Education and Career Forum

Sir,
I am preparing for Abroad studies, trying to do MS in Abroad. I am living with my family and we don't have the registration of our residential house. We have an agricultural property which is within the Municipal limits of the city. The Tehsildar of my hometown has valued 1 acre at Rs. 1.5 crores. I want to know whether I can get an educational loan against it? Kindly revert me asap.

Yes, you can avail education loan by keeping agricultural property as collateral security.

The bank demand collateral security equal to the amount of education loan.

The candidate can put his/ her property which is either land, house etc.., which must be equal to the loan amount.

You can keep your agricultural property as collateral security to avail education loan.

If the land that your family owns is registered in the name of the person who is willing to take an Educational Loan against it then the Bank will sanction your Loan.
Your land will be effectively used as a mortgage against which the Bank will sanction the Loan.
If you can repay the Bank in time then your property will remain as it is. Once you default on a continuous basis the Bank will take over the possession of the Land.
This is how you can get your Educational Loan sanctioned against your agricultural land.

Education loan for more than 10 lacs rupees can be sanctioned by different public sector as well as private sector banks against property. So, you can get education loan from any bank against your agricultural land as property. There is an important clause in banking sector for education loan that loans above ten lacs can be sanctioned by mortgaging any property only. Upto seven lacs, there is no such need.

You can approach your nearest public sector banks with valuation of your land and other concerned documents like land receipt, deed, mutation certificate etc for availing loan for educational purpose.

Can I get education loan on the basis of agricultural land?