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Eligibility Criteria

One of the most basic criteria for being eligible for an education loan is the fact that you must be an Indian National.

Other Criteria Include:

» Age of the applicant must not be below 16 years and greater then 35 years
» Every education loan requires a co-applicant.

You might say these are just three eligibility criteria but, these are just the basic criteria. There are various eligibility conditions for the co-applicant and he/she must submit the necessary documents offering proof of eligibility.

The documents needed, will give you an idea about the eligibility criteria.

Applicant - Eligibility and Documentation

The first document to be submitted by the applicant is an affidavit or declaration that no other loan has been taken by the applicant from any other bank
» Duly filled application form, with passport sized photographs
» An admission letter from the institute wherein the applicant has procured admission
» Letter from the Institute that offers the various costs associated with the program, broken up    into various terms and years
» Mark Sheets - From SSC to the last examination passed

If an applicant wants to apply for a loan to study in an institute outside India:
» Letter from the Head of Department of the University
» Travel Papers
» Proof of Visa Approval
» SAT/GRE/GMAT score card
» If going to the USA, then I-20

Co- Applicant Eligibility and Documentation

For Salaried Individuals

A salaried individual is someone who is a doctor, CA, or a person who works for select Public or Private Limited companies or in the government sector which includes Central, State, and Local organization and Public Sector Undertakings.

Eligibility Criteria
» The age of the co-applicant must not be below 21 years
» The age at the time of maturity of the loan should not be above 60 years of age
» The person must have had a minimum employment of 2 years and should have worked in the    current organization for a minimum of 1 year
» Minimum net monthly income is usually Rs. 10, 000. However, the net income is dependant on the    City and the tier that it belongs to.

Documentation:
» Identity Proof
» Residence/Address Proof
» Last 3 months bank's statement or the last 6 months entries in the bank pass book
» The latest salary certificate or salary slip, as well as, the latest Form 16.

For Self Employed Co-Applicants

A Self employed person is someone who is a doctor, a Company Secretary, Architect, MBA consultant, Engineer, Writer, Interior Decorator, Fashion Designer, amongst various others.

Eligibility Criteria
» The age of the co-applicant must not be below 25 years
» The age at the time of maturity of the loan should not be above 65 years of age
» The co-applicant should have spent a minimum of 3 years in the current business and must have    accumulated business experience of not less than 5 years
» There is also a pre-designated monthly income for self employed co-applicants but its best to    approach a bank and get information on the same

Documentation
» Identity Proof
» Residence/Address Proof
» Latest 6 months entries in the bank pass book or bank statement of the last 6 months
» Profit and Loss balance sheet of the preceding two years that has been certified by a C.A. and    also latest acknowledged IT returns and the income computation
» Proof of Qualification - Copy of highest professional degree of the co-applicant

For Self Employed Co-Applicants (Business Owners)

A self employed co-applicant who is a business owner is somebody who is sole proprietor of his/her business. Moreover, the co-applicant could be in the business of manufacturing or trading, or could even be the owner of a firm rendering services.

Eligibility Criteria
» The age of the co-applicant must not be below 21 years
» The age at the time of maturity of the loan should not be above 65 years of age
» He/she must have five years of continuous business experience
» There is also a pre-designated monthly income for self employed co-applicants but its best to    approach a bank and get information on the same

Documentation
» Identity Proof
» Residence/Address Proof
» Latest 6 months entries in the bank pass book or bank statement of the last 6 months
» Profit and Loss balance sheet of the preceding two years that has been certified by a C.A. and    also latest acknowledged IT returns and the income computation
» Proof of business continuity, which could be in the form of a Sales Tax Certificate, or a Trading    License etc ...And other mandatory documents