Bank of Baroda Education Loan Schemes

Bank of Baroda (BOB) offers a variety of education loan schemes tailored to meet the diverse needs of students pursuing higher education, both in India and abroad. Below are the key education loan schemes provided by BOB:

Baroda Gyan Scheme

Interest Rate: 11.05% to 11.15% p.a.

Features:

• Collateral: No security required for loans up to ₹4 lakhs. For loans above ₹4 lakhs, collateral is required.
• Processing Fee: Nil.
• Loan Tenure: 10 to 15 years.
• Eligibility: Applicable for graduation, post-graduation, professional courses, management courses, and more.

Baroda Vidya Scheme

Interest Rate: 12.50% p.a.

Features:

• Collateral: No collateral or security required.
• Processing Fee: Nil.
• Loan Tenure: 12 instalments per year, starting 12 months after the first disbursement.
• Eligibility: Available for Indian citizens with admission to a recognized school. The loan is granted in the name of the student's parent.

Baroda Scholar Scheme (For Abroad)

Interest Rate: 9.70% to 11.15% p.a.

Features:

• Collateral: No security required for loans up to ₹4 lakhs. Third-party guarantee and future income assignment are needed for loans above ₹4 lakhs and up to ₹7.5 lakhs. For loans above ₹7.5 lakhs, 100% collateral security and future income proof are required.
• Processing Fee: 1% of the loan amount, maximum ₹10,000 (refundable after first disbursement). ₹7,500 per property upfront (non-refundable).
• Loan Tenure: Up to 15 years.
• Eligibility: For Indian students admitted to specified courses like graduation, post-graduation, CPA, diploma/degree, management, STEM, medical, etc.

Baroda Education Loan for Premier Institutions (India)

Interest Rate: 9.15% to 10.20% p.a.

Features:

• Collateral: No collateral required for loans up to ₹20 lakhs. Collateral worth 100% of the loan amount is needed for loans above ₹20 lakhs.
• Processing Fee: Nil.
• Loan Tenure: Up to 15 years.
• Eligibility: Admission to technical/professional courses abroad through merit-based selection or entrance test.

Baroda Executive Development Scheme (India)

Interest Rate: 8.55% to 10.20% p.a.

Features:

• Collateral: Varies depending on the loan amount and course.
• Processing Fee: Nil.
• Loan Tenure: Up to 15 years.
• Eligibility: Available for students seeking admission to premier institutions in India.

Baroda Skill Loan Scheme

Interest Rate: 10.65% p.a.

Features:

• Collateral: No collateral or third-party guarantee required.
• Processing Fee: Nil.
• Loan Tenure: Up to 3 years for loans up to ₹50,000, up to 5 years for loans between ₹50,000 and ₹1 lakh, and up to 7 years for loans above ₹1 lakh.
• Eligibility: For students pursuing skill development courses.

Bank of Baroda Education Loan Interest Rate

BOB Education Loan is intended to meet the diverse needs of students with an interest rate that is competitive and flexible, especially under the Baroda Scholar study abroad program. This loan's interest rates are as follows:

• 9.70% - 11.15% (Floating): The precise rate is determined by variables including the loan amount and if the school is on the bank's list of distinguished institutions.
• Special Concession: Female applicants enrolling in non-premier institutes are eligible for a 0.20% interest rate concession.

Bank of Baroda Education Loan Eligibility Criteria

• The student should be an Indian citizen with a minimum age of 18 years. 
• The student should have secured admission to a recognized university for a professional or technical course through a merit/entrance-based selection process. 
• To get better loan terms your institution should be on the list developed by Bank of Baroda. You can find the list of these premier institutes here.
• The applicant should have a consistently good academic record and must meet the minimum academic criteria set by the lending institution. Also, the student must fulfill any prerequisite tests such as GRE, IELTS, or TOEFL.

Required Documents for Bank of Baroda Education Loan

The documentation needed for a BOB education loan for overseas studies varies based on several factors, primarily your academic and professional background, your co-applicant's financial and credit history, and the location of the property or asset that you use as collateral.

Applicants' documents

1. Identity proof: PAN/ Passport/ Driver’s License/ Voter ID card or government-issued identification document.

2. Address proof: recent copy of telephone bill/ electricity bill/water bill/ piped gas bill/ driving license/ Aadhaar card.

3. Passport Mandatory (in case of study abroad).

4, Past academic record.

• 10th standard mark sheet

• 12th standard mark sheet

• Undergraduate result (semester-wise)

5. Entrance Exam Result (e.g. GMAT, GRE, TOEFL, etc. for abroad study)

6. Entrance Exam Result (e.g. CAT, CMAT, JEE, NEET, CET, GMAT, GRE, etc. for domestic institutes)

7. Proof of admission: admission letter (A conditional admission letter is also applicable).

8. Statement of cost/expenses.

9. 2 passport-size photographs.

10. Loan A/C statement of one year, if there is any previous loan from other Banks/ Lenders.

Co-applicant’s documents

1. Identity proof: PAN/ Passport/ Driver’s license/ Voter ID card or government-issued identification document.

2. Address: recent copy of telephone bill/ electricity bill/water bill/ piped gas bill or copy of passport/ driving license/ Aadhaar card.

3. 2 passport-size photographs.

4. If any previous loan is from other banks/ lenders, then the loan A/C statement of 1 year.

5. Legal documents of the collateral/ property documents.

6. Bank account statement of the co-borrower/guarantor, for the last 6 months (in case of takeover of education loan).

Income proof for salaried co-applicant/guarantor

1. Salary slips for the last 3 months

2. Copy of Form 16 of the last 2 years or copy

3. Bank account statement for the last 6 months (Salary account)

4. Brief statement of assets & liabilities of parent/ guardian/ other co-borrower

Income proof for self-employed co-applicant/ guarantor

1. Business address proof

2. Last 2 years IT returns (If IT Payee)

3. TDS certificate (Form 16A, if applicable)

4. Certificate of qualification (for C.A./ doctor and other professionals)

5. Brief statement of assets & liabilities of parent/ guardian/ other co-borrower

6. Bank account statement for the last 6 months

How to Apply for Bank of Baroda Education Loan Online

If you are seeking to obtain an abroad education loan from BOB, you have the option to apply on their website. However, for a seamless application process, you can opt to apply for your education loan through Shikshavahini.

Shikshavahini is an online platform created to aid Indian students in funding their overseas education. To initiate the process with us, all you need to do is assess your loan eligibility, and we will take care of the rest!

Getting your Bank of Baroda Education Loan Through Shikshavahini

Guaranteed best loan

Shikshavahini is committed to providing you with the most competitive education loan available in the market. We strive to bring you the best possible deal. If you happen to come across a better offer, we will cover the difference in interest rates for the entire duration of your education loan.

100% Free of cost services

Shikshavahini provides completely free services to applicants. You won't incur any charges from us throughout the application process for a BOB international education loan.

Low turnaround time

When you submit an education loan application to BOB through Shikshavahini, our team collaborates with different departments within BOB to expedite the loan approval process, typically completing it within 15-20 days. This is the reason why thousands of students rely on us for their loan applications annually. If a student applies directly to the bank, the typical loan processing time at BOB is approximately 30-45 days.

Higher chances of approval

If there are any documents that are missing, property-related concerns, or other issues, we promptly liaise with BOB officials to seek solutions. This guarantees swift issue resolution and considerably enhances your chances of securing approval for a BOB education loan. If you encounter any obstacles, Shikshavahini will consistently provide support and assistance.

Bottlenecks in Bank of Baroda Education Loan

Below, we describe typical bottlenecks that you should watch out for while getting answer to your question how to apply education loan in Bank of Baroda, along with ways in which we work around such bottlenecks to fast-track your education loan application.

Procedural delay

Generally, you apply to a particular branch of Bank of Baroda. Interestingly, most branches do not take a decision on your education loan application. The branch merely collates all documents and a few days later, transfers your applications to a specialized back-end office, called Specialized Mortgage Store (SMS), which actually evaluates the loan application. Those who apply via Shikshavahini get to skip the branch stage, thus saving them several days. We directly transfer your application to the relevant SMS electronically.

Legal Issues With The Property

For the loan to be sanctioned, the property of the applicant and its supporting legal papers are verified by Bank of Baroda empanelled advocates. However, The Turnaround Time (TAT) of the bank and the advocates is high, that is, the officials involved tend to delay the verification process when they come across discrepancies in the property or related documents. Here is where Shikshavahini comes to your rescue as we along with the bank look for alternative solutions when such a problem arises. With a proven record of helping thousands of students out of such situations, Shikshavahini prevents property/document related issues from coming in your way to availing an education loan.

Technical Issues With The Property

The evaluation process of the applicant’s property, undertaken by Civil Engineers, empanelled by BoB, is an extremely lengthy and time-consuming process. Civil engineers first visit the property, and then measure it, check its location and age, calculate its Distress Sale Price, Fair Price, Market Price. The Turnaround Time (TAT) of the Civil Engineer therefore can be quite high and unpredictable. But with our systematic follow-up, we get this step completed in three working days.

Issues in pre-visa disbursal

In addition to the aforementioned solutions, Shikshavahini also ensures pre-visa disbursal of loan, that is, we see to it that the bank disburses the loan to the applicant even before he/she is issued his/her visa.