A special scheme is launched to disburse education loans to needy students across the country. Bank of India is organizing Education Loan Camps pan India for two months to cater to the education finance needs of the parents and children. This loan can be repaid within 7 years after a year of the course completion or six months after getting the job whichever is earlier.
The campaign was inaugurated on 6th July by Chairman & Managing Director of Bank of India, Mr. Alok K. Misra in Chandigarh zone consisting Chandigarh, Haryana and Himachal Pradesh. Students from Chandigarh based colleges received on-the-spot sanction for education loans covered under Shiksha Suraksha Plan. The camps are run throughout the country as while South India is an existing education hub, North India is the upcoming one. With increasing movement of students for higher education, the financing needs have enlarged significantly.
Bank of India (BOI) holds 4th position with 5% share in the total outstanding in the Education Loan by all Public Sector Banks as on 31st March 2010. An overall growth of 29% and Chandigarh Zonal growth of 22.50% was witnessed at the end of last financial year 2009-2010. The education loan rates of Bank of India are 9.5% up to Rs. 4 lakhs and a further concession of 0.5% interest up to Rs.50,000 and 1% to loans over Rs.50,000 for girl students is also provided. Not only this, 1% interest concession is given to all the students upon service of interest during moratorium period of loan.
The higher education sector in India is developing at a swift pace with more and more number of students opting for post graduate studies. This is further encouraged by easy availability of education loans and finances that then support their career goals.