- Before giving the loan, banks study the viability of the borrower
(that is you, right?) based on personal discussions with the student,
family’s assets and annual income, the course and reputation of the
institute.
- In most banks for loans up to Rs. 4 lakhs, no collateral or margin
is required and the interest rate will not exceed the Prime Lending
Rates (PLR).
- For loans above Rs. 4 lakhs, the interest rate will be PLR plus 1%.
PLR is a term used to refer the interest rate of the bank and it may
vary with each bank.
- Some banks offer lower rates to female student
