PNB Pratibha Education Loan

PNB Pratibha Education Loan to Students of Premier Institutions

This loan helps students who have gained admission into premier educational institutions in India to pay for their course fees. This is a need-based loan and the loan amount will be granted by checking the repayment capacity of the borrower and co-obligator subject to ceiling.

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Features of PNB Education Loan to Students of Premier Institutions

Why this Loan?

  • The loan is meant for you if you have gained admission into a graduate, postgraduate, PhD, professional or any other course in a premier educational institution in India
  • The bank disburses the PNB Pratibha Education Loan as a series of payments over the required number of terms or years to pay the course fees or other approved charges

Loan Amount

  • This is a need-based loan. The maximum loan amount one can get depends on one’s repayment capacity. The bank checks the future repayment capacity of the student based on past placement records and average pack packages as well as the repayment capacity i.e. income of the co-obligator
  • PNB does not have a maximum ceiling for a few institutes, for others such as ISBs and certain IIMs it is Rs. 35 lakh, for IITs and other premier colleges it is Rs. 30 lakh. The lowest maximum cap is Rs. 10 lakh
  • You can check the ceiling of loan amount for premier institutes here


  • Loans for Select Premier Institutes: These include the IITs, IIMs, XLRI Jamshedpur and NITs
    • Upto Rs. 7.5 lakh: These loans are charged the sum of PNB Repo Linked Lending Rate (RLLR) which is currently 6.80% and an additional 0.65%. This comes to 7.45%
    • Over Rs. 7.5 lakh: These loans are charged the sum of PNB RLLR (currently 6.80%) and a spread of 0.15%. This comes to 6.95%
    • Loans for IIM Ahmedabad, Bengaluru and Kolkata: These loans are charged the sum of PNB RLLR (6.80%) and a spread of 0.10%. This comes to 6.90%
  • Loans for Other Premier Institutes:
    • Upto Rs. 7.5 lakh: These loans are charged the sum of PNB RLLR (6.80%) and a spread of 0.75%. This comes to 7.55%
    • Over Rs. 7.5 lakh: These loans are charged the sum of PNB RLLR (6.80%) and a spread of 0.25%. This comes to 7.05%
  • PNB offers a concession of 0.50% to women beneficiaries for outstanding amounts up to Rs. 10 lakh and 0.25% for outstanding over Rs. 10 lakh
  • Borrowers get 1% interest concession if they pay the simple interest accruing on the loan during the moratorium. However, the final effective rate after all concessions should not fall below PNB’s base rate or MCLR
  • PNB charges simple interest at monthly rests during the repayment holiday


  • Loans need to be repaid within 15 years as EMIs
  • The repayment moratorium is for the course duration and an additional grace period of 12 months

Security Needed

  • Need co-obligation of parents as joint borrowers
  • PNB does not ask for any security for select premier institutes such as IITs, ISBs, etc.
  • For other institutes, it may ask for security after either a limit of Rs. 10 lakh or Rs. 20 lakh. This limit has been defined for each of the premier institutions by PNB. For loans over the specified limit, it needs tangible collateral for the loan


  • The borrower should be an Indian national
  • As a student, you should have secured admission in a professional or technical course through Entrance Tests or a Merit-Based selection process

Eligible Courses

  • Graduate, postgraduate, doctorate, professional or any other course from one of the approved premier institutes
  • Part-time PG programmes for executives offered by IIMs and ISBs
  • The list of premier institutes and their categories as specified by Punjab National Bank can be seen here

Borrower Contribution to Total Cost (Margin Money)

  • For certain institutes such as IITs, ISBs, etc. PNB does not charge any margin
  • For other institutes, the bank does not charge any margin money on this loan upto a limit of Rs. 4 lakh, Rs. 10 lakh or Rs. 20 lakh as defined for each specific premier institute. For loans over these limits, it charges a margin of 5%
  • Any payment received from scholarships or assistantship will be assumed as a contribution towards the margin

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

Processing and Other Charges

  • There are no processing or documentation 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, hostel 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

  • PNB asks for details of expenses for the course which have to be obtained from the institution
  • The student’s progress report has to be submitted with the bank at regular intervals

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
  • An Income Certificate from a Competent Authority to avail the interest subsidy under Central Interest Subsidy Scheme of Education Loans, if eligible
  • Property or other security documents wherever applicable

Reference Facts

  • Punjab National Bank Website: and (net banking)
  • Headquarters: Dwarka, New Delhi
  • Call Centre Toll-Free Number: 1800 180 2222, 1800 103 2222