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Education Loan For CA Students Upto 10 Lakh

Education Loan For CA Students | ICAI. In the previous article, we have given details of How to Get ICAI Scholarship. Today we are providing details of How to get the Educational loan for studying CA course. The ICAI has recently entered into Memorandum of Understanding (MoU) with Bhartiya Mahila Bank Limited (BMB), IDBI Bank, Bank of Maharashtra, Corporation Bank and Oriental Bank of Commerce. So if you want to study CA course, you can get education loan from these banks. Now we are providing complete details of CA education loan I;e eligibility, the amount of loan, coverage of expenses, the rate of interest, repayment details, etc.

First, check below How much amount of Fee you should pay to ICAI for studying CA course I;e 49,600.

ICAI Fee Structure | From CA CPT to CA Final 

Course and fees Amount

Rs.

Exam

Fee

Common Proficiency Course (CPC) Registration Fee 6,000 500

(on-line

application)

Intermediate (IPC) Course (Both Group) Registration Fee 9,000 1900
Articled Training Registration Fee 2,000
Final Course Registration Fee 10,000 2700
100 Hours Information Technology Training (ITT) 4,000
35 Hours Orientation Programme 3,000
Students those who have registered for Articled Training on or after 1st May, 2012 shall be required to undergo Two General Management and Communication Skills (GMCS) course of 15 days each. First GMCS Course shall be undergone during the 1st year of articled training and Second GMCS Course shall be undergone after completion of 18 months of training but before completion of articled training. 5,500

(GMCS-I)

5,500

(GMCS-II)

Total 45,000 4600
Grand Total 49600

If you take coaching from CPT to CA Final in private institutions, you should pay approx 1,50,000, and there are some hostel expenses also. If you are from the poor family, it’s difficult to pay these expenses. So today we are providing complete details about Education loan for CA students. Check below !!

Education Loan For CA Students - ICAI

 

Education Loan For CA Students | Bhartiya Mahila Bank Limited (BMB)

The ICAI has recently entered into Memorandum of Understanding (MoU) with Bhartiya Mahila Bank Limited (BMB) having its corporate office at 9th Floor, IFCI Tower, 61, Nehru Place, New Delhi-110 019 (website:www.bmb.co.in) for financing CA students through its Education Loan Scheme “BMB Saraswati (CA) Loan” for pursuing CA Course. For encouraging girl students to join this prestigious course, the Bank provides a concession of 1% in the prevailing interest rates to Girl Students.

The Highlights of the Scheme along with Application Form are available on the ICAI website. Students who intend to avail of this facility may download the Application Form and send to the Bank. The Bank shall consider the proposal on merits of each case as per guidelines, and the decision of the Bank shall be final.

For any assistance from ICAI, the Board of Studies may be contacted at 0120-3045930/931 or [email protected]

Click Here to download the application form.

Nature of product : A loan product designed for students pursuing Chartered accountants course.

Type of facility : Term Loan

Eligibility

  • Should be an Indian resident.
  • Should have secured admission for the eligible course.

Courses eligibility : Students of C.A. Registration number from ICAI should be submitted.

Coverage of expenses :

  • Fee payable to Institute
  • Examination / Library Fee
  • Fee and other charges payable to hostel/PG charges, if any.
  • Purchase of books / stationery/ equipments / instruments
  • Personal Computers / Laptops/Tablets wherever required
  • Caution deposit / building fund / refundable deposit supported by institution bills / receipts
  • Any other expenses required to complete the course – like study tours, project works, thesis etc.
  • Insurance premium of the student borrower, if any
  • Applicable taxes on all above expenses
  • Scholarship/stipends if any are to be taken into account while calculating the loan eligibility.

Margin : Nil.

Maximum Amount of Loan : Rs.4.00 lacs.

Security : No Security. Parents to be co-borrower

Rate of Interest :

BR+2.25%i.e10.25+2.25 at present

  • Simple interest to be charged at monthly rests during the repayment holiday / moratorium period.
  • 1% interest concession if interest debited during repayment holiday is serviced
  • 1% Concession to loans for girl student.

Repayment holiday/Moratorium : Course period plus 12 months or 6 months after getting a job, whichever is earlier

Repayment : Maximum 84 instalments after moratorium

Processing charges : NIL

Other Specifications :

  • Pan Card/Aadhar card submission is a must.
  • SB account of the applicant should be opened prior to issuance of sanction letter.

Insurance :

Life Insurance of the student shall be taken with the consent of the student.

Disbursement :

  • To be made direct to the Institute/Vendor of books or Equipments.
  • On every subsequent disbursement,progress of the student shall be taken.

Click Here to see official notification of Education Loan For CA Students | Bhartiya Mahila Bank Limited (BMB).

Education Loan For Studying CA Course | IDBI Bank

Type of Loan Education Loan
Loan Amount Range Maximum ‘ 2.00 lacs
Co-Applicant – Parent / Guardian Co-applicant is mandatory. The loan document should be executed by both, the student and the co-applicant.
Expenses covered under Loan facility The Loan will be available only for initial registration for each course/stage.

Coaching fees will not be covered under the said EL.

Purchase of Computers/ Laptop, essential for completion of the course, will be allowed only after passing IPCC/ PCC. The Loan amount not to exceed ‘ 40,000/-.

Documents required Applicant – Application Form, One Passport size color Photograph, Age, Address & Identity Proof, Mark sheets of last qualifying examination, Proof of admission, scholarship, studentship etc., Schedule of expenses for the specified course.

Co-applicant – Application Form, One Passport size color Photograph, Age, Address & Identity Proof, 2 nos. latest salary slips along with latest Form 16 for Salaried or 2 years latest Financials for Self employed & 6 months updated banking statements, Talathi certificate, etc.

Collateral Security NIL
Margin NIL
Rate of Interest (BR+3.00 %) * At present 13.25%
Repayment Terms There will be no moratorium period/ repayment holiday.

Loan repayment to be completed in Maximum of 84 months after commencement of repayment.

* Present Base Rate (BR) of the bank is 10.25 % p.a. (w.e.f. May 05, 2011)

The said EL facility will be subject to following terms and conditions:

i. Sanction of Education Loan will be the sole decision of IDBI Bank and will be dealt as per the extant product guidelines and credit policy of the bank.

ii. IDBI Bank reserves the right to ask for any additional documents or information as required to process the Education Loan Application.

iii. Institute to offer reasonable opportunity to our Bank to cross sell other products of IDBI Bank Ltd. along with Education Loan to students and faculty.

iv. Any changes in Course structure/fees/affiliations to be intimated to the Bank immediately by the Institute.

v. Course progress reports of IDBI EL customers/ students to be intimated to the bank by the Institute immediately on periodical basis.

vi. Student can claim cost of buying laptop under EL provided payment is made directly to the vendor and payment receipt is submitted to the Bank.

vii. Remaining guidelines, documentation, deviations, etc. as per Master Circular on Education Loan dated 01/04/2013.

Click Here to see official notification of Education Loan For CA Students | IDBI Bank

Education Loan For CA Students | Bank of Maharashtra

Purpose For Studies in India and Abroad
Eligibility Studies in India: Graduation courses/Colleges under Universities approved by UGC. Other courses leading to diploma / degree etc. conducted by colleges / universities approved by UGC / Govt. / AICTE / AIBMS / ICMR etc.

Studies Abroad : Job oriented Prof./Technical / PG courses/ Post Graduation: – MCA, MBA, MS etc

Age Student should be Indian national, have secured admission by Entrance test / Merit bases selection.
Maximum amount In India : Rs. 10.00 lac Abroad : Rs. 20.00 lac
Security Up to Rs. 4.00 lac – Clean
Guarantor Above Rs.4.00 lac to Rs.7.50 lac –

Satisfactory third party Guarantee

Above Rs. 7.50 lac

Value of collateral security after providing requisite margin as below should be equal to the quantum of finance plus 2 acceptable guarantor.

Computers purchased out of loan be hypothecated.

Margin Up to Rs. 4.00 lac – Nil

Above Rs.4.00 lac –

5% for studies in India 15% for studies abroad

Deduction Limit N.A.
Rate of Interest Loans up to Rs. 4.00 lac (Base Rate + 1.75%)

Loans above Rs. 4.00 lac (Base Rate + 2.75%)

Simple interest during moratorium period, thereafter compounded monthly

1% interest concession may be provided to the loanees if the interest is serviced regularly as and when applied during the study period when repayment holiday is specified for interest/ repayment under the scheme. Interest concession is available only for moratorium period.

Repayment EMI – 60 Months (Loan plus int.accrued together)

Moratorium: Course Period + 1 year OR 6 months after getting job whichever is earlier

Processing Fee Nil
Insurance N.A.
Others Loan will be granted to student with parent as Co-borrower/s

Loan will be disbursed in stages as per requirement directly to Institute / College.

Other Facility Student can apply education loan in online mode through our website. This Facility is presently available only in selected 75 branches (shortly it will be increased to handsome number)

Education Loan For CA Students | Corporation Bank

Eligibility of the Student

  • Student should be an Indian national.
  • Should have secured at least 60% marks [ 55% for student belonging to SC/ST category ] in the previous qualifying examination.
  • Should through Entrance test / Merit based selection process/through Management quota after completion of HSC [10+2 or equivalent]
  • Loan to NRIs /Securing admission through NRI quota is generally not permitted. However, request received from NRIs / securing admission through NRI quota can be considered in exceptional cases, if student is Indian passport holder and they meet normal eligibility requirement subject to providing full collateral security which is enforceable in India, irrespective of loan amount. In such cases, loan shall be sanctioned by Retail Asset Hub or Zonal Office, or HO as the case may be.
  • Person already in gainful employment is not eligible for loan under the scheme except for pursuing evening course covered under the scheme conducted by an approved Institute.
  • If a gainfully employed person wants to pursue full time education either on study leave or by resigning from present employment , such proposals may be considered provided the applicant submits the proof in this regard to the sanctioning authority before disbursement of loan.

Eligible Courses

For Studies in India :

  • Approved courses leading to Graduate/Post Graduate Degree, Diploma and PG Diplomas conducted by recognized Colleges/Universities recognized by UGC/Govt/AICTE/AIBMS/ICMR etc..
  • Courses like ICWA, CA/integrated CA-on virtual /video mode , CFA,etc.[HO.Cir 490/2011 dt.08.07.11]
  • Courses conducted by IIMs, IITs, IISc, XLRI, NIFT, NID etc.
  • Regular Degree/Diploma courses like Aeronautical, Pilot training, Shipping etc., approved by Director General of Civil Aviation/ Shipping , if the course is pursued in India.
  • In case of the Aircraft Maintenance Engineering /Pre Sea training courses must be either a Degree course recognized by a competent University or Diploma course recognized by appropriate State Body to be eligible for loan. The employability of the students and employment potential of the course selected has to be considered while appraising the loan application.
  • Research course/Ph.D courses for study in India are not eligible for loan under the scheme.
  • Approved Courses offered in India by reputed Foreign Universities.
  • Teachers training /Nursing/B.Ed courses provided the training institutions are approved either by Central Govt or by State Govt and such courses should lead to Degree or Diploma and not to Certificate course.
  • Correspondence courses/Part time /Certificate/Short duration courses / off-campus courses and Onsite/Partnership programme are NOT eligible for loan under the scheme. However, Vocational/Skill development courses are eligible under the Scheme for which separate guidelines are prescribed.

For Studies abroad :

  • Graduation: For job oriented Professional/Technical courses offered by reputed Universities .
  • Post Graduation: MCA, MBA, MS etc.
  • Course conducted by CIMA- London, CPA in USA etc.
  • Degree/Diploma courses like aeronautical, pilot training, shipping etc provided these are recognized by competent regulatory bodies in India/Abroad for the purpose of employment in India/Abroad.
  • However, PG diploma courses for study abroad is permitted.
  • Diploma courses for study abroad is NOT permitted. In case of Diploma courses for study abroad,
    proposals may be considered on a case to case basis , based on merits of each case subject to the condition that the loan is fully secured irrespective of loan amount and deviation is obtained from the competent authority.
  • Research course/Ph.D courses for study abroad are not eligible for loan under the scheme.

Eligible Expenses

  • Fee payable to College./School/Hostel /Examination/ Library/ Laboratory fee.
  • Travel expenses/Passage money for studies abroad.
  • Caution Deposit, Building Fund/Refundable deposit, though supported by Institution bills/receipts, are not eligible.
  • Purchase of books/Equipment/Instruments/Uniforms[Refer to–Note]
  • Purchase of computer at reasonable cost, if required for completion of the course[Refer to–Note] .
  • Any other expenses required to complete the course like study tours, project work, thesis etc.[Refer-note]

Note: It is likely that expenditure under the above item may not be available in the schedule of fees and charges prescribed by the college. Therefore, a realistic assessment may be made of the requirement under these heads. However, the maximum expenses for all such items of expenditure together may be restricted to 20% of the total tuition fees payable for completion of the course.

  • Hostel fees/expenses may be considered as eligible expenses for finance under the Scheme. Payment of hostel fees should be made directly to the hostel authorities.
  • Reasonable lodging and boarding charges will be considered in case the student chooses/is required to opt for outside/private/paying guest accommodation. In such cases, letter from the Institution regarding non availability of hostel accommodation need not be insisted.
  • In such cases, payment towards accommodation and food may be made directly to the student.
  • Insurance premium for life of student borrower.
  • For courses under Management Quota seats, fees as approved by the State Government/Government approved regulatory body for payment seats will be taken, subject to viability of repayment.

Quantum of loan

Studies in India : Maximum of Rs.10 lakhs

Studies Abroad : Maximum of Rs.20 lakhs

  • Loan exceeding above ceiling may also be considered.
  • Education loans extended to individual member of the family shall not be clubbed with the education loans availed by any other member of the same family. However, all loans availed by an individual member of the family shall be aggregated/clubbed for the purpose of margin, security, rate of interest etc..
  • Existence of an earlier education loan to the brother(s) and/or sister(s) will not affect the eligibility of another meritorious student from the same family obtaining education loan as per this scheme from the bank.
  • Repayment of the education loan is based on the future earning potential of the student. Going by the spirit of the scheme, limit of Rs 4 lakh collateral free loan is student specific and not family specific. There is no restriction on giving a second or third collateral free loan to other siblings when one of the siblings has already taken a collateral free loan.

Click Here to read the details of Margin, Security, Rate of Interest, Repayment Period, Repayment of Loan etc details.

Education Loan For Studying CA Course | Oriental Bank of Commerce

Purpose

To provide financial support to meritorious students for pursuing higher studies in India & abroad with affordable terms & conditions.

Eligibility For Loan Student who is / has: –

1. An Indian national.

2. Meritorious student

3. Secured admission to a higher education course in an institute
recognized by a statutory body in India or abroad through entrance test/ merit based selection process after completion of HSC (10+2 or equivalent)

Note:

Entrance test or selection on merit may not be the criterion for admission in some of the post graduate courses or research programmes. In such cases, bank’s (sanctioning authority) will have to adopt appropriate criteria based on employability (placement) and reputation of the institute concern.

Financing more than one member of the family

Loan to different meritorious students of same family can be allowed on merits subject to the compliance of other terms and conditions applicable to education loan policy. Each loan shall be considered separately.

Eligible Courses

1. Studies in India

1. Approved courses leading to Graduate/ Post Graduate degree and PostGraduate diplomas conducted by recognized Colleges / Universities approved / accredited by Government of India/ State
Government/ UGC / Government /AICTE /AIBMS / ICMR or Regulatory bodies.

2. Courses like I.C.W.A., C.A., C.F.A., etc.

3. Courses conducted by IIMs, IITs, IISc, XLRI, NIFT, NIDetc.

4. Approved courses offered in India by reputed foreign universities

5. Evening courses of approved / accredited institutes

6. Computer Certificate courses of reputed institutes accredited to the Deptt. of Electronics or Institutes affiliated to Universities.

7. Regular Degree/ diploma courses like Aeronautical, Pilot training, Shipping etc. approved by Director General Of civil Aviation/ shipping, if the course is pursued in India

8. Nursing Courses conducted by institutes approved by State / Central Govt./ Regulatory body.

Note: The above list is indicative in nature the other job oriented courses to technical/ professional degrees/ diplomas offered by recognized institution may be considered under this scheme.

Studies in Abroad

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

2. Post Graduation: Courses like MCA, MBA, MS etc.

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

4. Degree/ Diploma: Courses like Aeronautical, Pilot training, and
Shipping etc. provided these are recognized by competent regulatory bodies in India/ abroad for the purpose of employment in India and abroad.

Note: In some cases for study abroad, the Foreign Universities stipulate a condition that the student is required to clear General English exam / English for Vocational Education exam, before regular course. In such cases where visa has been obtained by the student for pursuing courses from abroad and admission is subject to clearance of General English / English for Vocational Education exam, Education Loan can be considered subject to fulfillment of following conditions :

a) The student has to clear such exam and shall meet all expenses related to such English course from their own sources.

b) In case of urgency, the applicant may deposit the fee for the first semester from his/her own sources for pursuing the main education course.

c) After obtaining the clearance certificate of English Language, the fee for the first semester paid by the student from own sources can be reimbursed or treated as a part of margin, if such request is received within 3 months of payment of fee, and further disbursements may be made directly to the Institute.

Two / Dual Courses

Education loan for Diploma and degree courses simultaneously may also be considered for two / dual courses provided by the educational institutions.

Top-up/Second Loan

Second Education Loan can be permitted for pursuing higher education in view of better placement prospects in case the student approaches for top-up/ second loan during the moratorium period of the first education loan subject to compliance of security stipulations, other terms & conditions defined as per extant guidelines of education loan policy.

Components of Finance

1. Fee payable to college/ school/ hostel (lodging and boarding). Reasonable Lodging & Boarding charges will be considered in case the student chooses/ is required to opt for outside accommodation.

2. Examination/ Library/ Laboratory fee.

3. Insurance premium for student borrower, if applicable.

4. Caution deposit, Building fund/ refundable deposit supported by Institution bills/ receipts, subject to the condition that the amount does not exceed 10% of the total tuition fees for the entire course.

5. Travel expenses/ passage money for studies abroad.

6. Purchase of computers-essential for completion of the course*.

7. Purchase of books/ equipments/ instruments/ uniforms*.

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

Amount of loan

  • Up to Rs. 10.00 Lacs for studies in India
  • Up to Rs. 20.00 Lacs for studies abroad

Click Here to read the details of Rate of Interest, Repayment of Loan etc details.

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2 comments

  1. Thanks for the article sir,but can you please tell if i take a loan for 4 lacs and now i’m in ipcc when will my loan subjected to interest now or after passing final .kindly elaborate with example .( i have cleared g-1 of ipcc and completed 4months of articlship). Regards in advance.

  2. detail for CA course and loan