MSDO student loan is designed to help students pay for university tuition, books, and living expenses. It may differ from other types of loans in that the interest rate may be substantially lower and the repayment schedule may be deferred while the student is still in education. It also differs in many countries in the strict laws regulating renegotiating and bankruptcy.
Expenses considered for loan :
- Fee payable to college/ school/ hostel.
- Examination/ Library/ Laboratory fee.
- Travel expenses/ passage money for studies abroad.
- Insurance premium for student borrower, if applicable.
- Caution deposit, Building fund/refundable deposit supported by Institution bills/receipts.
- Purchase of books/ equipments/ instruments/ uniforms.
- Purchase of computers – essential for completion of the course.
- Any other expense required to complete the course – like study tours, project work, thesis, etc.
The key features of our Education Loan are as follows:
|Upto Rs 30,000*||Loan Size|
|Guarantor Requirement||INR 15, 000: one guarantor from outside the household|
|Installment Frequency||daily or weekly|
|Loan Processing Fee||1% of the loan amount|
|Interest Rate||26% p.a. on a reducing balance|
|12 - 24 months*||Term|
* This depends on the client’s preference and cash flow.
* A guarantor may be an income earning member of the same household other than a parent.