Dhanlaxmi Bank Education Loan

✓ Collateral and Non-collateral Education Loan

✓ Starting interest rate of 9% P.A.

 

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Table of content

  1. Education Loan Products of Dhanlaxmi bank
  2. Dhanlaxmi Bank Education Loan Scheme for Abroad studies
  3. Dhanlaxmi Bank Education Loan Schemes for studies in India
  4. Dhanlaxmi Bank Education Loan Processing Fees
  5. Documents required for Dhanlaxmi Bank Education Loan
  6. Dhanlaxmi Bank Education Loan Insurance
  7. Dhanlaxmi Bank Loan Margin Calculation
  8. How to apply for an Education Loan from Dhanlaxmi Bank?
  9. Why and How to transfer your Education Loan to Dhanlaxmi Bank?
  10. Dhanlaxmi bank Education Loan EMI calculation as per Interest Rate
  11. Dhanlaxmi Bank Education Loan Repayment process
  12. Interest Subsidy Scheme
  13. FAQ's
  14. Need Help? Ask Here!

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Dhanlaxmi bank is private sector bank in India, that offers student loans of upto Rs 20 lacs and Rs 10 to students to pursue their higher education in abroad and India respectively, at interest rates starting from 9%.

Education Loan Products of Dhanlaxmi bank

Dhanlaxmi bank, is regulated by the RBI and follows the Indian Banking Association (IBA) guidelines to offer the following student loan schemes:

  • Dhanlaxmi Bank Education Loan Schemes for Abroad studies
  • Dhanlaxmi Bank Education Loan Schemes for studies in India

Let’s understand each of these separately in detail

 

Dhanlaxmi Bank Education Loan Scheme for Abroad studies

As per the scheme, students can get a loan of upto Rs 20 lacs from the bank according to the following loan parameters mentioned below:

Loan Parameters

Details

Loan amount Limit

Upto Rs 20 lacs

Students may apply for higher amounts also, with strong co-applicant

Expenses Covered

    • Tuition fees or admission fees
    • Cost of instruments, uniform, books, and equipment
    • Cost of hostel and boarding
    • Airfare (for abroad)
    • Cautionary deposit
    • Examination, library, and lab fees
    • Insurance premium of the applicant
    • Cost of laptop or computer
    • Other expenses related to studies like study tours, projects, thesis, etc.

Accepted co-applicant

Parents/ Parents law/ Siblings/ Spouse

Rate of interest for Dhanlaxmi bank education loan

Dhanlaxmi Bank education loan interest for a loan with collateral - 9% - 11%

Loan without collateral - 12% - 14%

Moratorium period

Course duration + 6 months or taking a job, whichever is earlier

Repayment duration

Maximum upto 15 years

Repayment policies

Simple interest is incurred on granted education loans during the moratorium period, which students will have to pay

Eligibility criteria

    • Student must be an Indian National with an age above 18
    • Duration, of course, can only be upto 3 years
    • Students should have cleared the entrance examination and secured admission into college or university abroad

Security 

    • No security is required for loans up to Rs. 4 lakhs
    • In addition to the parent(s) signing the paperwork as joint borrower(s) for amounts over Rs. 4 lacs and up to Rs. 7.5 lakh, collateral security in the form of an appropriate third-party guarantee will be obtained.
    • Only tangible collateral securities equivalent to the whole amount of the loan are acceptable to the banks for loans above 7.5 lacs along with an assignment for the student's future income for installment payment.

Collateral securities

House, Flat, Non-Agricultural Land, and Fixed Deposit

Courses applicable

  • Computer science, engineering, and natural and biological sciences undergraduate courses are the only ones that apply.
    It is possible for students to pursue Postgraduate programs in the aforementioned fields, as well as business administration, are offered; candidates must submit a report outlining the course's employment possibilities in the future.
  • It is possible for students to pursue Postgraduate programs in the aforementioned fields, as well as business administration, are offered; candidates must submit a report outlining the course's employment possibilities in the future.

Academic requirements

  • The applicant/student must have passed the qualifying test in order to be admitted to the chosen program of study.
  • Along with evidence of admission to the institution or university, a copy of a current passport, and the results of any mandatory or qualifying exams, such as the GRE, AGRE,  SAT, GMAT or TOEFL the applicant must also present these documents.
Get the financial support you need to achieve your goals - check your eligibility for a loan with WeMakeScholars today.

Dhanlaxmi Bank Education Loan Schemes for studies in India

The loan amount offered by Dhanlaxmi bank to students taking admission to India, to pursue their higher education is upto Rs 10 lacs, however, getting a higher loan amount is also possible. The other loan parameters are mentioned below: 

Loan Parameters 

Details

  Loan amount Limit

Upto Rs 10 lacs

Depending on the student loan profile, a higher loan amount can also be offered

Expenses Covered

    • Student’s insurance premium 
    • Admission or tuition fees
    • hostel and boarding cost
    • Cautionary deposit
    • Cost of uniform, instruments, equipment, and books
    • Laptop or computer purchasing cost
    • Lab, Examination, and library fees 
    • Other expenses related to studies like thesis, projects, study tours, etc.

Accepted co-applicant

Parents/ Parents in law/ Siblings/ Spouse

Rate of interest for Dhanlaxmi bank education loan

    • With collateral - 9% - 11%
    • Without collateral - 12% - 14%

Moratorium period

Course duration + 6 months or taking a job, whichever is earlier

Repayment duration

Maximum upto 15 years

Repayment policies

    • Students are required to pay simple interest on their education loan during the moratorium period.
    • Parents, joined as co-borrowers can also repay the loan with their existing source of income.

Eligibility criteria

    • Age of student must be above 18
    • Course duration can be upto 5 years
    • The student should be Indian
    • Qualifying examination of the college or university must be cleared by the student

  Security 

    • For loan amounts upto Rs 4 lacs, security is not needed.
    • For loan amounts above Rs 4 lacs upto Rs 7,5 lacs, collateral security is required, even third-party collaterals are acceptable.
    • An assignment of the student’s future income for installment payment is required to be submitted with tangible collateral security for a loan amount greater than Rs 7.5 lacs

Collateral securities

Non-Agricultural Land, House, Flat, and Fixed Deposit

Courses applicable

  • Postgraduate and graduate degree/diploma programs in engineering, dentistry, computer science, veterinary sciences, medicine, pharmacy, and agriculture.
  • Programs in general science, management, and the arts for postgraduate students at famous schools and institutions
  • a postgraduate degree in computer applications from a reputed university such as SSI, BITECH, NIIT, APTECH, etc.

Academic requirements

  • Obtained admission to any of the authorized technical and professional programs offered by accredited Indian institutions only after Class XII.
  • The applicant/student must have passed the qualifying test to be admitted to the chosen program of study.

Dhanlaxmi Bank Education Loan Processing Fees

Here is a table mentioning Dhanlaxmi bank’s education loan processing fees. Take a look

Processing fees

Amount

Payable   at    the   time   of   application

Loan Amount                  Charges Up to 

Rs.  20 Lacs            -      Rs. 3500 + service tax Above Rs.20 Lacs   -      Rs. 5000 + service tax

Loan Against property

1.50 % of  loan  amount  + service tax

 

Processing fees are charged by the bank, not WeMakeScholars, all our student-friendly services related to education loan sanctioning are totally FREE of cost for students as we are funded and supported by the IT Ministry, Government of India under the Digital India Campaign. 

To take advantage of our services and get your education loan sanctioned without any hassle, request a callback or fill out the common application form to start your loan process with WeMakeScholars.

Documents required for Dhanlaxmi Bank Education Loan

Here is a list of documents that you need to submit with Dhanlaxmi bank to take an educational loan:

Application form

Education loan application form filled through WeMakeScholars Website with 2 passport size photos

Bank KYC details of the applicant and co-applicant/ guarantor

  1. PAN Card or Passport of the student (if going abroad) as proof of identity
  2. Permanent or Current address proof – Aadhar card/ Passport/ Electricity Bill/ Ration card/ Bank account statement/ Telephone Bill/ Voter ID Card 
  3. If the co-applicant is salaried, then personal or salary bank account details of the last 6 months are required and it should also show salary crediting. If the co-applicant is self-employed they need to show 1 year business transactions.
  4. Personal asset and liability statement verified by bank professional

Applicant academic documents

  1. Confirmation of admission in the course
  2. Scorecard of the qualifying competitive examination 
  3. School marksheets and certificate of class 10th and 12th along with degree certificates
  4. University’s fee structure given at the time of admission

Co-applicant’s Income documents

If Salaried

  1. Past 2 year’s Form 16
  2. Identity card of the company
  3. Last 3 months salary slip
  4. Recent Income Tax Return of past 2 years

If Self-earning

  1. Business’s address proof
  2. Profit & Loss account through last 3 years balance sheet
  3. Income Tax Return of last 3 years

Other Documents

  1. An affidavit with the student and co-applicant in bank’s standard format.
  2. A declaration from co-applicant’s side stating that any other expense not covered in the loan will be borne by them

Additional docs (if applicable)

  1. Account statement of previous loans running from last 1 year 
  2. Receipts or proof of any payments made previously
  3. Break certificate on Rs 100 stamp paper for the students who have gaps in academic degrees. 

Collateral documents (Optional)

Collateral documents will be required to be submitted by students if they are taking an education loan with collateral. A special collateral documents checklist will be shared with you by your financial officer as per your eligibility.

Only self-attested documents are acceptable.

However, this is a list of general documents that are mandatorily required by the Dhanlaxmi bank. There could be a requirement of some special documents as well that you might come to know when you get in touch with your financial officer. Instead of going to the bank to submit the documents, upload them directly to WeMakeScholars documents portal, as it is safe, fast and reliable.

Stop stressing about paperwork and let us take care of it. Contact us to receive your custom document list.

Dhanlaxmi Bank Education Loan Insurance

Dhanlaxmi Bank allows students to take education loan insurance at a cost of 1% - 2% of the loan amount. Taking an education loan insurance reduces the risk for both applicants and the bank, as in case of any mis-happening with the applicant during the course of study resulting in their inability to pay the loan, the insurance takes care of the due loan amount. 

For more information about education loan insurance, ask your financial officer

Dhanlaxmi Bank Loan Margin Calculation

The loan margin kept by Dhanlaxmi Bank on education loans for India and abroad is as per the following table:

Place of Study

Loan Margin

To study in India

5%

To study abroad

15%

For example, if a student takes an education loan of Rs 50 lacs to study abroad, then as per the 15% loan margin, they will have to arrange Rs 7.5 lacs on their own. The bank will only provide Rs 42.5 lacs as an education loan. 

Many times, students find it difficult to arrange funds for their loan margin and get stranded in the middle of their loan sanctioning process. But we can help you reduce your loan margin by implementing certain strategies. Get in touch with your financial officer to arrange funds for your loan margin.

How to apply for an Education Loan from Dhanlaxmi Bank?

To apply for an education loan from Dhanlaxmi bank follow the below given instructions

Step 1 Request a callback or fill the common application form to start your loan application.

Step 2 Give details about your loan profile to your financial officer, who will call you back

Step 3 Choose from the lender options suggested by your financial officer as per your eligibility

Step 4 As per the documents checklist, upload your documents on WeMakeScholars documents portal.

Step 5 Collect your loan sanction letter from the bank within 7 days after you submitted your documents.

This is the most convenient and hassle free method to apply and get your education loan sanctioned so quickly. Because if your will approach the bank directly to get your loan sanctioned you will face the following issues:

  • Delay in processing
  • Incomplete documents checklist
  • Insufficient information about loan products
  • Post sanction disbursement issues
  • Improper customer support
  • No negotiation support

We your process your education loan with WeMakeScholars, you will not only avoid the above listed issues, you will also enjoy the following benefits:

  • Expert guidance - Our trained financial officer will analyze your loan profile and suggest you the best loan deals as per your eligibility, and guide you throughout your loan sanction process.
  • Consistent availability - We are available at your service from 9 AM to 9 PM, from the start of your loan process to the repayment of your last EMI, even when you are in a 12 hour different time zone.
  • Minimal Processing time - We provide the quickest loan sanctioning services, through us education loan from private bank & NBFCs is sanctioned within 2-6 days and from government bank it takes only 15-20 days to get the loan sanctioned,
  • Digitized application process - Digitizing the entire loan application process we are way ahead of our competitors, helping 1000’s of students daily to get their loans sanctioned.
  • Cashback offer - You stand a chance to win up to Rs 3,000 as cashback from us, at the time of your loan disbursement.

We are the leading education loan processing partner and have expertise in getting education loans sanctioned within deadline. Request a callback, or fill a common application form, that will connect you to 14+ public and private banks in India, so that you can compare and get the best education loan deal.

Experience a seamless loan application process - apply through WeMakeScholars and enjoy the benefits of our free services.

Why and How to transfer your Education Loan to Dhanlaxmi Bank?

Students prefer transferring their education loan to enjoy the following benefits:

  • Lower rate of interest
  • Easy repayment policies
  • Wider coverage of loan scheme

To transfer your education loan to Dhanlaxmi bank follow the below given steps:

Step 1 Ask for the pending loan amount from your present lender, take receipt and statements.

Step 2 Talk to your financial officer at WeMakeScholars, and mention that you need to transfer your existing loan to Dhanlaxmi Bank

Step 3 Submit your documents in Dhanlaxmi bank as per the documents checklist provided by your financial officer

Your will be informed as soon as your loan transfer is approved, post that you will have to repay the loan of outstanding amount to Dhanlaxmi bank as per their repayment policies

Dhanlaxmi bank Education Loan EMI calculation as per Interest Rate

Dhanlaxmi bank education loan EMI calculator exists on their website but we suggest students to use WeMakeScholars education loan EMI calculator, because

  • WeMakeScholars education loan EMI calculator is highly accurate and provides exact figures as per the current rate of interest.
  • It provides a strategic edge over other as students can choose their loan parameters after calculating their EMI
  • It provides detailed analysis of the repayment cycle, so that student can plan their repayment schedule accordingly
  • This helpful education loan EMI calculator is free of cost.
Don't let a high ROI hold you back from pursuing your dreams - apply with WeMakeScholars for a better deal and expert negotiation.

Dhanlaxmi Bank Education Loan Repayment process

Dhanlaxmi bank allows students to repay their education loan within a repayment period of 15 years starting immediately after the moratorium period. 

If a student has taken an abroad education loan from Dhanlaxmi bank of amount Rs 75 lacs for 15 years of duration at an 11% rate of interest. Their repayment schedule as per the WeMakeScholars education loan EMI calculator will be as follows:

Repayment Cycle

EMI

Interest portion

Principal portion

Loan Outstanding

Start of loan EMI

96966

78203

18763

8512487

End of year 1

96966

76222

20744

8294391

End of Year 2

96966

73822

23144

8030122

End of Year 3

96966

71143

25823

7735273

End of Year 4

96966

68155

28811

7406305

End of Year 5

96966

64821

32145

7039268

End of Year 6

96966

61102

35864

6629758

End of Year 7

96966

56951

40015

6172861

End of Year 8

96966

52321

44645

5663092

End of Year 9

96966

47155

49811

5094332

End of Year 10

96966

41391

55575

4459757

End of Year 11

96966

34959

62006

3751749

End of Year 12

96966

27784

69182

2961812

End of Year 13

96966

19778

77187

2080464

End of Year 14

96966

10846

86119

1097127

End of Year 15

96966

881

96085

0

However, students can choose to repay their education loan even before their repayment period ends, in the following ways:

  • Paying Part-payment or Prepayment
  • Keeping short repayment durations
  • Transferring education loans to a different bank

To seamlessly process your education loan at every stage of your loan sanctioning, request a callback or fill out the common application form.

Our post-sanction assistance is available to ensure you don't face any delays in receiving your education loan.

Interest Subsidy Scheme

Dr. Ambedkar Interest subsidy scheme for OBC and EBC students

Only students belonging to OBC and EBC sections of society are eligible to apply for interest subsidy during the moratorium period of their abroad education loan, under this scheme.

NOTE

  • Annual family income of students should be below Rs 8 lacs annually.
  • Student must have secured admission in PhD, masters or MPhil course

Padho Pardesh Scheme

Only EWS category students adhering to the eligibility criteria of students are eligible to get interest amount subsidy, under this scheme.

NOTE

  • Student's family income should be below Rs 6 lacs annually.
  • Students belonging to religious minority community are eligible
  • Only admissions in masters, MPhil or PhD courses is eligible
  • Income certificate proof will be required to prove eligibility

Central Scheme for Interest Subsidy (CSIS)

The scheme helps eligible students to take benefit by not paying interest amount during the moratorium period of their education loan.

NOTE

  • Student must belong from EWS category
  • Family income of student must be below 4.5 lacs annually

Education Loan FAQs

  • What is the education loan interest rate for Dhanlaxmi bank?

    The education loan interest rate in Dhanlaxmi bank starts from 9% and ranges upto 14% for education loan in India and abroad.

  • What is Dhanlaxmi bank education loan eligibility criteria?

    To take an education loan from Dhanlaxmi bank, an applicant must be an Indian citizen, they must have secured admission in any prestigious university or college in India or abroad, etc. To know more about other specific loan eligibility criteria, ask your financial officer at WeMakeScholars.

  • How many education loan schemes are offered by Dhanlaxmi bank?

    Dhanlaxmi bank offers education loans to students planning to pursue higher education under its 2 education loan schemes - Dhanlaxmi Bank Education Loan Schemes for Abroad studies and Dhanlaxmi Bank Education Loan Schemes for studies in India.

Our Education Loan team will help you with any questions

Naresh Kumar
WeMakeScholars- supported by IT Ministry, Govt. of India.
Published: | Updated: