How to get education loans? | What are the different aspects involved in educational loans?

August 14th, 2010| How To.

How to get education loans? | What are the different aspects involved in educational loans?

Educational loans are different from other loans. Educational loans are very simple and the loan can be repaid after the student finishes his studies.

Important points in Educational loans

Educational loans are meant to give financial support to talented/eligible students who are studying in India and Abroad.

Eligibility: The applicant should be an Indian. It is compulsory for the applicant to get admission in any professional/technical course, after getting through the entrance test, either in India or in any university/ institution abroad. Loans are available for graduation courses, post graduation courses, professional courses as well as for the courses recognised by UGC/Government/AICTE.

Loans can be obtained for various needs like college/school/hostel fee, exam/library/laboratory fee, and expenditure for buying books, devices, machinery and uniforms. Ten percent of the tuition fees of the whole course or deposit/building fund/refundable deposit can also considered for loan. Travel expenses, expenses for buying computers to finish the course and study tours, project work expenses also come under loan coverage.

Security conditions


No security bond is necessary for loans up to Rs.4 lakhs. Co-obligation of parents/guardian is compulsory. To get a loan from Rs.4 lakhs to 7.5 lakhs, collateral security equal to the loan value or co obligation of parents/guardian or third party surety is compulsory. Explanation about the future income is also to be given

The loan has to be repaid after six months from finishing the course and joining the job or after the duration of the course + 1 year.

Required forms

Educational loan application form, marks memo of the course recently finished, proof of admission/scholarship or student ship are to be submitted to the bank. The expenses list for finishing the course, two pass port size photographs, six months bank account statement of the loan receiver, Income tax Assessment Order of the previous two years and salary slips/Form 16 are the other forms required to be submitted.




How are engineering colleges accredited by AICTE? | What are the standards followed by AICTE in recognizing engineering colleges?


All India Council for Technical Education (AICTE) was established on November, 1945. This is a higher advisory organisation formed at the national level for planning, monitoring, management of technical education development in India.

Engineering college and staff


An Engineering college should have the following staff – Principal and teaching faculty, work shop staff, technical supporting staff, library, computer center staff, administrative staff and management staff. Cadre of the faculty should be lecturer/senior lecturer/senior lecturer/ (S.G), Assistant professor/reader, professor and principal.

Faculty structure: The following standards have been set up for an Engineering college, where the number of students is between 180 and 240.

  • The ratio of Professor, Assistant Professor, and Lecturer for each department should be 1:2:4.
  • One professor, two Assistant Professors and one Reader are required for under graduate courses.
  • Student – Teacher ratio should be 10:1. The ratio should not exceed 15:1 in any circumstances.

Training and placements


Every Engineering college should have a Training and placement cell. A professor will be the head of this cell. He works for the good relationships between the college and industries.

Library Staff: Library in the college should be kept open for at least 12 hours. Staff should be recruited to provide facilities like issuing the books to students etc.

Physical Education staff: To develop the skills required for sports and games in the students, a Physical Education Director, an Assistant Physical Education Director and two assistants has to be appointed.

Laboratory Staff: Teaching staff as the Laboratory incharge, one Senior Laboratory Technician/Laboratory Technician and one Assistant has to be appointed.

Visiting faculty and Guest lecturers: Visiting faculty should be arranged to teach specialized subjects.

NBA accreditation

All India Council for Technical Education (AICTE) has established National Board of Accreditation to evaluate the Technical institutions and courses. NBA evaluates the institutes and courses as per the guide lines of AICTE.

Goals of NBA: To increase the quality standards of the technical education, to provide qualitative education as per the requirements of the market and to develop quality in human resources as per national and international standards are the important goals of NBA.

Benefits of Accreditation: Parents will have a feeling that their children are studying in good teaching-learning atmosphere. The students can expect quality professional education from the college. The Companies will have a belief that students from these institutes are skilled and talented. The colleges will have an awareness of their weaknesses and strengths.

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