Individual growth and development are founded on education. It serves as a springboard for career advancement. A good education is required for a brighter future. Recognizing the value of education, Dena Bank provides loans for higher education in India and abroad. Dena Bank education loans assist deserving students in achieving their goal of attending a nationally or internationally recognised educational institution. The bank ensures that a lack of funds does not prevent people from obtaining professional qualifications. Its educational loan schemes provide students with the funds they need to pursue professional, technical, and vocational courses as well as training courses at educational institutions in India and abroad. Students will do well if they have a good education.
Types Of Dena Bank Student Loans
1. Dena Vidya Laxmi Educational Loan
This loan is a government interest subsidy programme for the economically disadvantaged (EWS) of society. It provides need-based financial assistance to students from low-income families so that they can pursue education in India and abroad. The EWS student applicant’s annual parental income cannot exceed Rs. 4.5 lakh.
Eligibility:
- This college loan scheme is available to Indian nationals who have been accepted into a higher education programme at a reputable educational institution in India or abroad.
- Submission of a qualifying examination mark sheet and proof of admission, along with a loan application, to a bank branch
- The scheme covers graduate, postgraduate, master’s, PhD, and professional courses in India.
- This Dena Bank education loan scheme covers international technical and professional job-oriented graduate courses, postgraduate courses like MCA, MBA, MS, and so on, as well as professional qualifications like CIMA (UK), CPA (USA), and so on.
Some Features:
- This student loan scheme covers professional and technical courses in India (after the 12th grade) that have been approved by the Government of India’s Ministry of Human Resources Department.
- During the suspension period (course length is 6/12 months or more), the scheme provides an interest subsidy.
- There is no cap on the amount of education loan available to students admitted to full-time courses at IITs, IIMs, and ISBs. In this case, the Dena Bank education loan covers the entire course fee, subject to margin.
- All loans have a maximum loan tenure or repayment period of 15 years.
Rate Of Interest:
When the repayment holiday is specified, a 1% discount is provided if the interest is serviced on time in the course of study. During the moratorium period, the Dena Bank education loan interest rate is a simple amount.
2. IBA Model Skill Loan
This Dena Bank student loan programme provides funding for training and educational courses. Dena Bank education loans for training and education range between Rs. 5,000 and Rs. 1.5 lakh. The estimated monthly fee is available from NSDC and is based on the sector and NSQF level. A vocational training loan is also available to recipients of any other fund or reward-based government programmes designed to provide skill training.
Eligibility:
- The candidate must be a resident of India.
- This Dena Bank vocational training and education loan are available to students who have been accepted into a vocational education or training course at one of the following institutions: Industrial Training Institutes (ITIs), schools recognised by central or state boards of education, polytechnics, colleges affiliated with a recognised university, or training partners affiliated with various corporations.
- A Dena Bank education loan for training has no specific age requirement. If the student is a minor, the loan must be executed by the parent. When the student reaches the age of majority, he or she must present a letter of ratification to the bank branch.
Some Features:
- The vocational training loan covers the entire cost of tuition and course materials. Dena Bank pays the amount owed to the institute directly. The loan also includes any other expenses incurred while completing the course.
- To ensure that the student is serious about the course, a nominal margin is charged and taken from him/her as a down payment. The total down payment and interest paid during the course cannot exceed 10% of the total course fee.
- Insurance is optional, depending on the borrower’s needs.
- There are no pre-payment penalties, which means that the borrower can repay the Dena Bank education loan at any time after the repayment period begins.
Rate Of Interest:
Simple interest is paid from the start of the study period until the start of repayment. However, interest servicing is optional for students during their study period and moratorium period until repayment begins. If interest on educational loans is serviced during the period of study and subsequent moratorium period, but before the start of loan repayment, a 1% discount is provided.
3. Padho Pardesh Loan
This student loan programme offers interest-free educational education loans from minority communities pursuing Master’s, M.Phil., and PhD degrees abroad. This category of students’ parental income should also be within Rs. 4.5 lakh per year.
Applying For Dena Bank Education Loan Online
Dena Bank education loans can be applied for online or in-person at the bank’s nearest branch. For processing, the applicant must submit a completed loan application form, as well as the necessary educational documents and loan documents. In the case of an online application, a Dena Bank lender will contact you to complete the necessary formalities.
FAQs
1. What is Dena Bank education loan interest rate?
Typically, Dena Bank interest rate starts from 8.85%.
2. What are the documents required for a Dena Bank education loan?
Student applicants should submit essential identity proof (e.g., PAN card, passport, driver’s license, voter ID, or Aadhaar card) and valid address proof (e.g., utility bills, passport, driver’s license, or Aadhaar card). For overseas studies, include your passport, academic records, admission letter, cost breakdown, and two passport-sized photos.
3. What is the processing time for Dena Bank education loan?
The processing time for a Dena Bank education loan typically takes 7-10 working days. However, this may vary depending on the complexity of the case and the availability of all required documents. For example, if the loan amount is high or the student is applying for a study abroad loan, the processing time may be longer.
4. Does Dena Bank provide education loan without collateral?
Yes, Dena Bank provides education loans without collateral for up to ₹4 lakhs for studies in India and ₹7.5 lakhs for studies abroad. For loan amounts above this, collateral security is required.
If you enjoyed reading this blog on ‘Dena Bank Education Loan’ make sure to check out our other blogs.
- Abroad Education Loan Without Collateral
- Guide On Education Loan Interest Rates & How It Can Change
- Guide on Student Loans & Credit Reports
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