian government on behalf of the student under these programs
Padho Pardesh Scheme
Eligibility
The student has Family Income equates to be less than 6 Lacs and belongs to a religious minority (Muslim, Christian, Sikh, Buddhis, Jain, Zoroastrian)
Note: Beginning on April 1, 2022, the padho pardesh system will no longer be applied. However, the existing beneficiaries as of March 31, 2022, will continue to get the interest subsidy during the loan's term and moratorium period.
Central Scheme for Interest Subsidy for Economically Weaker Sections
Eligibility
The student has a family income which is less than 4.5 Lacs
Dr. Ambedkar Central Sector Scheme
Eligibility
- The student has a family income which is less than 8 lakhs and belongs to the economically backward class
- The student has a family income which is less than 8 Lakhs and belongs to the OBC community.
How To Apply For An Education Loan From South Indian Bank
Offline education loan application process
Step 1: Visit a south indian bank branch closest to you and fill in the application form
Step 2: If you meet the eligibility criteria, then you will be explained the process.
Step 3: You will be asked to submit the documents required for processing the loan
Step 4: After the submission of documents, your loan will be approved.
Online Education Loan Application Process through WeMakeScholars
Step 1: Fill in the common application form for education loans which you can find on our website or by clicking the above-mentioned link
Step 2: Provide all your basic details to the financial officer who will contact you after filling in the application form to check your eligibility for the loan
Step 3: You will be provided with a thorough comparison between all the lenders you are eligible to get a loan from.
Step 4: A document checklist will be provided to you by our financial officer. Submit all the mentioned documents in the branch nearest to you, or you can upload them on the WMS-secured portal
Step 5: The result of your loan application will be known to you in 2-6 working days if the loan was applied in a private bank and 10-15 days if the loan was applied in a public bank
Step 6: You can collect your sanction letter once done signing the loan agreement.
You can watch this video to understand more about the time it generally takes for a loan to get sanctioned. This video will equip you with essential knowledge on how to estimate the sanction time on your education loan process, and the necessary steps to take to ensure a smooth and efficient loan application process.
Issues while approaching the lenders directly
- When you process your loans directly with the lenders, the time it takes to process the loan increases drastically.
- The process of loan application is not clearly explained by the lenders.
- The applicants/ student usually can’t or don’t know how to negotiate for a lower interest than what they have been offered
- No clear list of documents that are to be submitted is provided by the lenders
- No help is provided after the disbursement of the loan amount
Benefits of applying through WeMakeScholars
- Fastest processing time: An interest rate which is lower than 0.5% to 2% is offered to you when you process your loan with WeMakeScholars as we are the largest partner of many leading banks.
- Quickest processing time: Here at WeMakeScholars the usual timeline from application to sanction is 21 days
- End to End assistance: You can reach out to us during any stage of the loan process, from filling out the application form to the repayment.
- The cashback offered: A cashback of up to 3000 is offered to you after the disbursement of the loan
Why And How To Transfer Your Education Loan To South Indian Bank
Why transfer your loan to South Indian Bank?
- By refinancing your loan to South Indian Bank you can get a lower ROI on both your existing loan and the new loan you are about to take out.
- As WMS is connected to most leading public banks, private banks, and NBFC the process of transferring your loan becomes smooth and easier than you think.
How to transfer your loan to South Indian Bank?
- Request a callback from us
- Tell your assigned financial officer about your wish to refinance your loan to South Indian Bank
- Provide all the documents asked by your financial officer in the South Indian Bank branch closest to you.
- Find out more about refinancing your loan by Requesting a call back from the WMS team
We understand that loan transfers can be a complex task, which is why we aim to provide you with the resources and support you need to make informed decisions about your finances.
South Indian Bank Loan Repayment Process
For example, if you take out a loan of 27 Lakhs, with an interest rate of 10.5% and with a repayment period of 15 years, this would be your amortization schedule.
- The Monthly EMI: 35,536
- Total payable amount: 63,96,406
- The payable interest: 36,96,406
Timeline |
EMI |
Interest Portion |
Principal Portion |
Loan Outstanding |
End of 1st year |
35536 |
27384 |
8152 |
3121445 |
End of 2nd year |
35536 |
26486 |
9050 |
3017879 |
End of 3rd year |
35536 |
25488 |
10047 |
2902901 |
End of 4th year |
35536 |
24381 |
11155 |
2775251 |
End of 5th year |
35536 |
23152 |
12384 |
2633534 |
End of 6th year |
35536 |
21787 |
13749 |
2476199 |
End of 7th year |
35536 |
20272 |
15264 |
2301525 |
End of 8th year |
35536 |
18590 |
16946 |
2107602 |
End of 9th year |
35536 |
16722 |
18813 |
1892308 |
End of 10th year |
35536 |
14649 |
20887 |
1653287 |
End of 11th year |
35536 |
12347 |
23188 |
1387926 |
End of 12th year |
35536 |
9792 |
25744 |
1093320 |
End of 13th year |
35536 |
6955 |
28581 |
766249 |
End of 14th year |
35536 |
3805 |
31731 |
403133 |
End of 15th year |
35536 |
308 |
35227 |
0 |
When you process your loan with us, we provide you with post-sanction support. Meaning, we help you with your entire loan repayment process. Till you pay your last EMI!
FAQs:
-
Can my sister be my co-applicant?
-
Will I be able to get tax benefits if I get a loan from South Indian Bank?
-
What if I get employed before the grace period ends and drop out of my course?
-
Will my parents’ income affect my education loan?
-
Can I pay more than the EMI amount every month?
WeMakeScholars- supported by IT Ministry, Govt. of India.
Our Education Loan team will help you with any questions
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