Looking for an Education Loan for Your Higher Education at a Premier Institute?

Look no further. This page contains all the information you will need on Central Bank of India’s Cent Vidyarthi Education Loans for Premier Institutions in India.

Cent Vidyarthi IIMs and 4 Premier Institutes Education Loan

This loan helps students who have gained admission into one of the chosen IIMs or other premier institutes to pay for their course fees. The maximum loan amount that you can apply for is Rs. 30 lakh.

Features of Cent Vidyarthi IIMs and 4 Premier Institutes Education Loan

Why this Loan?

  • The loan is meant for you if you have gained admission into one of the IIMs or 4 premier institutes in India
  • The bank disburses the Cent Vidyarthi IIM and Premier Institute Education Loan as a series of payments over the required number of terms or years to pay the course fees or other approved charges. The institutes include the 17 IIMs and the four premier institutes comprising of XLRI Jamshedpur and Bhubaneswar, SP Jain Institute of Management and Research in Mumbai and Management Development Institute in Gurgaon.

Loan Amount

  • The maximum loan amount one can get is Rs. 30 lakh


  • The interest rate on this loan is the sum of the Repo Rate and a specific spread of 2.85% for the top 5 IIMs and 3% for all the other institutes. As of October 2020, the Repo Rate is 4%, which makes the interest rate applicable on this loan as 6.85% for the top 5 IIMs and 7% for all other premier institutes
  • 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


  • The loan needs to be repaid in 15 years as EMIs

Security Needed

  • No collateral security or third-party guarantee is required
  • Assignment of future income of the student is required
  • The student must avail a comprehensive life insurance policy matching the loan amount and loan repayment period assigned in favour of the bank. The borrower is required to pay the premium of this life insurance cover regularly


  • 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
  • As a student, you should have secured admission in a professional or technical course in any of the listed premier institutions

Eligible Courses

  • All education programmes conducted by the IIMs and the 4 premier institutes


  • The bank does not charge margin money on this loan

Note: Margin money refers to the amount the borrower contributes to the overall amount required. The bank covers the rest.

Processing and Other Charges

  • There are no processing charges for this loan

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

Other Features to Know

  • The bank may ask for details of course expenses that the applicant(s) need to obtain from the institution
  • The student’s progress report may have to be submitted with the bank at regular intervals
  • The loan is disbursed directly to the college, bookseller or publisher, computer seller, and so on and not to the applicant(s)

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

  • Central Bank of India Website: www.centralbankofindia.co.in and www.centralbank.net.in (net banking)
  • Headquarters: Mumbai, Maharashtra
  • Call Centre Toll-Free Number: 1800 22 1911, 1800 110 001, 1800 180 1111

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