Bank of Baroda loan for EDP from Premier Institutions in India

Bank of Baroda Education Loan for Executive Development Programme (EDP) from Premier Institutions in India

The EDP Education Loans for Premier Institutions help students who have gained admission into Executive Development Programme offered by premier educational institutions in India to pay for their course fees. The maximum loan amount that you can apply for is Rs. 20 lakh.

Features of Baroda Education Loan for EDP from Premier Institutions in India

Why this Loan?

• The EDP Education Loans for Premier Institutions are meant for you if you are working and have gained admission into an Executive Development Programme in a premier educational institution in India
• The bank disburses the Baroda Education Loan for Executive Development Programme from Premier Institutions in India as a series of payments over the required number of terms or years to pay the course fees or other approved charges
• The Executive Development Programme (EDP) can be Part Time, on the Weekend or Online
• As with the Baroda Education Loan to students of premier institutions, the bank has classified the colleges and universities into 4 categories, viz. AA, A, B and C

EDP Education Loans for Premier Institutions – Loan Amount

• The maximum loan amount one can get with security is Rs. 20 lakh

EDP Education Loans for Premier Institutions – Interest

• Category AA and A: If you gain admission into the EDP programme of a Category AA or A premier institute, the interest rate charged will be the Baroda Repo Linked Lending Rate (BRLLR) which is currently 7.00%
• Category B Institutes and Loans upto Rs. 7.5 lakh: These loans are charged the sum of Baroda Repo Linked Lending Rate (BRLLR) which is currently 7.00% and an additional 0.75%. This comes to 7.75%
• Category B Institutes and Loans above Rs. 7.5 lakh: These loans are charged the sum of Baroda Repo Linked Lending Rate (BRLLR) which is currently 7.00% and an additional 0.50%. This comes to 7.50%
• Category C Institutes and Loans upto Rs. 7.5 lakh: These loans are charged the sum of Baroda Repo Linked Lending Rate (BRLLR) which is currently 7.00% and an additional 1.50%. This comes to 8.50%
• Category C Institutes and Loans above Rs. 7.5 lakh: These loans are charged the sum of Baroda Repo Linked Lending Rate (BRLLR) which is currently 7.00% and an additional 1.25%. This comes to 8.25%
• Girl students do not get the standard 0.5% concession in the interest rate under this scheme
• The interest amount has to be paid during the moratorium period

EDP Education Loans for Premier Institutions – Repayment

• The repayment moratorium is for the course duration and an additional grace period of 3 months
• A loan of up to Rs. 7.5 lakh needs to be repaid in 10 years in equal monthly instalments (EMIs) after the moratorium ends while loans above Rs. 7.5 lakh need to be repaid in 15 years as EMIs

EDP Education Loans for Premier Institutions – Security Needed

• Loans up to Rs. 15 lakh: Need no security
• Loans over Rs. 15 lakh: Need 100% collateral security for full value of the loan

EDP Education Loans for Premier Institutions – Eligibility

• As a borrower, you should be a Resident Indian, i.e. you should have spent more than 180 days in India in the previous financial year
• You also should be working and continue to work during the study period
• Thirdly, you should have secured admission in a professional or technical course in any of the listed premier institutions

EDP Education Loans for Premier Institutions – Eligible Courses

• Executive development programmes from one of the approved premier institutes
• The list of premier institutes and their categories as specified by Bank of Baroda can be seen here

Borrower Contribution to Total Cost (Margin Money)

• Loans up to Rs. 4 lakh: Do not need any margin money
• Loans over Rs. 4 lakh: Bank of Baroda charges a 5% margin on loans above Rs. 4 lakh

Note: Margin money refers to the amount the borrower contributes to the overall amount required.

Processing and Other Charges

• There are no processing charges for this loan
• Bank of Baroda charges Rs. 8,500 for Advocate and Valuer fees in case a mortgage has to be created as security for its Baroda Scholar loan
• Like other education loans, there is no charge for mortgage creation

Uses of the Loan

• The loan amount can be used to pay any fees or other charges that are a part of the standard tuition, exam fees, book or equipment cost or any other institution-approved cost that are necessary to complete the course
• The loan can also be met to cover any expenses on study tours, project works, thesis and so on
• The loan can be used to pay for any insurance premium if it is opted for by the student. Currently, Bank of Baroda has tie-ups with IndiaFirst Life Insurance Kotak Life Insurance for Group Credit Life insurance cover to education loan borrowers
• Any caution or refundable deposit moneys are allowed under the loan provided that the total such amount is less than 10% of the total loan
• However, since the loan is extended to a working professional, charges such as living expenses, hostel charges, mess charges and other living expenses are not eligible. Like other loans, the loan cannot be used to pay for external coaching or tuition

Other Features to Know

• The loan comes with its own debit card
• The bank asks for details of expenses for the course that the applicant(s) need to obtain from the institution
• In case the programme is offered in partnership with any Technology Partner and classes are conducted in centres of these partners, then these premises will be treated on an equal footing with the institute
• During application, the borrowers should provide an affidavit that they have not taken an education loan from another bank for the same child. In case they seek another education loan from a different lender, then they will have to take an NOC from Bank of Baroda for the new loan
• The student’s progress report has to be submitted with the bank at regular intervals
• The lending branch should be near the institute, study centre of the technology partner or the place of residence of the borrower
• The loan is disbursed directly to the college, book seller or publisher, computer seller, and so on and not to the applicant(s)

EDP Education Loans for Premier Institutions – Documents Needed

• Application Form duly filled and signed by applicant and/or guarantor along with details of applicant and/or guarantor and family
• Two Passport Size Photographs of student, applicant and/or guarantor
• Photocopy of PAN Card of the student that needs to be submitted at the time of application or during the course period
• Personal Identification Proofs (Any One): Electoral I-Card, Passport, Driving License, PAN Card or Aadhaar Card
• Residential Address Proof (Any One): Electricity Bill, Landline Telephone Bill, Electoral or Voter ID Card or Passport
• Admission Letter, Course Details and Prospectus
• Fee Details with Demand of Fee by the Institution
• All Proofs of Past Academic Record including Mark Sheets and Certificates
• Property or other security documents wherever applicable

Reference Facts

• Bank of Baroda Website: www.bankofbaroda.com and www.bobibanking.com (net banking)
• Headquarters: Baroda (Vadodara), Gujarat
• Education Loan Number: 846 700 1122 (to give a missed call)
• Call Centre Toll-Free Number: 1800 223 344, 1800 102 4455