Andhra Bank
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Toll Free Number : 1800 425 1515

 

Studies Aborad

 
  Scope of the scheme

The scheme will apply to deserving/ meritorious students who wish to pursue studies abroad


  Eligibility

Must be an Indian National
Must be over 17 years of age but within 35 years.
Must have secured admission in Overseas College/ University/ Institution in any of the following disciplines
Must be in possession of Admission confirmation letter from the concerned University.

Must be in possession of a valid Passport and Visa.
 
  Courses Eligible for Finance

 Graduation – For job oriented profession/ technical courses offered by reputed universities.
Post Graduation – MCA, MBA, MS etc
Courses conducted by CIMA – London, CPA in USA etc.,
Graduate/ Post Graduate studies in Arts, Science, Commerce and Business Administration.
Graduate/ Post Graduate studies in Pharmacy
Graduate/ Post Graduate studies in any Professional/ Technical courses.

PhD ( Doctor of Philosophy)
 
  Quantum of Finance

Need based as informed in the admission/ confirmation letter of the University/ College, subject to a maximum of Rs. 20.00 lacs
 

 
  Margin

Upto Rs. 4,00,000/-  :  NIL ; Above Rs. 4,00,000/- :   15%

 
  Mode of Disbursement

Initially an amount equal to the cost of air passage and Foreign Exchange towards the payment of semester fee and hostel expenses as per admission card of the college. Further amounts will be released proportionate to expenses towards semester fees, hostel fees etc. on annual basis
 
At any point of time there should not be more than two loans outstanding in the name of the student under the scheme.

 
OTHER ASPECTS COMMON TO INLAND AND ABROAD STUDIES
 
  Purpose

Loan under the scheme should be considered towards:

Tution Fees
Examination Fees
Study Tours, Project work
Cost of Books, Stationary
Equipment essential for courses
Caution Deposits/ Building Funds/ Refundable Deposits supported by institution bills/receipts, subject to the condition that the amount does not exceed 10% of the total tution fees for the entire course

 
  Hostel Fees

In case of studies abroad – Cost of Air Passage to the foreign country and maintenance including Health Insurance as per Foreign Exchange permit and correspondence from the college abroad

 
  Mode of Charging Interest

The interest to be debited monthly on simple basis during the repayment- holiday / gestation period.
The accrued interest during the repayment holiday period to be added to the principal and repayment in EMI fixed
Penal Interest: For the loans above Rs. 2.00 lacs penal interest at 2% be charged on the overdue amount for the over due period

 
  Co-obligation

Co-obligation of parents. Must be an Indian Citizen.
Wherever parents are not there, Bank could consider grandparents as co-obligator to the loans taking into account their networth.
In case of court appointed guardians, their co-obligation shall be obtained
In case of married person, co-obligator can be spouse or the parents(s)/ Parents-in-law

 
  Collateral Security

Upto Rs.4.00 lacs – NIL
Rs. 4.00 lacs to 7.5 lacs – Co-obligation of parent/guardian/third party

Above Rs. 7.50 lacs – Tangible security of suitable value besides co-obligation of parent.Parent co-obligation and assignment of future income
 
  Holiday Period

 1 year after course period or 6 months after getting job, whichever is earlier.

 
  Repayment

The loan to be repaid in 5-7 years after commencement of repayment

 
  Others

Only one loan will be sanctioned for abroad studies subject to a maximum of Rs. 20.00 lacs.
 
Multiple Loans in the same family

 In case of receipt of application of more than one loan for student borrower from a family the family as a unit will be taken into account for considering the loan and security norms are applicable taking into account the total quantum of finance sanctioned to the family subject to margin, repaying capacity of the student / parent