Canara Education Loan Scheme for Pursuing Master's Degree

About the Scheme

The Canara Bank education loan program serves students who want to study for a Master's programme in STEM (Science, Technology, Engineering, and Management) courses. The educational financing considers substantial amounts needed for tuition, travel, and living expenses.

Students and their parents find the loan appealing because it features affordable interest rates combined with fast applications and carries no prepayment charges.

Rate of Interest

Canara Bank offers the Canara Education Loan Scheme to Study Master’s Degree with varying interest rates depending on the amount of collateral security furnished.

Special schemes such as Vidya Sahay and Vidya Shakthi have lower interest rates.

Investment

Secure

Secure your child’s future with or without you

Start Investing

₹10,000/Month

& Get

₹1 Crore^*

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*Standard T & C Apply

Features of the Scheme

1. Loan Amount:

   The minimum loan amount is ₹7.5 lakhs; the maximum is determined by collateral coverage.

2. Processing Fees:

   0.50% of the approved limit (Maximum ₹10,000 when fully covered by collateral, ₹20,000 otherwise).

3. Repayment Period:

   Maximum 15 years, excluding the moratorium period (course period + 1 year).

4. Expenses Covered:

   • Full 100% fees

   • Travel expenses

   • Living expenses

   • Medical insurance, where applicable

5. Security Requirement

   • Future earnings assignment of the student

   • Parent/guardian must be a co-signer

   • Collateral security of 50% to 100%

Eligibility Criteria

To avail of this best education loan for students, the applicant should:

• Be a holder of a valid Indian passport.

• Have been accepted into a highly ranked prestigious university.

• Score at least the minimum level on entrance examinations:

  • SAT: 1250+

  • ACT: 26+

  • GRE: 300+

  • GMAT: 650+

Documents Required

Applicants need to provide the following documents to apply under the Canara Education Loan Scheme for Pursuing Master’s Degree:

• Admission documents from the preferred institution.

• Academic records and entrance exam scores.

• KYC documents (passport, Aadhar, etc.)

• Parent/guardian income verification

• Collateral security documents where applicable.

Most Important Terms and Conditions

• The Loan Margin consists of 10% starting from the total loan sum and distributed through scheduled payments.

• Loan payments start following the passage of the specified moratorium time.

• Under Section 80E of the Income Tax Act and other tax benefits, borrowers in the country can reduce their overall loan burden.

• To obtain larger loans, borrowers must present property ownership, fixed deposit accounts or additional assets as collateral security.

The purchase of a child education planprovides future financial ease for planning parents and loan benefits for their students.

Students can use the Canara Education Loan Scheme for Pursuing Master's Degreeas a useful financial resource to study abroad. Students gain flexible term options and reasonable interest rates through this scheme while receiving tax benefits by section 80E of the income tax law. Students can use anincome tax calculator to forecast their repayment duties, which helps them better manage their financial planning.

The Canara Bank provides specific education loan packages to borrowers who want education loans without collateral based on their qualifications and university-ranking positions.