Bandhan Bank Education Loan

Bandhan bank finances education loans for individuals wanting to pursue higher education in India and abroad through their personal loan products. They offer up to 25 Lacs with an interest rate starting from 10.25%.

Bandhan Bank provides Education loans for foreign study, that cover all educational expenses. The maximum loan amount is Rs. 25 Lakhs and the interest rates start from 10.25% of Interest  p. a. and repayment terms stretching up to 60 months. Some of the costs that are included are tuition fees, examination fees, transport, medical, books, apparatus, and incidental expenses. The allowed co-applicants are parents, in-laws, spouses, and siblings. Permitted collaterals are immovable property and cash instruments, where the latter is subjected to minimum value. The moratorium period is course duration + 1 year so that the students are not under any pressure to repay the amount immediately while they continue with their course.

Pro tip: If a student has already paid for their tuition, they may be able to get their money refunded by requesting their financial officer to talk with bank employees about it.

The Bandhan Bank Education Loan is an ideal type of loan with a limit of up to 25 lakhs that caters to all educational expenses. These include tuition, examination, library and laboratory fees, travel, and sometimes medical insurance, if applicable. Interest rates start from 10% and this makes it favourable for borrowing. 25% per annum with the repayment period extending up to 60 months, this loan is available at flexible rates that suit different requirements. Moreover, the flexibility to add parents, in-laws, spouses, or siblings as co-applicants also expands the possibilities by making student’s dreams of getting into university more achievable across India.

The processing fee charged by Bandhan bank is 1% of the loan amount 

Here at WeMakeScholars, we don’t charge you for the services we provide. Being an organization funded and supported by the Ministry of IT, Govt of India we provide you with our unparalleled services free of cost.

Having the documentation ready before you apply for your education loan can help you be efficient and speed up your approval. The applicants their co-applicants, and guarantors must submit a list of documents which include the loan application form duly filled and a photo identity proof such as a PAN card/Passport and proof of residence such as an Aadhar card or electricity bill. Besides, the applicants are required to provide their educational documents, documents proving their enrollment status, details concerning the course charges, and many more. Go through the list given below to get a better Idea:

As the documents required can be different for each student depending on their profile, it is not possible to case particular documents in the list given above. By considering your individual circumstances and requirements, we can develop a tailored document checklist that helps you save time and avoid sanction issues or delays.

Bandhan bank mandates taking loan insurance over and above the loan amount. 1-2% of the sanctioned loan amount is charged for the loan insurance 

By taking out loan insurance, you can make sure that the financial burden of the loan repayment doesn’t fall on your parents/ co-applicant in case you end up not being able to pay the loan back.

This is how you can calculate your loan margin, Suppose you (the student) take out a loan for 45 Lakhs and the loan margin requested by the bank is around 10% then the loan margin which you need to arrange would be equal to 4.5 Lakhs. 

Our team of financial officers has spent a lot of time learning how loan margin functions and identifying strategies to lower it. Contact WeMakeScholars for additional information on loan margins to learn more about what it is and how to lower it.

The subsidies provided by the government relieve the students from having to pay interest during the moratorium period. As the government pays for it on the student’s behalf.  

Padho Pardesh

• Their annual household income is under 6 lakhs and the individual belongs to a religious minority, such as a Zoroastrian, Jain, Christian, Sikh, Buddhist, or Muslim.

Dr. Ambedkar Central Sector Scheme

• Students from OBC populations with home incomes under 8 lakh rupees are eligible for this assistance.
• Students who are members of the Economically Backward Class (EBC) and whose annual household income is less than 8 lakhs per year are eligible for this assistance.

Central scheme for Interest Subsidy for Economically Backward classes

• The individual's household income is below 4.5 lakhs.

Process for Bandhan Bank education loans (Offline)

Step 1: Visit a functioning Bandhan bank branch nearest to you.  

Step 2: Look at all the education loan products available and choose one of them.

Step 3: After checking your eligibility, you will be asked to submit your documents

Step 4: Your documentation will be manually checked.

Step 5: After verification, the loan amount will be approved and issued

Online education loan application process through WeMakeScholars

Step 1: Fill in your details in the common application form which you can find on your website.

Step 2: You will receive a call from one of our financial officers who will then check your eligibility for an education loan. Provide them with the requested details

Step 3: You will be provided with a clear comparison of all the banks you are eligible of getting a student loan from depending on the bank policies.

Step 4: Submit the documents from the document checklist provided to you by your assigned financial officer directly to the bank or upload them through our secured document portal.

Step 5: Your profile will be logged in as soon as you submit your documents. You will find out about the status of your application within 2-6 days in the case of private banks and 10-15 days in the case of public banks after the submission of documents.

Step 6: After your loan has been sanctioned you will receive your sanction letter after which you will have to sign the loan agreement.

Problems that students encounter when contacting a lender directly

• Extremely lengthy processing time
• The interest rates are not negotiated.
• Unclear instructions on how to submit a loan application 
• There is no list of essential paperwork. 
• Post-disbursement assistance is not provided.
• The lending procedure is not well explained.
• Inadequate customer service

• We engage in negotiations on your behalf: Our team of financial officers at WeMakeScholars negotiate with the bank on your behalf to ensure that you receive the greatest interest rates from the banks.
• We provide the best customer support and service: You can get in touch with us at any time during the loan application process. We even offer post-disbursement support up until your final EMI is paid.
• We offer Cashback! : By applying for your overseas education loan with WeMakeScholars, you are assisting the Digital India initiative and you'll be rewarded with cashback on repeated disbursements up to a maximum of INR 3000.
• Customized loan options: WeMakeScholars offers you with various loan options based on your individual requirements, making it easier for you to find a loan that suits your needs.

Why transfer your loan to Bandhan bank?

• You can achieve cheaper interest rates on the new education loan you're applying for as well as the previous loan by shifting it from one bank to another. This can enable you to make huge long-term financial savings!
• The entire procedure becomes much simpler and more seamless since WeMakeScholars is linked to the majority of public banks, private banks, and NBFCs. 
• Our staff of financial officers negotiates for a reduced interest rate on your behalf, thereby making the entire procedure painless for you.

How to transfer your loan to Bandhan bank?

• Request a callback from WeMakeScholars
• Talk to your assigned financial officer about the details of your existing loan and how you want to get it transferred.
• Submit all the documents suggested to you by your financial officer to the bank where you have your existing loan.

We offer guidance on loan transfer steps and can answer any questions you may have about the process.

The following are the key elements that go into determining your student loan's EMI based on Bandhan bank’s rate of interest

• Moratorium period Total loan amount
• Semester-wise breakdown
• Total loan amount
• Compound and simple interest

To get the most accurate prediction of your EMI, head on to the WMS Education Loan EMI calculator. We are aware that managing finances can be a challenging task, and that's why we aim to offer our users helpful tools and resources like the Education Loan EMI Calculator, which simplifies the process. With this online tool, you can calculate your monthly education loan repayment amount based on your loan amount, interest rate, and repayment tenure.

The Bandhan Bank Loan Repayment Process is designed for flexibility and ease. For example, if the amount borrowed is rupees 26 Lakhs with an interest rate of 10.99% Calculating the EMI for an interest rate of 10.99% per annum with a repayment period of 12 years, your loan EMI schedule would depict a declining trend in the loan balance. Initially, the EMI is 42,956 and it includes interest and principal where the interest portion is decreasing every year while the principal portion is increasing.  Take a look at the below given table:

The rules for repaying education loans can differ between lenders, and this applies to both government banks and NBFCs. to know further about it, you can watch this video to gain deeper insights into the topic. 

WeMakeScholars provides you with post-disbursement support that lasts the entirety of your loan repayment period, up until you make your final EMI payment. You can reach out to us to know more details.