Educational Loans for students

<p>&nbsp;</p> <p style="text-align: justify;">The education industry is growing rapidly in India. With the changing scenario and environment the education system and techniques related to it are changing accordingly. Today acquiring higher education is not an easy task. Every day we are watching that there is some new institute is coming up. All the metropolitan cities are mushroomed with institutes and colleges. There are number of professional colleges and institutes in every city. As the number of institute is growing daily but still the number is not sufficient for growing demand.</p> <p style="text-align: justify;">&nbsp;</p> <p style="text-align: justify;">Every student is not so lucky that he will get an opportunity to get admission in one of the top college of the country or get admission in <img style="border: 3px solid black; margin: 3px 4px; float: right;" src=" https://images.shiksha.com/mediadata/images/1270277068phpiJqjyt.jpeg" alt="" width="150" height="110">government run colleges where the minimal fee is charged by the students. There are many colleges and professional institutes who charged very high fee from the students for their one year or two years course. Some of the institutes charged Rs. 10 lakhs to 20 lakhs for their professional courses. Even the ISB and IIM charged a big amount as fee.</p> <p style="text-align: justify;">&nbsp;</p> <p style="text-align: justify;">A country like India where the most of the population fall under the category of average income and that average income range between Rs. 4 lakh per annum to Rs.12 Lakh Per annum. So it is not possible for an average salary earner to get their child admitted in a colleges which has a fee more than their saving from annual income. To give the best to their child the parents do all the things and today with the case of education they do not compromise on that.</p> <p style="text-align: justify;">&nbsp;</p> <p style="text-align: justify;">Nowadays, lots of students take education loan to get higher education in India and abroad. Many banks offer education loan to students at various interest rate and for different time frame. RBI, SBI, and some other private banks too offering educational loans to students. Most of banks offer these loans with the concern from letter from the institute. The interest rate of the educational loan may vary from bank to bank but most of the bank charges interest rate between 8 percent to 12 percent. The bank offers education loan after getting satisfied with the status of the institute and courses value in the market. The educational loan need to be returned once the student complete the course and after the six months of the completion of the course or he got a job during that period then the repayment time starts. After looking at the present scenario the HDFC Bank is planning to come up with a new segment in education loans with Credila financial services. The bank is planning to offer the educational loan to students in this session. The bank is planning to capture this segment also so that it will get a good share of this growing market also.</p> <p style="text-align: justify;">&nbsp;</p> <p style="text-align: justify;">Renu Sud Karnad, Managing Director, Housing Development Finance Corporation (HDFC) said, "Credila is a tiny company today. But in the coming years, we want to push education loans through it. We see a good market for loans for college education. We want to use the HDFC expertise to see quick turnaround times." She denied any plans of HDFC going for a stake sale in HDFC Bank in the upcoming financial year.</p> <p><strong>Source: Manisha Verma (Team Shiksha)</strong></p> <p><strong>Date: 3rd April, 2010</strong></p> <hr /> <p><span style="text-decoration: underline;"><strong>For further details about related courses and colleges please click below:</strong></span></p> <p>Related courses and colleges</p>