Education and Career Forum

Hello friends, I would like to know that if I am going to apply an education loan in State Bank of India for studying BTech, then what kind of collateral security is there in this Bank education loan? Actually, I am going to apply for an education loan in this bank so I wanted to know about the collateral security.

To get an education loan for pursuing B.Tech course, you should have secured admission to B.Tech course in a Government recognised university. You need to submit collateral security only if you apply for an education loan of more than Rs. 7.5 lakhs, else it is not required. Collateral security is nothing but submitting the property related documents equal to loan amount to bank for processing your education loan.

Collateral is a kind of guarantee for education loan.

It can be:

1. Moveable collateral like Fixed deposits, LIC insurance bond etc.

2. Immoveable collateral like land which must be non agricultural.

You can use any of above for loans above 7.5 lacs.