Canara Bank Education Loan

Canara Bank Education Loan is a comprehensive financial solution that helps in empowering students to pursue their academic aspirations. The loan facility is tailored to meet the diverse needs of students and support them in a wide range of courses and educational pursuits. With competitive interest rates and flexible repayment options, Canara Bank Education Loan strives to make quality education accessible to all.

Read more
Investing in your child's future:A wise decision & a loving choice
  • Insurer pays premium in case of loss of life of parent

  • Create wealth for child’s aspirations

  • Tax Free maturity amount+

  • 12+ plans available

We are rated~
rating
6.7 Crore
Registered Consumers
51
Insurance Partners
3.4 Crore
Policies Sold
  • Insurer pays premium in case of loss of life of parent

  • Create wealth for child’s aspirations

  • Tax Free maturity amount+

  • 12+ plans available

Nothing Is More Important Than Securing Your Child's Future

Invest ₹10k/month your child will get ₹1 Cr Tax Free*

+91
Secure
We don’t spam
Please wait. We Are Processing..
Your personal information is secure with us
Plans available only for people of Indian origin By clicking on "View Plans" you agree to our Privacy Policy and Terms of use #For a 55 year on investment of 20Lacs #Discount offered by insurance company
Get Updates on WhatsApp
We are rated~
rating
6.7 Crore
Registered Consumers
51
Insurance Partners
3.4 Crore
Policies Sold

What is a Canara Bank Education Loan?

A Canara Education Loan is a financial assistance program provided by Canara Bank to support students in funding their academic endeavours. This loan is designed to cover various educational expenses, offering competitive interest rates and flexible repayment plans. It aims to make quality education accessible by providing financial support for a wide range of courses, enabling students to pursue their academic goals with ease.

Canara Bank Education Loan Interest Rates 2024

Canara Bank Education Loan Scheme Name Loan Amount Limit Interest rate (in % p.a.)
Education Loan Scheme for Pursuing Master's Degree (from Top Universities of World)  ≤ Rs.1 crore  9.25% - 11.35%
IBA Model Education Loan Scheme   Need-based financing Contact the bank  
Vidya Sagar Scheme   ≥ Rs. 7.50 lakhs 10.25% - 11.25%
IBA Skill Loan Scheme  Rs. 5000 - Rs. 1.5 lakhs 9.25% - 10.75%
Vidya Turant  ≤  Rs.40 lakhs (on the basis of category of institutions)  8.60% - 11.35%
Vidya Shakthi 
  • Degree courses:  ≤ Rs.7.5 lakhs
  • Vocational, certificate, diploma and skill loan: ≤ Rs.1.5 lakhs
9.25% 
Vidya Sahay  ≤ Rs.1 lakh  11.25% 

Details of Canara Bank Education Loan Schemes

  1. Canara Bank Vidya Turant

    The purpose of Canara Vidya Turant is to empower academic excellence by providing seamless education loans for top students at IIMs, IITs, NITs, IISc, ISB (Hyderabad & Mohali), and other acclaimed institutions.

    Terms and Conditions Values
    Margin NIL (Scholarship/assistantship included in margin)
    Loan Amount Limit Loan Category Institutions Maximum Eligible Limit
    A ISB, Hyderabad & Mohali ≤ Rs. 50 lakhs
    B IIMs (19), IITs (23), Symbiosis Groups (5), BITS (4), IIFT (2), IMI (1), IRMA (1), ISM (1), IMT (1), KJSIMSR (1), MDI (1), SPJINMR (1), NMIMS (1), RGIIM (1), XIM (1), XLRI (1), and others ≤  Rs 40 lakhs
    C All other institutions, excluding A and B (109) ≤  Rs 30 lakhs
    Processing Charges NIL
    Security Assignment of future income; No security up to specified limits for Group "A," "B," and "C" institutes
    Repayment Tenure Up to 15 years in equated monthly installments (excluding the moratorium period)
    Prepayment Penalty None during the repayment period
    Expenses Covered Fee, examination/library/laboratory fee, travel expenses, insurance premium, caution deposit, books/equipment/uniforms, computer purchase, and other course-related expenses
    Eligibility under the CSIS Scheme All Vidya Turant education loans can be covered under the CSIS scheme, subject to eligibility based on income and other norms.
  2. Canara Bank Vidya Shakthi Scheme

    Category Details
    Purpose To support PWD category students seeking education loans for specialized courses in India. For overseas studies, loans will adhere to IBA Model Education Loan/Skill Loan scheme guidelines.
    Loan Quantum
    • Degree Courses: Up to Rs 7.50 lakhs
    • Vocational/Certificate/Diploma/Skill Loan Courses: Up to Rs 1.50 lakhs
    • Loans beyond these limits follow IBA's Model Education Loan scheme.
    Margin
    • Up to Rs 4.00 lakhs: No margin
    • Above Rs 4.00 lakhs: Minimum 5% margin (including scholarships/assistantships).
    Processing Charges NIL, including Vidya Lakshmi portal referral fee.
    Security
    • Assignment of the student's future income
    • Parent/guardian as Co-borrower
    • No collateral security up to Rs 7.5 lakhs
    • Loans up to Rs 7.50 lakhs are covered under the Credit Guarantee Fund Scheme For Education Loans (CGFSEL).
    Repayment Tenure
    • Equated Monthly Installments (EMIs) up to 15 years (excluding the moratorium period) for general education loans
    • For skill development loans, 3 to 7 years depending on the loan quantum.
    Eligibility under the CSIS Scheme All Vidya Turant education loans are eligible for coverage under the Central Scheme of Interest Subsidy on Education Loans (CSIS), subject to income and other norms.

    Investment Investment
    Secure Secure
    Child Banner
    Secure your child’s future with or without you
    Start Investing
    ₹10,000/Month
    & Get
    ₹1 Crore*
    *Standard T & C Apply
  3. Canara Bank IBA Skill Loan Scheme

    Category Details
    Purpose Skill Loan Scheme is designed to support national skill development initiatives.
    Loan Quantum Need-based financing ranges from Rs. 5,000 to Rs. 1,50,000.
    Eligible Courses
    • Courses aligned with the National Skill Qualification Framework (NSQF) offered by Training Institutes are covered.
    • No minimum course duration is required.
    Margin NIL
    Security
    • Assignment of the student's future income
    • Loan jointly granted with the parent/guardian
    • Covered under the Credit Guarantee Fund Scheme for Skill Development (CGFSSD)
    • No collateral or third-party guarantee is required
    Moratorium
    • Moratorium period of 6 months to 1 year, depending on the course period
    • Moratorium Period: 
    • Up to 1-year course: 6 months from course completion
    • Above 1 year course: 12 months from course completion.
    Repayment Tenure The repayment period is from 3 to 7 years, depending on the loan quantum.
    Loan Tenure
    • For a loan of up to Rs. 50,000: Up to 3 years
    • For loans above Rs. 50,000 and up to Rs. 1,00,000: Up to 5 years
    • For loans above Rs. 1,00,000: Up to 7 years.
  4. Canara Bank IBA Model Education Loan Scheme

    Category Details
    Loan Quantum
    • Need-based financing is available
    • Students can apply at bank branches near their parents' residence or the educational institution.
    Eligible Courses
    • For Studies in India: Graduation, post-graduation, including technical/professional courses from recognized colleges/universities approved by UGC/Government, AICTE/Department of Electronics/IMC, autonomous institutions like IIM, IIT, etc. Any courses leading to a degree/diploma from reputed Institutes/Colleges/Universities for studies in India. 
    • For Abroad Studies: Courses leading to undergraduate, post-graduation/Ph.D., Post Graduate Diploma, etc., are eligible.
    Margin
    • Up to Rs. 4.00 Lakhs: Nil
    • Above Rs. 4.00 Lakhs (Studies in India): 5%
    • Above Rs. 4.00 Lakhs (Studies abroad): 15%.
    Security
    • Assignment of the student's future income. 
    • Merit Quota:
    • Up to Rs. 7.50 Lakhs: No collateral security, covered under Credit Guarantee Fund Scheme for Education Loans (CGFSEL) subject to conditions
    • Above Rs. 7.50 Lakhs: Tangible collateral security to cover at least 100% of the loan amount.
    • Management Quota:
    • Up to Rs. 4.00 Lakhs: No collateral security
    • Above Rs. 4.00 Lakhs: Tangible collateral security to cover at least 100% of the loan amount.
    Repayment Tenure
    • Repayment in equated monthly installments up to a maximum of 15 years
    • It excludes the moratorium period (i.e., course period plus one year)
    • No prepayment penalty during the repayment period.
    Expenses Considered for Loan
    • Course fee payable to college/school/hostel.
    • Examination/Library/Laboratory fee.
    • Travel expenses/passage money for studies abroad.
    • Insurance premium for the student borrower, if applicable.
    • Caution deposit, building fund/refundable deposit supported by institution bills/receipts.
    • Purchase of books/equipment/instruments/uniforms.
    • Purchase of a computer at a reasonable cost, if required, for course completion.
    • Any other expense required to complete the course is subject to a ceiling.

    People also read: Child Education Plan

  5. Canara Bank Vidya Sahay Scheme

    Category Details
    Purpose To support financially needy and meritorious students requiring assistance with the down payment for CET/counselling Authorities during selection/counselling.
    Loan Quantum The maximum eligible amount is Rs. 1 Lakh or the initial payment proposed by the CET Authorities, whichever is less.
    Margin NIL.
    Processing Charges NIL.
    Security
    • Parent/guardian must join as a co-borrower
    • No collateral security is required
    Repayment Tenure The loan is to be repaid after the sanction of the regular education loan.
  6. Education Loan Scheme for Pursuing Master's Degree (from Top Universities of the World)

    Category Details
    Purpose Educational loan scheme designed for pursuing studies abroad at select top-ranking universities.
    Loan Quantum
    • The minimum loan amount is above Rs 7.50 lakhs
    • Maximum quantum depends on collateral coverage: 
    • 100% and above: Minimum Rs 7.50 lakh, Maximum uncapped (as per project cost)
    • Less than 100%: Maximum Rs 100 lakh.
    Course Eligible Master's degree in STEM (Science, Technical, Engineering, and Management) courses.
    Margin 10% of the loan amount. (Margin may be brought in on a year-on-year basis as and when disbursements are made on a pro-rata basis)
    Processing Charges
    • 100% and above collateral coverage: 0.50% of the sanctioned limit with a maximum of Rs. 10,000
    • Less than 100% collateral coverage: 0.50% of the sanctioned limit with a maximum of Rs. 20,000.
    Security
    • Assignment of future income of the student.
    • The parent/guardian must join as a co-borrower.
    • Collateral security from a maximum of 100% to a minimum of 50%, with some terms and conditions.
    Repayment Tenure
    • Repayment of the loan in equated monthly installments up to a maximum of 15 years, excluding the moratorium period (i.e., course period plus one year)
    • For skill development loans, it takes 3 to 7 years, depending on the loan quantum.
    Expenses Considered
    • 100% finance on tuition fees
    • Travel expenses/passage money for studies abroad
    • Living expenses for studies abroad. - Medical insurance premium for the student borrower, if applicable
Invest More Get More
Invest ₹10K/Month YOU GET ₹1 Crores* For Your Child View Plans
Invest ₹8K/Month YOU GET ₹80 Lakhs* For Your Child View Plans
Invest ₹5K/Month YOU GET ₹50 Lakhs* For Your Child View Plans
Standard T&C Apply *

What are the Benefits of the Canara Bank Education Loan?

The key benefits of the Canara Education Loan facility are listed below:

  • Competitive Interest Rates: Enjoy lower rates compared to other lenders, making your education investment more manageable.

  • No Collateral Required: Loans up to Rs. 7.5 lakhs do not need any property or assets as security, freeing up your family finances.

  • Reducing Balance Interest: Pay interest only on the remaining loan amount, making monthly payments lighter over time.

  • No Prepayment Penalty: Repay your loan early without incurring any extra charges, offering flexibility and potential savings.

  • Faster Processing and Disbursement: Get your loan approved and funds released quickly so you can focus on your studies without delay.

  • Central Scheme of Interest Subsidy (CSIS) Eligibility: Depending on your income and course, avail of government subsidy to ease your interest burden.

  • Nil Processing Fees: Save money on application charges, making Canara Bank a more cost-effective option.

  • Multiple Loan Schemes: Choose from various plans tailored to different education levels and needs, ensuring a perfect fit for your goals.

  • Prompt Customer Support: Benefit from Canara Bank's helpful staff and resources to guide you through the loan process.

What are the Fees and Charges for Canara Bank Education Loan?

The Canara Bank student loan fees and charges are listed in the table below:

Fee/Charge Description Applicable To
Processing Fee Nil All loans
Prepayment Penalty Nil All loans
Margin on loan amount Varies depending on course (mostly Nil or 5-15%) Based on the IBA Model Scheme and loan amount
Guarantor/co-applicant charges Applicable if required (varies based on bank's discretion) Not applicable in all cases
Late payment charges 2% per month on the outstanding balance This applies to delayed payments
CIBIL reporting charges Nominal annual fee for credit score maintenance All borrowers

What are the Documents Required for the Canara Bank Education Loan?

The list of documents to apply for a Canara Bank education loan is mentioned below:

  • Essential Documents:

    • Application form: Filled and signed

    • Photos: Passport-size (2 copies)

    • ID proof: PAN card, Aadhaar, Voter ID (anyone)

    • Address proof: Aadhaar, Voter ID, driving license (anyone)

    • Date of birth proof: Birth certificate, school leaving certificate

    • Academic docs: Mark sheets, admission letter/call letter

  • Additional (depending on the situation):

    • Fee schedule: Breakup of course costs

    • Income proof of co-applicant/guarantor: Salary slips, ITRs

    • Property documents: For loan amounts exceeding specific limits

How to Apply for a Canara Bank Education Loan?

The steps to apply for Canara Bank Education Loan Schemes are as follows:

  1. Choose your application method:

    • Online: Visit Canara Bank's website and apply through their e-Beckon portal.

    • Offline: Head to your nearest Canara Bank branch and submit a physical application form.

  2. Gather the required documents:

    • Duly filled application form

    • Passport-size photographs

    • Identity proof

    • Address proof

    • Date of birth proof

    • Birth certificate, school leaving certificate, etc.

    • Academic documents

  3. Submit your application:

    • Online: Upload all documents and submit the application electronically.

    • Offline: Submit the completed form and documents at the bank branch.

  4. Loan processing and disbursal:

    • The bank will verify your documents and assess your eligibility.

    • Once approved, the loan amount will be disbursed directly to the educational institution or credited to your account.

Conclusion

The Canara Bank student Loan stands as a reliable financial solution for aspiring students, offering competitive interest rates, flexible repayment options, and a streamlined application process. As a trusted financial institution, Canara Bank's Education Loan contributes to the realization of educational dreams by easing the financial burden on students and their families.

FAQ's

  • Does Canara Bank provide education loans?

    Yes, Canara Bank does provide education loans for both studies in India and abroad. Here are some specific schemes offered by Canara Bank:
    • Vidya Turant

    • IBA Model Education Loan Scheme

    • Skill Development Loan

  • Which bank is the best for education loans?

    Here are 5 banks in India consistently considered top options:
    • State Bank of India (SBI)

    • Punjab National Bank (PNB)

    • Canara Bank

    • ICICI Bank

    • HDFC Bank

  • Who is eligible for the Vidya Sagar scheme education loan subsidy?

    The Vidya Sagar Scheme is a category within the Central Sector Interest Subsidy Scheme (CSIS) offered by the Government of India. Here's who is eligible for the CSIS/Vidya Sagar scheme education loan subsidy:
    • Indian nationals

    • Annual gross parental/family income up to Rs. 4.5 lakhs

    • Pursuing professional/technical courses in India

    • A loan taken under the Model Education Loan Scheme of the Indian Banks Association (IBA)

  • Can I get a Rs. 45 lakh education loan from Canara Bank?

    Yes, you can get Rs. 45 lakh Canara Bank education loan, depending on the following conditions:
    • For higher studies in India, the maximum loan amount under the Vidya Turant scheme varies depending on the institution's ranking:

      • Group A institutes (e.g., IIMs): Rs. 50 lakhs

      • Group B institutes (e.g., other premier institutes): Rs. 40 lakhs

      • Group C institutes: Rs. 30 lakhs

    • The loan must be for a course at an institution recognized by the relevant authorities (e.g., UGC, AICTE, MCI) for the CSIS subsidy to apply.

*All savings are provided by the insurer as per the IRDAI approved insurance plan.
*Tax benefit is subject to changes in tax laws. Standard T&C Apply
#The lumpsum benefit is calculated if policyholder invested ₹10000 monthly for 10 years in the fund with a policy term of 20 years. This Point To Point past performance data of last 10 years has been used to illustrate a scenario for the customers benefit. It is assumed that the past 10 years returns would have also been delivered in last 20 years. This is not guaranteed and not in anyway indicative of what the customer may actually get 20 years from now. The investment is subject to market risk and the risk is borne by the policyholder.
+Returns Since Inception of LIC Growth Fund
~Source - Google Review Rating available on:- http://bit.ly/3J20bXZ
^^The information relating to mutual funds presented in this article is for educational purpose only and is not meant for sale. Investment is subject to market risks and the risk is borne by the investor. Please consult your financial advisor before planning your investments.

child plan investment

Investment

child plan secure

Secure

Secure your Child’s
Career Goal
Start Investing ₹10,000/Month
& Get ₹1 Crore*
*Standard T & C Apply
Disclaimer: Policybazaar does not endorse, rate or recommend any particular insurer or insurance product offered by an insurer.
Child Plan3

Child plans articles

Recent Articles
Popular Articles
Child Education Planner

05 Feb 2024

Ensure your child's dreams come true with a Child Education
Read more
Indian Bank Education Loan

16 Jan 2024

Indian Bank stands tall as a reliable partner in your academic
Read more
Education Loan for Abroad Studies

16 Jan 2024

Pursuing international education is a dream for many aspiring
Read more
Education Loan Without Collateral

16 Jan 2024

An Education Loan Without Collateral is a financial solution
Read more
Bank of Baroda Education Loan

08 Jan 2024

The Bank of Baroda Education Loan is a financial solution
Read more
Top 12 Government Schemes for Girl Child
Top 12 Government Schemes for Girl Child Government schemes for the girl child are a vital aspect of social welfare
Read more
Prime Minister Schemes For Boy Child
The Prime Minister Schemes for Boy Child stand as an important initiative aimed at nurturing the boy child and
Read more
Best Child Investment Plans to Invest in 2024
Planning for the child’s secured future is not an easy task. Most of the people try to create a strong financial
Read more
Best Investment Plans for Girl Child in India
Investing in the future of a girl child is one of the most important financial decisions a parent or guardian can
Read more

top
Close
Download the Policybazaar app
to manage all your insurance needs.
INSTALL