Education Loans from Canara Bank
A brief introduction to different types of study loans from Canara Bank
Canara Bank is one of the largest public sector banks in India, fourth to be exact as of October 2020. Established in 1905, it is also one of the oldest banks in India. It was nationalised in 1969 and is headquartered in Bengaluru, Karnataka.
This century-old bank offers end-to-end products and solutions across consumer banking, commercial banking, private banking, asset management and investment banking services in addition to pensions, mortgages and credit card services. Also, Canara Bank is the nodal bank for interest subsidy schemes on education loans offered by the Government of India.
As of October 2020, the bank offers five education loan schemes to students in India. Let’s take a look at them.
IBA Model Education Loan for Pursuing Higher Studies in India and Abroad
This loan is meant for providing financial assistance to students who have secured admission through entrance exam or on merit-basis in higher education courses at recognised institutions in India and abroad. This is a need-based loan which means that the loan amount sanctioned by the bank depends on the needs as well as the repayment capacity of the borrower and co-borrower.
Vidya Turant Education Loan
This education loan scheme is meant for meritorious students who wish to pursue higher studies in premier institutes in India. The quantum of loan can range anywhere from Rs. 20 lakh to Rs. 40 lakh. The actual loan amount a student is eligible for depends on the categorisation of institutes by the bank. The list of premier institutes and categories can be found on the bank’s website.
Vidya Shakti Education Loan
Canara Bank Vidya Shakti education loan scheme is designed to help students in the Persons with Disabilities (PWD) category who want to pursue special device courses in India. Students with a physical disability to the extent of 40% and more are eligible for this loan. The bank offers loans up to Rs. 7.5 lakh for degree courses and Rs. 1.5 lakh for vocational, certificate or diploma courses.
Vidya Sahay Education Loan
This student loan is offered to meritorious students who need financial assistance to make down payment to the CET or college counselling authorities at the time of selection or counselling. The quantum of loan is Rs. 1 lakh or initial payment required by the CET authorities, whichever is less. This is a short-term loan scheme and must be repaid once the education loan has been sanctioned.
Canara Bank Skill Loan helps students who have gained admission into technical courses offered by industrial training institutes, polytechnics, etc. to pay their course-related expenses. The loan amount can be anywhere from Rs. 5,000 to Rs. 1.5 lakh depending on the duration of the course. It must be repaid within 7 years. There is no minimum course duration to apply for the loan.
A Final Word
So this was the summary for various education loan schemes from Canara Bank. If you want to know more details about education loans offered by Canara Bank or other Indian banks, you can visit our education loans section. We have discussed student loans in detail and shared tips to help students choose the right loan scheme for themselves.