Bank of India

Bank of India was founded on 7th September, 1906 by a group of eminent businessmen from Mumbai. The Bank was under private ownership and control till July 1969 when it was nationalised along with 13 other banks.

Beginning with one office in Mumbai, with a paid-up capital of Rs.50 lakh and 50 employees, the Bank has made a rapid growth over the years and blossomed into a mighty institution with a strong national presence and sizable international operations. In business volume, the Bank occupies a premier position among the nationalised banks. 

The Bank has 4545 branches in India spread over all states/ union territories including specialized branches. These branches are controlled through 50 Zonal Offices. There are 54 branches/ offices and 5 Subsidaries and 1 joint venture abroad.

The Bank came out with its maiden public issue in 1997 and follow on Qualified Institutions Placement in February 2008. 

While firmly adhering to a policy of prudence and caution, the Bank has been in the forefront of introducing various innovative services and systems. Business has been conducted with the successful blend of traditional values and ethics and the most modern infrastructure. The Bank has been the first among the nationalised banks to establish a fully computerised branch and ATM facility at the Mahalaxmi Branch at Mumbai way back in 1989. The Bank is also a Founder Member of SWIFT in India. It pioneered the introduction of the Health Code System in 1982, for evaluating/ rating its credit portfolio. 

Presently Bank has overseas presence in 22 foreign countries spread over 5 continents with 56 offices including 5 Subsidiaries, 5 Representative Offices and 1 Joint Venture, at key banking and financial centres viz., Tokyo, Singapore, Hong Kong, London, Jersey, Paris and New York

Bank of India Education Loan:

OBJECTIVE & PURPOSE :

The Star Educational Loan Scheme aims at providing financial support from the bank to deserving/ meritorious students for pursuing higher education in India and abroad. The main emphasis is that every meritorious student is provided with an opportunity to pursue education with the financial support on affordable terms and conditions.

ELIGIBILITY CRITERIA :

STUDENT'S ELIGIBILITY:

Should be an Indian National;

Secured admission to professional/technical courses in India or Abroad through Entrance Test/Merit based selection process.

Good academic career.

The student should not have outstanding education loan from any other Institution.

Father/Mother should be co-borrower.

Branch nearest to the permanent residence of student will consider the loan.

ELIGIBLE COURSE :

Studies in India (Indicative list) :

Graduation/ Post Graduation courses

Professional courses: Engineering, Medical, Agriculture, Veterinary, Law, Dental, Management, Computer, etc.

Courses conducted by IIM, IIT, IISc, XLRI, NIFT, NID and other Institutes set up by Central/State Govt.

Other courses leading to diploma/degree, etc. conducted by colleges/universities approved by UGC/Govt./AICTE/AIBMS/ ICMR, etc.

Note : Professional courses not approved by AICTE and conducted by Institutes not recognized by State Universities is outside the purview of the eligibility under the scheme. 

Studies abroad :

Graduation: For job oriented professional/technical courses offered by reputed universities.

Post-Graduation: MCA, MBA, MS, etc.

Courses conducted by CIMA - London, CPA in USA, etc.

EXPENSES CONSIDERED FOR LOAN :

Fee payable to college/school/hostel*

Examination/Library/Laboratory fee.

Purchase of books/equipment’s/instruments/uniforms.

Caution deposit/building fund/refundable deposit supported by Institution bills/receipts.

Travel expenses/passage money for studies abroad.

Purchase of computers - essential for completion of the course.

Insurance cover for the student.

Any other expense required to complete the course - like study tours, project work, thesis, etc.

* As per brochure/ demand letter from the institution.

QUANTUM OF FINANCE :

Need based finance subject to repaying capacity of the parents/students with margin and the following ceilings :

Studies in India - Maximum Rs.10.00 lakh

Studies abroad - Maximum Rs.20.00 lakh.

MARGIN : 

Upto Rs.4 lakh : Nil

Above Rs.4 lakh - Studies in India : 5%

Studies Abroad : 15%· Scholarship could be included in margin.· Margin to be brought in on year to year basis as and when disbursements are made.

SECURITY : 

Upto Rs. 4 lakh

No security

Above Rs.4 lakh &upto Rs.7.5 lakh

Collateral security in the form of a suitable third party guarantee.

Above Rs.7.5 lakh

Co-obligation of Parents together with tangible Collateral security of suitable value along with the assignment of future income of the student for payment of instalments.

Note : The security can be in the form of land/building/Govt. Securities/Public Sector Bonds/NSC/KVP/LIP/ Banks Term Deposit etc., in the name of Student/Parent/Guardian/Guarantor with suitable margin.

RATE OF INTEREST* : (Floating, p.a. at monthly rests) 

Upto Rs.7.50 lacs 

 3% above Base Rate, (presently 13.20 %)

Above Rs.7.50 lacs  

2.50% above Base Rate, ( presently 12.70 %)

Int. Concession of 0.50%p.a. for woman beneficiaries for limits up to Rs.50,000/- and 1% for limits over Rs.50,000/-

For Professional courses (like Engg./Medical/ Management, etc.) int. concession : 0.50% (Maximum under a) and b), above is 1%)

1% int. concession if interest is serviced during moratorium period, where repayment holiday is specified for interest/repayment under the scheme (concession available for moratorium period only)

Simple interest during the repayment holiday/moratorium period. Penal interest @2% for loans above Rs.4 lakh for the overdue amount and overdue period.

INSURANCE : 

All the student borrowers are offered a specially designed OPTIONAL Term Insurance covers and the premium can be included as an item of finance. 

REPAYMENT : 

Repayment holiday/Moratorium: Course period + 1 year or 6 months after getting job, whichever is earlier. 

After commencement of repayment :

Loan amount up to Rs.7.50 lacs: 10 years.

Loan amount over Rs.7.50 lacs: 15 years.

BANK CHARGES : 

Processing/upfront charges

No processing Charges.

In respect of loans for foreign study letter of sanction may be issued for obtaining VISA, upon recovery of processing charges of Rs. 1000/- However this can be refunded if the actual loan is availed.

One time charges for any deviations from the scheme norms including approval of courses outside the scheme:

Up to Rs. 4 lacs,

Rs. 500/-

Over Rs. 4 lacs up to Rs 7.50 lacs

Rs. 1,500/-

Over Rs. 7.50 lacs up to Rs 20.00 lacs

Rs. 3,000/-

Document /Stamp ChargesAt Actuals

Change of InstitutionStudies in India  Rs.250/-

Studies Abroad- Rs.500/-

One time charges for any deviations from the scheme norms including approval of courses outside the scheme applicable @ Rs.500 for loan up to Rs. 4 lacs, Rs.1000 for loan up to Rs.7.50 Lacs and Rs.2000 for Loan over Rs.7.50 Lacs. In respect of loans availed by borrowers from rural areas from the Rural Branches  Charges NIL. 

OTHER CONDITIONS :

Loan to be disbursed in stages as per requirement / demand, directly to the Institution/ Vendors of books/equipment’s/instruments to the extent possible;

Student to produce mark list of previous term/semester before availing next installment ;

Student / Parent to provide latest mailing address, in case of any change ;

Student /Parent to inform Branch immediately on change of course /completion of studies/termination of studies/ any refund of fees by college /institution /successful placement /obtention of job/change of job etc., 

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