Education Loan in Union Bank of India ( UBI )

Objective & Purpose of UBI Loans : The scheme aims at providing financial assistance on reasonable terms :

  • To the poor and needy students that they may undertake basic education.
  • To meritorious students that they may pursue higher or professional or technical education.

Union Bank of India Education Loan Eligibility : The student applying for Union Education Loan ought to :

  • Be an Indian National.
  • Has secured admission to professional or technical courses through an appropriate Entrance Test or selection process.
  • Has secured admission to a foreign University.
  • Has passed an appropriate qualifying examination.

1. Union Bank of India Education Loan for Studies in India :

  • School education up to +2.
  • Graduation / Post – Graduation.
  • Professional course.
  • Management course.
  • Special Education Loan Scheme for Students pursuing courses from approved institutions like IITs / IIMs / NIT / XLRI / BITS / VIT / IISc / S.P. Jain Institute Of Management / Symbiosis Institute of Management and T.S. Chanakya, Navi Mumbai- Nautical Science and MERI, Calcutta, Marine Engineering, MERI, Mumbai, Maritime Science.

2. UBI Bank Education Loan for Abroad Studies :

  • Graduation : For job oriented professional or technical courses offered by reputed universities.
  • Post – Graduation : MCA, MBA, MS and such other courses.
  • Courses conducted by CIMA, London, CPA, USA., and such other institution.

Conditions for Education Loan in Union Bank of India :

  • The Parent / Guardian of the student who is availing education loan from UBI bank shall be made co – obligator / joint borrower irrespective of the age of such students.
  • The Loan Accounts of students applying through college / institutions will be sanctioned / disbursed at the branch nearest to permanent residence / place of domicile of the borrower student.
  • Education Loan will be disbursed directly to the college / institute.
  • Student to produce mark list of previous term / semester before availing next installment.
  • Student / Parent to provide latest mailing address before availing next installment.
  • In case of parents with transferable job, new address to be provided before availing installments.

Quantum of Education Loan : Need – based finance subject to repayment capacity of the parent or student with margin and upto the following ceilings.

  • For studies in India – Up to Rupee 10 lacs.
  • For studies abroad – Up to Rupee 20 lacs.

Union Bank of India Education Loan Margin :

No margin for loans up to Rupee 4.00 lacs. However, for loan of higher amounts, the margin requirement is 5% for inland studies and 15% for studies abroad.

Scholarship / assistance to be included in margin. Margin maybe brought in on pro – rata basis as and when disbursement is made.

Repayment of UBI Education Loan

Repayment holiday or Moratorium on loan : Course period + 1 year Or 6 months after job placement, whichever is earlier.

Starting from this point, the UBI Education loan is to be repaid in 5 – 7 years after completion of course period / moratorium.

Union Bank of India Rate of Interest* : ( w.e.f 01.07.2009 )

RankName of the B-SchoolsInfrastructure ( Physical & Academic ) ( 160 )Faculty, Research, Consultancy, MDP & Other Programmes ( 455 )Admission, Curriculum, & Delivery System ( 320 )Placement ( Domestic & International ), USP, Social Responsibility, Networking & Industry Interface ( 465 )Total ( 1400 )
46.Punjab Institute of Management & Technology, Mandi Gobindgarh, Punjab70.72106.94129.02149.53456.21
47.PESIT - Department of Management Studies, Bengaluru, Karnataka67.07122.80130.33132.34452.54
48.Maharaja Agrasen Institute of Management & Technology, Jagadhri, Haryana65.44118.17129.16137.10449.87
49.Institute of Engineering and Management, Kolkata, West Bengal59.38108.59138.63133.27439.88

* Rate of Interest prevailing on the date of sanction shall be applicable.

One thought on “Education Loan in Union Bank of India ( UBI )

  1. my application is pending i need santion for visa purpose banks approved lawyer valuernot cooperating submit their report promptly hence prossesing pending if some document required that can be stipulaed condition in sanction adv before disbursement laugh or weap father worked union bank for 42years

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