union bank education loan emi calculator

Types of Education Loans

1. Domestic Education Loans:

• Eligibility: Students who have secured admission in recognized Indian institutions for courses such as graduation, post-graduation, PhD, and professional/technical courses.
• Coverage: Tuition fees, hostel fees, examination fees, and other related expenses

1. International Education Loans:

• Eligibility: Students admitted to recognized universities abroad for graduate, post-graduate, and doctoral courses, as well as certain diploma courses conducted by prestigious institutions like CIMA, London, and CPA, USA
• Coverage: Includes tuition, travel, living expenses, and insurance

1. Special Schemes:

• Premier Institutes: Loans up to INR 40 lakhs without collateral for students attending top 160 institutes globally.
• Medical and Technical Institutes: Loans up to INR 40 lakhs for students at AIIMS and other top-tier Indian institutions

Features and Benefits

• Flexible Loan Amounts: There is no upper limit for domestic loans, while international loans can go up to INR 40 lakhs.
• Competitive Interest Rates: Rates typically range from 8.80% to 10.45%, often lower than other loan types.
• Tax Benefits: Under Section 80E of the Income Tax Act, interest paid on education loans is eligible for tax deduction
• No Processing Fees: Union Bank does not charge any fees for processing or pre-payment of education loans

Application Process

1. Online Application:

• Visit the Union Bank website or the Vidya Lakshmi Portal.
• Complete the online application form with necessary documents such as identity proof, income proof, and admission letter.
• Submit the form and wait for processing

1. Offline Application:

• Visit the nearest Union Bank branch with the filled application form and required documents.
• Submit the documents in person for processing

Documentation Required

• Academic records (mark sheets, degree certificates).
• Proof of admission (admission letter or I20 form).
• Proof of identity (Aadhaar card, passport).
• Income proof (salary slips, ITR).
• Collateral documents if applicable

Repayment and EMI Calculation

• EMI Calculation: For example, a loan of INR 10 lakhs at an 8.30% interest rate over 15 years would have an EMI of approximately INR 10,024.
• Repayment Tenure: Flexible repayment options typically extend up to 15 years

Additional Benefits

• Female Students: Additional interest rate concessions.
• Building Credit History: Regular repayment helps build a positive credit history, beneficial for future financial needs