Saraswat Bank Overseas Education Loan: Features, Eligibility & More

In an era of global education, where international degrees can catapult careers to unprecedented heights, financial constraints should never be a roadblock to academic excellence. Saraswat Bank is a strategic partner for students who envision studying abroad, offering a robust financial solution that goes beyond traditional lending. Understanding that each student's educational journey is unique, the bank has designed overseas education loans that are as flexible as they are comprehensive.

From covering tuition fees to addressing living expenses, these loans are crafted to support students at every step of their international academic adventure. This article provides an extensive exploration of Saraswat Bank's education loan offerings, illuminating the critical aspects, intricate details, and precise eligibility criteria for education loans that can make educational aspirations into achievable goals.

Key Features of Saraswat Bank Overseas Education Loans

The key features of the abroad studies loans offered by Saraswat Bank are as follows:

• Loan Amount: The Bank offers secured loans up to INR 5 Crores

• Interest Rate: The education loan interest rate offered by the bank is floating, it means, it varies depending on the CIBIL score of the applicant. The range of rate of interest that the bank offers is between 8% to 10%.

• Concessions: It offers 0.50% concessions for girl students and Divyang (differently abled) students.

• Moratorium Period: It gives a moratorium period of 1 year to students after completing the degree so that they get a job to start the repayment.

• Loan Margin: Saraswat Bank offers 100% funding of course fees.

Saraswat Bank also offers a turnaround time that is significantly less compared to other banks.

By following the above suggested strategies, students applying to any study in any country can be rest assured that the loan from Saraswat Bank will serve the purpose of their higher education.

Saraswat Bank Overseas Education Loan: Eligibility Criteria

To be eligible for overseas education loan through Saraswat Bank, the applicant needs to fulfil the following criteria:

• Admission in any graduate or post-graduate course offered by the university that the Indian Banks Association approves is mandatory.

• The applicant should have a parent or relative as a co-applicant.

• The applicant must have an income of more than INR 4-5 Lakhs with no liabilities as parents need to pay simple interest during the moratorium period.

Having understood the eligibility criteria, let us also check the documents that will be required.

Saraswat Bank Overseas Education Loan: Documents Required

The documents required for overseas education loan through Saraswat Bank include the following, whether the application is for a collateral loan or a non-collateral education loan. There may be certain additional documents required for a collateral loan.

• Loan application form

• Recent photo, photo identity proof, and residence proof of the applicant and the guarantor.

• Proof of admission along with estimated course fees and other expenses.

• Fee receipts or proof of payments made.

• Copy of Passport, Visa and related documents

• Income proof of the applicant if they are:

• Salaried: They need the last 3 months of salary slips/ certificate, copy of the last 3 years' ITR, form 16 for the last 2 years, and 6 months bank statements.

• Businessman: PNL balance sheet of last 3 years, ITR copies of last 3 years and bank statement of last 6 months.

• Documents for Forex: Saraswat Bank works with third-party vendors for services like remittances, travel cards, foreign currency, and if the student needs money in their account for forex transactions. As such for these services, the bank asks for proper supporting documents of the University demanding tuition fees along with a Tenancy Agreement.

What happens if there are missing documents or low CIBIL score?

• Missing Documents: In case of missing documents like a Sale Deed, other banks do not accept the property. However, Saraswat Bank accepts it through the Registered Mortgage of the property instead of an Equity Mortgage.

• Weak CIBIL Score: Applicants with poor CIBIL scores but proper justification along with supporting documents are accepted by the bank which other banks may not cater to.

So, these aspects give an edge over other banks to Saraswat Bank. Let us now proceed to check the loan application process.

Saraswat Bank Overseas Education Loan Application Process

Here is the step-by-step process to apply for Overseas Education Loan through Saraswat Bank:

• Step 1: Students can start by looking for loan options available with the bank.

• Step 2: Find out the eligibility criteria for the loan

• Step 3: Calculate the loan amount required for abroad studies

• Step 4: Select a Co-signer. Students can choose a parent, guardian, or other known people based on the criteria of the bank.

• Step 5: Prepare the documents like admission proof, marksheets, standardized test scores, valid passport, visa details, and income proof of the co-signer.

• Step 6: They can then apply for the loan and submit all the documents required along with the application; this has to be done in person at the bank’s branch.

• Step 7: The loan application will be assessed and approved after a certain time.

• Step 8: After the application has been approved, students need to review it carefully along with the terms and conditions applicable. Depending on the lender's policies, the loan will be disbursed directly to the University or their account.

Having understood all the important aspects of Saraswat Bank Overseas Education Loan let us also check the most important part whether the loan from this bank is acceptable for visa or not.

Saraswat Bank Overseas Education Loans for Visa

As per visa norms most of the countries accept Saraswat Bank’s Education Loan Sanction letter. But there are certain exceptions as well. Thus, it is important for loan applicants to check the visa norms of the country before applying for the loan.

Let’s see how the loan amount from this bank is considered in certain top study destinations:

• UK: Saraswat Bank’s letter is accepted by the visa officer. However admission counsellors recommend the amount to be disbursed in the account, so the bank needs to do full disbursement of the loan, and students need to maintain that amount in the account for 28 days before students can apply for the visa.

• Australia: Saraswat Bank’s letter is not accepted by the Australian visa officer. So, in this case, the bank does full disbursement of the loan and the student needs to keep the whole amount in the account for 3 to 6 months as per the University’s requirement norms.

• New Zealand: The loan letter from Saraswat Bank is not considered by the visa officers of New Zealand. As such, full disbursement of the loan is mandatory and has to be maintained in the account for 6 months to be accepted.

So, you see, in cases where the loan letter is not accepted, maintaining full amount in the account helps with the visa process. Study abroad aspirants from India can apply for an overseas education loan to Saraswat Bank if they meet the education loan eligibility criteria of the bank.

For more information, students can reach out to our experts at Élan Loans. Our experts can help students make the right choice for their education loan abroad. These experts can help students understand various loan schemes offered by banks for abroad education loans.

They can also help students to figure out their expenses to get the abroad education loan. With their help, students do not have to worry about financing their education whether they need a collateral loan or a non-collateral education loan.

FAQs

• Does Saraswat Bank offer 100% funding?

  Saraswat Bank has a loan margin of 15% but the tuition fees is funded 100% with living expenses having the 15% margin.

• Is it mandatory to serve simple interest during the moratorium period?

  Yes, it is compulsory for students to pay full simple interest during the moratorium period.

• Does Saraswat Bank offer loans for all kinds of courses?

  No, Saraswat Bank does not offer loans for UG courses like UG Diploma, certificate courses and pathway courses.

• What happens if one of the property documents is missing during the loan process?

  Even if any document is missing, the bank provides loan while other nationalized banks cannot.

• Does the bank offer loan on any type of property?

  The bank does not offer loan on open plot.

• How much loan can the bank offer against property?

  The bank can offer loans on the market value of the property.

• Do students have to sign a bond for the loan?

  Yes, students need to sign an INR 25,000 bond on which they will get dividends of interest and money back when the loan repayment is complete.