Bank Of Maharashtra Education Loans
Education Loan

Bank of Maharashtra Education Loan: A Comprehemsive Guide

Bank of Maharashtra Education Loan: A Comprehemsive Guide

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Bank of Maharashtra Education Loan - Know about the Interest Rates, Eligibility Criteria, Concessions Available and the Application Process.

GyanDhan
Aman
Updated on:  27 Feb 2024  | Reviewed By: 
Ankit Mehra 
| 4.75K | 7  min read

When considering taking an education loan from a public bank, the Bank of Maharashtra education loan turns out to be one of the best options. With 30 million customers availing of its customer-friendly banking services through its 2263 branches spread across the country, the Bank of Maharashtra student loan offers loans of up to INR 10 Lakh to study in India and up to INR 20 Lakh to study abroad.

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Overview of Bank of Maharashtra Student Loan

To study abroad, the Bank of Maharashtra student loan provides up to INR 20 Lakh. However, the maximum amount can be increased if the student’s application has more weightage factors, such as admission to a top institute, high collateral value, better CIBIL score of the co-borrower, etc.

Features of the Bank of Maharashtra Student Loan to Study Abroad

Feature Description

Maximum amount

INR 10 lakh (In India)
INR 20 Lakh (To study abroad)

Interest rate

10.55% - 11.30%

Eligible courses

Job-oriented professional, technical, or post-graduate level courses and post-graduate degrees like MBA, MS, MCA, etc. 

Processing fee

0.50% (Refundable)

Margin money

INR 4 Lakh - Nil
Above INR 4 Lakh
5% - To study in India

15% - To study abroad

Moratorium period

Course duration + 1 year

Repayment during the moratorium period

Simple Interest (SI)

Loan tenure

Up to 15 years

Co-borrower requirement

Student’s parent

Security requirement

  • list items No collateral is required for up to INR 7.5 Lakh
  • list items Collateral security of value equals 100% loan amount required for amounts more than INR 7.5 Lakh excluding the margin money

Check Your Education Loan Eligibility

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Education Loan Bank of Maharashtra Schemes

The Education loan Bank of Maharashtra schemes include the Model Education Loan Scheme, Maha Scholar Education Loan Scheme and Mahabank Skill Loan Scheme. Out of these schemes the Model Education Loan Scheme offers education loan for studying abroad.

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Bank of Maharashtra Education Loan Interest Rate 

As the table shows, the bank of maharashtra education loan interest rate is 10.55% - 11.30%. Note that this interest rate is applicable to Bank of Maharashtra loan schemes for abroad studies and not for higher education in India. 

  • list items Bank of Maharashtra education loan interest rate is floating, meaning market changes affect the interest rate.
  • list items Effective interest rate for education loans is the sum of RLLR (Repo Linked Lending Rate) and 1.65% - 2%. The current RLLR is 9.30% for all Bank of Maharashtra loans. Remember that the RLLR is subject to change, so the effective interest rates on education loans.
  • list items Interest concessions: 0.50% concession is available for girl students and 0.25% for deserving meritous students. Also, up to 1% concession is given to students who regularly pay Simple Interest in the moratorium period. 

Apart from the general interest concessions, education loans from the Bank of Maharashtra offer government interest subsidy schemes.

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Interest Subsidy Schemes for Bank of Maharashtra Education Loans

  • list items Dr. Ambedkar interest subsidy scheme: Dr. Ambedkar Central Sector Scheme of Interest Subsidy on Educational Loans for Overseas Studies for Other Backward Classes (OBCs) and Economically Backward Classes (EBCs) will exclude the beneficiaries from paying the interest applicable for the moratorium period. For OBC students, the total income shall not exceed INR 8 Lakh per annum, and for EBC students, the maximum annual income must be INR 2.5 Lakh. 

 

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Eligibility Criteria for Bank of Maharashtra Education Loans 

The eligibility criteria for Bank of Maharashtra education loans for abroad studies are listed below:

  • list items The student should be an Indian national
  • list items The student must secure admission by entrance test or through a merit-based selection process
  • list items The student must have a minimum of 50% marks in the last qualifying exam
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Maharashtra Bank Education Loan Documents Required

The Maharashtra Bank education loan documents required include identity documents of the student and co-borrower and the student’s academic documents. The bank of maharashtra education loan documents required are as follows:
 

  • list items Identity and address proofs
  • list items PAN card
  • list items Income proof for salaried co-borrower:  Last 2 years ITR Form-16 Last 3 months salary slips Last 6 months bank statement
  • list items Last 2 years ITR
  • list items Form-16
  • list items Last 3 months salary slips
  • list items Last 6 months bank statement
  • list items Income proof for non-salaried co-borrower:  Last 2 years ITR Audited Balance sheet Last 1 year bank statement
  • list items Last 2 years ITR
  • list items Audited Balance sheet
  • list items Last 1 year bank statement
  • list items For agriculturists with no ITR, an income certificate from Tahsildar or other relevant authorities is required
  • list items Proof of admission
  • list items Academic certificates
  • list items Proof of securing admission upon merit, such as an entrance exam results
  • list items Proof to show that the university of study is recognized by a reliable body
  • list items Prospectus of the institution
  • list items Fee structure of the course
  • list items Receipt of the fee already paid

Check Your Education Loan Eligibility

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Pros and Cons of Bank of Maharashtra Education Loans

Before applying, take a close look at Bank of Maharashtra student loans closely to make a better decision. Here are the pros and cons of education loans from the Bank of Maharashtra.

Pros of Education Loan Maharashtra Bank

  • list items The education loan interest rate bank of maharashtra is lower compared to many private banks and NBFCs. 
  • list items There are concessions for girl students, meritorious students, and to students who regularly pay interest during the moratorium period.
  • list items The processing fee is refunded one the student gets the first disbursement. 
  • list items Eligible students can get interest subsidies in their loan repayment.
  • list items Students can get tax benefits under section 80 E in their education loan interest repayment. 

Cons of Education Loan Maharashtra Bank

  • list items The maximum amount available is INR 20 Lakh with 15% margin money in typical cases.
  • list items List of eligible courses is limited to a few, excluding vocational courses, pilot training courses, etc. 
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How to Apply for Bank of Maharashtra Education Loans? 

Since the Bank of Maharashtra has branches nationwide and gives alternate options for applying, getting a Bank of Maharashtra education loan is hassle-free if you meet the eligibility requirements. Bank of Maharashtra education loan application is online and offline. To apply online, follow the steps below: 

  • list items Visit the official website of the Bank of Maharashtra
  • list items Click the tab ‘Apply now’
  • list items Fill in your details and register. 

Once you do this, the maharashtra bank education loan department will get in touch with you. Alternatively, you can apply for an education loan from the Bank of Maharashtra through the Vidya Lakshmi portal. To apply offline, visit the nearest Bank of Maharashtra branch with the required documents. The Bank of Maharashtra education loan form is available in the banks. However, It is advised that you register on the website before visiting the bank to apply. 

Before you initiate the application, go through the details of Bank of Maharashtra education loan to make an informed decision. Apply only if the Bank of Maharastra education loan matches your concerns. Now if the Bank of Maharashtra education loan does not meet your specific needs then check your eligibility with GyanDhan where we will introduce you to several public, private banks and NBFCs offering high loan amounts and lower interest rates. 

Calculate your Education Loan EMI

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Frequently Asked Questions

What is the repayment period under the Maha Scholar Education Loan Scheme?

The Bank of Maharashtra abroad education loan repayment period under the Maha Scholar Education Loan Scheme is 15 years.

Are there any interest rate concessions available for girl students under the Bank of Maharashtra Education Loan scheme? 

Yes, the Bank of Maharashtra student loan provides a 0.5% concessions for girl students under the Bank of Maharashtra Education Loan scheme

What is the interest rate for the Maha Scholar Education Loan Scheme?

The education loan interest rate bank of maharashtra for the Maha Scholar Education Loan Scheme starts from 10.55%.

What is the maximum loan limit of Bank of Maharashtra education loan? 

The maximum loan amount to study in India is INR 10 Lakh and to study abroad is INR 20 Lakh for Bank of Maharashtra education loans. The maximum loan amount can be higher on a case to case basis. 

How to get interest subsidy for education loan from the Bank of Maharashtra? 

If a student is eligible for interest subsidy benefits, the proof of eligibility must be submitted to the Bank of Maharashtra to get the subsidy benefits. 

Is the Bank of Maharashtra a good option for education loans? 

Deciding a bank good or bad depends on the customer’s perception of the loan terms. The Bank of Maharashtra is a public sector bank offering education loans at an affordable interest rate and with subsidies and tax benefits. Generally, education loans from public sector banks are considered good and better than loans from private sector banks or NBFCs. 

What is the Bank of Maharashtra education loan interest rate?

The Maharashtra bank education loan interest rate varies between 10.95% - 11.30%, depending on various factors such as the quantum of the loan, collateral value, academic and financial details of the applicant and co-applicant, etc. 

What are the chances of getting an education loan from the Bank of Maharashtra? 

The chances of getting an education loan from the Bank of Maharashtra are high for those applicants with proper documents and vice versa. 

Does the Bank of Maharashtra provide education loan in maharashtra only?

No the bank of Maharashtra provides education loans to eligible students across India.

How Does the Bank of Maharashtra education loan calculator work?

The Bank of Maharashtra education loan calculator is an online tool designed to help loan applicants estimate their monthly repayments for an education loan. This calculator evaluates the loan amount, interest rate, and loan tenure to provide an approximate repayment amount.

Check Your Education Loan Eligibility


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